Aramco generates strong cash flows as balance sheet strengthens: CEO

Saudi Aramco’s President and CEO Amin Nasser

Saudi Arabian Oil Co.’s (Saudi Aramco) Q1 2023 financial results underpinned the company’s continued high reliability, focus on cost and the ability to react to market conditions, said President and CEO Amin Nasser in an earnings press release.

“We generated strong cash flows and further strengthened our balance sheet,” he added.

Reinforcing commitment to maximize long-term shareholder value, Saudi Aramco announced intention to introduce a mechanism for performance-linked dividends alongside the base dividend the company currently distributes.

“Our growth strategy remains on track and we made significant progress on the strategic expansion of our downstream business during the quarter, announcing a key acquisition in the US as well as important investments and partnerships in China and South Korea,” Nasser indicated.

Saudi Aramco’s global downstream strategy is gaining momentum and is leveraging cutting-edge technologies to increase liquids-to-chemicals capacity and meet anticipated demand for petrochemical products.

“We are also moving forward with our capacity expansion, and our long-term outlook remains unchanged as we believe oil and gas will remain critical components of the global energy mix for the foreseeable future,” he noted.

Nasser also indicated that Saudi Aramco intends to continue to be a reliable energy supplier with the ability to provide more sustainable energy solutions. This is while supporting efforts to achieve an orderly energy transition.

Nasser concluded that the world’s largest oil exporter will be confident about the contributions it will make by working to further reduce the carbon footprint of operations. This is besides adding new lower-carbon energy options to its portfolio.

Saudi Aramco reported a net profit of SAR 117.5 billion in Q1 2023, compared to SAR 142 billion in the year-earlier period, Argaam reported.