Saudi Arabia plans to invest nearly 8.5 billion Saudi riyals ($2.26 billion) in gold and phosphate production projects in 2025. This investment aims to develop the Kingdom’s mining sector as part of Vision 2030.
Ma’aden, the state-owned mining company, will lead these investments, according to a report by Almal newspaper. The Mansourah-Massarah mine will become Saudi Arabia’s largest gold mine, processing 4 million tons of ore annually and producing 250,000 ounces of gold per year. Additionally, Ma’aden is studying capacity expansions for the Mahd Ad Dhahad and Ar Rujum gold mines, aiming to increase production by 200,000 ounces per year each by 2025 and 2026, respectively.
Phosphate Projects and Global Impact
Ma’aden‘s third phosphate project, valued at $6.4 billion, will boost Saudi Arabia’s phosphate production capacity. This project will make Saudi Arabia the second-largest global phosphate producer, contributing to global food security. The project, located in Al Khurmah governorate, will have a significant production capacity, further enhancing Saudi Arabia’s position in the global mining sector.
These projects align with Saudi Arabia’s Vision 2030, aiming to diversify the economy away from oil. The mining sector is set for rapid growth, with substantial investments and exploration licenses issued since 2019. The Industry and Mineral Resources Ministry has been instrumental in this growth, supporting the development of the mining sector.
Saudi Arabia’s Mineral Wealth
Saudi Arabia holds an estimated $2.5 trillion in mineral wealth, including significant reserves of gold, phosphate, and other minerals. The Kingdom controls 323 tonnes of gold reserves, the largest in the Arab world and 18th globally. The value of these reserves, along with other underground metals, is estimated at over $2.5 trillion.
Saudi Arabia’s investment in gold and phosphate projects reflects its commitment to economic diversification. These projects will not only boost the mining sector but also contribute to global food security and economic stability. With Vision 2030 as a guiding framework, Saudi Arabia is poised to become a major player in the global mining industry.
