Saudi Industrial Development Fund (SIDF) CEO Ibrahim Almojel revealed that the total value of loans approved by the Fund for the mining sector since the launch of Saudi Arabia’s national plan for transformation, Vision 2030, has exceeded SR4.8 billion ($1.28 billion).
Almojel confirmed that the Fund offers financing up to 75% of the mining projects that meet the relevant requirements.
Speaking to Asharq Al-Awsat, Almojel said that the mining sector is one of the most important investment pillars targeted in Vision 2030. This is due to Saudi Arabia’s untapped mineral resources and unique geographical location linking the three continents: Asia, Africa, and Europe.
The CEO added that the Fund finances the final stage of exploration operations, which include drilling and mining works, in addition to reinforcing support service companies, which contribute to raising the added value and sustainability of the mining sector in the country.
Almojel stressed that the strategy of the Fund in financing aims to achieve the development of the mining sector and increase its contribution to the non-oil GDP, increase job opportunities and contribute to increasing the flow of local and foreign investments in Saudi Arabia.
“The Fund supported the financing of above-ground mining projects for products such as zinc, copper, gold and gypsum,” said Almojel.
“In order to support the increasing demand and attract more investments, the Fund has recently financed exploration projects (under the surface of the earth), and this stage includes excavation and mine processing works,” he added.
Saudi Arabia plans to auction at least three mining licenses in 2022, including for the deposits in Khnaiguiyah. These deposits include an estimated 26 tons of copper and zinc, Saudi Mining Minister Bandar Al-Khorayef has told Reuters.
Saudi Arabia is seeking $170 billion in mining investment by 2030.