Saudi Aramco has raised $12.4bn through a “lease-and-lease-back” agreement covering its stabilized crude oil pipeline network. The deal, announced 9 April, is with a consortium led by Washington D.C.-headquartered EIG Global Energy Partners and will provide a welcome boost to Saudi Aramco’s balance sheet.
The Saudi energy giant has been seeking new ways to raise finance of late as the 2020 oil price crash exacerbated the financial strains of its commitment to issuing a $75bn annual dividend coupled with last year’s $69.1bn purchase of a 70% stake in Sabic (MEES, 19 June 2020). This has included raising $29.4bn through a small domestic IPO (MEES, 17 January 2020) and two bond offerings worth a combined $20bn (MEES, 20 November 2020). (CONTINUED - 1070 WORDS)
