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Saudi oil giant Aramco’s profits soar more than 80pc in first quarter

| Updated: May 16, 2022 18:51:24

Saudi oil giant Aramco’s profits soar more than 80pc in first quarter

Oil giant Saudi Aramco said its profits soared more than 80 per cent in the first three months of the year as the state-backed company cashes in on the volatility in global energy markets and soaring oil prices following Russia’s invasion of Ukraine.

The bumper first-quarter earnings by the firm formally known as the Saudi Arabian Oil Co show a record net income of $39.5 billion, up from $21.7 billion during the same period last year, reports Al Jazeera.

The surge was “primarily driven by higher crude oil prices and volumes sold, and improved downstream margins”, Saudi Aramco said in a press release on Sunday.

 “Energy security is vital and we are investing for the long term, expanding our oil and gas production capacity to meet anticipated demand growth,” said Aramco Chief Executive Amin Nasser.

Resurgent economic activity and the relaxation of global coronavirus restrictions had already revived demand for hydrocarbons and delivered strong annual results for the state-backed company last year.

In March, Aramco reported a 124 per cent net profit surge for 2021.

Oil prices rallied to a 14-year high of $139 a barrel in March immediately after Russia’s invasion of Ukraine, although they later receded as Russian oil continued to flow and new lockdowns hurt oil demand in China.

International benchmark Brent crude traded at over $111 a barrel on Sunday.

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