Riyadh – Mubasher: The Saudi Arabian Oil Company (Saudi Aramco) is aiming to obtain a loan worth $7.5 billion for potential investors in its oil pipelines, Bloomberg reported on Tuesday, citing people familiar with the matter.
The oil giant has started negotiations with banks to secure favourable terms for the funding package that would then be provided to investors, the sources told the international new agency.
Aramco is conducting talks in parallel with plans to sell a stake in a pipeline unit for about $10 billion.
The pipeline sale agreement would be the first phase of the Saudi company’s strategy to raise funds by selling leasing rights or stakes in non-core assets.
JPMorgan Chase & Co. and Moelis & Co, the investment bank that also took part in the Abu Dhabi National Oil Co’s (ADNOC) deals, are advising on the deal.
The Saudi firm is increasingly tapping new funding sources as part of its plan to maintain annual dividend payments of $75 billion amid falling oil prices.