Saudi Aramco acquires stake in MidOcean Energy amid efforts to enter the global LNG business

Saudi Aramco acquires stake in MidOcean Energy amid efforts to enter the global LNG business
At the signing ceremony, front row, from left: MidOcean Energy CEO De la Rey Venter and Aramco Upstream President Nasir Al-Naimi. Back row, from left: EIG Chairman and CEO Blair Thomas and Aramco President & CEO Amin Nasser. Supplied.
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Updated 28 September 2023
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Saudi Aramco acquires stake in MidOcean Energy amid efforts to enter the global LNG business

Saudi Aramco acquires stake in MidOcean Energy amid efforts to enter the global LNG business

RIYADH: Energy giant Saudi Arabian Oil Co. is on track to enter the global liquefied natural gas market thanks to a new agreement. 

The leading intergraded energy and chemicals firm has agreed to acquire a strategic minority stake in MidOcean Energy for $500 million, according to a statement. 

According to Aramco Upstream President Nasir Al-Naimi, this move aligns well with the company’s goal of becoming a prominent LNG player. 

“We see significant opportunities in this market, which is positioned for structural, long-term growth,” Al-Naimi said. 

He added: “MidOcean Energy is well-equipped to capitalize on rising LNG demand, and this strategic partnership reflects our willingness to work with leading international players to identify and unlock new opportunities at a global level.” 

MidOcean Energy is an LNG firm established and managed by the leading US-based energy sector and infrastructure investor, EIG. 

The agreement cements the relationship between Aramco and EIG, which was part of a consortium that acquired a 49 percent stake in Aramco subsidiary Aramco Oil Pipelines Co. in 2021. 

“We are pleased to be strengthening our strategic partnership with EIG through this acquisition, which marks Aramco’s first international investment in LNG,” said Aramco President and CEO Amin Nasser in the statement. 

He added: “We anticipate strong demand-led growth for LNG as the world continues on its energy transition journey, with gas being a vital fuel and feedstock in various industries.” 

Nasser spoke about how gas is crucial in meeting the world’s rising need for secure, accessible and more sustainable energy. 

“Energy transition informs every investment decision we make, and we believe LNG has a key role to play in enabling an orderly transition that balances society’s twin goals of decarbonization and energy security,” said EIG Chairman and CEO Blair Thomas. 

Completion of the transaction is subject to closing conditions, which include regulatory approvals. 

Moreover, Aramco is also eligible to choose to raise its shareholding and associated rights in MidOcean Energy in the future. 

“We share the conviction that LNG is an integral enabler of the global energy transition, and we believe that the global LNG industry has strong fundamentals for many decades to come,” said MidOcean Energy CEO De la Rey Venter.


Saudi cybersecurity body releases toolkit to fortify digital infrastructure

Saudi cybersecurity body releases toolkit to fortify digital infrastructure
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Saudi cybersecurity body releases toolkit to fortify digital infrastructure

Saudi cybersecurity body releases toolkit to fortify digital infrastructure

RIYADH: Saudi Arabia’s National Cybersecurity Authority has released its second package of cybersecurity tools in a strategic initiative to fortify the Kingdom’s digital infrastructure.

This comprehensive suite of tools is designed to enhance the efficiency and effectiveness of cybersecurity measures across various sectors, aligning with the Kingdom’s efforts to combat evolving threats and boost digital readiness.

The newly released toolkit includes a range of templates and procedures for developing robust cybersecurity policies and standards, according to a statement issued by the authority.

Available in both Arabic and English, it caters to a wide spectrum of entities in the government and private sectors.

This initiative reflects the authority’s commitment to establishing and governing cybersecurity policies, frameworks, standards, and guidelines in Saudi Arabia.

Developed through an extensive study of various policies and best practices in the cybersecurity domain, the toolkit encompasses critical topics such as malware protection, risk management, email and network security, web application protection, and data security.

It also covers security aspects of user and mobile devices, industrial control systems, social media, and virtual environments.

The authority emphasizes that these implements aim to ensure a safer cyber environment for all stakeholders in the Kingdom.

The availability of the toolkit on the authority’s website ensures easy access and widespread adoption.

As the national reference in cybersecurity holds significant importance, the authority’s primary objective is to protect the region’s vital interests, national security, and critical infrastructures.

Saudi Arabia’s cybersecurity reforms have been rapidly growing with the hosting of the Global Cybersecurity Forum last month in Riyadh.

Furthermore, the NCA announced its second cybersecurity accelerator program in October to boost entrepreneurship, investment, and innovation in the sector.

The program provided more than SR6.5 million ($1.7 million) to support expanding companies and over 500 hours of guidance and direction.

These initiatives coincide with the Kingdom’s position as one of the global leaders in cybersecurity.

In June, Saudi Arabia secured second place in the Global Cybersecurity Index in the World Competitiveness Yearbook for 2023 by the Swiss-based International Institute for Management Development.


