Saudi Aramco more likely to pause refinery investments in India: Report

Oil firm Saudi Aramco is reviewing plans to increase at residence and overseas within the face of sharply decrease oil costs and a heavy dividend burden, the Wall Road Journal reported on Wednesday, citing folks acquainted with the matter.

Aramco will assessment a $6.6 billion plan so as to add petrochemical output at its Motiva refinery in Texas, in addition to an enormous natural-gas venture with Sempra Power in the identical state, in accordance with the report.

The state-run firm can also be pausing investments in refineries in China, India and Pakistan, the WSJ mentioned.

Oil corporations globally have been chopping spending throughout the board to shore up money because the trade contends with a realization that decrease crude costs may very well be the norm for an extended time period after the COVID-19 pandemic sapped gas demand.

In Saudi Arabia, Aramco is delaying plans by a yr to spice up crude manufacturing capability to 13 million barrels a day, from presently about 12 million, the report added.

The corporate plans to chop its capital spending to between $20 billion and $25 billion this yr to pay a $75 billion dividend it pledged to buyers throughout its preliminary public providing final yr, the Monetary Instances reported final month.

Aramco didn’t instantly reply to a Reuters request for remark.

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