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State-run Saudi Electricity Co. (SEC) said in a bourse statement on Sunday that major oil producer Saudi Aramco will start receiving dividends from the company going forward.
The move followed the Cabinet decision that dues owed to Saudi Aramco will be settled from its profit share in SEC for the period starting from the inception of the utility until Sept. 10, 2018 (the end of Hijri year 1439).
Saudi Aramco’s paper dues will be transferred to the Ministry of Finance without any cash payments, the company added.
These amounts will be treated under SEC’s comprehensive transformation program.
According to the utility provider’s internal policy, the Saudi government has waived its share in dividends for a period of ten years since the company inception.
The waiver, which was extended for another ten years starting Dec. 17, 2009, is still valid.
Saudi Aramco owns a 6.92 percent stake, or 288.33 million shares, in SEC, Argaam earlier reported.
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