Overview

Saudi Aramco, officially known as Saudi Arabian Oil Company and formerly as Arabian-American Oil Company, is the national petroleum and natural gas company of Saudi Arabia. It was founded in 1933. The company is involved in the exploration, production, refining, and distribution of oil and gas. It manages conventional and unconventional hydrocarbon reserves, including crude oil and natural gas. As of 2021, its proven reserves were estimated at about 256.9 billion barrels of oil equivalent, including 261.6 billion barrels of crude oil and condensate, 36.0 billion barrels of natural gas liquids, and 253.8 trillion standard cubic feet of natural gas. In December 2019, Aramco became a public company through an initial public offering on the Saudi Stock Exchange (Tadawul). The IPO was the largest in history, valuing the company at approximately $1.7 trillion. The majority of shares remain owned by the Saudi government.

Headquarters and Facilities

Saudi Aramco's global headquarters is in Dhahran, in the Eastern Province of Saudi Arabia. The Dhahran headquarters complex includes administrative buildings, research facilities, and residential areas for employees. The campus is often referred to as the Dhahran Core Area. Key facilities include Al-Midra Tower, the main administrative office tower; the Exploration and Petroleum Engineering Center (EXPEC), a research facility focused on upstream technologies; the Aramco Exhibition Center, a museum showcasing the company's history and achievements; and the King Abdulaziz Center for World Culture (Ithra), a cultural center sponsored by Aramco. Aramco also maintains significant operations in other Saudi cities, including Ras Tanura, home to a major refinery and terminal; Yanbu, another refinery location; and Jeddah, the company's primary facility on the Red Sea coast.

Business Operations

Saudi Aramco operates across the hydrocarbon value chain, from exploration and production to refining and distribution. Its business sectors include upstream, midstream, downstream, power, trading, and technology and innovation.

  • Upstream: Exploration for new oil and gas reserves onshore and offshore; production of crude oil and natural gas from discovered fields; and drilling operations and maintenance of drilling rigs.
  • Midstream: Transportation of crude oil, refined products, and natural gas through pipelines, tankers, and other means; and storage facilities for oil and gas products.
  • Downstream: Refining crude oil into petroleum products; manufacturing petrochemicals derived from petroleum and natural gas; and marketing and selling refined products and petrochemicals globally.
  • Power: Generating electricity to support operations and contribute to Saudi Arabia's power grid.
  • Trading: Buying and selling crude oil, refined products, and petrochemicals in global markets.
  • Technology and Innovation: Research and development in areas such as enhanced oil recovery, carbon capture and storage, and renewable energy technologies.

Subsidiaries and Affiliates

Saudi Aramco has investments, subsidiaries, and affiliates in Saudi Arabia and internationally. Key entities include:

  • Aramco Trading Company (ATC): Handles global trading activities in crude oil, refined products, and petrochemicals.
  • S-Oil Corporation: A South Korean oil refining company in which Aramco holds a majority stake.
  • Motiva Enterprises: A fully owned subsidiary that operates the largest oil refinery in North America, located in Port Arthur, Texas.
  • Saudi Aramco Total Refining and Petrochemical Company (SATORP): A joint venture with Total, operating a refinery in Jubail, Saudi Arabia.
  • Sadara Chemical Company: A joint venture with Dow Chemical Company, operating a petrochemical complex in Jubail.
  • Saudi Aramco Shell Refinery Company (SASREF): A joint venture with Shell, operating a refinery in Jubail.
  • Aramco Overseas Company: Manages Aramco's international operations and investments.
  • Saudi Aramco Technologies Company: Focuses on technology development and commercialization.
  • Saudi Aramco Energy Ventures: The corporate venturing subsidiary, investing in start-ups and high-growth companies with strategic importance to Aramco.
  • SABIC (Saudi Basic Industries Corporation): In 2019, Aramco acquired a 70% stake in SABIC, one of the world's largest petrochemicals companies.

Aramco has also made investments in refining and petrochemical projects in China, India, Malaysia, South Korea, and the United States. These investments are part of its strategy to secure long-term markets for its crude oil and expand its presence in the downstream sector.

Acquisitions and Diversification

Saudi Aramco has made acquisitions to expand operations, secure markets, and diversify. Notable acquisitions include:

  • SABIC (2019): Acquired a 70% stake in Saudi Basic Industries Corporation for $69.1 billion.
  • Motiva Enterprises (2017): Took full ownership by buying out partner Shell's 50% stake. Motiva operates the largest oil refinery in North America.
  • S-Oil (2015): Increased its stake in South Korean refiner S-Oil to 63.4%.
  • Lanxess (2019): Acquired a 50% stake in Lanxess's synthetic rubber business, now called ARLANXEO.
  • Novomer (2021): Acquired Novomer, a U.S.-based technology company specializing in conversion of carbon dioxide and other materials into high-value chemicals and polymers.
  • Valvoline Global Products (2022): Announced acquisition of Valvoline Inc.'s global products business for $2.65 billion.

Aramco has also invested in renewable energy projects, artificial intelligence and digital technologies, electric vehicle technologies, and carbon capture and storage initiatives.

Website and Careers

Saudi Aramco maintains a website at www.aramco.com. The site provides company overview, investor relations, sustainability, technology and innovation, careers, news and media, and customer portals. It is available in English and Arabic. The careers section is at www.aramco.com/careers. Aramco hires for positions including engineers, geologists, IT professionals, and business analysts. The company's recruitment process may include online assessments, phone or video interviews, in-person interviews, background checks, and for international candidates, visa and relocation assistance.