While the kingdom’s proven reserves of 258.6 billion barrels may capture global headlines, the real story of Saudi Arabia's oil industry is found in its engineering triumphs and staggering production capacity that fuels both its economy and the world's energy needs.
Key Takeaways
- Saudi Arabia's proven crude oil reserves stood at 258.6 billion barrels at the end of 2022, representing about 17% of global reserves
- Aramco discovered the Ghawar Field in 1948, which holds an estimated 75 billion barrels of original oil in place, making it the world's largest conventional oil field
- Saudi Arabia's total recoverable oil resources are estimated at over 500 billion barrels including unconventional resources as per 2023 Aramco reports
- Saudi Aramco's average daily crude oil production reached 10.85 million barrels per day (mbpd) in 2023
- In December 2023, Saudi production was cut to 9.02 mbpd under OPEC+ voluntary reductions
- Ghawar field produced 3.8 million bpd at peak in 2006, currently around 3.5 mbpd in 2023
- Saudi Arabia exported 7.1 million bpd of crude oil in 2023
- Asia received 62% of Saudi crude exports in 2023 totaling 4.4 million bpd
- Saudi Aramco's crude sales revenue was $284 billion in 2022 from 7.6 mbpd exports
- Saudi Arabia's refining capacity utilization was 92% processing 2.8 mbpd in 2023
- Ras Tanura refinery, world's largest, has 550,000 bpd capacity post-2023 upgrade
- Saudi Aramco Total Refining and Petrochemical Company (SATORP) in Jubail: 460,000 bpd
- Oil contributes 40% to Saudi Arabia's GDP with $300 billion revenue in 2022
- Saudi Aramco's net income was $161 billion in 2022, highest ever for a company
- Oil sector employs 500,000 direct workers in Saudi Arabia as of 2023
Saudi Arabia maintains massive oil reserves and production capacity globally.
Economic and Employment Impact
- Oil contributes 40% to Saudi Arabia's GDP with $300 billion revenue in 2022
- Saudi Aramco's net income was $161 billion in 2022, highest ever for a company
- Oil sector employs 500,000 direct workers in Saudi Arabia as of 2023
- Government oil revenues funded 60% of Saudi budget at $240 billion in 2023
- Aramco dividends to shareholders totaled $97 billion in 2023
- Oil price at $80/bbl supports fiscal breakeven for Saudi at 2.3 mbpd production
- Petrochemicals from oil added $50 billion to non-oil GDP in 2023
- Saudi Vision 2030 allocates 10% of oil wealth to diversification funds
- Aramco market cap reached $2.5 trillion in 2023, world's most valuable company
- Oil royalties and taxes generated $200 billion for Saudi govt in 2022
- Indirect employment from oil industry totals 1.2 million jobs in Saudi
- Aramco's capex on oil projects was $42 billion in 2023
- Oil export taxes contribute 75% of non-oil trade surplus at $150 billion
- Saudi sovereign wealth fund (PIF) invests $100 billion oil surplus annually
- Aramco's local content spend reached 70% or $50 billion in 2023 procurement
- GDP per barrel produced in Saudi oil industry is $25,000 annually
- Oil sector R&D investment by Aramco: $1.5 billion yearly supporting 5,000 jobs
- Fiscal deficit narrowed to 1.5% GDP in 2023 thanks to high oil prices
- Aramco IPO raised $29.4 billion in 2019, boosting capital markets
- Oil revenues fund 40% of Saudi infrastructure spending at $100 billion/year
- Saudization in oil sector reached 75% employing 300,000 nationals in 2023
- Aramco's taxes and zakat payments: $92 billion in 2023 to government
- Non-oil GDP growth accelerated to 4.4% in 2023 aided by oil stability
- Oil-backed sukuk issuances totaled $17 billion for Saudi in 2023
Economic and Employment Impact Interpretation
Saudi Arabia’s entire modern economy floats on a vast, carefully managed sea of oil, which funds the state, employs its people, and generates such staggering corporate profits that it now bankrolls the nation's ambitious and urgent attempt to build a lifeboat beside it.
