Mining sector’s importance for the economy
The Saudi Arabian government is preparing a new mining investment law for the Kingdom, as a part of their Vision 2030 reforms to diversify their economy and ending their dependency on oil. They are hoping to attract more domestic and foreign investors for the development their mining sector once their new regulations come into force in 2021.The mining sector of Saudi Arabia created about 250 thousand jobs. Metal sector employment accounted for roughly 50.8 percent of the mineral value chains to the Saudi Arabian economy, followed by 54.2 percent employment in the mineral products sector and four percent in the mining sector.
As of 2018, the leading mining companies worldwide had a combined revenue of 683 billion U.S. dollars. The net profit of the Saudi Arabian Mining Co. Ma’aden for the same period was 2.2 billion Saudi Riyal. It is the kingdom’s largest mining company and the government still holds 50 percent of its shares.
The leading non-mineral mining products of Saudi Arabia can be broken down into these three categories:
MetalsImportant metals from Saudi Arabia are steel, precious metals like gold and silver, as well as zinc, copper and aluminum. In 2019, gold production in Saudi Arabia was 14.3 metric tons. The Gulf region is beside China the leading region for aluminum recovery. Saudi Arabia produced 940 thousand metric tons of aluminum, in third position in the region right behind the United Arab Emirates and Bahrain.
Minerals
Leading minerals recovered from Saudi Arabia are limestone for cement with 69.5 million metric tons a year, followed by cement with 55.9 million metric tons and clay 7.4 million metric tons.
Sand and stones
Saudi Arabia produces about 382 million metric tons of gravel, followed by 22 million tons of sand.
