The Saudi Ministry of Industry and Mineral Resources (MIM) has announced the successful bidders for its fifth round of exploration licensing competition involving six sites across the kingdom.

 

The competition was aimed at awarding licences for exploration across six sites in various regions of the kingdom renowned for its rich variety of base and precious metal ores, including gold, silver, zinc and copper.

 

The preferred bidders are Saudi Arabian Mining Company (Maaden); The Discovery Arabian Mining Company; Al Masane Al Kobra Mining Company (Amak); Eqleed Group and Indotan Mining Company Alliance as well as Royal Roads Arabia Company who have been selected for the licensing round of the Nimas, Al Hijra, Al Halahilah, Jabal Qaran, Makman Hijab and Al Miyah exploration sites.

 

Jarrah bin Mohammed Al Jarrah, the ministry's spokesperson, said the fifth round covered six sites, with a total area of up to 1,000 sq km, the largest area the kingdom has ever recorded. 

 

According to him, 30 proposals were received from 18 local and international bidders and evaluated against a set of criteria focusing on technical expertise, work programmes presented, and social and environmental commitments.

 

Al Jarrah emphasised that the exploration spending provided by the successful bidders in this round exceeded SAR136 million, with an additional SAR15 million committed to community development and the creation of job opportunities for local communities within the sites. 

 

He further highlighted that the successful bidders have pledged to implement community initiatives across the six sites.

 

Maaden, the successful bidder for the Nimas site in Aseer Region, has committed approximately SAR17.9 million to mining exploration, including drilling 28,500m. It has also allocated SAR1.35 million to community initiatives and committed 10 to 15% to purchases from the local market. 

 

In addition, Maaden will allocate 25% of direct and indirect jobs to neighbouring communities within the site. The site, which covers an area of more than 228 sq km, boasts copper, silver, and gold deposits.

 

Discovery Arabian Mining Company, the successful bidder for the Al Halahilah site in Najran Region, pledged SAR4.9 million for exploration activities, including drilling about 2,000m in the first two years and about 20,000m in the following three years. 

 

The company is also committing about SAR1.87 million to social development, including purchasing from the local market and allocating 65% of the direct and indirect jobs at the site to the local communities. 

 

The Al Halahilah site, spanning over 34 sq km, contains copper, zinc, and gold minerals.

 

Amak said it is committed to allocating SAR46 million for mining exploration at the Jabal Qaran site in Najran Region, which includes drilling approximately 15,500m. 

 

It is also committed to allocating SAR3.5 million towards local community initiatives, with an 80% local purchase commitment, said the ministry in its statement. 

 

The company also plans to reserve about 20% of the direct and indirect jobs at the site for local communities. The 46-sq-km Jabal Qaran site contains copper, gold, and lead deposits.

 

Moreover, Amak said it has allocated SAR46 million for mining exploration at the Al Hijra site in Aseer Region, which includes drilling approximately 43,000m. 

 

An additional SAR8.5 million will be dedicated to community initiatives, with 80% of purchases sourced from the local market. 

 

The company plans to allocate about 45% of the direct and indirect jobs to local communities neighboring the site, which covers more than 274 square kilometers and includes gold, copper, and zinc deposits, it stated.

 

Furthermore, Eqleed Group and Indotan Mining Company Alliance, the successful bidder for the Makman Hijab exploration site in Riyadh Region, which covers an area exceeding 180 sq km and includes deposits of gold and silver ores, are committed to allocating over SAR6.3 million for exploration activities, including drilling 10,000m at the site. 

 

They will also allocate SAR200,000 to community initiatives, including purchasing from the local market at a rate of 90%, stated the ministry in the statement.

 

The Royal Roads Arabia Company, the successful bidder for the Al Miyah site in Makkah Region, has committed SAR14.6 million for exploration work at the site, including drilling 11,600m in addition to local purchases at a rate of 25%, as well as allocating around 50% of direct and indirect jobs to neighboring communities. 

 

The site covers an area of 228 sq km and includes deposits of copper, silver, and gold.

 

Al Jarrah said that the ministry was gearing up to launch the sixth round of exploration licensing sites during the third quarter.

 

"This round will offer nine sites, with the aim of encouraging more investments and enabling small and medium mining and exploration companies to participate in developing the mining sector," he stated. 

 

He further called on interested investors to review the nine sites available for tendering and access all related geological, technical data, and reports through the Taadeen platform.

 

"These mining tenders are part of the ministry's efforts to achieve the objectives of the Comprehensive Strategy for Mining and Metals Industry," said the top official. 

 

"This strategy aligns with the Kingdom's Vision 2030, which aims to optimally exploit mineral wealth and establish the mining sector as the third pillar of the national industrial economy in the Kingdom," he added.-TradeArabia News Service