LAGOS: Officials say Nigeria is suing several major oil companies for $12.7 billion of oil allegedly exported illegally to the United States between 2011 and 2014.
The Federal High Court in Lagos begins hearings next week in cases filed against Nigerian subsidiaries of US multinational Chevron, British-Dutch Shell, Italian ENI's Agip, France's Total and Brasoil of Brazilian Petrobas.
Officials familiar with the cases say the government alleges that the companies did not declare more than 57 million barrels of crude oil shipments. That was deduced from audits of declared exports and what was unloaded in the United States.
Oil companies did not immediately respond to requests for comment.
Meanwhile, the Central Bank of Nigeria held its key interest rate on Tuesday, opting to reassure jittery currency investors rather than cutting rates to help growth.
CBN Gov. Godwin Emefiele told a news conference in the capital Abuja that monetary policy members voted unanimously to keep the repo rate at 14 percent.
"Conscious of the need to allow this and other measures, like foreign exchange reforms, to work through fully we decided to retain all monetary policy means at their current levels," he said.
Nigeria is in recession as a result of plunging global oil prices and production — its main government revenue — following rebel attacks in the southern swamplands since the start of the year.
Economic weakness would favor easier monetary policy, but Nigeria has also been working to lure back investors who balked at a restrictive foreign exchange regime.
In June, the bank finally abandoned a controversial currency peg in favor of the open market after businesses complained of severe dollar shortages.
Emefiele said that after the CBN raised the rate at which it lends to commercial bank at the last meeting that capital flows had improved, with $1 billion coming into the country since July.
He said it was a priority of the bank to "deepen foreign exchange supply", while acknowledging that "major" constraints on growth remain the challenges in the oil sector and vulnerabilities in the financial sector.
"We expect markets to be disappointed with this outcome," Razia Khan, Standard Chartered Bank Africa economist, said in a note to AFP.
"Investors had been hoping for further gradual adjustment in the policy rate as a sign of the authorities' commitment to fuller foreign exchange liberalization," she said.
"That has not necessarily been forthcoming today," she added. "Improved inflows are needed to provide a more concrete safeguard against higher inflation."
Nigeria sues oil firms for $12.7 billion
Nigeria sues oil firms for $12.7 billion
Closing Bell: Saudi indices close in red at 11,405
RIYADH: Saudi Arabia’s Tadawul All Share Index decreased on Monday, losing 33.66 points, or 0.29 percent, to close at 11,405.28.
The total trading turnover of the benchmark index was SR4.8 billion ($1.2 billion), as 50 stocks advanced and 191 retreated.
The Kingdom’s parallel market, Nomu, dropped 155.91 points, or 0.56 percent, to close at 27,499.65. This comes as 27 of the listed stocks advanced while 47 retreated.
The MSCI Tadawul Index also decreased by 1.62 points, or 0.11 percent, to close at 1,454.93.
TASI’s top performer was Al-Baha Investment and Development Co., which surged by 6.74 percent to reach SR3.96.
Other top performers included Saudi Printing and Packaging Co., which gained 5.14 percent to close at SR11.86, and the National Co. for Learning and Education, which rose 4.82 percent to SR156.60.
Fawaz Abdulaziz Alhokair Co. was also among the top performers, increasing 4.40 percent to SR17.54.
Middle East Specialized Cables Co. saw the steepest decline, with its share price easing 5.83 percent to SR31.50.
National Gas and Industrialization Co. also saw its stock prices decline 4.71 percent to SR76.80. United Electronics Co. also dropped to SR85.90, a 4.66 percent decrease.
Alinma Bank announced plans to issue US dollar-denominated sustainable additional Tier 1 capital certificates, following a board resolution passed on May 5, 2025, authorizing the CEO to execute the process.
The issuance, conducted through a special purpose vehicle, will target eligible investors in Saudi Arabia and abroad. It aims to bolster the bank’s Tier 1 capital and support general banking activities.