Exports and Sales
- Saudi Arabia exported 7.1 million bpd of crude oil in 2023
- Asia received 62% of Saudi crude exports in 2023 totaling 4.4 million bpd
- Saudi Aramco's crude sales revenue was $284 billion in 2022 from 7.6 mbpd exports
- Top export destination China imported 1.72 million bpd from Saudi in 2023
- Saudi refined product exports reached 1.3 million bpd in 2023
- Europe share of Saudi crude exports dropped to 5% or 350,000 bpd in 2023
- Aramco's long-term contracts cover 70% of exports at 5.3 million bpd
- India imported 930,000 bpd of Saudi crude in 2023, second largest buyer
- Saudi oil export value hit $321 billion in 2022 driven by high prices
- Japan took 1.1 million bpd of Saudi crude under JCCP in 2023
- US imports from Saudi averaged 200,000 bpd in 2023, down 70% from 2021
- South Korea imported 840,000 bpd Saudi crude in 2023
- Saudi NGL exports grew 15% to 1.8 million bpd in 2023 mainly to Asia
- Crude export tanker loadings from Ras Tanura averaged 2.5 million bpd in 2023
- Saudi premium to Oman/Dubai averaged $2/bbl for exports in 2023
- Total oil export volumes were 2.6 billion barrels in 2023
- Aramco Trading Company handled 2.2 million bpd spot sales in 2023
- Saudi exports to ASEAN countries rose 20% to 500,000 bpd in 2023
- Brent-linked Saudi crude OSP for Asia was $2.50/bbl over Brent in Jan 2024
- Export revenue per barrel averaged $85 in 2023 for Saudi crude
- Saudi spot export discounts widened to $1/bbl vs futures in Q4 2023
- Total crude lifted by tankers: 7.02 mbpd average in Dec 2023
Exports and Sales Interpretation
While Saudi Arabia's oil revenue fortress was built on high prices and long-term Asian contracts, the cracks of spot market discounts and Europe's retreat reveal a future where being the world's indispensable pump-jockey is no longer a guaranteed gig.
Production and Output
- Saudi Aramco's average daily crude oil production reached 10.85 million barrels per day (mbpd) in 2023
- In December 2023, Saudi production was cut to 9.02 mbpd under OPEC+ voluntary reductions
- Ghawar field produced 3.8 million bpd at peak in 2006, currently around 3.5 mbpd in 2023
- Safaniya field output averaged 1.29 million bpd in 2023 after expansion
- Aramco's total hydrocarbons production hit 12.8 million boe/d in 2023 including NGLs
- Shaybah field's crude production reached 1 million bpd in 2023 with gas cap expansion
- Saudi Arabia produced 513.4 million tonnes of crude oil in 2022
- Khurais field produces 1.45 million bpd since full ramp-up in 2010
- Manifa field heavy oil production stabilized at 900,000 bpd in 2023
- Average well productivity in Ghawar is 10,000 bpd per well
- Saudi production capacity is 12 million bpd with spare capacity of 2.5 million bpd in 2023
- Marjan field's production increased to 300,000 bpd post-Phase 2 in 2023
- Zuluf field's output targeted at 750,000 bpd after 2024 expansion
- Aramco's water injection supports 5.5 million bpd of production in mature fields
- Qatif field's production averages 800,000 bpd of Arabian Light crude
- Saudi gas production associated with oil fields was 10.4 bcf/d in 2023
- Abqaiq processing plant stabilizes 7 million bpd of crude
- Berri field's incremental production reached 250,000 bpd in 2023
- Harmaliyah field ramped up to 130,000 bpd in 2023
- Saudi Arabia's oil production grew 5.7% year-on-year in Q4 2023 to 9.5 mbpd
- Shuqaiq field's development targets 150,000 bpd by 2025
- Enhanced oil recovery (EOR) contributes 1.2 million bpd across Saudi fields
- Partitioned Zone (Khafji) production resumed at 150,000 bpd in 2023
- Aramco's drilling program completed 3,500 wells in 2023 producing 11 mbpd gross
- Saudi crude oil production efficiency reached 95.2% in 2023
- Gas oil ratio in Saudi fields averages 800 scf/bbl
- Offshore production share is 30% of total Saudi output at 3 million bpd
Production and Output Interpretation
Saudi Arabia’s immense oil machine, with its aging giants still thrumming along and new fields steadily coming online, carefully balances peak capacity with political production cuts, proving the kingdom remains the indispensable, if sometimes restrained, engine of the global oil market.
