Saudi Arabia’s mining industry grew 27 percent to $194 million in 2021 which is the biggest revenue ever from the sector in the country, Saudi Vice Minister of Industry and Mineral Resources for Mining Affairs Eng. Khalid Saleh Al-Mudaifer said in his address at the Financial Times Commodities Global Summit held between March 21 and 23, 2022 in Lausanne, Switzerland.
Al-Mudaifer estimated the total value of mineral wealth in Saudi Arabia at around $1.3 trillion.
The summit was attended by senior CEOs and financers of basic commodities.
Eng. Al-Mudaifer shed light on three trends shaping the global mining sector: First, the increasing demand for minerals and metals required for energy transmission. Second, the impact of sustainability on the markets of minerals and mining. And third, is the increasing competition among countries seeking to assume leading roles in mining.
“Our green future will witness an intense demand on minerals in light of global endeavors for the transformation of the energy sector.” Al-Mudaifer said. “This means higher demand on strategic minerals, estimated at 40 times of current levels and will be accompanied by price hikes, noting that sustainability affects both global supply and demand.”
He stressed that competition among countries is increasing to assume leading positions in the global mining markets, where the geographic concentration of some minerals and nationalization of resources have led to diversifying supply chains.
“The mining industry is at a crossroads,” Al-Mudaifer said. “The world needs more flexible supply chains from diversified sources, where these supply chains should be more responsible and fairer. Saudi Arabia will play a central role in developing the greater mining zone spanning from Africa to Asia”.
