Saudi Aramco, officially known as the Saudi Arabian Oil Group, is one of the largest companies globally. It holds the world's second-largest proven crude oil reserves and operates the largest single hydrocarbon network. The company has achieved significant profits and is a key player in the global oil industry.
On May 30, 1932, Standard Oil of California (SoCal) struck oil in Bahrain, sparking increased interest in the oil potential of the Arabian mainland.
On May 29, 1933, the Saudi Arabian government granted a concession to Standard Oil of California (SoCal) to explore for oil in Saudi Arabia, giving rise to the exploration efforts in the region.
The drilling crew of Dammam Well No. 7 struck oil in commercial quantities on March 4, 1937 or 1938, three years after drilling for oil began in 1935.
On January 31, 1938, the company name was changed from California-Arabian Standard Oil Co. to Arabian American Oil Co. (or Aramco), marking a significant milestone in the company's history.
On March 4, 1938, a significant amount of oil was discovered in Saudi Arabia, leading to the country's emergence as an international oil producer. This discovery marked the beginning of Saudi Arabia's transformation into one of the world's most important energy centers.
On May 1, 1939, King ‘Abd al-’Aziz opened the valve that loaded the first export shipment of crude oil from Saudi Arabia, marking a significant milestone in the country's oil industry.
On August 9, 1960, the chairman of Standard Oil of New Jersey unilaterally shaved 14¢ off the posted price, aiming to increase competitiveness in Europe vis-a-vis Soviet crude exports.
The Saudi government issued a royal decree merging Saudi Aramco with Samarec, the country's oil refining company, in order to have only one company dealing with oil production.
In 1951, the Safaniyah field, the world's largest offshore oil field, was discovered after two years of exploration in the shallow Arabian Gulf waters.
On 18 November 2007, a natural gas pipeline explosion resulted in the tragic loss of 34 workers. Aramco claimed it was a maintenance-related incident, sparking controversy and concerns about safety measures within the company.
On 15 August 2012, Saudi Aramco's computers were attacked by the Shamoon virus, causing significant disruption. The group 'Cutting Sword of Justice' claimed responsibility for the attack, which impacted 30,000 workstations and led to months of service restoration. The attack was capable of wiping files and rendering computers unusable.
On 26 April 2017, Saudi security forces thwarted an attempted attack on an Aramco oil distribution center involving an unmanned boat from Yemen. This event marked the successful prevention of a potential attack on Aramco's infrastructure.
Improvements are being made to sustain gas production from the Haradh and Hawiyah fields for the next 20 years and boost production by an average of 1.2 BSCFD. The program includes installing gas compression facilities, liquid separation stations, and transmission lines to the Haradh and Hawiyah gas plants, along with expanding the existing gas gathering pipeline network.
The Ghawar field is confirmed to hold the largest conventional proved reserves, totaling 58.32 billion barrels of oil equivalent as of December 31, 2018. It has played a significant role in the Kingdom's crude oil production.
On April 9, 2019, Aramco issued bonds collectively valued at US$12 billion, receiving more than US$100 billion in orders from foreign investors, breaking records for a bond issue by an emerging market entity.
On April 11, 2019, Aramco signed an agreement with Poland’s leading oil refiner PKN Orlen to supply it with Arabian Crude Oil.
On 14 September 2019, Houthi rebels carried out a drone attack on two Saudi Aramco plants, resulting in a significant reduction of Saudi crude output. The attack cut over 5% of the world's oil supply and led to discussions about postponing Aramco's IPO.
Saudi Aramco raised its initial public offering to a record $29.4 billion by over-allotment of shares, making it the largest IPO in history.
On November 6, 2019, Saudi Aramco joined the World Bank's initiative to reduce gas flaring to zero by 2030, demonstrating its commitment to environmental sustainability.
On November 9, 2019, Saudi Aramco released a 600-page prospectus giving details of the IPO, with up to 0.5% of the shares locked for individual retail investors.
On December 4, 2019, Saudi Aramco priced its offering at 32 Saudi riyals per share, raising US$25.6 billion in its IPO, making it the world's largest IPO at the time.
On December 11, 2019, Saudi Aramco commenced trading on Tadawul, with shares rising 10% and making it the world's largest listed company.
On 10 March 2020, Saudi Aramco announced a global partnership with Formula One, securing a multi-year deal.
On 17 June 2020, Saudi Aramco acquired a 70% share in SABIC, a chemicals manufacturing company.
On 31 July 2020, Saudi Aramco lost its title as the world’s largest listed company by market capitalization to Apple.
On 9 August 2020, Saudi Aramco reported a 50% fall in net income for the first half of its financial year, attributed to the continued fall in oil demand and prices due to the coronavirus crisis.
On 3 November 2020, Saudi Aramco reported a 44.6% drop in third-quarter net profit amid the COVID-19 pandemic.
On 14 December 2020, an oil tanker carrying over 60,000 metric tons of unleaded gasoline from an Aramco refinery at Yanbu was attacked by a smaller boat rigged with explosives.
As of December 31, 2020, Saudi Aramco's reserves consisted of 255.2 billion barrels, including 198.8 billion of crude oil, 25.2 billion of natural gas liquids, and 191.6 trillion standard cubic feet of natural gas.
On 19 March 2021, an Aramco refinery was attacked by six bomb-laden drones, claimed by Houthi rebels, causing a fire but no injuries or damage.
On 21 March 2021, Saudi Aramco signed an agreement to secure China's energy supplies for the next 50 years and develop new technologies to combat climate change.
Moody's announced the completion of a periodic review of ratings of Saudi Aramco, indicating the ongoing evaluation of the company's creditworthiness and financial stability.
On 20 November 2021, Houthi fighters took credit for launching 14 drones at military targets and Aramco's refineries, causing significant impact.
On May 11, 2022, Saudi Aramco surpassed Apple Inc. to become the largest (most valuable) company in the world by market cap.
Aramco is actively working on solutions to reduce emissions, aiming to achieve net-zero greenhouse gas emissions by 2050 for its wholly-owned and operated assets.
Aramco revealed its financial performance for the third quarter of 2023, showcasing strong earnings and continued progress in its growth strategy.
As of February 7, 2024, Reuters reported that Saudi Aramco is in investment discussions with Indian companies, as stated by an executive.
Reuters mentioned on February 9, 2024, that Saudi Arabia is poised for a new Aramco share sale, according to sources.
On February 12, 2024, Reuters reported that Saudi Aramco started trading US crude, which contributes to setting the Brent oil benchmark.
According to Reuters on February 20, 2024, the CFO of Saudi Aramco stated that the company is likely to issue a bond in 2024.
Aramco has decided to postpone a number of oil field upgrade tenders.