Aramco announces first quarter 2024 results
London, 08 May 2024, (Oilandgaspress): – Net income: $27.3 billion (Q1 2023: $31.9 billion), Cash flow from operating activities: $33.6 billion (Q1 2023: $39.6 billion)
Free cash flow1: $22.8 billion (Q1 2023: $30.9 billion)
Gearing ratio1: -3.8% as at March 31, 2024, compared to -6.3% at end of 2023
Q1 2024 base dividend of $20.3 billion and the fourth performance-linked dividend distribution of $10.8 billion to be paid in the second quarter
Company expects total dividends of $124.3 billion2 to be declared in 2024, including base dividend of $81.2 billion2 and performance-linked dividend of $43.1 billion2
$7.7 billion of engineering, procurement, and construction contracts awarded for Fadhili Gas Plant expansion, which is expected to add 1.5 bscfd of processing capacity
Company announced addition of 15 tscf to proven gas reserves and two billion stock tank barrels of at Jafurah unconventional field
Aramco completed its acquisition of a 100% equity stake in Chilean retailer Esmax, supporting the Company’s downstream expansion
Overall venture capital funding to more than double to $7.5 billion, expanding the Company’s ability to finance disruptive new technologies in a variety of sectors, including the digital and sustainability fields
Global market conditions in the first quarter of 2024 improved compared to the previous quarter, driven by increased crude oil prices as a result of lower global oil inventories and higher forecasted demand. Through its low-cost upstream operations and strategically integrated Downstream business, Aramco captured value from
these market conditions and delivered robust earnings and free cash flow. In line with its aim to maximize value for shareholders, the Board declared a base dividend of SAR 76.1 billion ($20.3 billion) and the fourth distribution of the performance-linked dividends of SAR 40.4 billion ($10.8 billion), bringing the total declared dividends for the
first quarter to SAR 116.5 billion ($31.1 billion). Aramco believes it is well positioned to help meet the world’s growing need for affordable and reliable energy, and that oil and gas will continue to be an important part of the global energy mix. The Company continues to implement its capital program, with the growth in capital spending directed mainly towards upstream liquids and gas, downstream liquids to chemicals, and new energies such as renewables, lower-carbon fuels, and blue ammonia and hydrogen.
Capital expenditures in the first quarter were SAR 40.6 billion ($10.8 billion), reflecting the Company’s intention to increase investment to capture unique growth opportunities and create longterm value for shareholders.
Commenting on the results, Aramco President & CEO Amin H. Nasser said:
“Our first-quarter performance reflects the resilience and strength of Aramco, reinforcing our position as a leading supplier of energy to economies, to industries and to people worldwide.
“We also continue to execute our long-term strategy, and in the first quarter made significant progress on expanding our gas business and growing our globally-integrated downstream value chain, while maintaining our focus on consistently delivering value for our shareholders.
“Looking ahead, I expect our portfolio to continue to evolve as we aim to contribute to an energy transition that offers solutions to climate challenges, but at the same time recognizes the need for affordable, reliable, and flexible energy supplies.”
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