The final size and terms will depend on market conditions, with the transaction subject to regulatory approvals and applicable legal requirements.
Abu Dhabi Islamic Bank PJSC, Alinma Capital, and Emirates NBD Bank PJSC have been appointed as joint lead managers for the offer. Goldman Sachs International, J.P. Morgan Securities plc, and Standard Chartered Bank will also serve in the same capacity.
Alinma’s share price dropped 1.97 percent to settle at SR27.40.
Separately, Saudi Ground Services Co. signed a Shariah-compliant banking facility agreement with Banque Saudi Fransi for up to SR300 million.
Dated May 15, the flexible credit line allows the company to draw funds as needed to meet working capital requirements.
The facility is valid through April 30, 2026, with an option to renew for one year, and is secured by a promissory note.
Saudi Ground Services said the facility aims to boost liquidity, support working capital needs, and back its strategic growth plans.
SGS saw a 1.03 percent drop in its share price to settle at SR48.20.
Saudi Arabia’s PIF expands global footprint with new Paris office
- PIF invested $84.7 billion across Europe between 2017 and 2024
- French President Emmanuel Macron and PIF Gov. Yasir Al-Rumayyan will headline the opening ceremony
RIYADH: Saudi Arabia’s sovereign wealth fund is expanding its global presence with a new subsidiary company office in Paris.
The Paris office marks the Public Investment Fund’s latest effort to deepen ties in Europe, following previous openings in New York, London, Hong Kong, and Beijing, underscoring the fund’s commitment to strengthening its presence in key international markets.
This comes as PIF invested $84.7 billion across Europe between 2017 and 2024, contributing $52 billion to the continent’s gross domestic product and generating over 254,000 direct and indirect jobs. In France alone, its investments totaled $8.6 billion, adding $4.8 billion to GDP and creating 29,000 jobs.
“PIF is an active, long-term investor in the world’s most innovative and transformational industries, businesses, and markets. This new office will enable PIF to further strengthen its partnerships in the region,” the fund said in a release.
French President Emmanuel Macron and PIF Gov. Yasir Al-Rumayyan will headline the opening ceremony of the fund’s Paris office, coinciding with the “Choose France” summit that began on May 19 in the capital.
The event will also draw senior officials and leading business figures, underscoring the strategic significance of PIF’s investment in France.
The 8th edition of the “Choose France” summit, held at the Palace of Versailles, is expected to secure €20 billion ($22.47 billion) in commitments across key sectors such as defense, energy, and industry, surpassing last year’s €15 billion, according to Reuters.
Ahead of the 2025 summit, €17 billion in projects were already pledged, including a €6.4 billion data center investment by US logistics firm Prologis and €1 billion from fintech Revolut for expansion.
Other major announcements are expected from Amazon, UAE’s MGX, and rare earth firm Less Common Metals, alongside a €100 million drone factory by Portugal’s Tekever, Reuters reported.
According to UN Trade and Development, France retained its top spot in 2024 for the sixth consecutive year, attracting 1,025 projects despite a 14 percent decline. It remained ahead of the UK with 853 projects and Germany with 608. France captured 19 percent of all foreign investment into Europe, slightly above its 18.7 percent share in 2019 — highlighting its continued appeal to investors despite global economic uncertainty.
“The addition of Paris also aligns with PIF’s strategy to drive global economies and lead the economic transformation of Saudi Arabia,” the fund added in the release.
Since 2017, PIF has backed around 220 portfolio companies and supported the creation of 103 new firms, contributing to global economic activity and employment. The fund has generated over 1.1 million jobs worldwide and maintains a focus on forming strategic partnerships with innovative players across sectors.
In February, the PIF ranked as the world’s second most active sovereign investor by deal value, committing $3 billion in global transactions.
Global SWF, a data platform tracking activity in the sector, reported that the Kingdom’s PIF emerged as the most active sovereign wealth fund, completing three overseas deals through its portfolio companies.
