AMAK, Maaden agree to swap exploration licenses

AMAK expects the financial impact to be limited to exploration activities

Al Masane Al Kobra Mining Co. (AMAK) signed an agreement with Saudi Arabian Mining Co. (Maaden) to exchange several exploration licenses, the company said in a statement to Tadawul.

AMAK said the agreement forms part of a strategic partnership aimed at maximizing value in the mining sector and better aligning exploration sites with the development and expansion plans of both companies.

Under the deal, AMAK and Maaden will swap exploration licenses in line with operational efficiency as well as each company’s investment priorities, development stages, and targeted project scale.

This exchange is expected to enhance resource management efficiency and optimize the utilization of the Kingdom’s mineral wealth. It also reflects the complementary strengths of both companies, supports sustainable sector growth, and opens new pathways for expansion.

The deal marks the beginning of a future cooperation path with Maaden, encompassing upcoming initiatives that will enhance national capabilities in exploration and development, as well as support skills development and knowledge exchange. These efforts will further strengthen the Kingdom’s position as a global hub for the mining industry.

The ownership transfer of the exploration licenses is subject to the regulatory lock-up period and the completion of all final approvals from the Ministry of Industry and Mineral Resources and other relevant authorities.

The agreement will remain in effect until all regulatory procedures related to the transfer of exploration licenses are completed in accordance with applicable laws and regulations.

The company stated that the financial impact will be limited to exploration activities, in alignment with AMAK’s overall exploration financing strategy, and will not result in any material change to the total planned exploration spending.

It added that the licenses to be transferred to AMAK are related to precious metals and base metals, and the company will disclose any material developments in due course.

According to Argaam data, AMAK recently announced the discovery of potentially economic copper, zinc, gold, and silver resources within one of its exploration licenses in the Najran region.