Al-Khorayef reviews new opportunities in lithium, copper processing with Chilean mining companies
Minister of Industry and Mineral Resources Bandar Al-Khorayef, during his visit to major mining companies and specialized mining technology centers in the Chilean capital, Santiago, discussed joint investment opportunities in the production and processing of lithium, copper, iron and other minerals.
Al-Khorayef met with Codelco CEO Ruben Alvarado, where the meeting focused on exploring investment opportunities in metal production, especially lithium and copper.
Codelco, founded in 1976, explores, produces and sells copper and its by-products worldwide. The company has a significant presence in key markets across Asia, Europe and the US, primarily supplying refined copper. Saudi Arabia also has a partnership with Codelco through Almar Water Solutions, owned by Abdul Latif Jameel.
The minister held several meetings with leaders of major Chilean mining companies, including Antofagasta, SQM and Quinenco, where current opportunities for investment in mineral exploration in Saudi Arabia, the exploration incentives program and belt licenses were reviewed.
Al-Khorayef invited leaders of Chilean mining companies to participate in the International Mining Conference to be held in Riyadh next January.
He also discussed with officials from the Advanced Mining Technology Center (AMTC) and the Mine Control Center of AngloAmerican, the use of their modern technologies to improve mining operations and raise operational efficiency in mining projects, while adhering to global environmental specifications.
Investment opportunities in the Saudi mining sector topped the agenda of the Minister of Industry’s tour, which included visits to Brazil and Chile. He began the tour on July 22 and held several meetings with the aim of strengthening international partnerships and attracting foreign investments to this vital sector.
Over the past years, Saudi Arabia has taken several measures to improve the investment environment in the sector, including amending the mining investment system and launching enablers and incentives in the mining sector, including 75% joint financing for capital expenditures, a 5-year tax exemption, and 100% direct foreign ownership.
In April 2024, the Ministry of Industry announced the Exploration Enabling Program, allocating $182 million to reduce the risks of exploration investments. To help investors make their investment decisions clearly, and in compliance with transparency standards in the mining investment environment, Saudi Arabia makes available all geological data that is continuously updated.
Saudi Arabia has also made significant progress in mineral exploration programs implemented by the Saudi Geological Survey, including geological survey and mapping projects estimated at around SR1 billion, in addition to accelerating the process of granting licenses to local and international investors in the sector, in addition to launching 3 global public auctions to grant licenses in the mining sector.
The Kingdom also announced the establishment of the National Minerals Program, which will be a powerful and supportive tool to enhance the quality and efficiency of mineral supply chains and ensure the continuity of their supply to local industries and major projects as Saudi Arabia aims to invest SR120 billion in basic and strategic mineral industries.
The ministry also launched the first mineralized belts of their kind in Saudi Arabia, including 3 exploration licenses in Jabal Sayyad belt in Madinah, which includes a group of base metals and precious metals, including copper, zinc, lead, gold and silver, and two exploration licenses in Al-Hajjar site located in Wadi Shawas belt in Asir region, which is rich in a variety of precious metals and base metals, including copper, zinc, gold and silver, as these belts extend over a total area of 4,788 square kilometers.
This step comes to accelerate the pace of exploration and exploitation of mineral resources in Saudi Arabia.
