Saudi Arabia has extracted lithium from oilfield runoffs, says vice minister
Lithium is a key component in the batteries of electric cars, laptops, and smartphones
Updated 17 December 2024
Reuters
RIYADH: Saudi Arabia has successfully extracted lithium from brine samples from Aramco’s oilfields and plans to launch a commercial pilot program for direct extraction soon, the Saudi vice minister of mining affairs said on Tuesday.
Lithium Infinity, also known as Lihytech, a startup launched out of King Abdullah University for Science and Technology, will lead the extraction project with cooperation from Saudi mining company Ma’aden and Aramco, Khalid Al-Mudaifer told Reuters.
“They are extracting lithium through their new technology they have developed in King Abdullah University for Science and Technology and they are in accelerated development in this regard,” he said.
“They’re building a commercial pilot at the oil fields. So the brines that come out of the field will feed into this commercial pilot on a continuous basis,” added Al-Mudaifer.
Lithium is a key component in the batteries of electric cars, laptops, and smartphones.
The vice minister said that while the cost of extracting lithium from the brine runoffs from oil fields remained higher than the traditional method of extraction from salt flats, but added he expected that if lithium prices grew the project would soon be commercially viable.
Aramco, KAUST, and Ma’aden did not immediately reply to Reuters requests for comments.
GCC, Japan begin 2nd round of FTA negotiations in Tokyo
Updated 11 sec ago
Nirmal Narayanan
RIYADH: The Gulf Cooperation Council and Japan have launched the second round of negotiations for a free trade agreement, with discussions focusing on enhancing economic cooperation between the two sides.
Held in Tokyo from June 30 to July 4, the talks aim to lay the groundwork for a comprehensive FTA that would grant Gulf goods and services preferential access to the Japanese market through tariff reductions, simplified customs procedures, and regulatory streamlining.
The negotiations were preceded by coordination meetings of the GCC technical negotiation teams on June 29, the Saudi Press Agency reported.
This follows the first round of negotiations in December, during which both parties discussed cooperation in goods, services, e-commerce, investment, and economic evaluation.
“The second round of negotiations will address a number of topics across various areas, including goods, sanitary and phytosanitary measures, technical barriers to trade, services provisions, financial services, telecommunications services, the movement of natural persons, intellectual property, dispute settlement, general provisions of the agreement, rules of origin, and trade facilitation.” the SPA report stated.
Saudi Arabia, represented by the General Authority for Foreign Trade and led by Deputy Governor for International Organizations and Agreements Fareed Al-Asaly is participating in the talks, it added.
The Saudi delegation includes representatives from the Ministries of Energy, Investment, Environment, Water and Agriculture, along with officials from the Saudi Food and Drug Authority, the Saudi Central Bank, and the Zakat, Tax and Customs Authority.
An FTA represents a legally binding agreement between countries designed to reduce or eliminate barriers to trade.
The second round aims to finalize proposed texts and identify key areas of cooperation, paving the way for a comprehensive agreement.
According to the Japan External Trade Organization, GCC exports to Japan reached $84 billion in 2024, down from $93 billion the previous year due to a drop in oil prices. Meanwhile, Japanese exports to the GCC rose to $24 billion last year from $22 billion in 2023.
The GCC currently has an FTA with the European Free Trade Association, which includes Iceland, Liechtenstein, Norway, and Switzerland.
The bloc also concluded an FTA with New Zealand in October, while negotiations are ongoing with countries including Australia, Malaysia, Turkiye, and the UK.
Japan currently has FTAs with several countries, including Singapore, Mexico, and Malaysia, as well as Chile, Thailand, Indonesia, and Brunei.
Other major nations that have FTAs with the East Asian country include Switzerland, Vietnam, India, the UK, and the US.
Saudi Arabia pitches $2.5tn mining sector potential to Canadian firms
Updated 41 min 48 sec ago
MOHAMMED AL-KINANI
JEDDAH: Canadian companies have been presented with exploration opportunities in Saudi Arabia’s mining sector during a roundtable in Vancouver.
