Saudi Aramco has been lining up a fresh set of asset sales as part of a broader effort to attract external capital, with one focus being a possible stake in its sulphur business, three people with direct knowledge of the discussions said.
Those familiar with the matter said the move extends a wider strategy of monetising pieces of Aramco's extensive infrastructure holdings to generate tens of billions of dollars in funding. The company faces growing fiscal pressure as it supports the kingdom's push to diversify its economy, and officials are seeking non-equity sources of capital.
According to the sources, the assets under consideration altogether could amount to roughly $50 billion based on internal assessments and calculations. Among the initiatives, Aramco invited banks last month to pitch on what is internally named Project Yellowstone, which involves a potential sale of assets tied to its sulphur operations. One source estimated that the sulphur transaction alone could fetch as much as $7 billion.
Sulphur is produced as a byproduct when raw gas is processed to remove hydrogen sulphide before export. Aramco sells the material through its trading arm and describes itself as one of the region's larger exporters of sulphur from the Gulf and Red Sea area. Sources said the portion of the business being considered for external investment centres on sulphur storage and export terminals, and that the company remains in the stage of reviewing which specific assets would be included. They said any formal sale process is unlikely to be launched before next year.
Broader disposal plans under review
The discussions extend beyond sulphur. Three of the sources said Aramco is also contemplating a transaction involving its oil export terminals, with one of them putting a potential valuation for those assets at up to $25 billion. That process could be delayed until regional tensions subside, with a potential launch in the second half of the year, one of the people added.
Aramco's real estate holdings are also on the table. One of the sources and an additional participant in the conversations said the company's headquarters campus is among the properties being evaluated, with an indicative valuation in the region of $10 billion.
Smaller-scale infrastructure is included as well. Two sources said Aramco could raise about $500 million from water-related assets tied to its crude operations under an initiative code-named Project Hydro. They named water and wastewater firm Miahona and UAE-based Metito Utilities as interested parties in that opportunity. Metito declined to comment on those Aramco assets but said it routinely evaluates opportunities across its markets, while Miahona did not immediately respond to requests for comment.
Context within Aramco's capital strategy
Aramco is overwhelmingly owned by the government, the sovereign wealth fund and related entities, and is the kingdom's largest single source of revenue through dividends and royalties. The company has signalled ambitions to grow its gas business significantly, with the $100 billion Jafurah project described as central to those plans.
In a prior transaction last year, Aramco struck an $11 billion lease-and-leaseback deal for Jafurah gas processing facilities with a consortium led by Global Infrastructure Partners. The company has also been reported to be exploring the sale of gas-fired power plants valued at at least $4 billion, reflecting an ongoing programme of monetising non-core or infrastructure assets to free up capital.
Process and confidentiality
The sources who spoke about these potential transactions did so anonymously because the discussions remain private. Aramco did not immediately provide comment on the plans when asked.
People involved in the talks cautioned that timelines and the composition of assets under sale are still being worked through, and that some transactions may be held back until regional conditions are deemed more favourable. For the sulphur opportunity in particular, the company has yet to finalise which storage and export assets would be included and does not expect to launch the deal before next year.
Implications for markets and infrastructure sectors
Should Aramco proceed with these disposals, they would touch a range of sectors including commodities trading and logistics tied to sulphur exports, oil export terminal operations, commercial real estate, and industrial water and wastewater services. The size and pace of any capital raised will depend on asset selection, regional risk considerations and the timing of formal sales processes.