Saudi Aramco, the world's largest oil production company, has agreed to acquire a 40% stake in Pakistan's natural gas and oil company, a downstream fuel, lubricant, and convenience store operator. Saudi Aramco stated in a statement that the agreement marks Saudi Aramco's entry into the Pakistani fuel retail market, "advancing the company's strategy to strengthen its international downstream value chain.".

The company added that this transaction will enable Saudi Aramco to gain more sales channels for its refined oil products. Following Saudi Aramco's acquisition of the global product business of American oil and lubricant manufacturers in February, it will also provide new market opportunities for Valiant brand lubricants.

Mohammad Katani, downstream president of Saudi Aramco, stated that GO has huge storage capacity, high-quality assets, and growth potential, which will help launch the Saudi Aramco brand in Pakistan.

The second retail acquisition we plan to undertake this year aligns with Saudi Aramco's downstream expansion strategy and points the way for the development of a comprehensive investment portfolio in refining, marketing, lubricants, trade, and chemicals globally.

Saudi Aramco stated that the transaction is subject to certain customary conditions, including regulatory approval. GO is one of the largest retail and warehousing companies in Pakistan. It has over 1100 branches in Pakistan, providing gasoline, diesel, and lubricants.

Saudi Aramco is the world's third-largest company by market value, with a market value of $2.12 trillion, second only to Microsoft ($2.76 trillion) and Apple ($3 trillion). The company has been acquiring assets globally to strengthen its investment portfolio and expand into new markets.

This year, it completed the acquisition of Shengpai's global product business for $2.65 billion. In September this year, the company announced that it would acquire 100% equity of Esmax Distribuscion, a downstream fuel and lubricant retailer in Chile, from private equity firm Southern Cross Group. Last month, Saudi Aramco reported that its net profit in the third quarter decreased by 23% due to Saudi Arabia's voluntary production reduction and the decline in crude oil prices.

This state-owned oil company stated in a document submitted to the Tadawul Stock Exchange that its net profit after Tianke decreased from 159 billion riyals in the same period last year to 122.2 billion Saudi riyals (32.58 billion US dollars) in the three months ending in September.Editor/XingWentao