Officials from the Kingdom’s Ministry of Industry and Mineral Resources presented investment options to representatives from 25 firms, outlining the goals of the government’s Comprehensive Mining Strategy, according to the Saudi Press Agency.
The speakers also highlighted the competitive advantages of the Kingdom’s investment environment and its ongoing efforts to develop the mining sector, maximizing its contribution to economic diversification.
The initiative is part of the Ministry of Industry and Mineral Resources’ ongoing efforts to attract high-quality investments to Saudi Arabia’s mining sector, with the Kingdom’s mineral wealth estimated at around SR9.3 trillion ($2.48 trillion).
this effort also includes the Future Minerals Forum, launched in 2022 as an annual international conference where global mining leaders collaborate, share knowledge, and tackle key industry challenges and opportunities.
The Vancouver meeting is one of a number set to be held ahead of the fifth edition of the Kingdom’s Future Minerals Forum in January, and according to SPA: “Roundtable participants reaffirmed FMF’s vital role in shaping the future of the global mining sector and developing effective solutions to its challenges amid ongoing shifts in the energy and industrial landscapes.”
The report added that the ministry also held a seminar with investors in Toronto, where it also presented promising investment opportunities in the Kingdom’s mining sector.
The meetings build on the momentum of high-level engagement between Canada and Saudi Arabia, including Industry Minister Bandar bin Ibrahim Alkhorayef leading a delegation to Ottawa and Toronto in October to advance bilateral cooperation following the restoration of diplomatic ties in May 2023.
The visit also highlighted Saudi Arabia’s interest in Canada’s expertise in digital financial technologies, geological surveying, and human capacity development, aligning with the Kingdom’s efforts to build a knowledge-based, innovation-driven mining sector under Vision 2030.
In 2023, the Kingdom’s non-oil exports to Canada totaled SR140 million, mainly consisting of base metals and plant products. In contrast, non-oil imports from Canada reached SR2.89 billion, including locomotives, pharmaceuticals, optical and imaging equipment, and electrical devices.
Oil Updates — crude falls on prospect of more OPEC+ supply, easing risks in Mideast
Updated 30 June 2025
Reuters
SINGAPORE: Oil prices fell on Monday as an easing of geopolitical risks in the Middle East and the prospect of another OPEC+ output hike in August improved supply expectations amid persistent uncertainty over the outlook for global demand.
Brent crude futures fell 12 cents, or 0.18 percent, to $67.65 a barrel by 10:18 a.m. Saudi time, ahead of the August contract’s expiry later on Monday. The more active September contract was at $66.56, down 24 cents.
US West Texas Intermediate crude dropped 36 cents, or 0.55 percent, to $65.16 a barrel.
Last week, both benchmarks posted their biggest weekly decline since March 2023, but they are set to finish higher in June with a second consecutive monthly gain of more than 5 percent.
A 12-day war that started with Israel targeting Iran’s nuclear facilities on June 13 pushed up Brent prices. They surged above $80 a barrel after the US bombed Iran’s nuclear facilities and then slumped to $67 after President Donald Trump announced an Iran-Israel ceasefire.
The market has stripped out most of the geopolitical risk premium built into the price following the Iran-Israel ceasefire, IG markets analyst Tony Sycamore said in a note.
Further weighing on the market, four delegates from OPEC+, which includes allies of the Organization of the Petroleum Exporting Countries, said the group was set to boost production by 411,000 barrels per day in August, following similar-sized output increases for May, June and July.
OPEC+ is set to meet on July 6 and this would be the fifth monthly increase since the group started unwinding production cuts in April.
However, bearish pressure from concerns over slower global oil demand, particularly from China, is likely to persist.
Uncertainty around global growth continues to cap prices, said Priyanka Sachdeva, senior market analyst at Phillip Nova.
China’s factory activity contracted for a third straight month in June, as weak domestic demand and faltering exports weighed on manufacturers amid US trade uncertainty.
In the US, the number of operating oil rigs, an indicator of future output, fell by six to 432 last week, the lowest level since October 2021, Baker Hughes said.
