MOSCOW (MRC) -- Saudi Aramco's downstream business consumed 43.5% of the company's crude in the first nine months of 2021, while its bottom line for the third quarter to September was in the black amid an improvement in market conditions, reported S&P Global.
During January-September 2020, Aramco's downstream oil consumption stood at 39.5%, the company said in an earnings report released Nov. 1.
Aramco's downstream business swung to a profit in the third quarter compared to a year earlier as the world's biggest oil company benefited from better refining and petrochemical margins.
Aramco's earnings before interest, income taxes and zakat reached Riyal 14.8 billion (USD3.957 billion), compared with a Riyal 2.98 billion loss a year ago.
"These strong earnings reflect continued strength in refining and chemicals margins and the resulting inventory movement gains due to improving market conditions," Aramco said.
Aramco pumped on average 9.5 million b/d in Q3 and its profit more than doubled to USD30.4 billion on higher crude prices and production.
Total hydrocarbon production in Q3 was 12.9 million boe/d, Aramco said in its earnings report. It did not provide the corresponding year-ago data, but total hydrocarbon production had increased from the first nine months of 2020, when it stood at 12.4 million boe/d, of which 9.2 million b/d was crude oil.
As MRC informed before, in June 2020, Aramco finalized its USD69 billion acquisition of a 70% stake in Saudi Basic Industries Corp., the Middle East's biggest petrochemical maker. SABIC reported more than a fivefold year-on-year increase in its Q3 net profit to USD1.49 billion thanks to higher average sales prices.
Ethylene and propylene are the main feedstocks for the production of polyethylene (PE) and polypropylene (PP), respectively.
According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,638,370 tonnes in the first eight months of 2021, up by 10% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 989,570 tonnes in the first eight months of 2021, up by 30% year on year. Deliveries of homopolymer PP and block-copolymers of propylene (PP block copolymers) increased, whereas shipments of injection moulding PP random copolymers decreased significantly.
Saudi Aramco, officially the Saudi Arabian Oil Company, is a Saudi Arabian national oil and natural gas company based in Dhahran, Saudi Arabia. Saudi Aramco's value has been estimated at up to USD10 trillion in the Financial Times, making it the world"s most valuable company. Saudi Aramco has both the largest proven crude oil reserves, at more than 260 billion barrels, and largest daily oil production.