Aramco to discuss naphtha contracts

Saudi: Aramco is likely to meet early next month with prospective naphtha buyers to discuss sales under long-term contracts for delivery in 2012, two traders with knowledge of the talks said.

Saudi Aramco will invite potential customers to meet in London during the second week of December to negotiate terms, the traders said.

The company uses the prices for Middle Eastern crude or refined products published by Platts and Argus Media Group, two pricing services, as a basis for its naphtha pricing.

Aramco is also seeking to buy gasoline under spot contracts for delivery next month. Saudi Arabia and other Middle Eastern oil exporters import some fuel products because they lack enough refining capacity to meet domestic demand.

Also, Saudi Arabian Oil and Dow Chemical named Ali Abu Ali, a former head of the Saudi company's US subsidiary, as CEO of their joint venture Sadara Chemical Company, the companies said.

Al Khodari

Abdullah A.M. Al Khodari Sons Co, a Saudi contractor, renewed existing Islamic financing valued at 1.07 billion riyals (Dh1.04 billion) with National Commercial Bank.

The credit facilities comprised 53 per cent of so-called tawarroq and murabaha, and 47 per cent of multi bonds and documentary credit, the company said in a statement to the Saudi bourse yesterday.

Mannai

Mannai Corporation, a Qatari retailer of automobiles and construction equipment, said its board has considered a proposal to buy Black Cat Engineering & Construction WLL for 250 million riyals (Dh248.8 million). The company is seeking to purchase Black Cat Engineering from Qatar Investment and Projects Development Holding Co and Qatar International Real Estate Investment Co, Mannai said in a statement to the Qatari bourse yesterday. The shareholders will take a decision on the proposal on December 13.

Sharjah Islamic Bank

Sharjah Islamic Bank is monitoring the market and may sell securities in the future if conditions are favourable, deputy chief executive officer Ahmad Ebrahim said yesterday.

"We are not expecting to sell in the near future, to issue another sukuk," Ebrahim said at an Islamic finance conference in Dubai.

The lender expects fourth-quarter earnings, loans and deposit growth to be similar to those in the previous quarter, Ebrahim said, adding that the bank is liquid and has room to finance.

Banque Saudi Fransi

Banque Saudi Fransi headed for a one-month low after the Saudi lender part-owned by Credit Agricole said it would sell its 27 per cent stake in Bemo Saudi Fransi Syria and its 10 per cent share capital in Bemo Lebanon.

The shares decreased 1 per cent to 40.2 riyals at 3.01pm in Riyadh, poised for the lowest close since October 25. "The financial risks in the Arab Republic of Syria do not permit Banque Saudi Fransi to continue as partner," the Riyadh- based lender said.

The bank "is no longer represented in the board of directors of Bemo Saudi Fransi Syria and Bemo Lebanon," it said.