$65 Billion - Saudi Arabia, China Sign deals

On the first day of a four-day visit by Saudi King Salman to China, Aramco signs $65B worth deals / investment in China’s oil industry. Areas range from energy to manufacturing.

MoU with China's state-run Norinco will look into building refining and chemical projects in China, while Saudi Arabia's SABIC and Sinopec agree to develop petrochemical projects in the two countries.

Of course ARAMCO IPO can't be far from this. The countries are said to be in talks for China’s sovereign wealth fund and largest energy company, CNPC, to invest in the IPO. That would be a win-win. For China it ensures oil supplies from Saudi Arabia, given the structural decline of the country’s aging mature fields. For Saudi Arabia - China is a crucial market for it's oil. King's visit is an attempt to secure future exports under long-term contracts. Thus ensuring market share in China, and possibly insist Aramco to be listed in Hong Kong instead of London or the U.S.

Besides the business aspect of the deals, they also signal Saudi Arabia’s willingness to see greater Chinese involvement in the Middle East. China for its part has suggested it would not mind a greater involvement.

Isn't there a saying...There are no permanent friends only permanent interests! I'm just watching the wheel go round and round.