Egypt achieves 3.9% growth in first half of fiscal year, prime minister says
- Comments came after Mostafa Madbouly held a meeting with IMF deputy managing director
- Central Bank of Egypt expects the annual inflation rate to slow down during 2025 and 2026
RIYADH: Egypt has achieved real growth of 3.9 percent in the first half of the current fiscal year, signaling positive resilience of the economy, Prime Minister Mostafa Madbouly revealed.
In media statements following a meeting with the Deputy Managing Director of the International Monetary Fund Nigel Clarke, Madbouly noted that private sector investment rose by 80 percent, while foreign direct investment increased by approximately 17 percent during the period from July to December.
He also clarified that Egypt’s fiscal year runs from July 1 to June 30 of the following year.
The figures align with global credit rating agency Moody’s decision in February to affirm the North African country’s Caa1 long-term foreign and local currency ratings with a positive outlook, citing improved debt service prospects, stronger foreign exchange reserves and lower borrowing costs following the Egyptian pound’s devaluation and flotation.
According to the newly released statement, Madbouly said: “The Egyptian economy has proven its resilience and ability to absorb the very significant external shocks that Egypt, like other countries around the world, has been exposed to in the recent period.”
He added: “This was confirmed by the IMF’s certification that Egypt is proceeding at a steady pace on the path of economic reform.”
The prime minister further noted that non-oil exports also witnessed a growth of approximately 33 percent during the first nine months of the year.
He highlighted that these indicators have supported strong growth in key productive sectors, such as industry, communications and information technology, tourism, and others, helping to boost investor confidence in the Egyptian economy.
“Furthermore, we have witnessed a decline in unemployment rates to less than 7 percent, which is the lowest rate witnessed in Egypt today throughout history,” Madbouly said.
He also explained that inflation rates and indicators in Egypt have declined significantly, noting that last month saw inflation rates fall to 13.9 percent, compared to more than 37 percent during the same period last year.
According to the Prime Minister, the country is also witnessing a downward trend in debt. Madbouly pointed out that the general budget deficit has also decreased over the past 10 months to 6.5 percent, compared to 6.7 percent.
He noted that the Egyptian state aims to reduce debt to approximately 85 percent of gross domestic product by the end of June, compared to 96 percent in June 2023.
The prime minister went on to affirm the state’s commitment to continuing its path of economic reform and exerting maximum efforts, thanking the IMF and its task force.
Madbouly highlighted the successful completion of four previous reviews under the current program and noted that the fifth review is now underway, in coordination with the fund’s task force.
The IMF’s Clarke emphasized that Egypt has made tangible and clear progress regarding its macroeconomic reform program.
“This is an Egyptian program that has resulted in a strong decline in inflation and unemployment rates, while foreign exchange reserves have increased, along with the availability and abundance of foreign currencies. This is no longer a problem as it was before,” he said, adding: “We have also witnessed a steady increase in GDP growth rates, as the Egyptian economy continues on its path toward stability.”
The deputy managing director of the IMF went on to say that these significant positive results achieved by the Egyptian economic reform program were due to the bold decisions and actions of the government.
He noted that these reforms include the transition to a flexible exchange rate system, the adoption of a monetary policy based on economic stability, and the intensive efforts being made to mobilize domestic revenues to ensure a sustainable and stable fiscal policy.
In the same context, Clarke shed light on how the progress in Egypt’s economic reform program also includes the social dimension and provides support to the neediest groups.
“I welcome these reforms that have led to these positive results,” he said, calling for continued implementation of the economic reform program.
The official also addressed the increase in the percentage of financing provided to the private sector and the growth in the private sector’s share of GDP, stressing that all of this was a direct response to the improvement and stability witnessed in the macroeconomic environment.
Clarke further justified that a rapid transition to a more sustainable economic standard requires a model in which the private sector leads growth and economic activity.
“This is already the current path, and we are moving forward together to accelerate it, reducing the state’s role in economic activity, making room for the private sector, and promoting equal opportunities for various economic sectors,” he said.
