SAO PAULO — Minister of Industry and Mineral Resources Bandar Al-Khorayef met on Saturday with Eduardo Bartolomeo, CEO of the Brazilian multinational metals and mining corporation Vale. The meeting focused on exploring the promising investment opportunities within Saudi Arabia's mining sector for Brazilian companies, highlighting the incentives and capabilities available to investors. Al-Khorayef emphasized the strong relationship between Saudi Arabia and Brazil in the mining sector, which was recently underscored by Saudi Arabia acquiring a 10% stake in Vale for basic metals through Manara Minerals Company, a joint venture between the Public Investment Fund (PIF) and Maaden. Vice Minister for Mining Affairs Eng. Khalid Al-Mudaifer also attended the meeting, which discussed the use of modern technologies in mining projects to ensure efficient production and environmental sustainability, aiming for carbon neutrality in the coming decades. Bartolomeo praised Saudi Arabia's rapid development and economic progress, especially the support Vale received for its investments in the Kingdom, such as the iron pelletizing project in Ras Al-Khair, Eastern Province. He invited the Saudi delegation to visit Vale's mines in Carajas to observe their best mining practices. In a separate meeting, Al-Khorayef discussed cooperation opportunities in the manufacturing and petrochemical industries with Magda Chambriard, CEO of Brazilian Petrobras. The discussions highlighted Brazil's extensive mineral wealth and mining experience, positioning it as a crucial partner for Saudi Arabia. The two countries have maintained strong relations for over 50 years, particularly in the energy and minerals sectors. Saudi Arabia is rapidly developing its mining sector, with an estimated SR9.4 trillion worth of buried mineral resources. The Kingdom aims to maximize the national economy's benefits and establish mining as the third pillar of its industry. To attract investors, Saudi Arabia has improved its investment environment, offering incentives such as 75% financing of capital expenditures, a five-year tax exemption, and 100% direct foreign ownership. In April 2024, the Ministry of Industry and Mineral Resources launched the Exploration Empowerment Program (EEP), allocating $182 million to reduce exploration investment risks and accelerate innovative exploration. This transformation has positioned Saudi Arabia prominently in the global mining industry. Additionally, the Kingdom provides comprehensive and continuously updated geological data through a digital platform to help investors make informed decisions. The recently announced National Minerals Program aims to enhance the quality and efficiency of mineral supply chains and ensure their continuity for local industries and major projects, with plans to invest SR120 billion in basic and strategic mineral industries.
