Mining is one of the sectors projected for expansion as part of the goal of Saudi Arabia’s Crown Prince Mohammed bin Salman’s 2030 vision. According to Professor Abdulaziz bin Labon, Chairman of the Saudi Geologists Cooperative Association, Saudi Arabia had over 5,300 mineral locations early this year. Saudi plans to attract $170 billion in investment in the mining sector by the end of 2030.
in June 2022, the Saudi Crown Prince announced that developing the mining sector is one of the country’s top research and development priorities. Furthermore, Saudi Industry and Mineral Resources Minister Khalid Al-Mudaifer announced that the kingdom attracted more than $8 billion (30.06 billion Saudi riyals) in foreign direct investment in its mining industry last year; following the passage of legislation encouraging investment in the sector.
The Discovery of the New Gold and Copper Ore Sites
On September 15, 2022, the Saudi Press Agency (SPA) announced that the Saudi Geological Survey (SGS) discovered new gold and copper ore sites in the Madinah region. The copper ore was discovered in four sites within the boundaries of Aba Al-Raha, the shield of Umm Al-Barrak Hejaz, in the Madinah region.
The discoveries are expected to attract both domestic and international investors, with a total investment of up to $533 million. Approximately 4000 job opportunities will be open as a result of this investment.
Saudi Arabia is the world’s 18th largest gold holder. Although the United States is in the first position with the largest gold reserve in the world, Saudi Arabia has the largest gold reserves among Arab countries.
In 2018 the kingdom’s minerals were worth an estimated $1.3 trillion. However, the pace of mining development and exploitation has been slow since then. Therefore, the discovery of new mining sites for gold and copper ore is expected to accelerate the growth of the mining industry in Saudi Arabia.
Visit Musaffa Academy to read more articles about Islamic finance and Halal investment.
Please feel free to sign up for Musaffa Halal Stock Screener to start your halal investment journey.