Saudi Aramco posts record Q1 net profit on strong crude

Pearl Bantillo

16-May-2022

SINGAPORE (ICIS)–Saudi Aramco posted a record first-quarter net profit of riyal (SR) 148bn ($39.5bn), up by about 82% year on year, thanks for strong crude oil prices and sales volumes, as well as improved downstream margins, the world’s biggest oil exporter said.

in billion Saudi riyal (SR) Q1 2022 Q1 2021 % change
Sales     467.00     272.07 71.6
Operating income     277.71     151.89 82.8
Net income     148.03       81.44 81.8

The energy giant’s total hydrocarbon production in the first three months of the year stood at 13m boe/day (barrels of oil equivalent per day), Saudi Aramco said in a statement on 15 May.

Capital expenditure in January-March 2022 was $7.6bn, it said.

“Aramco continues to expect capital expenditure to grow until around the middle of the decade, to support the company’s long-term strategy realization,” it said.

During the quarter, Saudi Aramco made a final investment decision to jointly develop a major integrated refinery and petrochemical complex in China with North Huajin Chemical Industries Group Corporation and Panjin Xincheng Industrial Group.

The joint venture to be called Huajin Aramco Petrochemical Company (HAPCO) plans to build a 300,000 bbl/day refinery and petrochemicals complex.

Saudi Aramco expects its full-year 2022 capex of $40bn-50bn, which was 25-57% higher than the $31.9bn spent in 2021, amid elevated oil prices.

At 11:42 Singapore time (03:42 GMT), Brent crude was trading at $109.65/bbl, while WTI was at $108.74/bbl.

($1 = SR3.75)

Thumbnail photo: Aramco, Khurais, Saudi Arabia – 28 June 2021. (By Amr Nabil/AP/Shutterstock)

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