Saudi Arabia’s Minister of Industry and Mineral Resources, Bandar Al-Khorayef, has emphasized the importance of lithium in the country’s supply chain for electric vehicle production and battery technology. He stated that while attempts to source lithium locally are still in the early stages, Saudi Arabia is committed to importing lithium from abroad to support these ambitions.
During a special meeting of the World Economic Forum in Riyadh, Al-Khorayef highlighted the necessity of lithium and expressed that it is unimaginable to live without it. The country is exploring the possibility of extracting lithium from seawater and salty discharges in collaboration with Aramco, although the success of these initiatives is still uncertain. Al-Khorayef mentioned that while there are promising signs, more research and development are required to make these initiatives economically viable.
The Public Investment Fund and Ma’aden, its affiliate mining company, have established a joint project called Manarat Al-Ma’adin to invest in mining assets abroad. Al-Khorayef expressed confidence that Saudi Arabia’s natural resource needs will be met through domestic products or imports. Additionally, the Saudi embassy in Santiago has reached out to Chile about potential investments in the mining sector.
Chilean officials have acknowledged discussions with Saudi Arabia regarding potential investments in the mining sector but did not provide specific details. Al-Khorayef stated that he was not aware of any discussions with Chile regarding lithium licenses. However, efforts to secure a stable supply of lithium are crucial for Saudi Arabia’s investments in electric vehicle production and battery technology.
In conclusion, Bandar Al-Khorayef has reiterated his commitment to sourcing lithium from abroad to support Saudi Arabia’s ambitions in producing electric car batteries and investing in the sector. While there are promising signs of local extraction initiatives, more research and development are required before they become economically viable. The Public Investment Fund and Ma’aden have established a joint project called Manarat Al-Ma’adin to invest in mining assets abroad, which shows confidence that Saudi Arabia’s natural resource needs will be met through domestic products or imports.
