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Saudi Aramco could pay $25 billion for 20% of Asia's richest company - Energy

Saudi Aramco could pay $25 billion for 20% of Asia’s richest company – Energy

The oil company Saudi Aramco is in advanced negotiations to buy a 20% stake in Reliance Industries, which is based in India, and has a strong presence in the Asian and African continents, for an amount that could range from 20 to 25 billion dollars through special procedures. . News provided by Bloomberg.

Reliance (+2.6%) is funded by Indian millionaire Mukesh Ambani, the richest man currently residing on the Asian continent. According to the news agency, the agreement could go ahead in the coming weeks.

If the deal materializes, it would bring together the world’s largest oil company and one of the world’s largest energy retailers. For Saudi Aramco, the completion of the agreement means a strong increase in oil sales to India, one of the world’s largest importers.

In July, the Saudi company exported 613,000 barrels of oil per day to that country, which is about 10% of total exports. This deal will help Aramco achieve its goal of doubling its refining capacity to 8-10 million barrels per day.

Discussions between the two companies began in 2019, when Ambani said the $15 billion deal could be completed.

The state-owned Saudi Oil Company, Aramco, announced, on Sunday, that the profits of the state-owned Saudi Oil Company in the first half of this year amounted to 47.2 billion dollars, an increase of 103% over the same period last year.

As for the quarterly results, the $25.5 billion (21.67 million euros) obtained between last April and June represents a 288% increase compared to the profits of the same period in 2020, when the oil market recorded a decline due to the outbreak of the emerging Corona virus. .

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