Saudis to Export More Oil to India and China

[Syrinx]

HOUSTON, Feb. 17 - Saudi Aramco, the world's largest producer of crude oil, is seeking to strengthen relations with energy companies in India and China as part of a strategy to increase Saudi oil exports there. Together, the two countries are expected to account for much of the increase in global oil demand over the next decade.

At the same time, Abdallah S. Jumah, the president and chief executive at Aramco, the energy company controlled by the Saudi kingdom, said on Wednesday that the company was hoping to maintain its position as a leading supplier of petroleum to the United States, the largest consumer of Saudi oil.

Last year, for the first time since 1997, Saudi Arabia was eclipsed as the top supplier of crude oil to the United States, falling behind Canada.

That shift occurred as Saudi Aramco made several efforts to increase its reach in Asia's two largest countries. In India, Aramco was disappointed last year when an effort to acquire a stake in Hindustan Petroleum was thwarted after the Parliament suspended plans to allow foreign investments in the government-run oil marketing company.

http://www.nytimes.com/2005/02/18/business/worldbusiness/18aramco.html