RIYADH: The mining sector’s success in Saudi Arabia hinges on strong private sector partnerships, according to Finance Minister Mohammed Al-Jadaan. Given the significant investments and expertise required, the government alone cannot drive the sector’s growth, he said.

Speaking on the second day of the Future Minerals Forum in Riyadh, Al-Jadaan emphasized the need for collaboration between public and private sectors to unlock the full potential of the mining industry. The forum, which runs from Jan. 14-16, aligns with Saudi Arabia’s ambitious goal to increase the mining sector’s contribution to the nation’s gross domestic product from $17 billion to $75 billion by 2035.

It also supports the country’s Vision 2030 objective of establishing mining as a critical pillar of the industrial economy.

“This is a very complex industry that requires significant investments that, you know, the government alone cannot do. It requires significant know-how that the government alone cannot do, and you need to make sure that you actually partner with the private sector to enable this sector,” Al-Jadaan said.

Al-Jadaan outlined three key enablers for the mining sector's development: cross-sectoral alignment, the strategic use of data, and a competitive regulatory framework.

“If you want to do the right thing within mining, it is not the mining alone that will make it. You will need to make sure that you are aligning multiple sectors together — energy, mining, logistics, and possibly even a few others,” he explained.

He pointed to the National Industrial Development and Logistics Program as a successful example of how integrated sectors can collectively drive progress.

On the importance of data, Al-Jadaan emphasized its foundational role in shaping the sector's future. “There was real focus on making sure that we make an investment early on in data relating to mining, including specific technicalities and budgeting for supporting surveys throughout the mining sectors, and actually providing even support to companies who are coming for exploration,” he said.

The minister also highlighted the necessity of a stable and investor-friendly regulatory environment. “These are long-term investments investors would need to make. You know, we need to have predictability, confidence in the regulatory framework, and we need to ensure it is investor-friendly. They must be able to obtain their licenses on time and with certainty,” he added.

Al-Jadaan further acknowledged the challenges faced by emerging economies, particularly those in the Global South, which possess abundant mineral resources but often lack the capital, expertise, and infrastructure to exploit them fully. He suggested that with the right support, these nations could leverage their mineral wealth not only for industrial growth but as a key driver of broader economic development.

“With the right setup, they can utilize these resources not only for the mineral and metal industries but as part of a package for economic development,” he said, stressing that targeted support such as subsidized logistics and services could unlock the mining potential of these nations.

In a related panel discussion, Saudi Arabia’s Minister of Industry and Mineral Resources Bandar Alkhorayef highlighted Africa’s critical role in the global energy transition. He pointed out the disparity between the continent’s vast resource potential and its actual contribution to the market.

“Today, investment needs to happen not only in extraction but also in infrastructure. We have seen great assets today in Africa are falling behind because of infrastructure challenges, not mining challenges,” Alkhorayef noted.

As the Future Minerals Forum continues, the collaboration between the private sector and government remains central to advancing the sector, not only in Saudi Arabia but across the global mining landscape.

RIYADH: Saudi Energy Minister Prince Abdulaziz bin Salman emphasized on Wednesday that achieving energy security and sustainability hinges on addressing the challenges related to the supply and extraction of critical minerals.

Speaking at the Future Minerals Forum in Riyadh, Prince Abdulaziz highlighted that the primary energy security challenges of the modern world no longer revolve around oil, but are now focused on gas, electricity, and mining.

“I believe that energy security, affordability, and sustainability depend on urgent, collective, and inclusive efforts to address critical minerals’ challenges,” the minister stated.

He went on to say, “Today, oil no longer poses an energy security challenge due to the availability of storage, developed infrastructure, and a mature supply chain, and the production of oil has become more perfected. Instead, energy security is now about gas, electricity, and predominantly mining.”

According to Prince Abdulaziz, one of the most significant obstacles in the global energy transition is meeting the rising demand for critical minerals and ensuring a reliable supply. The energy minister cautioned that the energy transition is inherently material-intensive, and the demand for these minerals could soon outpace their available supply.

“I believe that meeting the increased demand for critical minerals presents substantial challenges to ensuring a reliable supply. In oil, we have always said that we are the most stable and reliable supplier. In this one (critical minerals), there is no Saudi Arabi. There has to be many ‘Saudi Arabias,’” he added.

During his speech, Prince Abdulaziz also discussed the importance of sustainability as the world accelerates mining activities.

He pointed out that mining and processing currently contribute to 5 gigatonnes of carbon dioxide emissions, which accounts for 12 percent of annual global greenhouse gas emissions. He stressed that any significant growth in mining and processing would inevitably result in higher emissions unless innovative solutions are found.

“Mining and processing currently contribute to 5 gigatonnes of carbon dioxide emissions, corresponding to 12 percent of the annual global greenhouse gas emissions. Significant growth in mining and processing activities will result in higher emissions unless we figure out a way to address this challenging issue,” he said.

The minister also noted the challenges posed by the geographical concentration of critical minerals and the long time required for their discovery and extraction. Drawing on sources such as the US Geological Survey and McKinsey, Prince Abdulaziz highlighted that the extraction and processing of critical minerals required for the energy transition are concentrated in just a few countries, creating significant dependency risks.

As countries race to secure access to these critical minerals, Prince Abdulaziz warned that such competition could drive up metal prices and increase energy costs, further complicating the global energy landscape.

The minister also underscored Saudi Arabia’s efforts to strengthen its mining sector, valued at an estimated $2.5 trillion, through localization and strategic partnerships with both regional and international companies.

“We will extract and utilize every ounce, gram, molecule, atom, and electron of our resources, and you are welcome to join,” Prince Abdulaziz concluded.