Saudi Arabia to Finalize Integrated Strategy for Energy Sector

Saudi Energy Minister Prince Abdulaziz bin Salman and NEOM CEO Nadhmi Al-Nasr during the signing ceremony in Riyadh on Sunday. (SPA)
Saudi Energy Minister Prince Abdulaziz bin Salman and NEOM CEO Nadhmi Al-Nasr during the signing ceremony in Riyadh on Sunday. (SPA)
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Saudi Arabia to Finalize Integrated Strategy for Energy Sector

Saudi Energy Minister Prince Abdulaziz bin Salman and NEOM CEO Nadhmi Al-Nasr during the signing ceremony in Riyadh on Sunday. (SPA)
Saudi Energy Minister Prince Abdulaziz bin Salman and NEOM CEO Nadhmi Al-Nasr during the signing ceremony in Riyadh on Sunday. (SPA)

The Saudi Ministry of Energy and NEOM signed on Sunday a memorandum of cooperation that constitutes the Saudi road map for the implementation of future energy goals as the Kingdom prepares to complete an integrated energy sector strategy by the end of 2020.

In a ceremony in Riyadh, Energy Minister Prince Abdulaziz bin Salman and NEOM CEO Nadhmi Al-Nasr signed the MoU that focuses particularly on renewable energy and includes increased cooperation in green hydrogen production, application of a circular carbon economy, enhanced local content, innovation and development, and the application of artificial intelligence in the energy sector.

The minister emphasized that the areas of cooperation embodied the Kingdom’s strategies and directions towards an increased reliance on renewable resources, such as solar and wind energy, to generate electricity, in addition to NEOM’s contribution to the production of hydrogen in order to achieve energy sustainability while preserving the environment and opening the way for exports.

“We have to persevere and make all our capacities available to realize this project,” he told a press conference at the ceremony.

He added that NEOM was part of Saudi Vision 2030, which aims to attract foreign investment and generate jobs to reduce the Kingdom’s dependence on oil.

Energy mix
According to the MoU, areas of cooperation between the Ministry of Energy and NEOM will include shaping the energy mix to produce electricity; supporting renewable energy projects; benefiting from the Saudi Energy Efficiency Center’s (SEEC) programs; promoting electrical grid projects and their infrastructure; and applying rules of the national program for local content in the energy sector.

“The Ministry of Energy will supervise the implementation of renewable energy projects within the NEOM project, which target the production of 15 gigawatts of electricity by 2030, in addition to carrying out all preparatory work, such as assessing and measuring renewable energy sources at the selected sites and evaluating the electric transmission network,” the minister explained.

He added that the Ministry of Energy would prepare all the necessary documents for launching renewable energy projects in NEOM, with the aim to attract leading local and international companies.

In this regard, Prince Abdulaziz noted that NEOM was characterized by an excellent geographical location and ideal climate conditions, which will facilitate the production of electricity from renewable energy and contribute to reducing the cost of hydrogen production.

The MoU will also cover cooperation in the programs of the SEEC, including exchange of experiences in the field of energy efficiency and rationalization of consumption, as well as the adoption of energy efficiency standards to be used in NEOM’s buildings and facilities.

Artificial intelligence
Prince Abdulaziz affirmed that the agreement also sought the development and activation of artificial intelligence technologies, in its various forms, in order to better serve the business of generating and supplying energy and contribute to the development of a smart electricity network, through which energy is generated from various sources and distributed at a lower cost and higher efficiency.

He added that cooperation between the two sides also aimed to support and strengthen power network projects, including the design, construction and operation works in the Amala project, the hydrogen production plan, the electrical interconnection between Saudi Arabia and Egypt, in addition to studying the regulatory framework for electricity generation and cogeneration activities.

Local content
Addressing the press conference, Prince Abdulaziz talked about the National Program for Local Content in the Energy Sector, which he said sought to enhance and sustain local content in the energy business within NEOM.

According to the minister, the two sides will cooperate on the Hydrocarbon Demand Sustainability Program, focusing on raising the environmental and economic efficiency of these materials, in addition to promoting the use of blue and green hydrogen gas, which enhances the sustainability of oil demand.

Circular economy
The agreement also addressed the implementation of the circular carbon economy strategy, which, according to Prince Abdulaziz, relies on reducing emissions, reusing carbon, and using carbon as a feedstock for other products and finally decarbonizing. Relying on blue and green hydrogen represents one of the important initiatives under the circular carbon economy strategy.

