Russia-Saudi oil cooperation to bring stability to markets: RDIF’s Dmitriev

Russia-Saudi oil cooperation to bring stability to markets: RDIF’s Dmitriev
Russian Minister of Energy Alexander Novak, Khalid Al-Falih Minister of Energy, Industry and Mineral Resources of Saudi Arabia and Minister of Energy of the United Arab Emirates, UAE, Suhail Mohamed Al Mazrouei, fromm left, attend a news conference after a meeting of the Organization of the Petroleum Exporting Countries, OPEC, and non OPEC members at their headquarters in Vienna, Austria, Saturday, June 23, 2018. (Ronald Zak/AP)
Updated 25 June 2018

Russia-Saudi oil cooperation to bring stability to markets: RDIF’s Dmitriev

Russia-Saudi oil cooperation to bring stability to markets: RDIF’s Dmitriev
  • Saudi Arabia and Russia said they had a general consensus that the OPEC+ format should be “institutionalized” and extended until 2019 and beyond to monitor the market and change output if needed
  • Long-term Russia-Saudi cooperation “will ensure pricing stability on global markets and increase investments in the energy sector”

VIENNA: The joint deal by OPEC and other oil-producing allies to raise output demonstrates the strength of the Russia-Saudi energy alliance, which will help stabilize the market for many years to come, the head of Russia’s sovereign wealth fund said on Monday.
The Organization of the Petroleum Exporting Countries and other top crude producers agreed to raise output from July by about 1 million barrels per day (bpd), after Saudi Arabia persuaded arch-rival Iran to cooperate.
Ahead of OPEC’s Vienna meeting, Saudi Arabia and Russia, the world’s top oil producers, said they had a general consensus that the OPEC+ format should be “institutionalized” and extended until 2019 and beyond to monitor the market and change output if needed.
“A long-term partnership between Russia and Saudi Arabia related to the coordination of efforts between oil producers and the future creation of a new organization based on OPEC+ will help to overcome disagreements between the producers and work out a united action strategy on the global markets,” Kirill Dmitriev, the head of the Russian Direct Investment Fund (RDIF) told Reuters.
Dmitriev, one of the architects of the initial deal between Moscow and OPEC in December 2016, said that long-term Russia-Saudi cooperation “will ensure pricing stability on global markets and increase investments in the energy sector.”
At a meeting with the Russian President Vladimir Putin last week, Dmitriev said that Saudi Arabia, whose Crown Prince Mohammed bin Salman visited Moscow in June, agreed to invest $10 billion in Russia, of which $2 billion had already been spent.
Dmitriev told Reuters he expected investments between the two countries to double in the next three years.


Fitch lifts 6 Saudi banks outlooks to stable from negative

Fitch lifts 6 Saudi banks outlooks to stable from negative
Updated 27 min 50 sec ago

Fitch lifts 6 Saudi banks outlooks to stable from negative

Fitch lifts 6 Saudi banks outlooks to stable from negative
  • These ratings follow a similar action on Saudi Arabia’s sovereign rating on 15 July 2021 that was attributed to better fiscal management and an increase in oil prices

RIYADH: Ratings agency Fitch has revised six Saudi banks’ credit outlooks to stable from negative and affirmed their international ratings at BBB+.

The banks are Arab National Bank (ANB), Banque Saudi Fransi (BSF), Alinma bank (Alinma), Saudi Investment Bank (SAIB), Bank Aljazira (BAJ) and Gulf International Bank - Saudi Arabia (GIB SA).

These ratings follow a similar action on Saudi Arabia’s sovereign rating on 15 July 2021 that was attributed to better fiscal management and an increase in oil prices.

“Fitch’s assessment considers the authorities’ strong ability to support the banking system, given large, albeit reduced from their historical levels, external reserves,” Fitch said in the statement.

“It also reflects a long record of support for Saudi banks, irrespective of their size, franchise, funding structure and level of government ownership.”


Saudi Arabia targets energy reduction worth $6.6bn by 2030, says CEO

Saudi Arabia targets energy reduction worth $6.6bn by 2030, says CEO
Updated 34 min 5 sec ago

Saudi Arabia targets energy reduction worth $6.6bn by 2030, says CEO

Saudi Arabia targets energy reduction worth $6.6bn by 2030, says CEO
  • Its services include retrofitting buildings and streetlighting and promotes the use of renewable energy, including rooftop solar PV

RIYADH: Saudi Arabia’s National Energy Services Company (Tarshid) said it plans to reduce energy consumption in the Kingdom by SR25 billion ($6.6 billion) by 2030.

“We are targeting integrated savings through the Saudi Energy Efficiency Program (SEEP), and in the public sector alone, we will be saving 8 terawatts and SR2.5 billion annually,” Tarshid CEO Waled Alghreri told CNBC Arabia in an interview.

