Saudi Arabia may link the royalty on oil revenue that Aramco currently pays to oil prices, the state oil giant’s chief executive Amin Nasser told Bloomberg in an interview at the World Economic Forum in Davos. Currently, Aramco pays a fixed 20-percent royalty on its oil revenues. The oil firm also pays a 50-percent income tax, which Saudi Arabia reduced last year from a previous 85-percent tax, in a bid to attract international investors for the IPO and raise Aramco’s valuation for the process. Back then, the royal decree announcing the reduced income tax rate did not mention the fixed 20-percent royalty on oil revenues. Now Nasser told Bloomberg that the royalty would stay at 20 percent “for the time being”, but later “there will be some alterations that would happen when the price changes in the market.” The investors that will buy into Aramco when it lists 5 […]