Saudi Arabian Oil Co, known globally as Saudi Aramco, on Wednesday announced establishing a wholly-owned retail subsidiary that would responsible for its downstream business.
Saudi Aramco Retail Company, or RetailCo, will be in charge of Saudi Aramco’s fuel retailing as well as creating a sustainable and profitable business that integrates across the hydrocarbon value chain, the mega Saudi oil firm revealed.
“RetailCo’s core business and operations will take a phased approach to expand its network of domestic fuel retail stations to cover the Kingdom,” Saudi Aramco added in its statement.
It added that the newly-established retail firm will deliver the mother company’s “brand positioning, innovating retail experience for fuel and associated non-fuel activities and [create] an agile business unit that can adapt to retail market’s changing dynamics.”
Commenting on the new firm, Saudi Aramco senior vice president of downstream Abdulaziz Al-Judaimi said that RetailCo will integrate fully across the hydrocarbon value chain, which he described as being a major opportunity to capture maximum value from Saudi Aramco’s resources.
RetailCo “will leverage synergies in our business model and position us to actively participate in the customer-facing segment of the downstream value chain,” Al-Judaimi added.
It is worth noting that the establishment and unveiling of RetailCo comes as part of a series of initiatives and transactions, wherein RetailCo will become “a full-fledged downstream retail entity of Saudi Aramco,” the statement indicated.
Consumers across Saudi Arabia “will experience the hallmarks of Saudi Aramco’s brand essence which promises quality, reliability and safety, ensuring a vibrant and enriching stopover experience at our network of fuel retail stations. This will uplift the sector standards and provide an enhanced customer experience that will add to ‘Quality of Life’ programs in line with Vision 2030,” Al-Judaimi concluded.