Saudi-US deals worth $400 billion struck

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Saudi Arabia signed billions of dollars of deals with U.S. companies during President Donald Trump’s visit to Riyadh. Estimates of their total value vary from $300 billion to close to $400 billion.

Here is a list of what’s been announced:

  • The US and the Saudi Defense Ministry negotiated a package of about $110 billion, according to a White House transcript
  • Saudi Aramco signed accords with companies valued at about $50 billion
  • Saudi Arabia’s wealth fund, the Public Investment Fund, agreed to commit $20 billion to an infrastructure investment fund with Blackstone Group.

While no complete breakdown has been provided, here is a list of U.S. companies involved:

  • Defense:
    • Lockheed Martin signed a MoU for 150 S-70 Black Hawk helicopters to be assembled in Saudi Arabia
    • Raytheon will establish Raytheon Arabia based in Riyadh
    • General Dynamics agreed to localise design, engineering, manufacturing and support of armoured combat vehicles
  • Industry:
    • General Electric signed MoU with Saudi Arabia valued at $15 Billion
    • Honeywell International signed a $3.6 billion MoU with Saudi Aramco
    • McDermott International also signed a MoU with Saudi Aramco with a potential value of about $2.8 billion
    • Boeing, SaudiGulf Airlines to negotiate wide-body jet purchase
    • Jacobs Engineering Group signed MoU with a value of $250 million
  • Oil & Gas:
    • Saudi Aramco updates MoU with Rowan Cos for design and selection process for offshore rigs as part of the $7 billion investment over 10 years; Rowan will own and operate offshore drilling rigs
    • Rowan signed MoU with Saudi Aramco’s supply chain with an initial investment value of $1.2 billion
    • Saudi Aramco signed MoU for additional well services and studies into rig movements as an extension of a JV with Nabors Industries. The JV will see $9 billion of investments over 10 years
    • Nabors signed a MoU with Saudi Aramco for its supply chain with value of $1.6 billion
    • Saudi Aramco, National Oilwell Varco to create JV to manufacture drilling rigs and equipment
    • Weatherford International signed MoU with a potential value of $2 billion

Courtesy: Bloomberg