Saudi Arabia was a subsistence economy until the 1930s.
 In 1933, the Saudi government signed an oil concession agreement with Standard Oil Company of California.
 Development of oil fields continued in Saudi Arabia, managed mainly by Aramco, company formed by the partnership of Texaco and Chevron.
In 1951, the first offshore field in the middle east was found by the Arabian American Oil Company (Aramco) at Raʾs Al-Saffāniyyah area.
By 1949 Saudi oil production reached 500,000 barrels per day (bpd), and rose rapidly to 1 million bpd in 1954.
Moreover, in 1951, Aramco started operating Trans-Arabian Pipeline that used to transform oil from the eastern region of Saudi Arabia to the Mediterranean Sea, passing by Jordan, Syria and Lebanon.
However, in 1981 the operations in this line was ceased as a new one was put into operation that linked between Jubail on the Persian Gulf and Yunbu on the Red Sea which highly contributed inc shortening the destination of oil transform.
In 1960, OPEC was created with Saudi Arabia as one of its founding members.
 During the 1973 oil crisis, the price of oil rose from $3 per barrel to nearly $12, and the Saudi economy began to grow rapidly, with GDP increasing from approximately $15 billion in 1973, to approximately $184 billion by 1981.
 After gradually purchasing Aramco's assets, the Saudi government nationalized the company in 1980.
 In 1988, Saudi Aramco was established to take over the responsibilities of Aramco.

In 1980, the price of oil peaked, and demand began to fall as a result of recessions in industrialized nations and more efficient use of oil which produced surpluses.
This created a worldwide oil glut, with the price of oil dropping from approximately $36 per barrel in 1980, to approximately $14 by 1986.
Saudi oil production, which had increased to almost 10 million barrels (1,600,000 m³) per day during 1980–81, dropped to about 2 million barrels per day (320,000 m³/d) in 1985.
Budgetary deficits developed, and the government drew down its foreign assets.
As a result of the oil glut and the pressures of declines in production, after 1985 Saudi Arabia began enforcing production quotas more harshly for OPEC members.

In June 1993, Saudi Aramco absorbed the state marketing and refining company (SAMAREC), becoming the world's largest fully integrated oil company.
Most Saudi oil exports move by tanker from oil terminals at Ras Tanura and Ju'aymah in the Persian Gulf.
The remaining oil exports are transported via the east–west pipeline across the kingdom to the Red Sea port of Yanbu.
A major new gas initiative promises to bring significant investment by U.S. and European oil companies to develop non-associated gas fields in three separate parts of Saudi Arabia.
Following final technical agreements with concession awardees in December 2001, development should begin in 2002.

However, beginning in late 1997, Saudi Arabia again faced the challenge of low oil prices.
Due to a combination of factors—the East Asian economic crises, a warm winter in the West caused by El Niño, and an increase in non-OPEC oil production—demand for oil slowed and pulled oil prices down by more than one-third.

Saudi Arabia was a key player in coordinating the successful 1999 campaign of OPEC and other oil-producing countries to raise the price of oil to its highest level since the (Persian) Gulf War by managing production and supply of petroleum.
That same year, Saudi Arabia established the Supreme Economic Council to formulate and better coordinate economic development policies in order to accelerate institutional and industrial reform.

Saudi Arabia acceded to the WTO (World Trade Organization) in 2005 after many years of negotiations.
Saudi Arabia was a subsistence economy until the 1930s.  In 1933, the Saudi government signed an oil concession agreement with Standard Oil Company of California.  Development of oil fields continued in Saudi Arabia, managed mainly by Aramco, company formed by the partnership of Texaco and Chevron. In 1951, the first offshore field in the middle east was found by the Arabian American Oil Company (Aramco) at Raʾs Al-Saffāniyyah area. By 1949 Saudi oil production reached 500,000 barrels per day (bpd), and rose rapidly to 1 million bpd in 1954. Moreover, in 1951, Aramco started operating Trans-Arabian Pipeline that used to transform oil from the eastern region of Saudi Arabia to the Mediterranean Sea, passing by Jordan, Syria and Lebanon. However, in 1981 the operations in this line was ceased as a new one was put into operation that linked between Jubail on the Persian Gulf and Yunbu on the Red Sea which highly contributed inc shortening the destination of oil transform. In 1960, OPEC was created with Saudi Arabia as one of its founding members.  During the 1973 oil crisis, the price of oil rose from $3 per barrel to nearly $12, and the Saudi economy began to grow rapidly, with GDP increasing from approximately $15 billion in 1973, to approximately $184 billion by 1981.  After gradually purchasing Aramco's assets, the Saudi government nationalized the company in 1980.  In 1988, Saudi Aramco was established to take over the responsibilities of Aramco.
In 1980, the price of oil peaked, and demand began to fall as a result of recessions in industrialized nations and more efficient use of oil which produced surpluses. This created a worldwide oil glut, with the price of oil dropping from approximately $36 per barrel in 1980, to approximately $14 by 1986. Saudi oil production, which had increased to almost 10 million barrels (1,600,000 m³) per day during 1980–81, dropped to about 2 million barrels per day (320,000 m³/d) in 1985. Budgetary deficits developed, and the government drew down its foreign assets. As a result of the oil glut and the pressures of declines in production, after 1985 Saudi Arabia began enforcing production quotas more harshly for OPEC members.
In June 1993, Saudi Aramco absorbed the state marketing and refining company (SAMAREC), becoming the world's largest fully integrated oil company. Most Saudi oil exports move by tanker from oil terminals at Ras Tanura and Ju'aymah in the Persian Gulf. The remaining oil exports are transported via the east–west pipeline across the kingdom to the Red Sea port of Yanbu. A major new gas initiative promises to bring significant investment by U.S. and European oil companies to develop non-associated gas fields in three separate parts of Saudi Arabia. Following final technical agreements with concession awardees in December 2001, development should begin in 2002.
However, beginning in late 1997, Saudi Arabia again faced the challenge of low oil prices. Due to a combination of factors—the East Asian economic crises, a warm winter in the West caused by El Niño, and an increase in non-OPEC oil production—demand for oil slowed and pulled oil prices down by more than one-third.
Saudi Arabia was a key player in coordinating the successful 1999 campaign of OPEC and other oil-producing countries to raise the price of oil to its highest level since the (Persian) Gulf War by managing production and supply of petroleum. That same year, Saudi Arabia established the Supreme Economic Council to formulate and better coordinate economic development policies in order to accelerate institutional and industrial reform.
Saudi Arabia acceded to the WTO (World Trade Organization) in 2005 after many years of negotiations.
Economy of Saudi Arabia