Budgetary pressure, falling revenues, cost-cutting measures and general ambiguity – just a few of the characteristic traits that have marked the latest oil price recession period. State-owned companies, commonly executing the double task of carrying out energy-related activities and cross-subsidizing the government budget, find themselves increasingly vulnerable. Privatization represents an expedient variant of raising cash for state coffers and rendering oil companies more efficient by means of bringing in new ideas and adhering to free-market discipline – a multitude of national oil companies (NOCs) might be privatized in the coming years. Saudi Arabia has long been nourishing the idea of orchestrating its first-ever oil IPO, as does Kuwait, whilst Mexico and Russia have lately carried out privatizations with varying degrees of success. Since NOCs control more than 70 percent of global oil reserves, they have been historically reluctant to open up equity access. NOC privatization, in itself, is a […]