Closing Bell: Saudi main index rises to close at 11,202
Parallel market Nomu gained or 0.72% to close at 27,248.13
MSCI Tadawul Index rose 1.07% to close at 1,434.07
Updated 29 June 2025
REEM WALID
RIYADH: Saudi Arabia’s Tadawul All Share Index rose on Sunday, gaining 134.37 points, or 1.21 percent, to close at 11,202.64.
The total trading turnover of the benchmark index was SR5.08 billion ($1.35 billion), as 218 of the stocks advanced and 31 retreated.
The Kingdom’s parallel market Nomu gained 195.03 points, or 0.72 percent, to close at 27,248.13. This comes as 57 of the listed stocks advanced while 30 retreated.
The MSCI Tadawul Index gained 15.19 points, or 1.07 percent, to close at 1,434.07.
The best-performing stock of the day was Saudi Industrial Development Co., whose share price increased 10 percent to SR30.14.
Other top performers included Naseej International Trading Co., whose share price rose 9.99 percent to SR 96.00, as well as Fawaz Abdulaziz Alhokair Co., also known as Cenomi Retail, whose share price rose 9.97 percent to SR 22.39. According to Tadawul, Cenomi Retail’s shares also jumped by 100 percent in two months despite a sell recommendation from research houses.
Specialized Medical Co. recorded the most significant drop, falling 1.88 percent to SR22.92.
Americana Restaurants International PLC — Foreign Co. saw its stock prices fall 1.26 percent to SR2.35.
Nahdi Medical Co. also saw its stock prices decline 1.24 percent to SR127.20.
On the announcements front, Etihad Atheeb Telecommunication Co., also known as GO Telecom, has announced its annual consolidated financial results for the period ending March 31.
According to a Tadawul statement, the firm recorded a net profit of SR223 million during the year, reflecting a 14.36 percent increase compared to the same period a year earlier. The climb is attributed to an increase in revenue of SR446 million, offset by a rise in the cost of revenue of SR320 million, an upsurge in expected credit losses on trade receivables of SR24.6 million, and a growth in general and administrative expenses of SR24 million.
There was also a decrease in financing costs by SR690,000 due to the recognition of commission income on Islamic deposits during the current year, amounting to SR20 million.
GO Telecom has decided to distribute SR10.1 million worth of cash dividends to the company’s shareholders for the fiscal year ending on March 31. According to a Tadawul statement, the number of shares eligible for dividends stands at 33.99 million, with a dividend per share of 30 halals and a dividend percentage to the share par value of 3 percent.
GO Telecom ended the session at SR105.00, up 2.49 percent.
The Saudi Exchange has approved Saudi Azm for Communication and Information Technology Co.’s request to transfer from Nomu — Parallel market to the main market, with a capital of SR30 million and 60 million shares.
The company’s shares will remain listed on Nomu – Parallel market until the deadline for publishing the transfer document.
The issuer is required to publish the transfer document within three trading days after the Saudi Exchange announces its approval of the transfer request. The transfer document will be accessible to the public for 10 trading sessions through the websites of the issuer, Tadawul, and the financial adviser.
Tadawul also approved Obeikan Glass Co.’s request to transfer from Nomu — Parallel market to the main market, with a capital of SR320 million and 32 million shares.
Saudi IPO proceeds hit $2.8bn in H1 as flynas leads market activity
Leading the activity was the public offering of low-cost carrier flynas, which raised SR4.1 billion
Umm Al-Qura for Development and Construction Co. raised $523.1 million
Updated 29 June 2025
Reem Walid
RIYADH: Saudi Arabia’s equity capital market maintained strong momentum in the first half of 2025, with six companies raising a combined $2.8 billion through initial public offerings on the main Tadawul exchange.
According to an analysis by Forbes Middle East, leading the activity was the public offering of low-cost carrier flynas, which raised SR4.1 billion ($1.1 billion) in what marked one of the region’s largest aviation listings.
