Saudi Aramco plans to reduce capital expenditure in 2020

Oil&Gas Materials 16 March 2020 16:06 (UTC +04:00)
Saudi Aramco plans to reduce capital expenditure in 2020

BAKU, Azerbaijan, March 16

By Leman Zeynalova – Trend:

Saudi Aramco plans to reduce its capital expenditure from $32.8 billion to between $25 billion and $30 billion in light of current market conditions and recent commodity price volatility, Trend reports citing the company.

Capital expenditure last year was $32.8 billion, compared to $35.1 billion in 2018.

“The Company expects capital spending for 2020 Capital expenditure for 2021 and beyond is currently under review. The Company’s low upstream costs and low sustaining capital provide significant flexibility and demonstrate differentiation to its peers,” said the company.

In 2019, the Saudi Aramco remained one of the world’s largest producers of crude oil and condensate with an average total hydrocarbon production of 13.2 million barrels per day of oil equivalent.

Saudi Aramco’s total 2019 hydrocarbon reserves under the Concession Agreement were 258.6 billion barrels of oil equivalent (boe), compared to 256.9 billion boe in 2018.

Following the attacks on two facilities in September, the company restored production levels within 11 days, due to its emergency response training and procedures. As a result, the Company demonstrated its long-standing reputation for reliability.


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