By : Franyi Sarmiento, Ph.D., Inspenet, August 25, 2022
The world’s largest oil company, Saudi Aramco, recorded a record net income during the second quarter of the year, an increase of almost 90%, reaching 48.4 billion dollars.
The good performance is explained by the high market prices added to the company’s oil production. Multi-billion dollar net income for the quarter was about $25.5 billion higher than during the same period last year.
Also, the Saudi Arabian company posted a free cash flow increase of 53% year-on-year to $34.6bn. Despite record revenue, the firm kept dividend payouts at $18.8 billion.
According to the authorities, the company is using the extraordinary profit to reduce debt and invest in a large expansion of its production capacity. Aramco is betting that demand for its oil and chemical products will remain high, even in the midst of the transition.
“Aramco expects oil demand to continue growing through the remainder of the decade, despite downward economic pressures on global short-term forecasts,” said Aramco CEO Amin Nasser.
On the other hand, from the company they stressed that they are looking for partners to invest in carbon capture, renewable energy and hydrogen production, with the aim of reaching their goal of zero net carbon emissions from operations by 2050. A goal that is planned to be achieved in parallel to its plan to increase the maximum oil production capacity to 13 million barrels of oil per day.
This material on the petrolnews.net portal has been edited for clarity, style and length.
Source : https://www.petrolnews.net/noticia.php?r=43057
Photo : askarim / Shutterstock.com
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