Saudi Aramco may sell pipeline unit stake for cash amid oil price rut - Business Insider

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Saudi Aramco may sell pipeline unit stake for cash amid oil price rut - Business Insider
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Saudi Aramco needs cash with oil prices at a 17-year low — and now it may reportedly sell a piece of its pipeline unit

The precipitous drop in oil prices through the month has the world's largest producer strapped for cash ahead of some massive payments. The company still plans to dole out $75 billion in dividends this year despite the market turmoil and broad economic slump. Aramco also faces a payment deadline for its $70 billion purchase of chemicals producer Saudi Basic Industries, according to Bloomberg.

The company is rapidly boosting its production levels as the coronavirus tanks global oil demand through travel bans and stay-at-home orders. The move is in response to Russia's refusal to curb production and lower supply in the key commodity market. Tit-for-tat measures between Saudi Arabia and Russia have sinceas the two countries flood the market with new inventory.

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