Closing Bell: Saudi main index rises to close at 11,219

Closing Bell: Saudi main index rises to close at 11,219
Updated 03 December 2023
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Closing Bell: Saudi main index rises to close at 11,219

Closing Bell: Saudi main index rises to close at 11,219

RIYADH: Saudi Arabia’s Tadawul All Share Index rose on Sunday, gaining 41.54 points, or 0.37 percent, to close at 11,219.02.  

The total trading turnover of the benchmark index was SR4.13 billion ($1.10 billion) as 148 of the listed stocks advanced, while 71 retreated.   

On the other hand, the Kingdom’s parallel market Nomu slipped 391.54 points, or 1.55 percent, to close at 24,844.08. This comes as 29 of the listed stocks advanced, while as much as 25 retreated.  

Meanwhile, the MSCI Tadawul Index also rose 3.86 points, or 0.27 percent, to close at 1,445.89.  

The best-performing stock of the day was Middle East Healthcare Co. The company’s share price surged 9.95 percent to SR86.20.  

Other top performers included Naqi Water Co. as well as Fawaz Abdulaziz Alhokair Co., whose share prices soared by 6.34 percent and 6.03 percent, to stand at SR78.80 and SR17.24 respectively.  

In addition to this, other top performers included Arab Sea Information System Co. and Saudi Co. for Hardware.  

The worst performer was Development Works Food Co., whose share price dropped by 5.64 percent to SR130.40.  

Other poor performers were Al-Rajhi Co. for Cooperative Insurance as well as Naseej International Trading Co., whose share prices dropped by 5.26 percent and 3.03 percent to stand at SR162.00 and SR54.40, respectively.  

Moreover, other worst performers also included Saudi Automotive Services Co. and Arabian Cement Co.  

On the announcements front, the Saudi Exchange has announced the trading suspension on Dur Hospitality Co.’s shares starting Dec. 3 to commence delisting procedures of the company’s shares.  

According to a statement from Tadawul, this decision follows the firm’s announcement of the extraordinary general meeting’s approval of the offer submitted by Taiba Investments Co. to acquire shares of Dur Hospitality Co. from shareholders through a securities exchange offer.  

On another note, Methanol Chemicals Co. has announced the issuance of the Ministry of Energy’s approval to allocate the required feedstock for manufacturing methyl diethanolamine, choline chloride dimethyl disulfide, and n-methyl pyrrolidone. 

A bourse filing has disclosed that all the targeted products will be the first of their kind in the region. Furthermore, these innovative products are anticipated to find applications in critical and strategic industries in the Kingdom, including but not limited to oil and gas, pharmaceuticals, fertilizers, and construction materials, among others.  

Moreover, Taiba Investments Co. has announced the results of the extraordinary general assembly meeting which included the increase of the firm’s capital remotely utilizing contemporary technology using the Tadawulaty platform.  

Meanwhile, Abdulaziz and Mansour Ibrahim Al-Babtain Co. has announced the signing of an agreement with Nestle Saudi Arabia.   

According to a Tadawul statement, the agreement will come into force from the date of its signature and expire on Dec. 31. However, it will be automatically extended upon the expiry of the period. 


UNIDO expert highlights crucial steps for hydrogen economy transition at COP28

UNIDO expert highlights crucial steps for hydrogen economy transition at COP28
Updated 03 December 2023
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UNIDO expert highlights crucial steps for hydrogen economy transition at COP28

UNIDO expert highlights crucial steps for hydrogen economy transition at COP28

DUBAI: Partnerships between the private and public sectors are required to address hydrogen development infrastructure, according to a UN Industrial Development Organization expert.

Eunji Park emphasized in a panel discussion titled “Connecting the Dots for the Hydrogen Economy” by King Abdullah Petroleum Studies and Research Center on the sidelines of the 2023 UN Climate Change Conference key factors for a successful global transition to a hydrogen-based economy.

She highlighted the impact of policies like the Carbon Border Adjustment Mechanism, encouraging industries in developing countries to shift toward cleaner industrial processes.

Park said: “Only 10 percent of the projects are presented for local offtake, so in order to solve infrastructure challenges in line with the scale of financing, we really need to ensure that public-private partnerships address more basic infrastructure to be in place for hydrogen development.”

The expert also called for the proximity of renewable energy sources to industrial clusters, advocating on-site installations for maximum efficiency. Park underscored the need for more hydrogen transport pipelines to facilitate widespread adoption.

In addressing a critical gap, she emphasized the urgency for more skills development, citing deficiencies in current international assistance schemes.

“We need more skills development and technical capacity building within the countries. This is something that is currently lacking in the international assistance schemes, so more opportunities for upskilling sufficient knowledge,” she said.

Park added: “I think these are the elements that need to be closely addressed within the public-private partnerships.”

On the topic of upskilling and reskilling, she emphasized the need for a just transition, recognizing the challenge of shifting fossil fuel-based economies without job losses.

Park stressed the importance of a systemic approach to ensure inclusivity in the transition process.

Green hydrogen is hydrogen produced by the electrolysis of water using renewable electricity. The production of green hydrogen causes significantly lower emissions than the production of gray hydrogen, which is derived from fossil fuels.