The IMF’s deputy managing director added: “This will enhance economic dynamism and attract both local and international investment. It will also lead to further progress and prosperity for the Egyptian economy, and, most importantly, it will lead to a more sustainable economic model.”
During his speech, Clarke also addressed the economic shocks that have become a defining feature of today’s global landscape, emphasizing that the region’s most critical issue is its economic resilience in the face of these disruptions.
Toward the end of his talk, the deputy managing director expressed the IMF’s appreciation for the long-standing partnership with Egypt, a key member of the fund. He stressed that the IMF continues to support Egypt in completing the implementation of bold economic reforms, which will contribute to achieving positive outcomes for the country and its people.
The Central Bank of Egypt expects the annual inflation rate to slow down during 2025 and 2026 compared to the sharp decline witnessed in the first quarter of this year, according to the bank’s monetary policy report.
The newly released report reveals that the Central Bank of Egypt expects an inflation rate of 14 percent to 15 percent on average in 2025 and 10 percent to 12.5 percent in 2026. The bank has attributed the slowdown in the annual rate of inflation decline in 2025 and 2026 to the relatively slow decline in non-food inflation.
The entity also expects inflation to stabilize around its current levels until the first half of 2026 before resuming its downward path, the report noted.
Aramco cuts methane emissions by 11.4%, sets 2030 target to reduce upstream carbon intensity
- CEO Amin Nasser reaffirmed the company’s commitment to embedding sustainability across all areas
- Aramco signed a non-binding agreement with Ma’aden to form a joint venture focused on mineral exploration
RIYADH: Saudi Aramco has achieved an 11.4 percent reduction in methane emissions in 2024 and set a new 2030 target to cut upstream carbon intensity, according to its latest sustainability analysis.
Saudi Aramco President and CEO Amin Nasser reaffirmed the company’s commitment to embedding sustainability across all areas of its operations in a new report, saying the target is part of the firm’s “broader roadmap” to achieve net-zero operational emissions by 2050.
Saudi Arabia is aiming to be carbon neutral by 2060, a commitment announced by Crown Prince Mohammed bin Salman during the Saudi Green Initiative forum in 2021.
As the Kingdom’s flagship energy producer, Saudi Aramco plays a pivotal role in this transition by implementing decarbonization measures, expanding low-carbon energy investments, and deploying climate-focused technologies.
“This is Aramco’s fourth Sustainability Report since announcing our ambition to achieve net-zero Scope 1 and Scope 2 greenhouse gas emissions across our wholly-owned operated assets by 2050. To complement our net-zero ambition, we have also set a new 2030 interim target for reducing our upstream carbon intensity,” Nasser stated in the release.
The interim goal aims to reduce carbon intensity in upstream operations to 8.6 kg of carbon dioxide equivalent per barrel of oil equivalent or lower, compared to the current 9.7 kg CO2e/boe — already among its peers’ lowest upstream carbon intensity.
Aramco has also set a target to achieve a 15 percent reduction by 2035 compared to its 2018 baseline, and has outlined an ambition to mitigate 52 million tonnes of CO2 equivalent annually by 2035, relative to its business-as-usual emissions forecast.
Meanwhile, upstream methane intensity decreased to 0.04 percent in 2024, down from 0.05 percent the previous year.
The report outlines Aramco’s sustainability strategy, including efforts to minimize emissions from existing energy sources, increase efficiency through artificial intelligence, and boost investments in carbon capture, hydrogen, and renewables.
To underline the company’s drive to net-zero, Nasser highlighted a shareholder agreement signed by Aramco in 2024 to develop a carbon capture and storage hub in Jubail.
“When completed, this facility is expected to be one of the largest such projects in the world,” he said.
The CEO added that hydrogen is another area where the company sees potential growth opportunities, “leading to our acquisition of a 50 percent stake in a blue hydrogen company.”
Aramco also signed a non-binding agreement with mining giant Ma’aden to form a joint venture focused on mineral exploration in Saudi Arabia.
