Saudi Aramco Plans $4 Billion Gas Plant Sales Amid Fiscal Pressure

Saudi Aramco is preparing to sell up to five gas-fired power plants in a strategic move to raise approximately $4 billion amid budget pressures and falling oil revenues. This divestment is part of a broader strategy to free up capital, maintain shareholder payouts, and align with Saudi Arabia’s Vision 2030 economic diversification goals. The sale of these non-core assets, mainly power stations supplying energy to Aramco’s refineries, will enable the company to focus on higher-growth sectors such as carbon capture, green hydrogen, and advanced infrastructure projects. Aramco is also considering divesting other assets including housing compounds, port infrastructure, and pipeline stakes, while exploring further bond market issuances to optimize its capital structure. These efforts come as Aramco’s profits and dividend payouts to the Saudi government have declined due to lower oil prices, prompting the company to enhance financial stability and support the Kingdom’s ambitious megaprojects. The potential asset sales and financial maneuvers reflect Aramco’s strategy to maintain its role as a key contributor to Saudi Arabia’s economy while adapting to global energy market volatility.