Saudi Arabia’s Maaden raises $1.25bn to fund mining growth
Saudi Arabian Mining Co., commonly known as Maaden, has raised $1.25-billion from its debut Islamic bond sale as the company looks to fund a huge expansion program over the next five years.
Maaden attracted over $10-billion in offers from investors for the sukuk, which was split between $750-million maturing in 2030 and $500-million maturing in 2035.
“The market appetite for investing in Saudi Arabia, in mining, and in Maaden specifically, is strong, and a sign of the untapped potential seen in the kingdom,” Maaden CEO Bob Wilt said in an interview. Around half of the demand came from US investors with the rest split between Europe, Asia and the Middle East, he said.
The company is tapping fixed income investors as it embarks on a more than $12-billion investment drive through to the end of the decade that includes major expansions of its gold, phosphate and aluminum businesses. It’s also ramping up efforts to explore for more copper in the kingdom.
Maaden’s board will make a final decision on new investments in gold and phosphate production around the middle of this year, Wilt said.
Maaden is unlikely to tap bond markets again soon but may do so in future to raise further funds for growth projects, he added.
Maaden, majority owned by the kingdom’s sovereign wealth fund, is one of the key entities behind the country’s push to make mining a so-called third pillar of the Saudi economy along with oil and petrochemicals, as part of Crown Prince Mohammed Bin Salman’s economic master-plan.
Maaden announced in January it was working on creating a joint venture with state-controlled oil giant Saudi Aramco for the exploration and mining of energy transition metals in the country.
Comments
Research Reports
Projects
Latest News
Showroom
Developed to exceed the latest EN 15964 standards for police breathalysers proving that it will remain accurate and reliable for many years to come.
VISIT SHOWROOM
Supplier & Distributor of the Widest Range of Accurate & Easy-to-Use Alcohol Breathalysers
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