Tarshid was established by the Public Investment Fund (PIF) to pioneer energy efficiency in Saudi Arabia in collaboration with the Ministry of Energy.

Its services include retrofitting buildings and streetlighting and promotes the use of renewable energy, including rooftop solar PV.

Its Energy Efficiency Program is a rare example of a country creating a dedicating, integrated initiative to target energy efficiency, said Alghreri.

Most such programs are scattered and decentralized and do not produce encouraging results, he said.


Amazon to rebrand Souq.com Egypt site this year

Amazon to rebrand Souq.com Egypt site this year
Updated 27 July 2021

Amazon to rebrand Souq.com Egypt site this year

Amazon to rebrand Souq.com Egypt site this year
  • Souq.com sellers in Egypt encouraged to set up on Amazon.eg

CAIRO: Amazon said it plans to rebrand the Egyptian version of Souq.com as Amazon.eg this year, following similar moves in Saudi Arabia and the UAE.

Sales partners previously registered on Amazon’s Souq.com affiliate can access their accounts through the Amazon Seller Center in preparation for selling their products on the Amazon Egypt website immediately after its launch.

Amazon acquired Middle East etailer Souq.com in 2017 from Syrian entrepreneur Ronaldo Mouchawar.

On May 1, 2019, Souq.com UAE became known as Amazon.ae. On June 17 last year, Amazon launched its dedicated Saudi website Amazon.sa, rebranding the old Souq.com website.

Amazon announced plans in March to hire 1,500 new employees in Saudi Arabia and add 11 buildings to its network. The expansion will boost storage capacity in the Kingdom by 89 percent and its geographical delivery network by 58 percent.

The company operates an extensive logistics network and local operations across Egypt, which includes the main warehouse supported by 15 delivery stations across the country.


Sawiris creates $1.4 billion fund for gold mining assets, seeks outside investors

Sawiris creates $1.4 billion fund for gold mining assets, seeks outside investors
Updated 27 July 2021

Sawiris creates $1.4 billion fund for gold mining assets, seeks outside investors

Sawiris creates $1.4 billion fund for gold mining assets, seeks outside investors
  • Fund took $100 million from an unnamed strategic partner
  • Fund will be open to outside investors

LUXEMBOURG: La Mancha Holdings, owned by Egyptian billionaire Naguib Sawiris, has launched a $1.4 billion fund to hold his gold mining assets and pursue new opportunities in precious and electric-vehicle metals.

The fund, La Mancha Fund SCSp, took on $100 million from an unnamed “strategic partner” and will soon be open to outside investors, Luxembourg-based La Mancha said in an emailed statement.

“Creating a fund is the natural consequence of what we have been doing since we vended-in our operational assets into Evolution and Endeavour in 2015,” Sawiris said in the statement. “Transitioning to a fund structure and welcoming new investors is timely when we are seeing opportunities in a gold mining sector which is fragmented and needs further consolidation.”

The fund will mainly be focused on gold and precious metals miners, but may also invest in EV battery metals. It will seek to acquire significant stakes in listed junior mineral resource companies with the goal of creating value over a three-to-five-year horizon.

As part of its mandate, the fund will seek to improve ESG metrics within its portfolio
companies during its investment tenure, it said in the statement.


Saudi Central Bank steps up efforts to increase locals in financial sector

Saudi Central Bank steps up efforts to increase locals in financial sector
Updated 27 July 2021

Saudi Central Bank steps up efforts to increase locals in financial sector

Saudi Central Bank steps up efforts to increase locals in financial sector
  • SAMA working with Ministry of Human Resources and Social Development and Human Resources Development Fund
  • Initiative could create 200,000 jobs - economist

RIYADH: The Saudi Central Bank (SAMA) has signed an agreement with other government entities to increase the number of locals in the financial sector, a move that might lead to the creation of more than 200,000 jobs for nationals.

SAMA signed a memorandum of understanding (MoU) with the Ministry of Human Resources and Social Development (HRSD), in partnership with the Human Resources Development Fund (Hadaf), SPA reported on Monday.

“This MoU aims to increase localization, provide human competencies capable of meeting the requirements of the financial sector, and create more than 203,000 jobs in the sector,” independent economist Fadhel Al Buainain told Arab News.

The measures will establish sustainable strategic steps to ensure the creation of more jobs and prepare young people to fill them, he said.

For decades, the Saudi financial sector was made up only of banks, but since the entry of new financial entities such as investment institutions, financial companies and the insurance sector, localization of jobs has become more important, to achieve sufficiency, strategic security and address unemployment, said Al Buainain.

Supporting specialized financial colleges and creating a college for banking sciences are among the tools that will help achieve the sector’s localization goals, he said.