Saudi Arabia is making significant strides in the mining industry, with recent initiatives to boost the production of copper, gold, zinc, lithium, and aluminum. While the country does not have major nickel reserves, it is investing in international nickel supply.
In 2023, Manara Minerals, a joint venture between Ma’aden and Saudi Arabia’s Public Investment Fund, purchased a 10% stake in Vale’s base metals unit for $2.5 billion. This investment is expected to help increase Vale’s nickel production to over 300,000 tonnes per year.
Saudi Arabia’s Vision 2030 plan includes multibillion-dollar investments in new steel plants and electric vehicle factories. The construction of new steel plate and hot-rolled coil plants, as well as an EV battery plant, is expected to increase the demand for nickel, as both industries heavily rely on the metal.
As the global demand for nickel continues to grow, Saudi Arabia is positioning itself to capitalize on this trend. The country’s focus on developing EV production and infrastructure expansion projects like the Neom smart city is driving the demand for nickel even further.
While there have been some challenges in meeting the forecasted steel demand growth, market participants are optimistic about the potential impact of Saudi Arabia’s Vision 2030 on the nickel market. With nickel prices on the rise and a strong emphasis on developing the mining sector, Saudi Arabia is poised to become a key player in the global nickel market.
