- Saudi Arabia's oil reserves are a bit bigger than previously reported, according to an independent audit issued as part of preparations for the IPO of state oil company Saudi Aramco.
- At year-end 2017, Saudi Arabia's proven reserves totaled 263.1B of oil, 2.2B barrels more than Aramco reported in its last annual review; the figure rises to 268.5B barrels when including the country's share of reserves in the Neutral Zone shared between Saudi Arabia and Kuwait.
- The reserves figures have long faced skepticism because the secretive Saudis have scorned independent audits, and the reserves have remained roughly unchanged for decades despite pumping huge amounts of crude.
- Saudi energy minister al-Falih says the audit also determined that Aramco boasts the lowest cost of production of any oil company, at ~$4/bbl; it can cost $30-$50 to produce a typical barrel of U.S. shale oil.
- The minister says the delayed Aramco IPO should occur in 2021.
- ETFs: USO, OIL, UWT, UCO, DWT, SCO, BNO, DBO, DTO, USL, DNO, OLO, SZO, OLEM, WTIU, OILK, OILX, WTID, USOI, USOU, USOD, OILD, OILU, USAI
- Now read: Crude Oil: Yearly Cycle Low Most Likely In
Original article