Saudi Arabian Oil Company
Company History
Saudi Aramco History: Founding, Growth & Key Milestones
Founded 1933 in Dhahran, Eastern Province, Saudi Arabia
When was Saudi Aramco founded?
Saudi Aramco was founded in 1933 in Dhahran, Eastern Province, Saudi Arabia by King Abdulaziz Al Saud and Standard Oil of California, making it 93 years old.
- Founded
- 1933
- Founding place
- Dhahran, Eastern Province, Saudi Arabia
- Founders
- King Abdulaziz Al Saud and Standard Oil of California
- Headquarters today
- Dhahran, Saudi Arabia
- Milestones documented
- 13 (1933–2026)
- Current CEO
- Amin H. Nasser
- Acquisitions
- 3
| Year | Event |
|---|---|
| 1933 | Oil Concession Signed |
| 1938 | Dammam No. 7 Discovery |
| 1944 | Aramco Name Adopted |
| 1980 | Saudi Ownership Completed |
| 1988 | Saudi Arabian Oil Company Established |
| 2009 | Khalid A. Al-Falih becomes CEO |
| 2015 | Amin H. Nasser becomes CEO |
| 2019 | Public Listing |
| 2019 | Saudi Aramco IPO |
| 2020 | SABIC Stake Acquired |
| 2023 | Acquired Valvoline Global Products |
| 2025 | FY2025 Results |
| 2026 | H1 2026 Results |
- Where was Saudi Aramco founded?
- Saudi Aramco was founded in Dhahran, Eastern Province, Saudi Arabia in 1933.
- Who founded Saudi Aramco?
- Saudi Aramco was founded by King Abdulaziz Al Saud and Standard Oil of California.
- When did Saudi Aramco start?
- Saudi Aramco was founded in 1933.
- How old is Saudi Aramco?
- Saudi Aramco is 93 years old as of 2026.
Founding Story
Aramco traces back to a 1933 concession that King Abdulaziz Al Saud granted to Standard Oil of California. After years of dry wells, Dammam No. 7 struck commercial oil in 1938. The venture became the Arabian American Oil Company in 1944, owned by Socal, Texaco, Exxon and Mobil. Saudi Arabia bought out the American partners in stages during the 1970s, reached full ownership in 1980, and created Saudi Aramco in 1988.
Founders
King Abdulaziz Al Saud
King Abdulaziz Al Saud (Ibn Saud, 1875-1953) founded the modern Kingdom of Saudi Arabia in 1932. Seeking revenue, his government signed the May 1933 oil concession with Standard Oil of California, which led to the 1938 discovery at Dammam No. 7 and the company that became Saudi Aramco. (Exact birth year remains publicly undisclosed).
Standard Oil of California
Standard Oil of California (Socal, now Chevron) won the 1933 Saudi concession through its subsidiary California Arabian Standard Oil Company (Casoc). Its geologists, led by Max Steineke, discovered commercial oil at Dammam No. 7 in 1938. Texaco, Exxon and Mobil later joined, and the venture was renamed Aramco in 1944. (Exact birth year remains publicly undisclosed).
Key Milestones
Oil Concession Signed
Saudi Arabia granted Standard Oil of California the concession that started the company.
Source: en.wikipedia.orgAramco Name Adopted
The company adopted the Arabian American Oil Company name.
Source: en.wikipedia.orgSaudi Ownership Completed
Saudi Arabia completed ownership of Aramco's assets.
Source: en.wikipedia.orgSaudi Arabian Oil Company Established
The Saudi Arabian Oil Company (Saudi Aramco) was established by royal decree in 1988.
Source: en.wikipedia.orgKhalid A. Al-Falih becomes CEO
Khalid A. Al-Falih became CEO of Saudi Arabian Oil in 2009. Chief executive of Saudi Arabian Oil from 2009 to 2015.
Source: wikidata.orgAmin H. Nasser becomes CEO
Amin H. Nasser became CEO of Saudi Arabian Oil in 2015. CEO since 2015, Nasser has steered Aramco through the 2019 Abqaiq attack, the 2020 price crash and the 2026 Gulf supply disruption while expanding gas and chemicals.
Source: en.wikipedia.orgSaudi Aramco IPO
Saudi Aramco listed on the Saudi stock exchange in December 2019 in what was then the largest IPO in history.
Source: en.wikipedia.orgSABIC Stake Acquired
Saudi Aramco completed its purchase of a 70 percent stake in SABIC in June 2020 for about $69 billion.
Source: en.wikipedia.orgAcquired Valvoline Global Products
Saudi Arabian Oil acquired Valvoline Global Products for $2.65 billion.
