“Aramco” is considering raising “East-West” exports to 10 million barrels... and Al-Nasser reveals post-crisis plans

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Saudi Aramco President and Chief Executive Officer, Amin Nasser, said that the current crisis resulting from the war in the region is unprecedented in terms of its impact on energy markets, noting that the market has lost about 3 billion barrels of supplies since the beginning of the crisis, especially since 20% of the global demand for oil comes from the Gulf, as well as liquefied gas, at a time when global stocks were at low levels compared to the average of the previous five years.

Al-Nasser added, in an exclusive interview with Al Arabiya Business on Thursday, his first since the outbreak of the war, that oil prices could have risen to much higher levels had it not been for the withdrawal from global strategic reserves, in addition to the decline in China’s seaborne oil imports during some periods of the crisis, in addition to the role played by Aramco’s East-West pipeline in maintaining the flow of supplies and calming the markets.

He pointed out that China was importing about 11 million barrels per day by sea, and it decreased in June to about 5 or 6 million barrels per day, which helped calm the market.

He explained that the return of conditions to normal would lead to an increase in demand by about 3 million barrels per day, including two million barrels to compensate for consumption growth and one million barrels to rebuild the reserves that countries depleted during the crisis, pointing out that the effects of the crisis extended to hundreds of millions of people through rising prices and inflation, especially in developing economies.

Speaking about Aramco's ability to confront shocks, Al-Nasser stressed that operational resilience is not built during crises, but rather is the result of decades of planning, investment, and advance preparation. He said that the state's decision to expand the East-West line since the 1980s provided a strategic outlet for oil exports away from the Strait of Hormuz, adding that the line's capacity has increased from about two million barrels per day to 7 million barrels currently.

He pointed out that the basic pillar of resilience is the human element, explaining that Aramco employees underwent many years of training and qualification, and during the crisis they played roles that he described as “heroic” in rehabilitating the damaged facilities and ensuring continued supplies to global markets.

He added that the company's advanced infrastructure, including pipelines, ports, storage facilities, and operational facilities, constituted a major factor in maintaining business continuity, in addition to local supply chains, explaining that more than 90% of the materials required during the crisis were provided from the local market, with the percentage of local content in Aramco reaching about 70%, and the target is to reach 75% in 2030.

Al-Nasser stressed that technology has become one of the most important elements of flexibility in the company, noting that Aramco receives more than 10 billion data points every day that are used in managing operations, exploration and production, and reducing costs and emissions. Drones also played an important role during the attacks on some facilities, by assessing damage, determining response priorities, and managing firefighting operations.

He explained that the speed of response is one of the company's most prominent strengths, as work teams begin moving equipment, materials and maintenance teams from the first moments of any accident, in parallel with firefighting operations, ensuring that the rehabilitation period is reduced from weeks or months to hours or days only.

Regarding oil export routes, Al-Nasser revealed that Aramco is currently working to enhance its export capabilities by raising the capacity of the East-West route from 7 million barrels per day to 10 million barrels per day, in addition to studying new additional routes, explaining that the engineering work for these projects began from the first days of the crisis.

He said that the company currently has three main oil export routes, including the Arabian Gulf via the Strait of Hormuz, the Red Sea via Bab al-Mandab, and the Mediterranean via Sidi Kerir in Egypt, but the lessons learned from the crisis showed the need for greater diversification of supply routes.

Regarding global storage plans, Al-Nasser explained that Aramco has the largest external storage capacity compared to other energy companies, distributed between South Korea, Japan, the Netherlands, and Sidi Kerir, adding that the company is working with its partners to double its storage capabilities, especially in Asia, which is its largest market.

He pointed out that commercial storage in countries is limited compared to strategic storage, which requires government agreements, and the Saudi Ministry of Energy is working with other countries to provide the opportunity for Aramco to use its strategic storage capabilities.

He stressed that the company's capital spending was not affected by current events, indicating the continued implementation of all projects according to the approved timetables, while maintaining the indicative range of capital spending between 50 and 55 billion dollars during the year 2026.

Regarding the gas file, Al-Nasser stressed that all expansion projects are proceeding according to the announced plans, including the Jafoura project, where the first phase was completed by the end of 2025, while the second phase will end in 2027 without delay.

He added that Aramco aims to increase gas production by 80% by 2030 compared to 2021 levels, which will contribute to replacing liquid fuels used in electricity generation with gas and provide about one million barrels of oil per day for export, in addition to reducing emissions and improving operational efficiency.

He pointed out that the company is studying, in coordination with the Ministry of Energy, opportunities to export gas in the future, but the current priority remains to meet the needs of the local market and support industrial expansion in the Kingdom, in parallel with its international investments in liquefied natural gas projects through the Med Ocean Company.

In terms of digital transformation, Al-Nasser said that Aramco achieved an added value exceeding $11 billion during the period between 2023 and 2025 through technology and artificial intelligence applications, expecting to achieve between $2 and $4 billion annually in the coming years thanks to the expansion of the use of digital solutions.

He explained that technology has contributed to raising the efficiency of exploration and production, reducing emissions, and improving the reliability of equipment, noting that the cost of extracting a barrel at Aramco has remained at levels of approximately $3 per barrel over a period of about 20 years despite global waves of inflation, thanks to continuous technical development.

Regarding the most prominent lessons learned from the crisis, Al-Nasser stressed that energy security has returned to the forefront of global priorities, and that countries and companies now need to re-evaluate strategic stock levels, supply routes and supply chains, and enhance local content.

He added that investing in human resources has proven to be the decisive element in dealing with crises, stressing that building human capabilities requires decades of continuous work and cannot be achieved in short periods.

At the conclusion of the interview, Al-Nasser reviewed one of the stories that left a personal impact on him during the crisis, saying that he witnessed, via live broadcast, one of the operators in an oil facility continuing to operate the fire-fighting systems despite successive projectiles and explosions falling near him and sustaining minor injuries.

He added that the employee later told him that he treated the facility as if it were his home, considering that this spirit reflects Aramco's culture and the strength of its human cadres. Al-Nasser said: “Facilities and equipment can be built, but building a human being capable of acting courageously and responsibly in the most difficult circumstances is the real achievement,” stressing that what the company achieved during the crisis is primarily due to the dedication of its male and female employees and their deep belief in their mission.