Geoff Burke-Imagn Images

Price of Oil Could Affect LIV Golf's Funding

Originally posted on Athlon Sports | By Alex Miceli | Last updated Mar 5, 2025 2:00 PM ET

Oil producer, Aramco had a lousy year.

On Tuesday, the Saudi oil producer reported declining profits in 2024, forcing it to cut its total dividends for 2025. This may not seem to have anything to do with professional golf, but by extension, it can potentially have a big impact as the financial source of funds for the Public Investment Fund of Saudi Arabia.

Aramco, one of the primary funding sources for PIF and by extension, the funding source for the LIV Golf League, has been deeply involved in golf worldwide with the Aramco Team Series.

Started in 2021, the series has focused on female professional golfers and hosted global events, culminating in the finale in Saudi Arabia.

At the same time, Aramco is also a presenting sponsor of LIV Golf, making its presence an important part of Saudi Arabia’s efforts to expand into professional golf.

In a story by Money in Sport, a Substack publication, the losses incurred by LIV Golf are a continuing drain on PIF and are believed to be around $5 billion in expenditures before the beginning of the 2025 season.

With the Aramco dividend, a driving force toward funding the PIF, the reduced revenue has forced the Saudi oil giant to reduce the dividend from 124.2 billion in 2024 to an expected $85.4 billion in 2025, a difference of $38.8 billion.

According to a Reuters report, with $925 billion in assets, the PIF received almost $20 billion in dividends from Aramco last year. However, due to the projected revenue downturn, this will be reduced in 2025.

This article first appeared on Athlon Sports and was syndicated with permission.

More must-reads: