Saudi Aramco in Talks with Banks for New Bond Sale

Saudi Arabian oil group Aramco is in talks with banks for a U.S. dollar-denominated bond issue, two sources said, seeking to raise money ahead of large commitments for its major shareholder, the Saudi government, Reuters reported. Aramco was widely expected to become a regular bond issuer after its debut $12 billion bond deal in 2019 was followed by an $8 billion, five-part transaction in November last year. The oil company last year maintained a $75 billion promised dividend despite lower oil prices, and is expected to shoulder significant domestic investments that form part of Saudi Arabia's plans to transform the economy. One of the sources said the deal could happen in the coming weeks. Qatar Petroleum is expected to issue bonds by the end of June that sources have said could go up to $10 billion in size. Read more.