Saudi Aramco signed definitive agreements to acquire a 40% equity stake in Gas & Oil Pakistan Ltd. – a diversified downstream fuels, lubricants and convenience stores operator – in part to expand the market for its Valvoline subsidiary’s lubricants.
The cost was not disclosed for the transaction, which is subject to conditions, including regulatory approvals.
“This transaction would enable Aramco to secure additional outlets for its refined products and further provide new market opportunities for Valvoline-branded lubricants, following Aramco’s acquisition of the Valvoline Inc. global products business in February 2023,” Aramco stated in a Dec. 12 press release.
In March, Valvoline completed the sale of its Global Products business, which includes engine oil sales, to Saudi Aramco. That deal was first announced in August 2022.
The planned acquisition of Gas & Oil Pakistan is Aramco’s first entry into the Pakistani fuels retail market, advancing the company’s strategy to strengthen its downstream value chain internationally.
“Our second planned retail acquisition this year aligns with Aramco’s downstream expansion strategy, with a clear path ahead for growing an integrated refining, marketing, lubricants, trading and chemicals portfolio worldwide,” Aramco Downstream President Mohammed Y. Al Qahtani said in a press release. He noted that Gas & Oil Pakistan “has a significant storage capacity, high-quality assets and growth potential, which will help launch the Aramco brand in Pakistan.”
In September, Aramco announced it agreed to purchase a 100% equity stake in Esmax Distribution SpA from Southern Cross group, a Latin America-focused private equity company. Esmax is a leading diversified fuels and lubricants retailer in Chile, with a presence that includes a lubricant blending plant.