Saudi Aramco, the world's largest integrated energy and chemicals company, has successfully completed a 40% stake in Gas & Oil (GO) Pakistan, as announced in a press release on Friday.
"Aramco has made further progress in expanding its global retail network by completing the acquisition of a 40 percent stake in Gas and Oil Pakistan Ltd. (GO)," a press statement on Friday noted.
Oil Storage Depots & Terminals across Pakistan have a combined storage capacity of approximately 200,000 metric tons, making it the largest oil storage capacity held by a private sector OMC in the country. Gas and Oil Pakistan boasts a network of over 1,200 retail petrol stations.
Established in 1933, Saudi Aramco operates in energy markets across Asia, Europe and North America.
The buy-out, initially disclosed in December 2023, marks Saudi Aramco's significant foray into downstream retail investments in Pakistan, highlighting its expanding retail footprint in lucrative markets.
"Our global retail expansion is gaining pace and this acquisition is an important next step on our journey," said Yasser Mufti, Aramco Executive Vice President of Products and Customers.
Mufti expressed optimism about providing Aramco's top-tier products and services to Pakistani customers through its strategic partnership with GO.
The Competition Commission of Pakistan (CCP) approved Aramco's acquisition of a 40 percent equity stake in GO last month, underlining the regulatory clearance for the deal.
In March, Aramco also bought a 100 percent equity stake in Esmax Distribución SpA, a Chile's leading downstream fuels and lubricants retailer. The company said the investments signified Aramco's commitment to expanding its presence in key global markets.
Aramco's investment in GO Pakistan is viewed positively by experts, particularly for the country's economic landscape. Pakistan has been striving to attract foreign direct investment (FDI), and the acquisition aligns with such efforts.
FDI inflows in Pakistan have shown a modest increase, reflecting the country's ongoing efforts to attract investment.