As COP28 progresses, experts like Park continue to play a pivotal role in shaping discussions and strategies for a sustainable and inclusive hydrogen economy.


Saudi budget airline flynas launches first direct flight from Jeddah to Brussels

Saudi budget airline flynas launches first direct flight from Jeddah to Brussels
Updated 03 December 2023
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Saudi budget airline flynas launches first direct flight from Jeddah to Brussels

Saudi budget airline flynas launches first direct flight from Jeddah to Brussels

RIYADH: Saudi Arabia’s budget airline flynas announced on Sunday the inauguration of its first direct flight connecting Jeddah with Brussels.

This move marks a major milestone in flynas’ European expansion, establishing it as the first Saudi national airline to provide direct connectivity between the Kingdom and the heart of the EU, according to a report by the Saudi Press Agency. 

The new route, part of flynas’ growing portfolio of international destinations, is a strategic component of the Saudi Air Connectivity Program. 

This program is a key initiative in line with the National Tourism Strategy, aiming to increase the Kingdom’s global connectivity. 

The strategy aims to draw 150 million tourists and expand Saudi Arabia’s international flight destinations to over 250 by 2030. 

The launch, signifying the strengthening of Saudi-Belgian relations, was attended by key dignitaries, including Pascal Gregoire, the Belgian ambassador to Saudi Arabia. 

The celebratory event at the Brussels Airport was graced by the deputy ambassador of Saudi Arabia in Brussels, Mohammed Moanes, along with representatives from flynas and prominent figures from the travel and tourism sector. 

The Air Connectivity Program, initiated in 2021, is crucial to the Kingdom’s tourism growth. 

It focuses on enhancing Saudi Arabia’s global air links by developing existing and potential flight paths, thereby positioning the region as a leading global tourist destination. 

The program operates as the executive arm of the National Tourism and Aviation Strategies, aiming to foster collaboration and partnerships across public and private sectors in tourism and aviation. 

This route expansion by flynas signifies a step in Saudi Arabia’s aviation capabilities and aligns with the broader vision of diversifying the Kingdom’s economy and enhancing its global standing as a key player in international travel and tourism. 

On Dec. 2, the airline also inaugurated six destinations and routes, including two domestic flights to Abha and Tabuk and four in the international category — to Dubai, Amman, Istanbul and Ankara — to be operated alongside the other four existing destinations from Madinah to Riyadh, Jeddah, Dammam and Cairo. 


Global air transport event kicks off in Riyadh

Global air transport event kicks off in Riyadh
Updated 03 December 2023
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Global air transport event kicks off in Riyadh

Global air transport event kicks off in Riyadh

RIYADH: Representatives from over 100 countries and multinational organizations will assemble in Riyadh for the 15th International Conference on Air Services Negotiations, focusing on enhancing aviation for improved global transport. 

Beginning Dec. 3, the five-day event will attract over 700 civil aviation experts and specialists.   

The ICAN2023 Conference, recognized as the foremost international event in its category, is dedicated to aligning with the swift advancements in the global air transport industry, as reported by the Saudi Press Agency.   

Negotiations and discussions between delegations from different nations are set to take place on both bilateral and multilateral fronts. Moreover, the participants are expected to actively support the establishment of connections between regulatory bodies, air operators, and other relevant service providers.  

The conference will also see the presence of Saudi Arabia’s Minister of Transport and Logistics Saleh bin Nasser Al-Jasser and Saudi General Authority of Civil Aviation President Abdulaziz bin Abdullah Al-Duailej. 

Ibtisam Al-Shehri, spokesperson for the GACA, mentioned to state TV Al-Ekhbariya that the Kingdom is hosting ICAN for the second time. She added that this edition is the largest yet, with five ministers and 34 heads of global aviation authorities participating in the event.   

The conference, coinciding with World Civil Aviation Day on its last day, will also highlight investment opportunities available in the Kingdom through the country’s National Aviation Strategy. The strategy aims to enhance the capabilities of the Kingdom’s civil aviation sector, positioning it as the leading sector in the Middle East by 2023 in alignment with the Saudi Vision 2023.

The event also aligns with the Kingdom’s National Strategy for Transport and Logistics, aiming to enhance Saudi Arabia’s air connectivity from 99 destinations to over 250 across 29 airports. Furthermore, the strategy seeks to triple annual passenger traffic to reach 330 million. Launched in 2021 by Crown Prince Mohammed bin Salman, the strategy additionally aims to double the capacity of the air cargo sector to over 4.5 million tons. 

The event is organized by the International Civil Aviation Organization, a UN agency that facilitates cooperation among 193 countries, allowing them to share their skies for mutual benefit. 

Saudi Arabia’s commitment to global aviation is further underscored by its election to the membership of the ICAO Council for the period 2023-2024-2025. This decision was reached during the 41st General Assembly of the organization held in Montreal, Canada.  

The Kingdom secured its re-election through a voting process involving the participation of all 193 member states of the UN, securing a position in the ICAO Council, which comprises 36 members.