The Ministry of Industry and Mineral Resources in Riyadh has observed a significant uptick in applications for mining licenses, a development linked to the enactment of the Mining Investment Law in January 2021. This legislation was introduced with the objective of encouraging investments, fostering sector growth, and elevating the nation’s mineral production capacities.
Post-implementation of the new law, the count of exploitation licenses escalated from a mere eight to a total of 19 by the year 2023, marking an impressive 138% increase. This boost is part of the Kingdom’s broader strategy to transform the mining industry into a central pillar of the industrial sector, thereby establishing the country as a dependable mining destination on the global stage.
The Kingdom harbors ambitions to fully leverage its mineral riches, estimated to be worth approximately SAR9.4 trillion. The reformative Mining Investment Law has been instrumental in simplifying the procedures for acquiring mining permits, thereby attracting a wave of investment from both local and global entities. Consequently, the issuance of building material quarry licenses has soared by 241%, reaching 538 in 2023, up from 158 prior to the law’s introduction. Exploration licenses also saw a remarkable rise, growing by 347% to 259 in 2023, up from 58 before the law took effect.
Contributing to this upsurge are strategic mining initiatives like the Accelerated Exploration Program, which have facilitated a more efficient licensing process. These measures have notably reduced the duration for securing necessary authorizations, which previously could span several months.