Aramco Lifts Petro Rabigh Stake to ~60% in SAR2.63bn Deal

Riyadh, October 9, 2025 (Saudi Arabia Breaking News) – Saudi Aramco said it has completed the acquisition of a 22.5% stake in refining and petrochemicals joint venture Petro Rabigh from Japan’s Sumitomo Chemical for SAR2.63 billion ($701.8 million), lifting Aramco’s holding to about 60% as part of a turnaround plan for the loss-making venture.

Petro Rabigh last posted a full-year profit in 2021 and has accumulated SAR12.4 billion in net losses between 2022 and the first half of 2025, underscoring pressure from a challenging global petchems cycle. Aramco, which reported a 22% year-on-year drop in Q2 profit in August amid lower oil prices, has flagged cost controls and potential divestments of non-core assets to fund higher-return investments.

The turnaround package at Petro Rabigh includes a $1.5 billion shareholder-loan waiver and a future joint capital injection of SAR5.26 billion, split equally between Aramco and Sumitomo. The deal reduces Sumitomo’s stake to 15%.

Aramco said the move strengthens its downstream value chain, securing crude placement and converting more barrels into higher-value products. Under the agreement, Aramco and its affiliates will assume marketing rights for Petro Rabigh’s products.

Petro Rabigh said its board “welcomes the steps and measures agreed to be taken by Saudi Aramco,” calling them supportive of the company’s long-term prospects.