“The joint venture would draw on Aramco’s extensive geoscience data and subsurface knowledge, with lithium production potentially commencing by 2027,” Nasser added.
The company’s growing use of AI is central to its decarbonization drive. AI-enabled analytics are now used to monitor and reduce greenhouse gas emissions across key facilities, while predictive algorithms help optimize equipment performance and reliability.
“Looking ahead, we believe a multi-source, multi-speed, and multi-dimensional approach is required for the global energy transition in order to properly address the energy security, affordability and sustainability priorities of individual countries,” Nasser concluded in his message.
According to the Net Zero Emissions in Saudi Arabia by 2060 report in 2023 by King Abdullah Petroleum Studies and Research Center, the Kingdom is targeting an annual reduction of 278 million tonnes of CO2 equivalent by the end of the decade in order to reach its net-zero goal by 2060.
The plan includes expanding renewables to 50 percent of the energy mix, phasing out liquid fuels in power generation, and planting 650 million trees.
The Kingdom is also aiming to capture 44 million tonnes of CO2 annually by 2035.
Saudi Arabia, China’s DHX Group to build first tinplate plant in Ras Al-Khair
- Project expected to generate over 500 direct jobs and will employ environmentally friendly technologies
- Plant is scheduled to start commercial operations by mid-2027
JEDDAH: Saudi Arabia is set to localize tinplate and tin-free steel production through a partnership with China, establishing the region’s first facility of its kind with an annual capacity of 400,000 tonnes.
Al-Watania for Industries and China’s Donghexin Group, or DHX Group, have signed an agreement to build the plant in Ras Al-Khair Industrial City on the Kingdom’s eastern seaboard. The plant is scheduled to start commercial operations by mid-2027.
The initiative represents an achievement in Saudi Arabia’s efforts to localize the supply chain for the packaging industry. It aims to satisfy growing domestic demand for tinplate and tin-free steel — critical materials that underpin a wide range of sectors, including food and beverage, paints, oils, and chemicals.
A memorandum of understanding to establish the facility was first signed on Jan. 15 during the fourth edition of the Future Minerals Forum, according to a statement from WFI issued that day, but now a full partnership has been agreed.
Saudi Minister of Industry and Mineral Resources Bandar Alkhorayef witnessed the signing ceremony, which was also attended by Vice Minister for Mining Affairs Khalid Al-Mudaifer, DHX Group Chairman Li Dong, and Al-Watania for Industries Chairman Mosaed Al-Ohali.
In a press statement, Al-Ohali said: “This partnership marks a strategic step toward achieving one of our key expansion goals — vertical integration across the value chain of the metal packaging sector.”
He added: “Establishing a technologically advanced tinplate manufacturing plant is a long-term investment in Saudi Arabia’s industrial security and reflects our deep commitment to localizing industrial knowledge, meeting domestic demand, and enhancing our export capabilities.”
According to the Saudi Press Agency, the project is expected to generate over 500 direct jobs and will employ environmentally friendly technologies. Half of its output will be designated for domestic consumption, while the remaining will be exported.
The facility is also seen as a key enabler for Saudi Arabia to position itself as a manufacturing hub and reduce dependency on imported raw materials.
DHX Group’s Dong said the venture is a model for global collaboration. “We are confident that our extensive experience of over two decades in this field will contribute to building a world-class metal manufacturing ecosystem that begins in the Kingdom and expands into regional markets,” he said.
“The plant is designed with sustainability in mind and is fully prepared for a future shift to low-emission green electricity, reinforcing our shared commitment to the environment,” Dong added.
Abdulrahman Al-Juaid, CEO of WFI, said the project represents a major step toward increasing local content and positioning Saudi Arabia as an exporter of critical tinplate.
“The partnership with Donghexin Group will contribute to the transfer of advanced manufacturing technologies and the training of national talent, enhancing Saudi Arabia’s readiness to become a leading regional industrial hub,” he added.
