Aramco needs no borrowing to cover shortfalls: CFO

Ziad Al-Murshed, Executive Vice President and CFO of Saudi Aramco

Saudi Arabian Oil Co. (Saudi Aramco) does not need to borrow to cover funding shortfalls, as its use of debt instruments is part of an ongoing strategy to manage its capital structure efficiently, said Ziad Al-Murshed, Executive Vice President and CFO.

Borrowing helps lower the company’s weighted average cost of capital (WACC), creating additional value for shareholders, Al-Murshed said in an interview with Al Arabiya TV.

He added that Aramco had reduced its gearing ratio to 5.5% from 6.3%, the lowest among its peers.

Aramco’s strong financial position enables it to balance current requirements with investments in future growth as it continues to implement its investment program, Al-Murshed said.

He noted that the company’s Q3 2026 results reflected its resilience and ability to navigate the exceptional challenges the region has faced recently.

Al-Murshed said Aramco had been preparing for such scenarios for more than four decades by investing in infrastructure that provides significant operational flexibility, including pipelines and domestic and international storage networks. He added that the company can repair damaged facilities six times faster than its peers.

Aramco currently has four routes for supplying global markets: an eastern route through the Arabian Gulf, a western route to the Gulf of Aden, and two routes to the Mediterranean Sea, one via the Suez Canal and the other through the SUMED pipeline, he said.

The company is working to increase the volume of oil it can export through alternative routes and expand its storage capacity in Saudi Arabia and abroad, Al-Murshed added.

He said Aramco continued to execute its projects despite regional developments and supply chain disruptions, completing the Zuluf project in Q3 2026 with a production capacity of 600,000 barrels per day.

He noted that the significant increase in foreign investor ownership of Aramco shares this year reflects confidence in the company's financial policy and future prospects.

Aramco's net profit rose 36% to SAR 379.02 billion in the first nine months of 2026, compared with SAR 278.57 billion in the corresponding period of 2025. Q3 2026 net profit increased 41% to SAR 137.39 billion.