MENA at this time is not well known for its mining opportunities; however, a lot of effort is being taken to promote them. This is highly visible in the series of shows International Exhibition for Mineral Exploration and Development (MENA-EX) – the next one is planned in January 2010 in Jeddah. As it was mentioned this year at MENA-EX 2009 “Saudi Arabia and the MENA region is the new mining development area…” As it is usual for new mining regions, the infrastructure is one of the biggest problems.
The subject region is very diverse in its investment opportunities – both in terms of resource potential and legal development. A very brief outlook at specific countries.
Saudi Arabia
There is a strong perception that Saudi Arabia is a major oil producing country, however, in addition to that, it possesses deposits of many minerals, including bauxite, copper, gold, iron, lead, silver, tin and a number of non-metallic minerals. This Web-site provides information on most of them. Excellent overview – Mineral Resource Potential and Its Development in Saudi Arabia by MAHMOUD ALI DARWISH and NAZIR AHMAD BUTT – provides detailed description of the subject with geologic data and maps.
This country is very actively pursuing the issues of foreign investment in its mineral projects. General idea of Saudi Arabia situation is summarized in this slide from CITADEL RESOURCES presentation:
However, the hardest point, as it seems right now – is to actually develop activities with the funds raised.
Ma’aden is a Saudi joint stock company operating since 1997, that is developing five gold mining operations, as well as phosphate, aluminum and other projects. A respectable industry overview may be found in the company’s Prospectus and in this corporate presentation, while a very good description of mining in Saudi Arabia is in the Corporate Brochure. For more than 4 years an Australian CITADEL RESOURCES is operating in the country, and as an example, here is the progress on their copper project
Source: CITADEL Resource Group
Also watch this video on the company’s expansion plans:
Council for Australian‐Arab Relations (CAAR) and Australia Arab Chamber of Commerce and Industry (AACCI) had prepared this excellent Business Guides to the Arab Gulf The Kingdom of Saudi Arabia – a comprehensive reference book on how to do business in Saudi Arabia: starting from the general issues and entering the market, as well as basic industries. Another Guide on doing business that includes some legal aspects is provided by the Arab-German Chamber of Commerce and Industry.
Other useful links for investments in Saudi Arabia:
HOW TO OBTAIN AN INDUSTRIAL LICENCE FOR JOINT VENTURE OPERATIONS
Doing Business in Saudi Arabia by UHY
Foreign Direct Investment in the Middle East: Major Regulatory Restrictions
Negotiating International Business – Saudi Arabia
Saudi Arabia Foreign Investment Law
Saudi Arabia Investment Rules and Instructions
The Executive Rules of Foreign Investment Act
A Brief Overview of the Saudi Arabian Legal System By Dr. Abdullah F. Ansary
More to follow…
2 Responses to “Investments in MENA Mining: Part II – Saudi Arabia”
By rajesh
on Dec 15, 2009
Reply
good coverage