Agreements signed during Vietnam PM’s visit to Riyadh enhanced Aramco, Petrovietnam, and Taulia partnership in energy cooperation

Saudi Aramco has strengthened its global presence by entering strategic partnerships with Petrovietnam and SAP-owned fintech firm Taulia. Formalized at the eighth Future Investment Initiative (FII) in Riyadh, these agreements align with Vietnamese Prime Minister Pham Minh Chinh’s visit to Saudi Arabia, marking a significant step in the Aramco, Petrovietnam, and Taulia partnership.

The collaboration with Vietnam Oil and Gas Group (Petrovietnam) focuses on strengthening the companies’ shared operations in energy storage, supply, and trading, particularly in the petrochemical sector. The two giants aim to optimise operations and boost efficiency in shared areas, according to a joint statement. Mohammed Al-Qahtani, Aramco’s downstream president, expressed optimism about the venture, stating, “We look forward to exploring multiple opportunities with Petrovietnam that complement Aramco’s global downstream ambitions.”

Petrovietnam’s CEO, Le Ngoc Son, highlighted the agreement’s significance, framing it as “evidence of the strong cooperative relationship between Petrovietnam and Aramco.” The new partnership underscores Saudi Arabia’s push to enhance strategic relations with Southeast Asia while contributing to the global energy landscape with diversified operations.

In tandem, Aramco has also joined forces with Taulia to launch one of the largest supply chain financing initiatives globally. Supported by the Saudi Industrial Development Fund, the programme is designed to offer Aramco’s suppliers enhanced liquidity and a competitive financing alternative to traditional methods. The supply chain financing system is set to improve cash flow, ease cash flow forecasting, and provide banks the opportunity to participate as finance providers, which will expand the programme’s scale and effectiveness.

Ziad Al-Murshed, Aramco’s CFO, stressed the value of the collaboration with Taulia, noting, “At Aramco, we recognise the crucial role our suppliers play in contributing to our business continuity. This platform offers them a unique and competitive financing opportunity.” The solution is expected to reinforce Aramco’s supply chain resilience, helping to shield the company’s operations from financial disruptions.

These agreements not only strengthen Aramco’s ties with global partners but also reflect the Kingdom’s commitment to diversifying economic alliances and fostering economic growth through collaborative ventures at home and abroad.