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Aramco Posts $32.5B Q1 Profit, 7M bpd Pipeline Capacity

5/11/2026

Summary

Aramco Boosts Profit

Saudi Arabian Oil Co. (Aramco) reported first-quarter profit of $32.5 billion, a 25 % increase from the same quarter a year earlier.
The East-West Pipeline reached its 7 million-barrel-per-day capacity, allowing Aramco to shift exports away from the Strait of Hormuz.
Aramco’s board approved a quarterly dividend of $21.9 billion.
CEO Amin H. Nasser said the results show resilience and operational flexibility in a complex geopolitical environment.

Summary

Aramco Funds Expansion

Aramco spent $12.1 billion on capital expenditure in Q1 2026 to fund expansion projects.
The Zuluf project advanced toward processing 600 million barrels per day of crude in 2026.
Jafurah gas plant’s phase one shipped its first condensate and targets 2.0 billion cubic feet per day by 2030.
Aramco kept supply reliability at 96.3 % in Q1 despite brief refinery disruptions while chasing a 12.0 million-bpd MSC goal.

Summary

Aramco Raises Dividend

Aramco’s base dividend rose 3.5% to $21.9 billion, supporting the Saudi government’s 2026 fiscal plan.
The Saudi state, which owns 81.5% of Aramco, is joined by the Public Investment Fund, which holds 16%.
Free cash flow fell to $18.6 billion from $19.2 billion, pressured by a $15.8 billion rise in working capital.
Aramco’s gearing ratio rose to 4.8% at end-March, from 3.8% at end-2025, and kept a $50-55 billion capex despite cutting spending to $12.1 billion.

Summary

Aramco Ramps Exports

Aramco raised exports from 3.6 million barrels per day in March to just under 4 million barrels per day in April.
Its trading unit shipped crude through the Strait of Hormuz on vessels with transponders off.
Aramco shifted shipments to Yanbu on the Red Sea within days, keeping volumes below pre-war levels.
Iran’s blockade removed nearly a billion barrels from the market, deepening the supply shock.

History

Historical Context

In October 1973 OAPEC, led by Saudi King Faisal, cut output and raised the posted price from $3 to $5.12 per barrel – a roughly 70 % jump that triggered the first oil shock. The embargo spurred Saudi Arabia to invest heavily in export infrastructure, a policy that underlies today’s 7-million-bpd East-West Pipeline and Aramco’s rerouting around the Strait of Hormuz.

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Aramco Boosts Profit

Saudi Arabian Oil Co. (Aramco) reported first-quarter profit of $32.5 billion, a 25 % increase from the same quarter a year earlier.
The East-West Pipeline reached its 7 million-barrel-per-day capacity, allowing Aramco to shift exports away from the Strait of Hormuz.
Aramco’s board approved a quarterly dividend of $21.9 billion.
CEO Amin H. Nasser said the results show resilience and operational flexibility in a complex geopolitical environment.

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