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RIYADH: ������Ƶ increased its holdings of US Treasury securities to $130.6 billion at the end of June, up $2.9 billion, or 2.3 percent, from May, according to official data. 

The Kingdom’s holdings stood at $127.7 billion in May, compared with $133.8 billion in April and $131.6 billion in March, according to the US Treasury Department. 

The increase comes as ������Ƶ, the world’s largest oil exporter, manages its vast foreign reserves against a backdrop of shifting oil revenues, fluctuating global interest rates and ongoing diversification efforts under Vision 2030. Treasuries remain a key tool for Riyadh to park surplus funds in liquid, low-risk assets while balancing exposure to other currencies and asset classes. 

The report added that ������Ƶ retained 17th place among the largest holders of such instruments in June. 

Compared with June 2024, ������Ƶ’s holdings in US Treasuries declined by 6.8 percent. 

The latest data also showed that the Kingdom is the only country in the Gulf Cooperation Council and the wider Middle East region to secure a place among the top 20 holders of US Treasury securities. 

������Ƶ’s holdings were split between long-term bonds worth $103.5 billion, representing 79 percent of the total, and short-term bonds amounting to $27.1 billion, or 21 percent. 

Top holders  

Japan remained the largest investor in June with holdings totaling $1.14 trillion, up 0.9 percent from May. 

The UK ranked second at $858.1 billion, marking a 6 percent increase from the previous month. 

China followed with portfolios valued at $756.4 billion, little changed from $756.3 billion in May. 

The Cayman Islands and Canada ranked fourth and fifth with $442.7 billion and $438.5 billion, respectively. Belgium held sixth with $433.4 billion, followed by Luxembourg at $404.7 billion and France at $374.9 billion. 

Ireland was ninth with $317.4 billion, while Switzerland came 10th with $300.9 billion. 

Taiwan ranked 11th at $298.1 billion. Singapore held the 12th spot with $254.4 billion, followed by Hong Kong at $242.6 billion and India at $227.4 billion. 

������Ƶ’s Treasury holdings are closely watched as they reflect the Kingdom’s strategy of balancing reserve diversification with strong US financial ties. Treasuries are among the world’s safest assets, and changes in Saudi positions often signal how major energy exporters deploy surplus revenues amid oil price swings and global interest rate shifts. 

RIYADH: Arabian Drilling Co., listed on ������Ƶ’s main market, has renewed contracts for 11 onshore gas drilling rigs, with the value of the agreement representing 15 to 20 percent of the company’s 2024 revenues. 

In a Tadawul statement, the company said the agreement, which has a tenure of one year, was signed with global technology firm SLB, which holds a 34.3 percent stake in the company. 

In a March bourse filing, Arabian Drilling reported a 2024 net profit of SR3.61 billion ($962 million), with 15 to 20 percent of that total equating to around SR542.4 million to SR723.8 million.

“This extension reinforces our market position as a preferred partner in the energy sector. Our ability to secure this extension is a testament to our client’s confidence in our capabilities and the consistent, high-quality service we deliver,” said Ghassan Mirdad, CEO of Arabian Drilling. 

“Extending the contract confirms our commitment to excellence and strategic insight, which are crucial in maintaining valuable, long-term partnerships within the industry,” he added. 

The company said that all 11 rigs are currently in operation, and Arabian Drilling will continue to provide drilling services to SLB under a lump sum turnkey contract. 

An LSTK contract is a comprehensive form of agreement used in construction and engineering projects. Under this type of deal, the contractor agrees to complete the project for a predetermined and fixed price. 

The contractor is responsible for both designing and constructing the project to meet specific requirements while ensuring that it is fully operational upon completion.

Arabian Drilling further said that the impact of the contract extension will be reflected in the company’s revenues starting from the current quarter. 

“Looking ahead, Arabian Drilling remains committed to driving operational excellence, maintaining robust partnerships, and delivering innovative, sustainable solutions to the energy sector,” said the company. 

“The successful extension of these rig contracts reinforces the company’s leadership in the Saudi drilling industry, highlighting its unwavering commitment to safety, quality, and long-term value creation for its stakeholders,” it added. 

In July, Arabian Drilling said it signed an international contract valued at SR75 million for offshore drilling operations with a company based in the Gulf Cooperation Council region, initiating its first offshore operation outside ������Ƶ.