Saudi Aramco's Ras Tanura oil refinery and terminal. The company's
chief executive said underinvestment in fossil fuels could lead to
higher prices for oil and gas. Credit Ahmed Jadallah/Reuters
Saudi Aramco, Saudi Arabia's state oil company, reported a record-busting net income of $161.1B in 2022, a 47% increase from 2021 and the highest since the company went public in 2019.
The world's largest oil company generates significant revenue for the Saudi government, which holds most of its shares, the NY Times reports.
- Aramco's
financial success is partly due to the rise in oil prices, especially
Brent crude, which surged by 40% to over $100 per barrel in 2022.
- The company anticipates global demand for its oil and gas will remain strong, despite climate change concerns.
- The
energy giant believes that underinvestment in the oil and gas industry
could lead to oil shortages and heightened energy prices.
- Aramco's record earnings come amid efforts by other major oil companies to reduce fossil fuel investments.
- In 2022, its investment in oil and natural gas production rose by 18% to $37.6B.
