Costs to rise 1.9% after diesel price hike: TADCO

Saudi Aramco’s fuel pricing adjustments came into effect on Jan. 1, 2026

Tabuk Agricultural Development Co. (TADCO) received a notice from Saudi Aramco on adjustment to diesel prices used in the company’s production operations, effective Jan. 1, 2026, according to a statement to Tadawul.

The relevant financial impact would represent an increase of approximately 1.9% in the cost of revenue, based on the company’s latest audited annual financial statements for 2024.

During 2025, TADCO signed an agreement with the National Grid Co. – a subsidiary of Saudi Electricity Co. (SEC) – to implement a power transmission substation project under the Liquid Fuel Displacement Program.

The project aims to help reduce emissions resulting from the use of liquid fuel in electricity generation within the company’s facilities, enhance the reliability of grid operations, and support the transition to using the national electricity grid.

According to company data on Argaam, the direct financial impact of the diesel price increase during 2025 was reflected in a rise in production costs of around 5.6% of the cost of revenue, based on the company’s latest audited annual financial statements for 2023.