Integrated energy strategy
In addition to being the largest oil exporter in the world, Saudi Arabia aspires to become one of the main countries in the production and export of renewable energy, according to the minister. This, of course, includes the production and export of hydrogen, he stated.

In this context, the NEOM’s new hydrogen project is a first step towards establishing an economically important activity within the Kingdom, which will contribute to enhancing growth, economic diversification and reducing greenhouse gas emissions.

NEOM projects
For his part, NEOM CEO Al-Nasr emphasized the importance of the memorandum as it will reinforce and support NEOM’s plans to be the world leader in the full reliance on renewable energy. He stressed that the city would rely totally on renewable power, including solar, wind and hydrogen produced from renewable energy sources.

“Facing climate change requires more efforts and cooperation in the field of a circular carbon economy, to reduce emissions and make optimal use of carbon in the economic life cycle, including the great role of hydrogen in this context,” he said.

The Ministry of Energy’s cooperation activities with NEOM included coordination to study and support the strengthening of electrical grid projects and its infrastructure, as part of NEOM’s endeavor to build an advanced and modern electricity transmission network to link renewable energy sources in the company’s business area, cooperation in the field of smart grids and customer service.



Gold Bounces Back on Softer Dollar, US-Iran Concerns; Silver Rebounds

Gold and silver bars are stacked in the safe deposit boxes room of the Pro Aurum gold house in Munich, Germany, January 10, 2025. REUTERS/Angelika Warmuth
Gold and silver bars are stacked in the safe deposit boxes room of the Pro Aurum gold house in Munich, Germany, January 10, 2025. REUTERS/Angelika Warmuth
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Gold Bounces Back on Softer Dollar, US-Iran Concerns; Silver Rebounds

Gold and silver bars are stacked in the safe deposit boxes room of the Pro Aurum gold house in Munich, Germany, January 10, 2025. REUTERS/Angelika Warmuth
Gold and silver bars are stacked in the safe deposit boxes room of the Pro Aurum gold house in Munich, Germany, January 10, 2025. REUTERS/Angelika Warmuth

Gold rebounded on Friday and was set for a weekly gain, helped by bargain hunting, a slightly weaker dollar and lingering concerns over US-Iran talks in Oman, while silver recovered from a 1-1/2-month low.

Spot gold rose 3.1% to $4,916.98 per ounce by 09:31 a.m. ET (1431 GMT), recouping losses posted during a volatile Asia session that followed a fall of 3.9% on Thursday. Bullion was headed for a weekly gain of about 1.3%.

US gold futures for April delivery gained 1% to $4,939.70 per ounce.

The US dollar index fell 0.3%, making greenback-priced bullion cheaper for the overseas buyers.

"The gold market is seeing perceived bargain hunting from bullish traders," said Jim Wyckoff, senior analyst at Kitco Metals.

Iran and the US started high-stakes negotiations via Omani mediation on Friday to try to overcome sharp differences over Tehran's nuclear program.

Wyckoff said gold's rebound lacks momentum and the metal is unlikely to break records without a major geopolitical trigger.

Gold, a traditional safe haven, does well in times of geopolitical and economic uncertainty.

Spot silver rose 5.3% to $74.98 an ounce after dipping below $65 earlier, but was still headed for its biggest weekly drop since 2011, down over 10.6%, following steep losses last week as well.

"What we're seeing in silver is huge speculation on the long side," said Wyckoff, adding that after years in a boom cycle, gold and silver now appear to be entering a typical commodity bust phase.

CME Group raised margin requirements for gold and silver futures for a third time in two weeks on Thursday to curb risks from heightened market volatility.

Spot platinum added 3.2% to $2,052 per ounce, while palladium gained 4.9% to $1,695.18. Both were down for the week.


Europe, Türkiye Agree to Work Toward Updating Customs Union

European Union (R) and Turkish flags fly at the business and financial district of Levent in Istanbul, Türkiye September 4, 2017. REUTERS/Osman Orsal
European Union (R) and Turkish flags fly at the business and financial district of Levent in Istanbul, Türkiye September 4, 2017. REUTERS/Osman Orsal
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Europe, Türkiye Agree to Work Toward Updating Customs Union

European Union (R) and Turkish flags fly at the business and financial district of Levent in Istanbul, Türkiye September 4, 2017. REUTERS/Osman Orsal
European Union (R) and Turkish flags fly at the business and financial district of Levent in Istanbul, Türkiye September 4, 2017. REUTERS/Osman Orsal

The European enlargement chief and the Turkish foreign minister said on Friday they had agreed to continue work toward modernizing the EU-Türkiye customs union and to improve its implementation, Reuters reported.

