Saudi Vice-Minister for Mining Affairs Khalid Al-Mudaifer has predicted a fourfold increase in the demand for minerals used in clean energy technologies and electric vehicles by 2040.
Al-Mudaifer stressed that the Kingdom of Saudi Arabia is focused on benefiting from the knowledge and experience of developed mining regions.
The vice-minister noted that net consumption of minerals like graphite, cobalt, vanadium, and nickel will exceed demand by two-thirds by 2050.
Moreover, current supplies of copper, lithium and platinum are insufficient to meet future needs. Al-Mudaifer projected a 30%- 40% supply gap for those minerals.
He explained that the new mining strategy in the Kingdom launched more than 40 initiatives designed to improve the general climate for mining and attract the investment required for the success of this new industry.
According to Al-Mudaifer, Saudi Arabia is focused on developing sustainable integrated value chains, which are enabled by creating an investment environment based on simple licensing and sustainability processes.
Additionally, Al-Mudaifer mentioned the benefits of devoting financial and human resources to bring about a rapid transformation in the mining sector in Saudi Arabia.
Al-Mudaifer noted that the mining investment system in the Kingdom provides a clear regulatory environment, as well as a transparent digital process for requests for licenses and approvals.
He added that the Kingdom’s efforts to create one of the best mining investment climates in the world has led to a 27% year-on-year growth in Saudi mining revenues in 2021.
“We have made great progress creating one of the most favorable mining investment climates in the world, resulting in a 27% year-on-year growth in mining revenues in 2021, totaling more than $8-billion in foreign direct investment attracted by the Ministry,” Al-Mudaifer told Mining Weekly.
Moreover, a recent survey reveals the enthusiasm expressed by mining industry investors regarding the opportunities in Saudi Arabia, with nearly 80% of those surveyed considering investing in the sector. This relative optimism, Al-Mudaifer said, speaks to the success of the Saudi Arabian mining sector transformation.
