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Saudi Aramco seeking adviser for global gas acquisitions: sources
[DUBAI] Saudi Arabian Oil Co is seeking to hire a bank to advise on plans to buy natural gas assets, according to people familiar with the matter, ahead of what could be the world's biggest share sale.
Aramco, as the company is known, in late 2017 invited international banks to pitch for the advisory role to help identify acquisition targets, said the people, asking not to be identified as the information is private. Aramco declined to comment.
Khalid Al-Falih, who is both Aramco chairman and the kingdom's energy minister, said last month that the company is looking for natural gas assets anywhere from the US to East Africa and Russia as the kingdom's state-owned energy giant hunts for ways to meet soaring domestic demand.
Saudi Arabia diverts tens of millions of barrels of crude every year into its electricity generation plants, particularly during the peak air-conditioning season in the summer. It doesn't produce enough gas to supply its power stations. Most of the gas it does pump goes to its fast-growing petrochemicals industry.
Aramco is also said to have invited banks to pitch for a role as coordinators and bookrunners for its planned initial public offering later this year. The company plans to appoint a group of banks for the deal early this year, the people said.