Al-Amar Mine Boosts Kingdom’s Ability To Meet Gold Mining Needs

One of the entrances to the Al-Amar gold mine, south of the Saudi capital (Asharq Al-Awsat).
One of the entrances to the Al-Amar gold mine, south of the Saudi capital (Asharq Al-Awsat).
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Al-Amar Mine Boosts Kingdom’s Ability To Meet Gold Mining Needs

One of the entrances to the Al-Amar gold mine, south of the Saudi capital (Asharq Al-Awsat).
One of the entrances to the Al-Amar gold mine, south of the Saudi capital (Asharq Al-Awsat).

Al-Amar mine - one of the main gold mines in the Kingdom – produces around 350,000 tons of minerals annually. It has also generated 580,500 ounces of gold from 2008 until the end of 2021.

As part of the activities of the International Mining Conference, which will kick off next week, the Ministry of Industry and Mineral Resources organized a field tour to the mine, which is 195 km southwest of Riyadh and is located geologically at the eastern edge of the Arabian Shield.

During the tour, which was attended by Asharq Al-Awsat, the ministry pointed to traces of furnaces and piles not far from the pits and trenches.

The visitors also saw crushed rocks, from which copper and gold are obtained by sifting. In addition to gold and zinc present in commercial quantities, other minerals include silver, copper and lead, in minor or small quantities. The minerals are concentrated in the Northern Erg range.

The president of the Saudi Geologists Association, Dr. Abdulaziz bin Laboun, told Asharq Al-Awsat that the global need for mining would double seven times in the coming years, stressing that the Kingdom had great opportunities to meet the international demand and attract foreign investments.

For his part, the head of the National Committee for Mining in the Federation of Saudi Chambers, Ibrahim Nazer, told Asharq Al-Awsat that foreign investment depended on the confidence of investors and the stability of systems in the country, pointing to the Kingdom’s efforts to improve its related legislation and facilitate access to licenses.

The International Mining Conference, which will be held on Jan. 11-13, seeks to unveil promising opportunities in the Kingdom and the regions of the Middle East, Central Asia and Africa.

Saudi Arabia owns about 140 oil and gas fields, in addition to the Arabian Shield, which occupies a third of the Kingdom’s area, standing at about 630,000 km.



Oil Prices Rise as Israel-Iran Conflict Enters Seventh Day

FILE PHOTO: A view shows an oil pump jack outside Almetyevsk in the Republic of Tatarstan, Russia, June 4, 2023. REUTERS/Alexander Manzyuk/File Photo
FILE PHOTO: A view shows an oil pump jack outside Almetyevsk in the Republic of Tatarstan, Russia, June 4, 2023. REUTERS/Alexander Manzyuk/File Photo
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Oil Prices Rise as Israel-Iran Conflict Enters Seventh Day

FILE PHOTO: A view shows an oil pump jack outside Almetyevsk in the Republic of Tatarstan, Russia, June 4, 2023. REUTERS/Alexander Manzyuk/File Photo
FILE PHOTO: A view shows an oil pump jack outside Almetyevsk in the Republic of Tatarstan, Russia, June 4, 2023. REUTERS/Alexander Manzyuk/File Photo

Oil prices rose on Thursday after Israel and Iran continued to exchange missile attacks overnight and US President Donald Trump's stance on the conflict kept investors on edge.

Brent crude futures rose 36 cents, or 0.5%, to $77.06 a barrel by 0913 GMT. US West Texas Intermediate crude for July was up 54 cents, or 0.7%, at $75.68. Brent had surged to its highest in nearly five months at $78.50 on June 13, when Israel began its attacks. The conflict entered its seventh day on Thursday after Israel struck a key Iranian nuclear site and Iranian missiles hit an Israeli hospital, Reuters said.

There is still a "healthy risk premium baked into the price as traders wait to see whether the next stage of the Israel-Iran conflict is a US strike or peace talks", said Tony Sycamore, analyst at trading platform IG.

Goldman Sachs said on Wednesday that a geopolitical risk premium of about $10 a barrel is justified, given lower Iranian supply and risk of wider disruption that could push Brent crude above $90.

President Trump told reporters on Wednesday that he had yet to decide whether the US will join Israel in its attacks on Iran.

As a result of the unpredictability that has long characterized Trump's foreign policy, "markets remain jittery, awaiting firmer signals that could influence global oil supply and regional stability" said Priyanka Sachdeva, analyst at Phillip Nova.

The risk of major energy disruption will rise if Iran feels existentially threatened, and US entry into the conflict could trigger direct attacks on tankers and energy infrastructure, said RBC Capital analyst Helima Croft.

Iran is the third-largest producer among members of the Organization of the Petroleum Exporting Countries, extracting about 3.3 million barrels per day (bpd) of crude oil.

About 18 million to 21 million bpd of oil and oil products move through the Strait of Hormuz along Iran's southern coast and there is widespread concern the fighting could disrupt trade flows.

Separately, the US Federal Reserve kept interest rates steady on Wednesday but penciled in two cuts by the end of the year. Lower interest rates could stimulate the economy, helping to support demand for oil. On the supply side, US crude stockpiles fell sharply last week, registering the largest decline in a year, the Energy Information Administration said on Wednesday.