Maaden discovers ‘significant’ gold reserves in Saudi Arabia

Maaden, Saudi Arabia’s flagship mining company, has discovered “significant” gold resource potential south of the existing Mansourah Massarah gold mine.

The potential find, along a 100 km stretch, was the first under an extensive exploration programme launched in 2022, the company said in a statement.

Samples showed the presence of high-grade gold deposits of 10.4 grams per tonne and 20.6 grams per tonne in two random drilling sites 400 metres from and under Mansourah Massarah, indicating a high density of gold was found in the ore tested from those locations.

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In addition, Maaden continued its exploration at the Jabal Ghadarah and Bir Tawilah prospects, 25km north of Mansourah Massarah, which have a potential 1.5 million ounces of yellow metal.

“These positive drilling results have identified a potentially 125 km strike with significant potential to become a major gold belt in Saudi Arabia,” the company said.

Mansourah Massarah’s gold resources stood at almost seven million ounces by the end of 2023, with a yearly nameplate production capacity of 250,000 ounces.

“Last year, Maaden embarked on one of the largest exploration programmes in the world. These discoveries are a significant demonstration of the untapped potential of mineral resources in Saudi Arabia, supporting the country’s diversification in line with Vision 2030,” said CEO Robert Wilt.

“These discoveries have the potential to be the centre of the world’s next gold rush and are a strong part of our growth strategy. The Arabian Shield has enormous potential for more world-class discoveries, and this is the first of many we expect to make in the coming years.”

Maaden posted a net loss of SAR83 million ($22.1 million) for the third quarter of 2023, compared with a profit of more than SAR2 billion a year earlier.

The mining company is 67 percent owned by the Public Investment Fund, the kingdom’s sovereign wealth fund. It operates 17 mines and exports to more than 30 countries.