RIYADH: Saudi Arabia’s Minister of Industry and Mineral Resources, Bandar Alkhorayef, announced on Wednesday that Manara Minerals, the kingdom’s mining company, is exploring a potential investment in Pakistan’s Reko Diq mine. He revealed that the Saudi Development Fund could contribute over $100 million toward Pakistan’s mining infrastructure.
“Part of our focus is finding ways to assist Pakistan with infrastructure development,” Alkhorayef said during an interview at the Future Minerals Forum in Riyadh. “Without adequate infrastructure, the project’s economic viability diminishes. We are considering financing options through the Saudi Development Fund.”
The announcement follows remarks from Pakistan’s Petroleum Minister, Musadik Malik, who expressed optimism about Saudi investment in Reko Diq within the next two quarters.
“I’m very hopeful that within the next quarter or two, we will see significant announcements,” Malik said at the same forum, specifically referencing copper-related investments. “This year, we expect major progress not just with Reko Diq but also surrounding mines.”
When asked about Manara Minerals’ involvement, Malik affirmed, “Why not? Of course.”
Manara Minerals, a joint venture between Saudi state-controlled Ma’aden and the $925 billion Public Investment Fund (PIF), was established to support the kingdom’s economic diversification away from oil by acquiring minority stakes in international assets.
Executives from Manara visited Pakistan in May last year to explore a potential stake in the Reko Diq mine, which global mining giant Barrick Gold considers one of the world’s largest undeveloped copper-gold deposits.
Promising Developments in Lithium Extraction
In addition to its interest in Reko Diq, Saudi Arabia is making strides in lithium extraction. Alkhorayef shared updates on oil giant Aramco’s project to extract lithium, calling it “promising, but not yet commercially viable.”
The initiative, a collaboration between Aramco and the King Abdullah University of Science and Technology (KAUST), is led by the startup Lithium Infinity (Lihytech) with support from Ma’aden. Lithium is a critical mineral used in electric vehicle batteries, laptops, and smartphones.
Aramco and Ma’aden also signed a non-binding agreement during the forum to explore the creation of a joint venture focused on energy transition minerals. This venture aims to advance technologies for direct lithium extraction (DLE) and tap into high-concentration lithium deposits.
Commercial lithium production in Saudi Arabia could potentially commence by 2027, marking another step in the kingdom’s efforts to reduce reliance on oil and embrace energy transition minerals.
