Aramco has reported 39.5 percent increase in net income to $42.4 billion in Q3 2022 as compared with $30.4 billion in Q3 2021.
The increase in net income was primarily driven by higher crude oil prices and volumes sold. This was partially offset by increased production royalties largely attributable to higher average effective royalty rate resulting from stronger crude oil prices, and higher sales volume, Aramco said.
Aramco reported that its Capital expenditure rose 19 percent to $9.038 billion in Q3 2022 as compared with $7.59 billion in Q3 2021.
Capital expenditures for the first nine months of 2022 were SAR 76,770 ($20,472), an increase by 15.9%, compared to SAR 66,265 ($17,671) for the same period in 2021. This was principally attributable to drilling activities related to increasing crude oil MSC, development of crude oil increments, and gas projects.
“Aramco’s strong earnings and record free cash flow in the third quarter reinforce our proven ability to generate significant value through our low cost, low-carbon intensity Upstream production and strategically integrated Upstream and Downstream business,” Aramco President & CEO Amin H. Nasser, said.
Aramco said it is extending our long-term oil and gas production capabilities while also working towards our previously stated ambition to achieve net-zero Scope 1 and Scope 2 greenhouse gas emissions from our wholly-owned operated assets.