RIYADH — Saudi Aramco President and CEO Amin Nasser warned that the impact of the Strait of Hormuz crisis was not limited to global oil supplies but also extended to global food security.
He described the closure of the Strait of Hormuz as the largest oil supply shock in history. “Global markets had lost more than 2.6 billion barrels of supplies since the crisis began,” he said on Tuesday while speaking to Al-Arabiya Business following the release of the company’s quarterly results.
Al-Nasser said that Saudi Aramco continued its strong financial and operational momentum in the second half of the year, maintaining one of the strongest financial positions in the industry, a sustainable and increasing base dividend, and a clear focus on its strategic growth objectives. “Even during periods of uncertainty, the company remains committed to its long-term priorities, and that disciplined execution, coupled with more efficient and reliable operations, has contributed to its profitability,” he said.
Nasser said geopolitical developments in the region had significantly affected energy markets. “Saudi Aramco had been able to draw on its extensive operational infrastructure and redirect supplies through alternative routes. The company has several export outlets and options beyond the Arabian Gulf and the Red Sea,” he pointed out.
Nasser said that the company’s operational strength was directly reflected in its financial results despite the exceptional challenges facing global energy markets. “ Aramco played a central role in limiting the impact of the crisis on global markets, drawing on its operational flexibility, advanced strategic planning and contingency measures, as well as its ability to efficiently manage production and distribution,” he said.
Saudi Aramco reported a 44 percent increase in second-quarter net profit on Tuesday, with posting net profit of $32.69 billion in the three months ended June 30, compared with $22.67 billion a year earlier.
Source: Saudi Gazette