Source: en.wikipedia.orgFY2025 Results
Aramco reported $445.654 billion of revenue and other income related to sales.
Source: aramco.comH1 2026 Results
Aramco reported H1 2026 adjusted net income of $67.2 billion amid Gulf supply disruption.
Source: aramco.comMajor Acquisitions
SABIC (70% stake)
2020Bought from the Public Investment Fund to expand into petrochemicals and convert more crude into chemicals.
Valvoline Global Products
2023Added the Valvoline lubricants brand and global distribution outside the Valvoline retail business.
Motiva Enterprises (full ownership)
2017Saudi Aramco and Shell divided the assets of their US refining joint venture Motiva in 2017.
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Saudi Aramco Company History FAQ
When and how was Saudi Aramco originally founded?
Saudi Aramco was founded on May 29, 1933, when the Government of Saudi Arabia signed an oil concession agreement with the Standard Oil Company of California (Socal). Socal established a subsidiary called California Arabian Standard Oil Company (CASOC) to explore the Eastern Province for commercial petroleum reserves.
What was the significance of Dammam Well No. 7?
Drilled in March 1938 after five years of fruitless exploratory drilling, Dammam Well No. 7 (named "Prosperity Well") struck vast commercial quantities of oil at a depth of 4,727 feet in the Arab Zone, unlocking the colossal hydrocarbon wealth of Saudi Arabia and guaranteeing the commercial future of the venture.
When was the company renamed Aramco?
In 1944, the California Arabian Standard Oil Company was officially renamed the Arabian American Oil Company (Aramco), reflecting the American corporate partnership between Socal, Texaco, Jersey Standard (Exxon), and Socony-Vacuum (Mobil).
When were the Ghawar and Safaniya fields discovered?
Aramco discovered Ghawar in 1948, which proved to be the largest conventional onshore oil field in the world, stretching over 170 miles. In 1951, Aramco discovered Safaniya in the Persian Gulf, recognized as the world's largest offshore oil field.
How did the Saudi Government nationalize Aramco?
The Saudi state negotiated a phased, friendly buyout: acquiring a 25% participation interest in 1973, increasing its ownership to 60% in 1974, and completing the acquisition of 100% of Aramco's assets in 1980. In 1988, Royal Decree established the Saudi Arabian Oil Company (Saudi Aramco) to take over all operations.
What was the Trans-Arabian Pipeline (Tapline) and why was it vital?
Completed in 1950, the 1,068-mile Trans-Arabian Pipeline (Tapline) linked eastern Saudi oil fields directly to the Mediterranean port of Sidon in Lebanon, circumventing the Persian Gulf tanker route and Suez Canal transit fees to supply post-WWII Europe with crude oil.
When did Saudi Aramco complete its landmark initial public offering (IPO)?
On December 11, 2019, Saudi Aramco completed its historic IPO on the Saudi Stock Exchange (Tadawul), pricing at 32 Saudi riyals ($8.53) per share to raise $29.4 billion. It became the largest IPO in world history, briefly surpassing a $2 trillion market valuation.
What happened during the September 2019 Abqaiq-Khurais drone attacks?
On September 14, 2019, coordinated drone and missile strikes hit Aramco's Abqaiq crude processing facility and Khurais oil field, temporarily knocking out 5.7 million barrels per day (over 5% of global supply). Aramco restored full operational capacity within weeks without missing a single international customer shipment.
When did Saudi Aramco acquire its controlling stake in SABIC?
In June 2020, Saudi Aramco finalized the acquisition of a 70% stake in petrochemical conglomerate SABIC (Saudi Basic Industries Corporation) from the Public Investment Fund (PIF) for $69.1 billion, accelerating its strategic transformation from crude exporter to downstream chemicals powerhouse.
How did Saudi Aramco perform financially in 2022 during the energy crisis?
In 2022, fueled by post-pandemic economic recovery and European energy realignment, Saudi Aramco reported a historic record net income of $161.1 billion—the highest annual corporate profit ever recorded by a publicly listed corporation in world history.
What is the Master Gas System (MGS) built by Aramco?
Commissioned in 1980, the Master Gas System was a nationwide infrastructure project designed to capture and process associated petroleum gas that was previously flared, channeling clean energy into petrochemical plants, water desalination facilities, and domestic electric utilities.
What is the Jafurah gas project in Aramco's modern roadmap?
Jafurah is the largest liquid-rich shale gas basin in the Middle East, with estimated reserves of 229 trillion cubic feet of raw gas. Aramco launched a $100 billion multi-phase development to produce 2 billion cubic feet per day of sales gas by 2030 to supply domestic blue hydrogen, power plants, and petrochemical feedstocks.
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