Russian Energy Minister

Saudi, Russia plan $1-bln energy fund

KHOBAR, October 2, 2017 – Saudi Arabia and Russia are negotiating a USD 1-billion investment fund that would deepen their co-operation in energy projects, Russian Energy Minister Alexander Novak told journalists on Monday.

“Our focus is not just on strengthening our co-operation within the framework of the OPEC and non-OPEC [agreement] but also the strengthening of co-operation in oil, gas, electricity, renewable energy and other projects for oil and gas equipment,” Novak told Al Arabiya TV.

 

The deal is one of several key energy agreements expected to be signed between Russian and Saudi firms as well as state entities during Saudi Arabian King Salman bin Abdulaziz Al Saud’s visit to Moscow this week. 

“We are working on a number of agreements and we will announce them during the visit,” Novak added.

Among other rumoured deals, Russia’s petrochemicals giant Sibur is expected to set up a JV with Saudi Aramco and Saudi Basic Industries Corporation for the production of synthetic rubber in Saudi Arabia and other petrochemicals ventures, Reuters and Bloomberg reported last week. Aramco is also expected to explore Arctic LNG investments together with Russia’s Novatek, a separate Reuters report claimed.

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