Mining ‘profitable sector,’ key to economic diversification: Al-Falih

Minister of Investment Khalid Al-Falih said mining is a profitable sector, citing the robust performance and profitability of Saudi Arabian Mining Co. (Maaden), adding that the market has rewarded the company through its share price.

Speaking during a session at the Future Minerals Forum, Al-Falih said Crown Prince Mohammed bin Salman has confirmed that mining is a key pillar of the Saudi economy, aimed at supporting economic diversification and building downstream manufacturing industries linked to mining and related sectors.

Al-Falih went on to say that attracting investment to the mining sector faces several challenges, including exploration-related and environmental risks. He stressed that Saudi Arabia has addressed the imbalance between risk and return through its investment strategy and regulatory framework.

He added that the sector requires increased exploration to bring resources out of the ground and noted that Saudi Arabia offers incentives to support this process.

Al-Falih also said the mining sector has become essential given current geopolitical realities, the push for economic diversification, the need to strengthen supply chains, the growing importance of critical minerals for the energy transition, and imbalances driven by artificial intelligence and its demand for rare and strategic materials.