Saudi Arabia Announces Successful Bidders For Round 7 Exploration Licenses
The Saudi Ministry of Industry and Mineral Resources has revealed the winners of its seventh tender licensing round. This announcement underscores Saudi Arabia's dedication to fostering a competitive investment climate, aligning with Vision 2030 objectives. The ministry received 24 proposals from 11 local and international firms for six sites spanning 890 square kilometers in Riyadh and Makkah.
Al Masane Al Kobra Mining Company emerged as a key player, securing licenses for three locations: Jabal Al Klah North, Jabal Al Klah South, and Jabal Ad Dimah. Meanwhile, Abdulrahman Saad Al Rashid & Brothers Co. and Gold & Minerals Company Limited Alliance were granted the license for the Umm Hijlan (Mamilah) site.
Skylark and Al Kalig Al Arabi for Mining obtained the exploration license for Wadi Al Lith, while Power Nickel Company was awarded an exploration license for Jabal Baudan. The selection process was transparent and merit-based, focusing on work programs, exploration activities, social plans, and innovation.
The successful bidders have pledged SAR126 million towards exploration efforts and SAR9 million to support social programs benefiting local communities. These commitments reflect a significant investment in both economic development and community welfare.
The Ministry of Industry and Mineral Resources is working with the Ministry of Investment to introduce incentives that boost mining exploration in Saudi Arabia. Companies with valid exploration licenses under five years can receive up to SAR7.5 million in subsidies.
The Mining Investment Law provides further advantages, including the establishment of wholly foreign-owned mining companies. Additionally, it offers financing options covering up to 75% of capital expenditure through the Saudi Industrial Development Fund.
Looking ahead, the ministry plans to initiate licensing rounds in 2025 covering an expansive area of 50,000 square kilometers. These opportunities will be available to both local and international investors.
Details about these future licensing rounds will be shared at the Future Minerals Forum 2025. This event will serve as a platform for unveiling new opportunities within Saudi Arabia's mining sector.
With inputs from SPA
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