21 November 2019

Report: Saudi Aramco faces serious risks from climate change

Launched on November 3, 2019, the IPO process of the Saudi national oil company, Saudi Aramco, is expected to be one of the largest financial transactions in history. In the prospectus published prior to its initial public offering, Saudi Aramco acknowledges that climate change may have damaging impacts on its activity and financial results.

This report’s aim is to provide an overview of the nature and scale of these risks by 2035. It is based on a bibliographical study and previously unpublished quantitative elements provided by projections made by 7 climate models.

It shows that Saudi Aramco’s operations in Saudi Arabia and around the world are vulnerable to climate change, through:

  • The effects of extreme heat on workers and equipments,
  • Temperatures exceeding safe or optimal range for refining and transport infrastructures,
  • Sea level rise on the low lying Saudi Arabian coasts,
  • Increased floods risks,
  • Increased competition for fresh water resources.

> Executive summary
> Download the full report