Luberef (Saudi Aramco Base Oil Company), SA15M1HH2NH5

Luberef signed a 10-year Jeddah deal for Luberef stock

Published on 10/09/2026 at 14:01 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

The deal secures 24,500 barrels per day for Jeddah over 10 years. For Luberef stock, first-half net income reached SAR 992 million, up 113 percent.

Key points in brief

Luberef signed a 10-year Jeddah supply agreement covering 24,500 barrels per day of feedstock.
First-half 2026 net income reached SAR 992 million, up 113 percent year over year.
Analyst fair value increased from SAR 145.62 to SAR 150.82 on October 4, 2026.
The Tadawul quote was SAR 129.00 on October 8, 2026, with a SAR 21.7 billion market capitalization.

Luberef (Saudi Aramco Base Oil Company), SA15M1HH2NH5, Illustration mit AI erstellt.

Luberef signed a 10-year Jeddah supply agreement starting August 29, 2026, securing up to 24,500 barrels per day of feedstock and providing for 16,500 barrels per day of return streams, according to Simply Wall St. The agreement gives the Jeddah facility a defined feedstock framework while Luberef stock remains tied to base-oil spreads and operating execution.

Three dated developments

On August 2, 2026, Luberef reported second-quarter revenue of SAR 3.42 billion and net income of SAR 734.1 million, according to Investing.com. The same source reported first-half 2026 net income of SAR 992 million, a 113 percent increase from the prior year, alongside a SAR 4.00 per-share interim dividend.

On August 29, 2026, the Jeddah agreement set feedstock at 24,500 barrels per day and return streams at 16,500 barrels per day over 10 years, according to Simply Wall St. On October 4, 2026, the analyst fair value cited by the same source increased from SAR 145.62 to SAR 150.82.

What does the agreement mean?

The commercial terms support continued Group I base-oil production in Jeddah at an annual 275,000 metric tons, equal to 20 percent of Luberef's stated annual production capacity of 1,455,000 metric tons, according to Simply Wall St. The comparison matters because the agreement secures a material operating stream, while the first-half profit increase shows how strongly margins contributed to current earnings.

Upcoming shareholder dates

Luberef's first-half dividend of SAR 4.00 per share has an October 15, 2026 payment date, while the next earnings report is scheduled for November 2, 2026, according to Investing.com. Those dates place cash distribution and the next operating update close together for shareholders tracking the base-oil cycle.

Tadawul valuation after the results

The Tadawul quote was SAR 129.00 on October 8, 2026 at 3:15 p.m. GMT+3, compared with a 52-week range of SAR 84.45 to SAR 143.00. Market capitalization stood at SAR 21.7 billion on the same date, giving the supply agreement and earnings figures a clear valuation context.