CAIRO – Saudi Arabia is preparing to negotiate a potential agreement with the United States focused on cooperation in mining and mineral development, the Saudi cabinet announced Tuesday via state media.
While the statement offered no specifics on the proposed memorandum, it indicated that the talks would be led by the Saudi Ministry of Industry and Mineral Resources in coordination with the U.S. Department of Energy. The announcement comes shortly before an upcoming visit to the kingdom by U.S. President Donald Trump.
The initiative aligns with Saudi Arabia’s broader Vision 2030 strategy, which aims to diversify the nation’s economy beyond oil. The mining sector has emerged as a central pillar of this transformation, with gold, bauxite, and phosphate rock forming the backbone of current extraction efforts.
Saudi officials recently revised the nation’s estimated mineral wealth to $2.5 trillion, citing new discoveries—particularly in rare earth elements—as a key factor in the surge.
As part of its mineral strategy, state-owned mining giant Ma’aden is reportedly in talks to form a rare earth processing venture with international firms. U.S.-based MP Materials, China’s Shenghe Resources, Australia’s Lynas Rare Earths, and Canada’s Neo Performance Materials are said to be under consideration, according to sources cited by Reuters.
In addition, Saudi Arabia has been expanding its global mining footprint through Manara Minerals, a joint initiative between Ma’aden and the Public Investment Fund. Manara made headlines in 2023 with its acquisition of a 10% stake in Vale Base Metals, the $26 billion copper and nickel unit spun off by Brazil’s Vale.