RIYADH: Saudi Arabia’s telecommunication company, Mobily, is set to enhance its operational efficiency with a new six-year contract, which represents over 5 percent of its total revenues for 2023.

The agreement, signed with Jeddah-based Red Bull MOBILE, a future networks communications firm, is expected to positively impact Mobily’s finances starting from the fourth quarter of 2025, according to a statement on Tadawul.

Mobily, listed on Saudi Arabia’s Tadawul stock exchange since 2004, has a share capital of SR7.7 billion ($2.05 billion), consisting of 770 million shares valued at SR10 each, fully paid as of Dec. 31, 2020.

This strategic move aligns with Mobily’s vision of evolving into a leading technology, media, and telecommunications company. It aims to transform customer and community experiences through innovative products and services. The new contract also provides Mobily with opportunities to expand its market reach and boost productivity by utilizing its network infrastructure to support mobile virtual network operators.

In March, Mobily was recognized by Brand Finance as the fastest-growing telecommunications company in the Middle East for 2024. The company’s value increased by approximately 18 percent from the previous year, reinforcing its position as a major player in the region’s telecom sector. This growth reflects Saudi Arabia’s broader objectives of advancing digital transformation and enhancing ICT services within the Kingdom.

Brand Finance also ranked Mobily’s CEO, Salman bin Abdulaziz Al-Badran, among the top 10 global business leaders in brand protection. This recognition highlights the impact of various initiatives he has implemented since joining Mobily, also known as Etihad Etisalat Co., in 2019, and his significant contribution to the company’s growth.

Brand Finance evaluates companies based on several key criteria, including the Brand Strength Index, revenue and profit impact, and future growth prospects.

Founded in 2004, Mobily’s major shareholders include Etisalat Emirates Group with 27.99 percent and the General Organization for Social Insurance with 6.9 percent, while the remaining shares are held by institutional and retail investors. The company offers integrated services across three main sectors: individuals, businesses, and carriers.

Mobily boasts one of the largest wireless networks in Saudi Arabia and the region, an extensive fiber-to-the-home network, and a comprehensive global data center system.

Red Bull MOBILE, established in 2008, provides 5G telecommunication services in the Kingdom, offering unique services and unmatched benefits.

RIYADH: Saudi Aramco has reduced its October pricing for Arab Light crude oil for Asian buyers, according to a recent price list. The state-owned oil giant has cut the official selling price of its Arab Light crude by 70 cents, bringing it to $1.30 per barrel above the regional benchmark.

This adjustment comes amid a drop in Brent crude prices, which have fallen to $71.49 per barrel—a decrease of $1.20 per barrel (1.65 percent) on the day and the lowest level in years.

Saudi Aramco has also reduced the price of Arab Light crude for Europe and the US. For Europe and the Mediterranean, the Arab Light grade is priced $0.35 above ICE Brent, while for East Asia, the price is set at $1.30 above the average of the Oman and Dubai benchmarks.

The price cuts follow Bank of America's revised forecasts, which now predict Brent crude will average $75 per barrel next year, down from a previous estimate of $80. The forecast for West Texas Intermediate has also been lowered to $71 per barrel from $75.

It is also noteworthy that OPEC+ recently decided to postpone its planned production quota reductions scheduled for October. The new agreement will maintain current production levels for an additional two months.

Citigroup had previously warned that Brent crude could dip below $70 per barrel if OPEC+ proceeded with adding production to the market. However, the two-month delay in adjusting production levels has not significantly impacted prices.