Saudi Aramco plans to pay $75 bln base dividend in 2020

Saudi Aramco plans to pay a base dividend of $75 billion in 2020 as it aims to attract investors to its IPO. (File photo: AFP)

Saudi Aramco plans to pay a base dividend of $75 billion in 2020 as it aims to attract investors to its initial public offering, the company said in a corporate investor presentation posted on its website on Monday.

The world’s largest oil exporter also scheduled a change to its tax royalty scheme with a marginal rate amended to 15 percent for global benchmark Brent crude up to $70 a barrel, 45 percent for Brent price between $70 a barrel and $100 a barrel, and 80 percent for Brent above $100 a barrel, effective from January 2020.

Aramco added in the presentation that it aims to be the “world’s pre-eminent integrated energy and chemicals Company, operating in a safe, sustainable, and reliable manner.”

Saudi Aramco, which is the world’s largest oil exporter, is targeting a valuation of $2 trillion in its upcoming IPO.

It is expected to list on the Saudi Stock Exchange (Tadawul) before the end of the year, and eventually following up with an international listing.

Some of the international destinations vying for the listing include Tokyo, London, Hong Kong, and New York.

The company announced in April 2019 that it generated a net income of $111.1 billion in 2018, making it the world’s most profitable company.

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Last Update: 07:29 KSA 10:29 - GMT 07:29
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