RIYADH: A new joint venture aimed at accelerating mineral exploration across Saudi Arabia has been formed under a shareholders’ agreement between Saudi Arabian Mining Co., known as Ma’aden, and Australia-based Midana Exploration Pty Ltd, part of Hancock Prospecting.  

According to a regulatory filing, the initial work will focus on the Nabita–Ad-Duwayhi Gold Belt, following a successful bid for exploration licenses awarded by the Ministry of Industry and Mineral Resources. The licensed areas span more than 24,000 sq. km of mineral-rich territory.

The partnership comes as Saudi Arabia steps up efforts to expand its mining sector as a pillar of economic diversification, encouraging international participation and private investment to unlock the Kingdom’s estimated $2.5 trillion in untapped mineral resources under Vision 2030.  

The government has accelerated licensing rounds and increased exploration incentives to boost geological mapping and downstream development. 

In a Tadawul filing, the company stated: “Maaden will own 50.1% of the capital of the Joint Venture, whilst Hancock will own 49.9% of its share capital.” 

It added: “The objects of the Joint Venture will include exploration, development, mining, sales and marketing of minerals in licensed areas in the Kingdom.”   

The shareholders’ agreement was signed on Dec. 29, with no defined duration. The initial share capital of the joint venture will be $5 million.  The entity will also approve budgets and business plans for its exploration and development operations on an ongoing basis.  

The transaction remains subject to regulatory and antitrust approvals. No related parties were identified, according to the disclosure. 

Shares of Ma’aden were trading at SR61.95 as of 2:15 PM Saudi time, reflecting a 0.32 percent decline during the day.  

Saudi Arabia has significantly ramped up its mineral exploration activity in recent years, with spending rising to SR487 per sq meter — more than double the Vision 2030 target.   

This marks a 600 percent increase over the past seven years, underscoring the Kingdom’s accelerated efforts to map its geological potential and unlock critical mineral resources.   

In 2024 alone, total exploration expenditures surpassed SR1.05 billion, supported by both government and private sector funding. The increase reflects Saudi Arabia’s strategic push to position mining as a central pillar of economic diversification under Vision 2030.