Saudi Arabia to have new mining investment law by Jan 2021

By Backend Office, Desk Reporter
Saudi Arabia
Representational Image

Saudi Arabia Ministry of Industry and Mineral Resources and vice-minister for mining affairs Khalid Al-Mudaifer said that the recently approved mining investment law will come into complete activation by January 2021.

The law was formulated to transform the mining industry of the Kingdom and to increase its contribution to the gross domestic product by over $64 billion, reduce imports by $9.8 billion and to generate 200,000 direct and indirect job opportunities by 2030.

Consisting of 63 articles, the law will help in setting up a mining fund to ensure sustainable finance for the sector and support geological surveys as well as to help improve mineral resources of up to $1.33 trillion in the Kingdom. 

Saudi Arabia has already initiated a National Geological Database that would offer access to 10,000 mining reports and 80 years of national data and it will bring huge support to the industry.

The Saudi Geological Survey (SGS) which is budgeted for about $530 is one of the largest surveys in the world. The survey aims to collect and examine about 110,000 samples of valley sediments and heavy metals in the Arabian Shield within the coming six years.

During a recent webinar titled “General geological survey program a founding pillar for the growth of investment in the Saudi mining sector,” Al-Mudaifer defined the survey program as a path of developing the sector along with the modern technologies to achieve the national strategic goals.

Al Mudaifer further added that the recently launched mining programs will aid in governing the mining sector, increase transparency and bring smooth business activities. The data collected from the program will guide the authorities in making informed decisions to promote the sector and contribute to the economy. “Everyone can access this data through the web-based Ta’adin platform,” he said. 

Stephan Sander, co-president at Sander Geophysics Ltd., stated that his company will conduct an airborne magnetic and radiometric survey in the northeastern part of the Arabian Shield.

Mr. Sander further added that the program includes training of SGS employees which focus on geophysical data collection, preliminary and final data processing, quality control and data interpretation.

Dr. Peter K. Zawada, managing director of International Geoscience Services, underlined the importance of data collection using modern techniques.

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