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Saudi Arabia’s Strategic Move into EV and Mining Sectors

Industry Expansion to South America for EV Growth

by Huda Marshad
July 22, 2024
in Mining
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Saudi Arabia is broadening its horizons by venturing into the electric vehicle market and bolstering its standing in the global mining sector. This initiative is leading the nation’s officials to explore potential partnerships in South America.

The country’s Minister of Industry and Mineral Resources, Bandar Alkhorayaf, is embarking on a journey to Brazil and Chile. This visit is a strategic move by the top oil-producing nation to diversify its mining engagements internationally.

During his stay in Brazil, the minister’s discussions will encompass sectors such as mining, food processing, and aviation. The agenda in Chile will be centered around lithium, a crucial component for electric vehicle batteries.

Alkhorayaf’s itinerary starts with his arrival in Brazil, after which he will proceed to Chile the following Sunday. Chile is recognized as the second-largest lithium producer globally. His meetings in Brazil will include prominent figures from the mining corporation Vale.

In Chile, his schedule includes engagements with Aurora Williams, the Mining Minister, and representatives from mining entities such as Antofagasta and Codelco. The latter is a state-owned firm with the mission of integrating the Chilean government into the lithium market.

Within Saudi Arabia, there is a wealth of minerals including gold, phosphate, bauxite, copper, zinc, and nickel. These resources are vital for the transition to renewable energy. The Ma’aden mining company, backed by the Public Investment Fund, is responsible for leveraging these assets, which have an estimated worth of $2.5 trillion. This valuation highlights their importance in contributing to the kingdom’s economic reformation goals.

Tags: Electric VehiclesLithiumMining IndustrySaudi ArabiaSouth America
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