Saudi Aramco increases its investment in order to increase output1 min read
Saudi Aramco, the state-owned oil company, intends to significantly boost its investment in energy production after reporting a doubling of earnings in 2021.
Over the next five years, the company intends to considerably increase output.
Energy prices have risen in recent months as demand for oil and gas has outstripped supply.
Boris Johnson is “absolutely correct” to negotiate with Saudi Arabia on expanding energy supply, according to chancellor Rishi Sunak. The crisis in Ukraine, as well as a reluctance to rely on Russia for energy, has increased the need to discover other energy sources. Political leaders who are concerned about the impact of rising energy costs are likely to embrace them. Rachel Reeves, the shadow chancellor, said the UK should focus on increasing local energy output through additional nuclear and on and off-shore wind generating to lessen dependency on countries such as Russia and Saudi Arabia. During the epidemic, energy prices have been erratic due to abrupt shifts in economic activity that have altered supply and demand. Saudi Aramco’s net earnings more than quadrupled to $110 billion in 2021, bolstered by increased oil prices.