Dubai, UAE — Saudi Arabian Mining Company (Maaden) has announced the fulfillment of conditions to complete the acquisition of a 9.9 percent stake in the US-based Ivanhoe Electric for SAR474 million ($126.4 million), as well as the establishment of an exploration joint venture (JV).
There is no change in the associated costs related to the event, Maaden noted.
In January, Maaden signed a heads of terms agreement with Ivanhoe to acquire 10.21 million shares, representing 9.9 percent of its common shares, Argaam reported.
Maaden has posted a net profit of SAR 419.4 million ($111 million) for the first quarter of 2023, which marks an 81 percent decline from SAR 2.17 billion in the same quarter last year.
The company said in a statement that the net profit was impacted by lower EBITDA of SAR 2.18 billion (Q1 2022 SAR 4.40 billion) primarily due to a one-off utilities charge and higher raw material prices.
The decline in profit was driven by lower average selling prices of all products except gold, higher cost of sales, and an increase in raw material costs as well as production operating costs.