A big company finds oil.
It works in Saudi Arabia. It gets oil from under the ground. This oil helps many people. The company is very large. Do you know what oil is used for?
A big company works in Saudi Arabia.
It finds oil deep under the ground.
In 1938, they found oil at a place called Dammam No. 7. This was their first big find. Now, the company finds oil and gas in many spots. Some oil is found under the sea. It is a very large company. It has many oil fields to look after. This work helps provide energy to the world.
Saudi Aramco is a very large company in Saudi Arabia.
Most of the company is owned by the state. It finds and sells oil and natural gas.
In 1938, a well called Dammam No. 7 found oil.
This was the first big success for the company. Today, it manages over one hundred oil and gas fields. It has the world's largest oil reserves. It also has the largest daily oil production. Some of its fields are on land. The Ghawar Field is the largest onshore field. Other fields are under the sea. The Safaniya Field is the largest offshore field. The company also runs a large gas network. We call this the Master Gas System. In 2024, it produced 12.7 million barrels of oil every day. The company began trading shares on a stock exchange in 2019. This means people can buy parts of the company. Its value has changed a lot over time. In 2022, its value was very high. By 2025, its value had fallen by 800 billion dollars.
Saudi Aramco is a massive company that belongs mostly to the state of Saudi Arabia.
It is the national oil company for the country. It is also the fourth-largest company in the world when looking at revenue. The company is based in a place called Dhahran. It manages over one hundred oil and gas fields across the land.
This company is very important because it holds the world's largest proven crude oil reserves. It also has the largest daily oil production of any company in the world.
How does the company find and move these resources? It operates the world's largest single network for gas, which is called the Master Gas System.
In 2024, the company's total oil production was 12.7 million barrels of oil equivalent every single day. It also manages huge reserves of natural gas. These reserves total 288.4 trillion standard cubic feet. Some fields are found on land, like the Ghawar Field. This is the largest onshore oil field in the world. Other fields are found in the ocean. The Safaniya Field is the largest offshore oil field.
The history of the company began many years ago. In 1920, there were oil shortages during World War I. American companies wanted to find new sources of oil. In 1932, a company called the Bahrain Petroleum Company found the first oil field in the Persian Gulf. Later, a company called SoCal was given permission to explore in Saudi Arabia.
After many years of searching without success, they finally found oil in 1938. They used a drill site called Dammam No. 7 in Dhahran. This well produced over 1,500 barrels of oil immediately. This success gave the company the confidence to keep going.
Over time, the company changed its name and ownership. In 1944, it became the Arabian American Oil Co., or Aramco. In 1947, other companies like Exxon and Mobil became shareholders. In 1974, the Saudi Arabian government increased its interest in the company to sixty percent. In 1988, a new company called the Saudi Arabian Oil Company was created to take control. This is the company we know today as Saudi Aramco. In 2019, the company began trading shares on the Saudi Exchange. This allowed people to buy parts of the company.
Saudi Aramco is linked to many global events and changes. During the Persian Gulf War in 1990, the company had to increase production to keep the world's oil market stable. It produced an extra 4.8 million barrels per day during that time. The company also faces modern challenges like computer attacks. In 2012, a virus called Shamoon hit many workstations. In 2019, drone attacks hit the Abqaiq facility and the Khurais oil field. These events changed how much oil the company could produce at once. Even with these hard jobs, the company remains a huge part of the world economy.
Saudi Aramco, officially the Saudi Arabian Oil Company, is a massive petroleum and natural gas corporation. It is the national oil company of Saudi Arabia and is mostly owned by the state.
This company is a global economic giant. It ranks as the fourth-largest company in the world by revenue. Its headquarters are located in Dhahran, Saudi Arabia. The company is vital because it holds the largest proven crude oil reserves on Earth. It also maintains the highest daily oil production of any oil-producing company globally.
The company manages a vast and complex energy network. It operates the Master Gas System, which is the largest single hydrocarbon network in the world.
This system moves natural gas to where it is needed for energy. In 2024, the company's total oil production reached 12.7 million barrels of oil equivalent per day. It manages more than one hundred different oil and gas fields within Saudi Arabia. These include 288.4 trillion standard cubic feet of natural gas reserves. Two of its most famous sites are the Ghawar Field and the Safaniya Field. Ghawar is the world's largest onshore oil field, while Safaniya is the largest offshore field.
The history of the company began with a search for new energy sources. During World War I, the world faced significant oil shortages. In 1920, the San Remo Petroleum Agreement prevented American companies from accessing oil in Mesopotamia. This led U.S. companies to look elsewhere for resources. In 1932, the Bahrain Petroleum Company discovered the first oil field in the Persian Gulf outside of Iran. This was a subsidiary of the Standard Oil of California, also known as SoCal. The Saudi Arabian government eventually granted a concession to SoCal to explore its land.
Early exploration was difficult and took many years of work. In 1936, the Texas Company, or Texaco, bought a 50% stake in the concession to help with the search. For four years, the teams found no oil. Success finally arrived in 1938 at the seventh drill site in Dhahran. This well, known as Dammam No. 7, immediately produced over 1,500 barrels of oil. This discovery gave the company the confidence to continue its work. In 1944, the name changed to the Arabian American Oil Co., or Aramco. By 1947, companies like Exxon and Mobil became shareholders in the business.
Ownership of the company has shifted significantly over the decades. In 1950, King Abdulaziz pressured Aramco to share profits 50/50 with the country. Following this, the company moved its headquarters from New York to Dhahran. In 1973, during the Yom Kippur War, the Saudi government acquired a 25% interest in Aramco's assets. This interest grew to 60% by 1974. Finally, in 1988, a royal decree created the Saudi Arabian Oil Company to take full control. This new entity took over the management and operations of all oil and gas fields. In 2019, the company began trading shares on the Saudi Exchange through an initial public offering.
Saudi Aramco has played a major role in stabilizing the global economy during crises. During the Persian Gulf War in 1990, the company was expected to replace oil production lost from Iraq and Kuwait. To keep the market stable, it was expected to produce an extra 4.8 million barrels per day. The company responded by recommissioning 146 wells, such as those in the Ghawar field. This effort helped daily production rise from 5.4 million barrels in July to 8.5 million barrels by December 1990. The company also expanded its reach into Asian markets, with 70% of its crude oil sales going to Asia by 2016.
The company has also faced serious modern challenges involving security and technology. In 2012, a computer virus called Shamoon attacked 30,000 workstations. This cyber attack was intended to wipe files and make computers unusable. In September 2019, the company faced a physical threat when drones attacked two facilities. The attack on the Abqaiq processing facility and the Khurais oil field cut 5.7 million barrels per day of output. This represented over 5% of the entire world's oil supply. Despite these difficult moments, the company remains one of the most valuable and influential organizations in the world.
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