The mining sector in the Kingdom: Vision 2030 leads Saudi Arabia to global leadership
The Minister of Industry and Mineral Resources, Bandar bin Ibrahim Al-Khorayef, affirmed that the Kingdom of Saudi Arabia seeks to play a pivotal role in the mining sector, both domestically and globally, mirroring its historical leadership in stabilizing global energy markets. This statement was made during his participation in a panel discussion at the St. Petersburg International Economic Forum in Russia, where he emphasized that this ambitious vision is based on building robust international partnerships and developing an integrated industrial system that ensures the security of global mineral supply chains.
Vision 2030: Transforming latent wealth into an economic engine
These aspirations are an integral part of the Kingdom’s Vision 2030, which aims to diversify the national economy and reduce dependence on oil. The mining sector has long been considered the “third pillar” of Saudi industry, after oil and petrochemicals. This strategy is based on the vast resources of the Arabian Shield, a geologically rich mineral region that has not been fully exploited in the past. Over the past few years, the Kingdom has intensified its geological surveys and exploration efforts, contributing to raising the estimated value of its potential mineral wealth to US$2.5 trillion, an increase of nearly 90% compared to the estimates announced in 2018. These resources include strategic minerals such as gold, copper, phosphate, and bauxite, as well as rare earth elements, which are vital for advanced technology industries and renewable energy.
The Kingdom's mining sector strategy: Building an integrated system
Al-Khurayyif explained that developing the mining sector in the Kingdom is not limited to extracting raw materials, but extends to building an integrated system that supports downstream industries and creates added value for the economy. He pointed out that Saudi non-oil exports reached record levels of approximately 620 billion riyals, with mining products, fertilizers, and aluminum constituting a significant portion. To achieve these goals, the Kingdom launched global platforms such as the International Mining Conference, held annually in Riyadh, which brings together government leaders, major mining companies, financial institutions, and academic bodies to enhance international cooperation and address the challenges facing the sector.
Strengthening international cooperation to meet global demand
The Minister emphasized that the future of the mining sector depends primarily on international cooperation and the integration of value chains. He pointed out that Africa, the Middle East, and Central Asia possess approximately 33% of the world's mineral reserves but contribute only about 6% of global supply. This highlights the significant opportunity to enhance investment in infrastructure and technology to unlock this potential. In this context, Al-Khorayef noted the importance of the partnership between the Kingdom and Russia in this vital sector, affirming the Kingdom's aspiration to expand cooperation and joint investment in rare and critical minerals, serving mutual interests and contributing to building more resilient and sustainable global supply chains.
