KSA’s USD 1.3 tn mineral reserves could help lower costs for renewables — but can they be accessed? Saudi Arabia is looking to unlock an estimated USD 1.3 tn in mineral reserves, the Kingdom’s industry and mineral resources minister, Bandar Al Khorayef, told Bloomberg. the issue is that the kingdom lacks a ready supply of water, which is key for mining, as well as the road, railway and port infrastructure required to transport resources from mines in the north to the east of the country, where reserves will be processed and shipped.

These minerals are crucial for the green transition: Take Copper, which is used in everything from consumer electronics to home appliances, is key to powering renewable energy systems, including solar, hydro, thermal and wind, making it key to the energy transition. Experts have warned of a looming copper shortage, even as prices dipped earlier this month.

Tenders for mineral extraction are underway, but bidders may be hard to come by: The kingdom is looking to attract global mining companies that have the expertise and financing to compete in auctions for exploration rights, partly by accelerating permit processing to 30 days, Al Khorayef told the business information service. Earlier this month, the country awarded a mining license to British mining company Moxico Resources and Saudi Arabia’s Ajlan and Bros. The mine’s estimated copper reserves are worth USD 222 bn, at current prices “equal to 1.4x the global mine supply in 2021”, it adds. A second and third tender may be in the cards, the minister stated.

SMART POLICY- Saudi Arabia will invest SAR 105 bn to make its water industry more efficient: Over the next two years, the Environment, Water and Agriculture Ministry will invest the equivalent of USD 28 bn to secure sustainable water supply and grow its desalination capacity, the minister was quoted as saying in a statement published on Thursday.

And private sector collaboration is on the table: The ministry is bringing the private sector on board with the aim of increasing water resources, boosting the efficiency and capacity of water treatment plants and reducing overall waste in the country’s water networks, he said. Overall goals include securing high quality drinking water for all citizens, protecting the environment, connecting all homes to sewage networks and using treated water as efficiently as possible. Some 22 agreements have already been signed with companies to treat and distribute water, he said, without specifying when.

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