Saudi Arabia Identifies 3 Tracks to Achieve Arab-Chinese Industrial Integration

 CEO of the Hong Kong Stock Exchange speaking to the audience during the panel discussion (Asharq Al-Awsat)
CEO of the Hong Kong Stock Exchange speaking to the audience during the panel discussion (Asharq Al-Awsat)
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Saudi Arabia Identifies 3 Tracks to Achieve Arab-Chinese Industrial Integration

 CEO of the Hong Kong Stock Exchange speaking to the audience during the panel discussion (Asharq Al-Awsat)
CEO of the Hong Kong Stock Exchange speaking to the audience during the panel discussion (Asharq Al-Awsat)

The Saudi government is working on three tracks to achieve the integration of the industrial economy between the Arab countries and China. Those include policies and legislation, value chains, and manufacturing, advanced production, and building factories of the future.

The Saudi Ministry of Industry and Mineral Resources has adopted these paths following the visit of Chinese President Xi Jinping to the Kingdom, at the end of 2022, with the aim to achieve industrial integration with Beijing in many sectors.

During a dialogue session on the sidelines of the 10th session of the Arab-Chinese Businessmen Conference, Eng. Osama Al-Zamil, Deputy Minister of Industry and Mineral Resources, talked about the launching of a geological survey project, in partnership with the Chinese Geological Organization, to identify natural and mineral resources in the Arabian Shield.

He noted that mineral wealth was the third pillar of industry in the Kingdom, following oil and petrochemicals.

Al-Zamil added that the ministry has focused, since its inception, on the means to develop the mineral industry in terms of regulations and legislation, and to create opportunities for investors in the sector.

The ministry also aims, through its strategy, to stimulate growth by building the capabilities of local content and exports, and improving the investment environment in the industrial sector, he underlined.

The session was attended by Abdullah Fakhro, Bahraini Minister of Industry and Trade, Ali Al-Baqali, CEO of the Bahraini company Alba, as well as other senior officials and businessmen from the Arab world and China.

Speaking during the event, the Bahraini minister of Industry and Trade said that aluminum contributes 13 percent of the total output of the country, which attracts many investments in the field.

He also emphasized the importance of finding cooperation opportunities with China, which he described as one of the world leaders in manufacturing and advanced technologies.

Participants discussed during the session means to develop joint cooperation between Saudi Arabia, China and the Arab countries in the field of industry, mining and minerals, in addition to the agreements that were recently signed within this framework.

Monday’s session also included a dialogue with Nicolas Aguzin, CEO of the Hong Kong Stock Exchange, who stressed the importance to diversify investments in different regions of the world, noting that the current conference in Riyadh offers large markets and business owners an opportunity to learn about economic activities and build strong investment bridges.



Egypt, Cyprus Sign Gas Export Deals, Boosting Eastern Mediterranean Energy Cooperation

The logo of Italian energy company Eni is seen at a gas station in Rome, Italy August 16, 2018. (Reuters)
The logo of Italian energy company Eni is seen at a gas station in Rome, Italy August 16, 2018. (Reuters)
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Egypt, Cyprus Sign Gas Export Deals, Boosting Eastern Mediterranean Energy Cooperation

The logo of Italian energy company Eni is seen at a gas station in Rome, Italy August 16, 2018. (Reuters)
The logo of Italian energy company Eni is seen at a gas station in Rome, Italy August 16, 2018. (Reuters)

Egypt and Cyprus signed agreements on Monday enabling the export of gas from Cyprus's offshore fields to Egypt for liquefaction and re-export to Europe, as both countries seek to bolster the Eastern Mediterranean's role as an energy hub.

The deals signed at the 2025 Egypt Energy Show formalize a long-anticipated plan to link Cypriot reserves to Egypt’s liquefied natural gas (LNG) facilities, a move that leverages Egypt’s existing infrastructure to process and ship natural gas to European markets.

Monday's agreements involve gas extracted from one Cypriot site, Cronos Block 6 - now under license to a consortium of Italy's Eni and France's Total - to be processed at Egypt's Zohr facilities before being liquefied at Damietta and exported to Europe.

A second memorandum of understanding outlines a framework of processing gas from Cyprus' offshore Aphrodite field, under license to a Chevron-led consortium, which will also be sent to Egypt for processing.

The east Mediterranean has yielded some major gas discoveries in recent years, while a disruption in energy supplies from Russia after its invasion of Ukraine in 2022 has sharpened Europe's attention on securing supplies elsewhere.

"The essence of these agreements is not limited to promoting the exploitation of deposits, but broadens the prospects for energy cooperation with Egypt, while contributing to regional stability and strengthening our country's geopolitical position in the Eastern Mediterranean," a statement from Cyprus's Presidency said.

Cypriot officials have previously said they expect gas from Block 6 Cronos to possibly come online in 2026 or 2027. Cronos gas in place is estimated at more than 3 trillion cubic feet (tcf).

Aphrodite holds an estimated 3.5 tcf of gas. Israel's NewMed, a member of the consortium, expects gas to come online in 2031, it said in a stock exchange filing on Sunday.

In a Monday filing update, it said the "non-binding" MoU envisaged that Egypt's national gas company, EGAS, would be the sole buyer of the gas produced from Aphrodite, while the partners would be granted an option to purchase specific quantities of the gas sold to EGAS as LNG.

The signing of the Aphrodite deal follows a recent breakthrough between Cyprus and the Chevron-led consortium after months of disagreement over a development plan.

The agreement provides a boost for Egypt, which has struggled with declining domestic gas production and last year returned to being a net importer of natural gas.

Egypt recently signed $3 billion worth of LNG supply deals with Shell and TotalEnergies to cover domestic demand for 2025.

Egyptian Prime Minister Mostafa Madbouly has emphasized the country's need to ramp up production at its own Zohr gas field, where operator Eni has resumed drilling after output dropped to 1.9 billion cubic feet per day in early 2024.