Aramco is a new player in the South American retail market
Published on: Sep 18, 2023
Deal to buy Esmax unlocks new market opportunities and advances the company’s global downstream expansion.
Aramco announced the acquisition of a 100% equity stake in Esmax Distribusción from Southern Cross Group, a Latin America-focused private equity company. This transaction marks the company’s entrance into the South American retail market.
Esmax is a diversified downstream fuels and lubricants retailer in Chile. Its national presence includes retail fuel stations, airport operations, fuel distribution terminals and a lubricant blending plant.
The transaction is subject to certain customary conditions, including regulatory approvals.
“This agreement is yet another milestone in our strategy to grow Aramco’s downstream presence globally and expand our retail, lubricants and trading businesses. We are excited by the opportunities it presents, creating synergies with our extensive trading and manufacturing systems. Moreover, it creates a platform to launch the Aramco brand both in Chile and South America more broadly, unlocking significant potential to capitalize on new markets for our products,” said Mohammed Y. Al Qahtani, President of Downstream at Aramco.
The planned acquisition of Esmax would be Aramco’s first downstream retail investment in South America. This purchase would enable the firm to secure outlets for its refined products and help expand its retail business internationally.
