The United States and Saudi Arabia have formalised an agreement to collaborate on mining and mineral resources, forming a key component of a sweeping economic and strategic partnership valued at a staggering $600 billion. This extensive package, announced during U.S. President Donald Trump’s visit to the Kingdom, also encompasses landmark deals in defense and cutting-edge artificial intelligence.
The non-binding accord on mining and minerals aims to bolster and diversify global supply chains for critical minerals vital to clean energy technologies, electronics, and defense applications. The two nations will “actively explore opportunities for joint ventures spanning the entire mining value chain, from extraction and refining to processing. Furthermore, the agreement prioritises investments in crucial research and the development of skilled workforces within the mining sector” according to various sources.
This strategic cooperation in mineral resources is embedded within a broader context of deepening ties between Washington and Riyadh. A massive defense agreement, nearing $142 billion and hailed as the largest defense cooperation pact in U.S. history, according to a Defence fact sheet, was also finalised. This expansive deal involves numerous American defense contractors and covers vital areas such as air and missile defense and maritime security.
Beyond traditional sectors, Saudi Arabia has committed a substantial $20 billion towards establishing AI data centers and bolstering energy infrastructure within the United States. Leading technology giants, including Google, Oracle, Salesforce, and AMD, are integral to an even larger $80 billion joint investment initiative focused on accelerating advancements in critical technologies within both nations.
Saudi Arabia’s proactive push into the mining sector aligns with its Vision 2030 economic diversification program, seeking to reduce reliance on oil revenues. Earlier in March, as reported by Mining.com, the Saudi Ministry of Industry and Mineral Resources awarded significant mining exploration licenses to both domestic and international firms, including Indian miner Vedanta and a consortium involving local Ajlan & Bros and China’s Zijin Mining, highlighting the Kingdom’s ambition in this space, with gold, phosphate rock, and bauxite as key resources.
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