Saudi Arabia amassed stakes worth roughly $1 in European oil companies

09 April 2020


Saudi Arabia’s sovereign-wealth fund has amassed stakes worth roughly $1 billion in four major European oil companies. The Fund purchased Equinor, Royal Dutch Shell, Total and Eni securities, buying assets it perceives as undervalued in a market, Wall Street Journal reports with reference to unnamed sources.


Investments in oil companies, according to experts of the publication, indicate a change in tactics of the Fund, which was supposed to contribute to the efforts of Crown Prince Mohammed bin Salman to diversify the economy of Saudi Arabia and reduce its dependence on the oil sector, which involved investments in industries and areas not related to energy.


Fluctuations in the oil market began on March 6, when the participants of the OPEC+ meeting could not come to a common decision to reduce oil production. After the failure of the deal, the price of "black gold" fell by 30%.

 

GSV "Russia - Islamic World"

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