European Commissioner for Enlargement Marta Kos met Turkish Foreign Minister Hakan Fidan in the capital Ankara on Friday.

"They shared a willingness to work for paving the way for the modernization of the Customs Union and to achieve its full potential in order to support competitiveness, and economic security and resilience for both sides," they said in a joint statement afterward.

The sides also welcomed the gradual resumption of European Investment Bank (EIB) operations in Türkiye and said they intended to support projects across the country and neighbouring regions in cooperation with the bank.


Bitcoin Falls 8% and Asian Shares Mostly Slip after Wall Street is Hit by Tech Stock Losses

FILE PHOTO: Representation of Bitcoin cryptocurrency in this illustration taken September 10, 2025. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: Representation of Bitcoin cryptocurrency in this illustration taken September 10, 2025. REUTERS/Dado Ruvic/Illustration/File Photo
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Bitcoin Falls 8% and Asian Shares Mostly Slip after Wall Street is Hit by Tech Stock Losses

FILE PHOTO: Representation of Bitcoin cryptocurrency in this illustration taken September 10, 2025. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: Representation of Bitcoin cryptocurrency in this illustration taken September 10, 2025. REUTERS/Dado Ruvic/Illustration/File Photo

US futures and Asian shares traded mostly lower on Friday, tracking Wall Street’s losses as technology stocks again dragged on markets.

Bitcoin sank to roughly half its record price, giving back all it gained since US President Donald Trump won the White House for his second term.

Tokyo’s Nikkei 225 was up 0.8% to 54,253.68, recovering from losses earlier this week, with technology-related stocks leading gains. SoftBank Group rose 2.2% and chipmaker Tokyo Electron rose 2.6%. Japan will also be holding its general election on Sunday, in which Prime Minister Sanae Takaichi expects to win a stronger public mandate for her policies.

Shares of Toyota Motor were up 2%. The carmaker said Friday its CEO Koji Sato will be stepping down in April, and is to be replaced by Chief Financial Officer Kenta Kon, The Associated Press said.

South Korea’s Kospi lost 1.4% to 5,089.14, weighed down by tech shares. Samsung Electronics, the country’s biggest listed company, fell 0.4%. Chipmaker SK Hynix was also down 0.4%.

Hong Kong’s Hang Seng fell 1.4% to 26,519.60. The Shanghai Composite index was down 0.3% to 4,065.58.

In Australia, the S&P/ASX 200 shed 2% to 8,708.80.

Taiwan’s Taiex was mostly flat. India's Sensex traded 0.1% lower.

Against the backdrop of the technology sell-off this week, bitcoin, the world’s largest cryptocurrency, saw dimming enthusiasm and was trading about 8% lower at just under $65,000 early Friday, after it briefly sank over 12% to below $64,000 on Thursday. That’s down from a record of above $124,000 in October.

The future for the S&P 500 was 0.2% lower, while that for the Dow Jones Industrial Average fell 0.1%.

On Thursday, the S&P 500 fell 1.2% to 6,798.40, its sixth loss in the seven days. The Dow Jones Industrial Average fell 1.2% to 48,908.72. The Nasdaq composite dropped 1.6% to 22,540.59.

Technology stocks were among the worst hit as concerns persist over whether massive AI investments by many of the Big Tech firms will pay off.

Chipmaker Qualcomm sank 8.5% despite better-than-expected quarterly revenues. Alphabet lost 0.5% as investors were focused on its huge spendings on AI.

Amazon fell 11% in after hours trading Thursday after it announced plans to boost capital spending by more than 50% to $200 billion in AI and other areas.

American artificial intelligence startup Anthropic ’s new AI tools also fueled the sell-off of software stocks on Wall Street this week, as its sophistication means many traditional software development services and products could be disrupted or replaced.

Gold and silver prices have been volatile this week following a monthslong rally as investors moved into safe haven assets prompted by factors including elevated geopolitical tensions. Gold prices fell 0.6% on Friday to $4,858.60 per ounce, after nearing $5,600 last week.

Silver prices dropped 5.5% to $72.52 per ounce after rising earlier this week. It lost more than 31% last Friday.

In other dealings early Friday, US benchmark crude oil gained 35 cents to $63.64 a barrel. Brent crude, the international standard, rose 36 cents to $67.91 a barrel.

The US dollar fell to 156.74 Japanese yen from 157.03 yen. The euro was trading at $1.1789, up from $1.1777.