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udi Arabia's state-owned oil giant is increasingly looking to launch its huge public offering locally. That as plans to list on an international exchange, such as London or New York, hang in the balance according to sources. Reuters correspondent Alex Lawler is in London.>> The sources are telling us that the international phase of the listing is looking more problematic than it did Firstly, there's Saudi concerns about the legal risks of an international listing.
As you might have heard, there are oil companies being sued in New York over a role in climate change. And the Saudi's are looking at this thinking, my goodness, is that a risk we really want to expose Aramco to? Secondly, there's concern about the level of disclosure that Saudi Aramco would have to make to an international exchange.
At the moment, the Saudi Arabian oil reserves are basically secret. Nobody knows really what's in the ground.>> The kingdom is planning to list up to 5% of Saudi Aramco, and on initial public offering that could value it at up to $2 trillion. Listing on the local Saudi exchange would be a massive disappointment for London, Hong Kong and New York, which have long been tussling for what could be a record breaking IPO.
It had been expected this year, but media reports now suggest it'll be delayed until 2019.>> Why the delay? Well, there's all kinds of advisers telling the Saudi's different things, you should list here, you should list there. But here isn't really, as far as we understand, a consensus on where to list.
We at Reuters have heard that New York and London have both become a bit less likely in recent weeks. Our current guidance as to the most likely international venue is Asia, Hong Kong. A final decision will be made by Saudi's Crown Prince Mohammed Bin Salman, the heir apparent, who wants to end his kingdom's addiction to oil.