DUBAI (Reuters) -Saudi Aramco is planning to sell U.S. dollar-denominated Islamic bonds as soon as this month, two sources with direct knowledge of the matter told Reuters, as it seeks to lever its balance sheet amid weaker oil prices.

Aramco, the world's biggest oil company, could raise between $3 billion and $4 billion for its sukuk, one of the people said. A sukuk is a bond that follows Shariah principles. The people spoke on condition of anonymity because the matter is private. 

Aramco declined to comment.

A deal for Aramco would follow a surge in bond issuance this month, driven by strong investor demand and heavy inflows into bond funds.  

Saudi Aramco during its earnings call in August said it planned to continue borrowing, adding that the company's balance sheet gearing was among the lowest in the industry.  

Saudi officials have told allies and market participants the kingdom can live with the fall in prices by raising borrowing and cutting costs, Reuters reported in April according to sources. The Saudi government's communications office did not reply to Reuters request for comment on the matter at the time. 

Aramco most recently tapped the global bond markets in May 2025, when it raised $5  billion. It then published a prospectus for sukuk, signalling more borrowing to come. 

The company has been cutting costs and looking to divest assets as crude prices drop. It last month reported a 22% drop in second quarter profit. 

Aramco last month signed an $11 billion lease and leaseback agreement involving its Jafurah gas processing facilities with a consortium led by BlackRock's Global Infrastructure Partners (GIP), broadening its funding avenues.

Across the portfolio, Aramco's strategy is to release capital tied up in low-return assets and redirect it toward core businesses that generate stronger returns, Chief Financial Officer Ziad Al-Murshed said during its recent earnings call. 

In its second-quarter earnings released in August, Aramco upheld its base dividend of $21.1  billion and reiterated its full-year payout guidance of $85.4  billion, underscoring its commitment to shareholder returns despite market headwinds.