Aramco chief says all work needed for IPO to be done by second half of 2018

Saudi Aramco CEO Nasser Amin said that “all the work-streams” needed for the oil giant’s public listing would be completed by the second half of 2018. (Reuters)
Updated 04 April 2018
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Aramco chief says all work needed for IPO to be done by second half of 2018

  • New maritime industries complex and King Salman Energy City to be fully operational in 2022
  • 2 "Giga" projects would create 180,000 jobs in KSA and contribute $16 billion to national GDP
LONDON: Saudi Aramco CEO Amin Nasser said that “all the work-streams” needed for the oil giant’s public listing would be completed by the second half of 2018.
But the Aramco boss did not reveal any clues about the likely location for the listing.
“On the question of where we will be listed, I will park that,” he said.

The London Stock Exchange, as well as exchanges in New York and Hong Kong are competing to be the international location for the initial public offering that could raise about $100 billion and value the state-owned oil from at as much as $2 trillion.
Nasser told the London forum that Aramco viewed gas as a “significant” growth area, and he was trying to capture growth in different parts of the world, both upstream and downstream.
There has been speculation Aramco might do gas deals with Russia and even buy shale assets in the US.
During a panel discussion about KSA “giga-projects,” Nasser flagged up major projects in KSA where the oil company was active in promoting development and growth.
For example, he talked about a new maritime industries complex in the Kingdom that is a joint project with global companies such as Hyundai Heavy Industries.
“When fully operational in 2022, this integrated maritime yard will be one of the largest full-service maritime facilities,” he said.
He also mentioned King Salman Energy City.
“The industrial manufacturing center will be developed over 500,000 square meters on land allocated for energy-related industries,” he said.
The first phase is expected to be completed in the second quarter of 2018.
Last year, US-based drilling and oil service firm Schlumberger said it would develop a manufacturing facility within the park.
Nasser said the new development would bring major manufacturing capacity to the Kingdom, with the potential to develop export markets.
He added the idea was “to bring the jobs and investment that are crucial to both Saudi Aramco’s IKTVA (In-Kingdom Total Value Add) development program, and the Kingdom’s Vision 2030.”
He estimated that the two giga projets would create 180,000 jobs in KSA and contribute $16 billion to national GDP.


Etihad to loan pilots to competing UAE airline Emirates

Updated 24 June 2018
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Etihad to loan pilots to competing UAE airline Emirates

  • Etihad Airways has told its pilots they can join rival Emirates on a temporary basis for two years
  • The agreement is also likely to help Emirates, where a pilot shortage forced it to cancel some flights this summer

DUBAI: Etihad Airways has told its pilots they can join rival Emirates on a temporary basis for two years, according to an internal Etihad email seen by Reuters, as the downsizing of the Abu Dhabi carrier’s operations helps fill a pilot shortage for Dubai’s Emirates.
Etihad, which last week reported a $1.5 billion annual loss, has been overhauling its business since 2016, replacing its top executive, dropping unprofitable routes and shrinking its fleet.
The agreement is also likely to help Emirates, where a pilot shortage forced it to cancel some flights this summer. Management had said the shortage was a short-term issue.
In the email, Etihad said pilots who join Emirates on a two-year secondment would be placed on a leave of absence, retain seniority at Etihad, and receive their salary and full benefits from the Dubai airline.
Pilots were asked in the email to register a non-binding expression of interest and told that Emirates’ recruitment team would meet with pilots at Etihad’s offices.
Two sources separately told Reuters that Etihad had emailed staff announcing the agreement with Emirates.
An Etihad spokesman told Reuters secondment programs were common practice among airlines, enabling the effective management of pilot resources.
“This is something Etihad Airways has done for several years with partner airlines around the world,” the spokesman said.
An Emirates spokeswoman told Reuters the airline was “working with Etihad on a secondment program for some of their pilots.”
It was not immediately clear how many pilots would be offered temporary employment at Emirates and the email stated that any pilots applying for the secondment would need to complete Emirates’ training program.
Etihad employs 2,200 pilots, according to the airline spokesman. Reuters reported in January that Etihad had offered up to 18 months unpaid leave to pilots.
Emirates and Etihad have been exploring closer ties and signed a security pact in January, the first agreement between the United Arab Emirates (UAE) based airlines. Emirates has since said that a closer relationship was not about a merger.
Emirates and Etihad, backed by their state owners, have competed developing global networks from their respective hubs in Dubai and Abu Dhabi that are just 128 kilometers apart.
Emirates is owned by the government of Dubai, and Etihad is owned by the government of Abu Dhabi.