Eurasian Resources Group enters the Kingdom of Saudi Arabia, plans long-term investment


Following the Annual Meeting of the World Economic Forum (WEF), held last week in Davos, and the agreements achieved at the Future Minerals Forum in Saudi Arabia, Eurasian Resources Group (“ERG” or “The Group”) has announced its intention to invest in the Kingdom for the long term. A leading diversified natural resources group headquartered in Luxembourg, ERG plans to invest US $50 million in the market, with the potential to increase this figure year-on-year.

<< Back
25/01/2023 |
  • Eurasian Resources Group at the MOU signing ceremony at the Future Minerals Forum 2023

ERG’s entry in this market is a natural move to expand its existing global footprint, now spanning more than 16 countries. ERG states that its two offices, in Riyadh and Jeddah, will be central to the Group’s regional development strategy focused on its growth in the Middle East and North Africa regions. ERG will prioritise large scale, tech-enabled early-stage exploration for battery transition minerals in the Ad Dawidimi region of the Kingdom, where it has already secured licenses and is actively pursuing further exploration ground.

Benedikt Sobotka, CEO of ERG, said, “The World Bank estimates that 75% of global exploration spend goesto only 10 countries. Thisis not sustainable if we want to meet the exponential demand for minerals needed to power the global energy transition. ERG is seasoned in entering new frontier markets, those previously overlooked, untapped or underexplored, and is looking forward to embarking on this journey with the Kingdom. Saudi Arabia provides exceptional conditions to help us to continue producing essential materials for the production of batteries and renewable energy systems in the long term: largescale maiden exploration ground with sound prospectivity, a young, ambitious and highly-skilled workforce, established infrastructure, stable and affordable power, a supportive legal framework for investment and the political will to capitalise on its mineral wealth.”

Dr. Alexander Machkevitch, ERG Chairman of the Board of Directors, said, “Under Vision 2030 and its Mining Strategy, Saudi Arabia has taken steps through legal reform and access to high-quality geological data to make its estimated US $1.3 trillion worth of minerals attractive to explorers and investors. ERG is committed to long-term investment in the region and intends to leverage the full suite of incentives under the new Mining Investment Law to support its efforts.”

At the WEF Annual Meeting in Davoslast week, Dr Machkevitch joined His Excellency Khalid A. Al-Falih, the Kingdom’s Minster of Investment, in a closed session hosted by the Ministry to discuss how the energy transition is impacting downstream industries.

This session holds particular relevance as ERG is assessing opportunities to identify and develop resources, and, where possible, to increase captive supplies through downstream facilities – which could potentially include processing facilities for battery precursors.

In addition, through ERG Technology Intelligence, ERG plans to employ the latest technologies in its exploration and mining activities, including incubating prototypes such as the NOMAD (a Tele-operated Remote Sampling System) directly in the field.

Jonathan Cordero, Head of Corporate Development, ERG, said, “Implementing smart technologies from the get-go will allow us to leapfrog traditional exploration and mining methods and reap significant benefits – from improved workforce safety and lower carbon emissions, to enhanced productivity and efficiency. Sustainable development is the bedrock of our business strategy and starting operations with a blank canvas gives usthe opportunity to innovate and embed sustainable practicesright from the start.”

With collaboration being central to its DNA, ERG intends to advance technological development through industry partnerships in the Kingdom. During the Future Minerals Forum, ERG signed an MOU with Ma’aden to build a best-in-class technology hub to further investigate efficient and cutting-edge ways to accelerate exploration within the Kingdom to sustainably meet mineral demand. This collaboration will be extended to include other relevant industry players in the future.

Back to top  | << Back

Communiqués liés

Christian Borner 3 (002)
27/02/2024 Personnalités

Christian Borner nommé Country Head d’UBS Luxembourg

Christian Borner a été nommé Country Head d’UBS Luxembourg lors du passage ...

UBS Luxembourg
OLIV1174 - 20-02-24 - Olivier Toussaint
27/02/2024 Personnalités

Ryan Davis: A new partner for PwC Luxembourg

PwC Luxembourg is pleased to welcome Ryan Davis as a new Advisory Partner in Ris...

PwC Luxembourg
Benjamin Gauthier PwC Luxembourg

PwC Luxembourg publishes ‘From Compliance to Competitive ...

PwC Luxembourg releases a new report providing stakeholders within the financial...

PwC Luxembourg

AC Biode signs MoU in presence of Prime Ministers of Japan &...

At the Japan-Ukraine Conference for Promotion of Economic Growth and Reconstruct...

AC Biode

“A New Era of Corporate Lending: Corporate Banking Survey ...

PwC Luxembourg and The Luxembourg Bankers' Association (ABBL) team up for the se...

PwC Luxembourg

Armacell Financial Highlights 2023

Armacell, a global leader in flexible foam for the equipment insulation market a...


Il n'y a aucun résultat pour votre recherche

We use cookies to ensure the best experience on our website. By accepting you agree the use of cookies. OK Learn more