Contrary to what oil market observers have been saying for months, the plans for listing 5 % in Saudi Aramco have never been connected to the state of the oil market and the price of oil, Aramco’s CEO Amin Nasser told Al Arabiya on October 24, 2017.
«The offering since the beginning was never linked to the market or the condition of the market,» Nasser told the TV on the sidelines of the Future Investment Initiative conference in Riyadh.
«There is no doubt, oil market stability is very important and Saudi Arabia has a leading position in the oil market,» Aramco’s chief told Al Arabiya.
When Saudi Arabia started discussing plans to take a small portion of its oil giant public, oil prices were in the $40s or below, and the IPO «was not linked back then that the price should reach a certain level.»
But as the production cuts failed to lift oil prices to that level, reports and speculations started emerging regarding a possible delay of the Saudi plan to list 5 % of Aramco.
Just a couple of days ago, Aramco’s Nasser intervened on that front too, saying that the IPO stayed on track for the 2nd half of 2018, as planned.
«We have always said that we will be listing in 2018, and to be more specific, in the 2nd half of 2018,» Nasser said CNBC.
Over the past month, Saudi Aramco has consistently denied growing reports and speculation that it may postpone the highly anticipated IPO until 2019, or could completely forgo an international market listing and go for a private placement with sovereign wealth funds as investors.