Saudi Aramco is planning a corporate reorganisation that would create a dedicated gas division, a move that could give the oil giant a separate platform to expand its natural gas business and potentially attract outside investment into parts of the operation, according to Reuters.
The proposed structure would bring Aramco's gas activities under a more focused business. It will allow the company to pursue domestic gas development while building its liquefied natural gas (LNG) portfolio internationally.
The restructuring also comes as Aramco seeks new ways to raise capital without giving up operational control of its core oil-producing business. The company is already publicly listed and has previously used asset transactions to bring in external investors.
Also Read | Saudi Aramco Helicopter Crash In Ras Tanura Kills All 14 On Board
A dedicated gas business could provide another route for such deals, including possible future listings of individual business units, sources told the news agency.
The strategy reflects a broader approach among Gulf energy companies, which have increasingly monetised selected assets while retaining control over their main operations.
Abu Dhabi's ADNOC, for instance, has listed stakes in businesses spanning gas, drilling and fuel retail, while both ADNOC and Aramco have raised billions through infrastructure assets such as pipelines.
For Aramco, the gas push is also linked to Saudi Arabia's broader effort to diversify its economy and reduce dependence on crude oil revenues. Developing natural gas resources and expanding into LNG could create additional growth avenues beyond its traditional oil business.
Also Read | Saudi Aramco Shares Drop Over 2% After 12% Profit Decline; Announces $3-Billion Buyback
Aramco has been seeking tens of billions of dollars in outside capital through asset sales and other transactions, as Saudi Arabia continues funding its economic transformation.
If implemented, the new gas division would therefore serve two purposes, creating a dedicated platform for gas and LNG growth while potentially making selected assets easier to monetise in the future.
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.