By: Zawya

Saudi Arabia’s Maaden is negotiating with a US company for the utilisation of raw materials found in one of its mines, the Gulf Kingdom’s Minister of Industry and Mineral Resources has said.

Bandar Al-Khorayef told the Saudi daily Aleqtisadia that the recent strategic agreement signed between Saudi Arabia and the US in the field of rare earth minerals includes a framework for joint investments, information exchange, the transfer of technology and conversion of raw materials into finished products.

“I can now reveal that there are ongoing discussions between the Saudi private sector, represented by Maaden, and an American company regarding how to utilise the raw materials found in one of the mines operated by Maaden,” he added.

Regarding Saudi Arabia's reserves of critical minerals, Al-Khorayef indicated that the Kingdom is among the top four countries in rare earth or critical mineral reserves.

He said estimates show there is a need for around 15,000 tonnes of these materials for local needs, compared to production plans that could reach around 20,000 tonnes. This contributes to ensuring the readiness of local supply chains to meet domestic demand in sectors such as electric vehicles and semiconductors, he said.

NYSE-listed MP Materials, a partner in the tripartite rare earth joint venture in Saudi Arabia, disclosed last week that it is in talks to support or collaborate on magnet manufacturing in the Kingdom, but did not provide further details.