Here’s your proof

Do I really need to say more?

8. The Reason the Saudis are so Rich

Extracting oil from the ground is complicated – but it’s also a well established science. Have you asked yourself how much exactly does it costs Saudi Aramco, the state-owned national oil company of Saudi Arabia and the world’s largest oil producer, to produce a barrel of crude oil?

Forbes magazine has the answer:

Aramco can quench its gargantuan thirst for development: It’s easily the most profitable company on the planet. While results are closely held, Aramco stands to net, after amortization of capital costs, roughly $200 billion a year on revenue in excess of $350 billion. Last year oil minister Ali Al-Naimi told reporters that the average barrel of Saudi oil costs just $2 to produce. It sells for $130. (Source)

Published in: on August 20, 2008 at 8:26 am  Leave a Comment  
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