Saudi Aramco, the world’s largest oil producer, has signed a Collaboration Framework Agreement with Petrovietnam, paving the way for significant joint ventures in the energy and petrochemicals sectors. Signed during the 8th Future Investment Initiative (FII) in Riyadh, the agreement marks a new chapter in Saudi-Vietnamese relations and positions both companies to enhance energy supply, storage, and trading operations across Asia.
The framework agreement, endorsed by Aramco’s downstream president, Mohammed Y. Al Qahtani, sets the foundation for exploring opportunities along the hydrocarbon value chain. Al Qahtani emphasised that this collaboration aligns with Aramco’s broader downstream goals and its commitment to strengthening ties with Asia’s rapidly evolving energy market. “We look forward to exploring multiple opportunities with Petrovietnam that complement Aramco’s global downstream ambitions, contribute to Petrovietnam’s own strategy, and reinforce Asia’s importance in global energy and petrochemical markets,” he said.
Petrovietnam CEO Le Ngoc Son hailed the agreement as a strategic step for both companies. “This agreement is evidence of the strong cooperative relationship between Petrovietnam and Aramco, and between the Socialist Republic of Vietnam and the Kingdom of Saudi Arabia more broadly,” he remarked, underscoring the potential to optimise operations and create additional value across shared projects. With growing energy demands across Southeast Asia, the partnership between these two state-owned giants could help secure a more reliable supply of petrochemical products and expand market access for both firms.
The collaboration agreement aims to facilitate the seamless movement of energy and petrochemical products, laying the groundwork for diversified trading and storage options. By aligning on shared goals, Aramco and Petrovietnam are well-positioned to leverage their complementary strengths and deepen ties in energy supply across a critical global region.
Aramco Signs Sustainability-Focused MOU with Riyadh Air
In a parallel development, Aramco has also signed a memorandum of understanding (MOU) with Riyadh Air, signalling its commitment to advancing sustainability within the aviation sector. This MOU, also signed during the FII event, will explore collaborations in sustainable fuel supply, digital innovation, and other initiatives geared toward reducing carbon emissions in aviation.
Aramco’s executive vice-president of products and customers, Yasser M. Mufti, expressed enthusiasm for the partnership with Riyadh Air, pointing to the mutual commitment to technological advancement and sustainability. “We are delighted by the prospect of exploring a wide variety of opportunities for collaboration between Aramco and Riyadh Air,” Mufti said. “Aramco’s work to develop lower-carbon fuels, its strong focus on digitalisation, and its aviation experience provide a strong platform for potential cooperation.”
Both agreements reflect Aramco’s expanding role in sustainability and digital transformation, as well as its ambition to play a critical part in Asia’s energy future. For Petrovietnam, the collaboration with Aramco offers a valuable opportunity to bolster its own energy strategy while contributing to the stability and diversification of the region’s energy supply chain.
As global energy markets continue to evolve, Aramco’s recent partnerships exemplify its strategy to align with leading companies in key sectors. These initiatives will not only reinforce Aramco’s position in international energy markets but also mark its commitment to sustainability, innovation, and strategic partnerships across diverse industries.
