Discussions underway to sell 1% of Saudi oil giant Aramco to foreign firm

Saudi Arabia has started talks with a foreign firm to sell it 1% of Saudi oil giant Aramco, Crown Prince Mohammed bin Salman said in a television interview on Tuesday.

Read also: Arabia: Aramco raises $ 12.4 billion in oil pipeline deal

"Negotiations are underway for the acquisition of 1% of the capital of Aramco by one of the world's leading energy firms, and this will be very beneficial to Aramco's sales in this country,"

said MBS, without further commenting. details.

Aramco had already sold part of its capital in December 2019, and had obtained $ 29.4 billion.

Earlier this month, Aramco sold a minority stake in a pipeline company to US firm EIG Global Energy Partners for $ 12.4 billion.

Diversification of its economy

These disposals illustrate Riyadh's desire to raise funds in order to finance its efforts to diversify its economy. Last month, the firm announced a 44.4% drop in profits in 2020, posing a serious problem for the Saudi state, its largest shareholder. Aramco's debt rose as Saudi Arabia, the world's largest oil exporter, was affected by both falling barrel prices and declining global consumption due to the Covid-19 pandemic.