Saudi Arabia’s mining sector is set for a major boost, with nearly SR29 billion ($7.7 billion) in investments flowing into Wa’ad Al-Shamal, reinforcing its role as a key industrial and mining hub.
Prince Faisal bin Abdulaziz, governor of the Northern Borders region, inaugurated a series of industrial, developmental, and hospitality projects aimed at expanding the Kingdom’s mining industry.
A key highlight of the announcement was the launch of Ma’aden’s Phosphate 3 project, backed by the Shareek program with an investment of SR28 billion. This initiative will increase Saudi Arabia’s phosphate production capacity to 9 million tonnes annually, building on the Phosphate 1 and Phosphate 2 projects, each producing 3 million tonnes. The expansion is expected to strengthen the country’s industrial supply chain, attract new investments, and create job opportunities within the mining sector.
Prince Faisal emphasized that these projects align with Saudi Vision 2030, which aims to diversify the economy by enhancing the mining sector’s contribution to GDP.
Wa’ad Al-Shamal has evolved into a fully integrated industrial hub, combining major industries, logistics services, and modern residential communities to attract both local and international investors.
The event was attended by Minister of Industry and Mineral Resources Bandar Alkhorayef, Deputy Minister for Mining Affairs Khalid Al-Mudaifer, and other key public and private sector officials.
The Saudi Authority for Industrial Cities and Technology Zones announced several new industrial, logistical, and service projects, with investments exceeding SR550 million. Key developments include:
- Infrastructure expansion in the 4.3 million sq. meter industrial zone
- 32 pre-built units, including 20 ready-built factories and 12 support units spanning 45,000 sq. meters
- A 132 kV, 200 MVA power substation and overhead transmission lines
- A 7-km bridge linking the industrial zone to the international highway, improving connectivity
These projects aim to enhance energy reliability, logistics efficiency, and overall investment attractiveness, particularly for the phosphate industry.
To support the growing workforce, Ma’aden’s residential city in Wa’ad Al-Shamal added 96 new housing units, bringing the total to 579 units for industrial and mining sector employees and their families.
In parallel, the Mövenpick Wa’ad Al-Shamal Hotel, developed with an investment exceeding SR500 million, was officially opened. This five-star hotel will cater to workers, investors, and visitors, further elevating Wa’ad Al-Shamal’s position as an integrated industrial and investment hub.
As part of broader efforts to advance the mining sector, Minister Bandar Alkhorayef visited several educational and training facilities, including:
- Scientific Excellence School in Arar, a partnership between Ma’aden and the Ministry of Education, featuring advanced STEM laboratories with an SR180 million investment
- Saudi Technical Institute for Mining in Arar, which has trained 1,081 students, including 52 female graduates, in underground and surface mining, operations, mechanical, and electrical maintenance
The institute plays a crucial role in workforce localization and developing Saudi talent for the mining industry.
The Hazm Al-Jalamid mine, one of Saudi Arabia’s largest phosphate mining sites, produces over 11 million tonnes of phosphate ore annually.
The Northern Borders region boasts mineral resources valued at approximately SR4.669 trillion, including:
- Phosphate – A key ingredient in agricultural fertilizers, vital for global food security
- Coal, dolomite, limestone, and silica sand – Essential for various industries
Currently, the region hosts five phosphate ore reserve sites and 29 active mining licenses, including 15 for building materials and 14 for mineral extraction.
With these ambitious investments, Wa’ad Al-Shamal is set to strengthen its position as a leading industrial, mining, and economic hub, reinforcing Saudi Arabia’s global presence in the mining sector.