Saudi to announce 10 energy deals, $40bn investment during Trump visit – report

The deals are said to form part of Aramco’s strategy to source 70 per cent of its oil and gas equipment from within the local market



Saudi Arabia is expected to announce at least 10 energy deals and up to $40bn in investment in US infrastructure during US President Donald Trump’s visit to the kingdom, according to reports.

Bloomberg cited sources as confirming state oil giant Saudi Aramco would sign agreements with General Electric and oil fields services businesses Schlumberger Ltd and Halliburton Co.

Other deals with Baker Hughes, KBR Inc, Jacobs Engineering Group, Nabors Industries, Weatherford International, McDermott International and Rowan Companies are also expected on May 20.

The deals are said to form part of Aramco’s strategy to source 70 per cent of its oil and gas equipment and services from within the local market by 2021, meaning the companies involved would be required to setup local manufacturing facilities and train the Saudi workforce.

A New York Stock Exchange delegation is also expected to seek to lure Aramco’s 2018 listing on the occasion.

Read: Trump to reassure Saudis, promote business, talk tough on radicalism

During Trump’s visit, his first foreign trip since becoming president, the Saudi sovereign wealth fund may announce as much as $40bn in investment in US infrastructure, Bloomberg reported.

Should the investment be confirmed, it would follow the announcement of a $200bn joint programme during Saudi Deputy Crown Prince Mohammed bin Salman’s visit to the White House in March.

Read: Saudi, US announce $200bn joint investment programme