Saudi Arabia’s Mining Potential: From Oil Titan to Mineral Powerhouse

Saudi Arabia is undergoing a seismic shift - from oil dominance to mineral powerhouse. Under Vision 2030, the kingdom is actively transforming mining into its third economic pillar, alongside energy and manufacturing.

1. Monumental Unknown Wealth
Estimates of untapped underground resources range from US $2.5 trillion (Arab News) to as high as US $4 trillion‍. Known deposits include gold, copper, phosphate, bauxite, zinc, nickel, rare earths, and lithium.

2. Major Investments & Strategic Deals
Saudi Arabia has inked over US $9 billion in mining deals—collaborating with Vedanta, Zijin, Hastings, and Platinum Group Metals—to build copper, zinc, lithium, and rare‑earth facilities. Saudi Aramco’s lithium initiative aims for production by 2027, fueling EVs and renewable storage.

3. Government Push: Incentives & Infrastructure

• Exploration incentives: up to 75 % co‑financing and reduced royalties.
• Streamlined licensing: permits in under 3 months, digital geological databases .
• Mapping & surveys: 65 % of the Arabian Shield geophysical work done, with 50,000 km² for licensing in 2025.
• World-class infrastructure: industrial cities like Ras Al‑Khair and SPARK support mining‑processing synergies.

4. Supply Chain & Global Role
By developing midstream and downstream capabilities—smelters, refineries, batteries—Saudi is entering strategic global supply chains, reducing import reliance, and enhancing geopolitical influence.

5. Challenges Ahead
Restrictions include skilled‑labor shortages, remote‑site infrastructure, ESG and environmental standards, and ensuring consistent regulatory predictability.

You may be thinking, why should investors pay attention in 2025?

• Diversification: Cutting reliance on oil with a future-forward mineral economy.
• EV & green tech: Securing materials like lithium, copper, and rare earths.
• Global competition: Gaining leverage in supply chains and partnering with international firms.
• Under explored region: Exploration upside due to limited production and large-scale discoveries.

Conclusion: Saudi Arabia is betting big—through massive investments, supply‑chain build‑out, and strategic partnerships—to pivot from oil to minerals. Its push to become a mining hub is bold, promising, and full of global leverage—but execution will be key.