Vedanta Copper International, a subsidiary of Vedanta Ltd, has entered into a memorandum of understanding with Saudi Arabia’s Ministry of Investment and Ministry of Industries & Mineral Resources. This partnership involves a substantial investment of US$2 billion in copper projects, including a 400,000 tpy copper smelter and refinery and a 300,000 tpy copper rod project in Ras Al Khair Industrial City.
This initiative aligns with Saudi Arabia’s Vision 2030, aiming to unlock US$1.3 trillion in mineral resources and boost the minerals sector’s GDP contribution from US$17 billion to US$64 billion. The Kingdom’s current copper demand is around 365,000 tpy, with expectations to more than double by 2035, largely through imports.
Chris Griffith, CEO of Base Metals at Vedanta Ltd, expressed excitement about the collaboration, highlighting that these projects will strengthen Saudi Arabia’s self-reliance in the copper supply chain. He noted the Kingdom’s leadership in oil and its potential in untapped mineral resources amidst the 4th Industrial Revolution.
The projects are anticipated to create thousands of jobs, support hundreds of downstream industries, and contribute approximately US$19 billion to the GDP. They are also expected to help achieve self-sufficiency in copper supply.
Vedanta plans to start operations with a 125,000 tpy copper rod mill, requiring an investment of about US$30 million, with commercial production set to begin by FY 4Q25 – 2026.
Globally, the demand for copper is projected to rise by 40% by 2040, driven by the shift towards a sustainable future and the global energy transition.
