Saudi Arabia’s Ministry of Industry has awarded mining exploration licenses to firms, including Vedanta and a consortium of Ajlan & Bros and Zijin Mining, covering rich mineralized areas. The total area is 4,788 square kilometers, with an investment plan of 366 million riyals over three years, aligning with Vision 2030’s economic diversification goals.
On Tuesday, Saudi Arabia’s Ministry of Industry and Mineral Resources awarded mining exploration licenses to several local and international companies, including the Indian firm Vedanta and a consortium made up of Ajlan & Bros from Saudi Arabia and China’s Zijin Mining. These licenses pertain to the kingdom’s initial mineralized belts at Jabal Sayid in Madinah and Al Hajar in Aseer, which are rich in base and precious metals such as copper, zinc, gold, and silver.
The awarded exploration licenses encompass a total area of 4,788 square kilometers (1,849 square miles). The Saudi government has projected that these mining operations will involve an investment of approximately 366 million riyals, equivalent to about $97.6 million, over the next three years. The initiative is part of Saudi Arabia’s broader Vision 2030 plan aimed at diversifying the economy and reducing dependence on fossil fuels.
Since starting to issue licenses to international mining companies in 2022, Saudi Arabia has updated its estimates of untapped mineral resources, now valuing them at $2.5 trillion, a significant increase from the $1.3 trillion estimate made in 2016. This revision underscores the kingdom’s ambitions to attract $100 billion annually in foreign investment by 2030, further bolstering its growing mining sector.
Saudi Arabia’s recent issuance of mining exploration licenses is a strategic step towards expanding its mining industry. By involving both local and international firms and targeting rich mineralized belts, the government aims to enhance its economic diversification efforts under Vision 2030. The substantial investment commitments and revised resource estimates highlight the kingdom’s potential in the minerals sector, contributing to a sustainable economic future.
Original Source: www.mining.com
