Saudi Aramco seeks tighter portfolio management, says GlobalData’s MEED
The recent decision to create an integrated corporate development organisation is the next step in the exercise to undertake proficient management of the overall enterprise
With the integration of Saudi Basic Industries Corporation (Sabic) into its fold, Saudi Aramco has amassed an energy business portfolio that requires keen oversight and effective management. Aramco took the first step of starting to consolidate its sprawling downstream business in July, and now comprises a global refining capacity of 5.4 million barrels a day (b/d) and a total petrochemicals production capability of 90 million tonnes a year (t/y). The recent decision to create an integrated corporate development organisation is the next step in the exercise to undertake proficient management of the overall enterprise, says GlobalData’s MEED.
Indrajit Sen, Oil & Gas Editor at GlobalData’s MEED, comments: “The move to form this new department has been accompanied by a senior leadership reshuffle. Abdulaziz al-Gudaimi, who is senior vice-president of the downstream business, will lead the corporate development organization and report directly to the CEO, reflecting the importance Aramco has attached to the formation of this body.
“A dedicated team managing its expansive portfolio, which consists of an upstream division with the capacity to produce 12.1 million b/d of crude and 14 billion cubic feet a day of gas, aside from its enormous downstream business, will help Aramco achieve better cost optimisation and operational efficiency.
“The unit will also support the company in approaching the international asset deals and projects it has planned in a leaner and smarter way.”