Saudi Aramco to buy 40% stake in major Pakistani oil company

Saudi Arabia’s Aramco Tuesday signed an agreement to acquire a 40% equity stake in a Pakistani gas and oil company, said a statement from the Saudi company.

Aramco Executive Vice President of Products & Customers Yasser Mufti, Chief Executive Officer of Lahore-based Gas & Oil Pakistan Ltd. (GO) Khalid Riaz signed the agreement.

The planned acquisition marks Aramco’s first entry into the Pakistani fuels retail market, advancing the company’s strategy to strengthen its downstream value chain internationally.

This transaction would enable Aramco, one of the world’s leading integrated energy and chemicals companies, to secure additional outlets for its refined products and further provide new market opportunities for Valvoline-branded lubricants, following Aramco’s acquisition of the Valvoline Inc. global products business in February 2023.

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“Our second planned retail acquisition this year aligns with Aramco’s downstream expansion strategy, with a clear path ahead for growing an integrated refining, marketing, lubricants, trading and chemicals portfolio worldwide,” said Mohammed Y. Al Qahtani, Aramco’s downstream president.

GO has a significant storage capacity, high-quality assets and growth potential, which will help launch the Aramco brand in Pakistan, he added.

GO, a diversified downstream fuels, lubricants and convenience stores operator, is one of the largest retail and storage companies in Pakistan.