RIYADH — Aramco and Saudi Arabian Mining Company (Maaden) have signed a shareholders’ agreement to establish a joint venture focused on mineral exploration and hard-rock mining in Saudi Arabia, with copper and other minerals critical to the energy transition among its main targets.Under the proposed structure, Maaden will own 51% of the joint venture and Aramco 49%. The companies first disclosed plans for the venture in January 2025.The venture will focus its exploration activities across Zone-4, also known as the Transition Zone, within the Arabian Platform, covering approximately 182,000 square kilometers, nearly 10% of Saudi Arabia’s total land area.The exploration zone extends along a roughly 100-kilometer-wide corridor running parallel to the Arabian Shield and is seen by the companies as a significant new opportunity for mineral discoveries in the Kingdom.Aramco plans to contribute decades of geological and geophysical data accumulated through its operations, while Maaden will bring its mineral exploration and development expertise.“Over 90 years, Aramco has accumulated and analyzed the largest amount of geological and geophysical data ever acquired in a single basin for the Kingdom,” said Saleh Al Saleh, Aramco vice president of Transition Minerals.He said the partnership intends to leverage that information, alongside high-performance computing and artificial intelligence, to accelerate the discovery of transition minerals at lower cost.Darryl Clark, Maaden executive vice president for Exploration, said the venture would expand the company’s exploration ambitions beyond its extensive program across the Arabian Shield.“By combining Maaden’s exploration and development expertise with Aramco’s extraordinary knowledge of the Arabian Platform, we would have an opportunity to move faster, explore smarter, and create new opportunities to discover the minerals that will power the energy transition,” Clark said.Copper will be a primary focus of the venture due to its growing importance in electric vehicles, electricity networks, energy storage and renewable energy systems.The companies said the global copper market is currently valued at approximately $250 billion and is projected to exceed $400 billion by 2035. The venture will also explore for other transition minerals, including zinc, lead and rare earth elements.The JV plans to deploy advanced computational algorithms, AI and high-performance computing to identify areas with the greatest potential for copper and other valuable mineral deposits, shortening the process from regional screening to target identification and discovery.The initiative is expected to support the long-term development of Saudi Arabia’s mining sector, strengthen the Kingdom’s position in the global minerals value chain and help address rising international demand for minerals required by energy-transition industries.The shareholders’ agreement and incorporation of the joint venture remain subject to the fulfillment of certain conditions, including required corporate and regulatory approvals and antitrust clearance.