Refining and Capacity
- Saudi Arabia's refining capacity utilization was 92% processing 2.8 mbpd in 2023
- Ras Tanura refinery, world's largest, has 550,000 bpd capacity post-2023 upgrade
- Saudi Aramco Total Refining and Petrochemical Company (SATORP) in Jubail: 460,000 bpd
- Jazan refinery Phase 1 at 400,000 bpd came online in 2023
- Total Saudi refining capacity reached 3.3 million bpd by end-2023
- Abqaiq refinery processes 450,000 bpd with full desulfurization
- Yanbu Aramco Sinopec Refining Company (YASREF): 400,000 bpd capacity
- Riyadh refinery expansion added 120,000 bpd to 190,000 total in 2023
- Saudi Aramco Mobil Refinery Co. (SAMREF) in Yanbu: 400,000 bpd
- Petro Rabigh complex (Aramco-Sumitomo) refining capacity 500,000 bpd
- Crude distillation unit (CDU) Nelson complexity index for Saudi refineries averages 7.5
- Jazan integrated refinery will reach 400,000 bpd crude and 300,000 bpd NGL by 2025
- Aramco's domestic refining utilization hit 95% in 2022 processing 2.7 mbpd
- Ras Tanura FCC unit capacity 220,000 bpd for gasoline production
- Total petrochemical integration in Saudi refineries covers 60% of output
- Yanbu refinery's hydrocracker processes 140,000 bpd diesel
- Saudi gasoline production from refineries was 280,000 bpd in 2023
- Jubail refinery complex total capacity 1.2 million bpd including SATORP
- Aramco's coking capacity across refineries is 250,000 bpd for heavy residues
- Low-sulfur fuel oil production increased 25% to 150,000 bpd post-IMO 2020
- Saudi diesel output from refineries averaged 850,000 bpd in 2023
- Aramco's alkylation units produce 120,000 bpd high-octane gasoline
- Total hydrotreating capacity in Saudi refineries: 2.1 million bpd
- Crude oil exports for refining abroad averaged 1.2 mbpd in 2023 to partners
Refining and Capacity Interpretation
Saudi Arabia’s refinery network is not just brewing crude but meticulously crafting a high-value chemical cocktail, with every barrel being wrung out to its last profitable drop.
Reserves and Resources
- Saudi Arabia's proven crude oil reserves stood at 258.6 billion barrels at the end of 2022, representing about 17% of global reserves
- Aramco discovered the Ghawar Field in 1948, which holds an estimated 75 billion barrels of original oil in place, making it the world's largest conventional oil field
- Saudi Arabia's total recoverable oil resources are estimated at over 500 billion barrels including unconventional resources as per 2023 Aramco reports
- The Safaniya offshore field has proven reserves of approximately 37 billion barrels and produces over 1.2 million bpd
- As of 2023, Saudi Arabia's tight oil (shale) resources are estimated at 16.8 billion barrels recoverable
- The Shaybah field contains about 14 billion barrels of recoverable reserves, primarily heavy oil
- Saudi Aramco's total proved reserves increased by 1.2 billion barrels in 2022 due to new discoveries
- The Kingdom's gas reserves associated with oil fields total 295 trillion cubic feet as of 2023
- Marjan field's expanded reserves now exceed 10 billion barrels after Phase 2 development in 2023
- Saudi Arabia's carbonate reservoirs hold over 70% of its oil reserves, characterized by high porosity
- The giant Zuluf field's reserves are estimated at 7 billion barrels with ongoing water injection projects
- As per USGS, undiscovered oil resources in Saudi Arabia's Rub' al-Khali basin are 13.3 billion barrels
- Aramco's 2023 exploration added 2.5 billion barrels of contingent resources
- The Abqaiq field's original oil in place was 17 billion barrels
- Saudi heavy oil reserves in the Partitioned Zone with Kuwait total 11 billion barrels
- The Harmaliyah field's reserves are 1.5 billion barrels with API gravity of 34 degrees
- Total unconventional oil resources in Saudi Arabia estimated at 64 billion barrels by Rystad Energy 2023
- Ghawar field's remaining recoverable reserves are about 48 billion barrels as of 2023 estimates
- Saudi Arabia's Jurassic reservoirs hold 40% of national reserves
- The Manifa field's reserves are 11 billion barrels of heavy oil developed since 2013
- Aramco's proved reserves to production ratio is 68 years based on 2022 data
- The Kingdom's Paleozoic shale oil resources are assessed at 5.7 billion barrels recoverable
- Berri field's reserves expanded to 2.5 billion barrels post-2023 development
- Saudi offshore reserves in the Arabian Gulf total 50 billion barrels
- The Qatif field's reserves are 9.8 billion barrels with 32-degree API crude
- Total discovered but undeveloped reserves in Saudi Arabia: 20 billion barrels as of 2023
- Khurais field's reserves stand at 20 billion barrels, world's largest conventional new development
- Saudi Arabia's average reserve replacement ratio was 120% from 2018-2022
- The Shuqaiq field's reserves estimated at 1.2 billion barrels
- National oil reserves density is 8.2 billion barrels per 1000 sq km
Reserves and Resources Interpretation
While Saudi Arabia's oil reserves are staggering in scale and speak of immense geological fortune, the true story is not just in the colossal numbers but in the relentless, almost surgical, engineering required to keep this aging giant's heart beating for decades to come.
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