The rise in IPO listings comes amid broader financial reforms in Saudi Arabia, as the Capital Market Authority introduces new frameworks — including regulations for special purpose acquisition companies — aimed at expanding funding avenues and enhancing private-sector participation.
In its analysis, Forbes stated: “The momentum underscores investors’ growing appetite for sectoral diversification across aviation, healthcare, finance, and industry, while affirming Riyadh’s long-term bet on privatization and public market expansion under Vision 2030.”
The flynas IPO drew overwhelming demand, with institutional subscriptions oversubscribed nearly 100 times, and the retail tranche covered 349.7 percent. The offering comprised 51.3 million ordinary shares, representing 30 percent of the company’s post-offering capital.
“In 2024, flynas generated $2 billion (SR7.6 billion) in revenue, marking an 18.8 percent increase from the previous year, while net profit rose 8 percent to $115.6 million (SR433.5 million),” the analysis added.
A view of the sign showing the logo of Saudi Arabia’s Stock Exchange Market (Tadawul) bourse in the capital Riyadh. File/AFP
As of June 14, the airline was operating 139 routes, connecting over 70 domestic and international destinations across 30 countries, with a weekly schedule exceeding 2,000 flights.
Diverse listings
Forbes also highlighted several other notable IPOs that reflect diversification across key sectors.
Umm Al-Qura for Development and Construction Co. raised $523.1 million by selling 130.7 million shares at $4 each — representing 9.09 percent of its total capital.
The company leads the Masar destination project, a major development transforming the western gateway of the Holy City, featuring hotels, residential units, retail spaces, and infrastructure.
Aligned with Saudi Arabia’s drive to boost religious tourism, the IPO proceeds will support ongoing construction, improve transport connectivity, and attract global hospitality brands in line with national tourism goals.
Among the companies to list this year was Riyadh-headquartered SMC Healthcare, which raised $500 million through its Tadawul debut, reflecting growing investor appetite for healthcare stocks as the Kingdom expands private sector involvement in the industry. The IPO comprised 75 million shares priced at $6.70 each, representing 30 percent of the company’s total share capital.
Derayah Financial, an asset management and brokerage firm, is another company that secured $399.6 million through its offering. Shares were priced at $8 each and attracted strong interest from both retail and institutional investors, supported by the company’s digital-first model and established brand presence.
In February, Derayah offered 20 percent of its share capital — 49.9 million shares — through a listing on the Main Market, providing investors access to its expanding digital investment platform.
The stock was listed in March. By the end of the first quarter, Derayah reported 555,000 client accounts, while assets under management rose 5 percent year-to-date to $4.8 billion.
This year also saw United Carton Industries Co. raise $160 million by offering 12 million shares at $13.30 each, representing 30 percent of its capital. The company is expanding capacity to meet rising demand for corrugated packaging, a key input in Saudi Arabia’s growing industrial sector.
Arabian Co. for Agricultural and Industrial Investment, also known as Entaj, raised $120 million through a February IPO. The poultry producer floated 9 million shares, leveraging strong demand amid the Kingdom’s drive to enhance local food security. Entaj nearly doubled its daily processing capacity to 600,000 birds by the end of 2024.
Regional dominance
The rise in listings reinforces Tadawul’s position as the Arab world’s most valuable stock exchange. According to the Arab Federation of Capital Markets, the Saudi exchange accounted for 62 percent of total market capitalization across regional bourses in 2024, far ahead of the Abu Dhabi Securities Exchange, which held 18.6 percent.
Tadawul's benchmark TASI index ended December 2024 at 12,037 points, up 3.39 percent month-on-month. Average daily trading value reached SR5.2 billion, while total monthly trading volume stood at SR119.6 billion, according to the Arab Monetary Fund.
Analysts expect IPO momentum to continue in the second half of 2025, especially in energy-adjacent sectors, fintech, and transportation, as the Capital Market Authority accelerates approvals and Vision 2030-linked corporates seek broader capital access.
The Saudi stock market was among the region’s top performers in December, buoyed by improved liquidity and investor confidence. TASI closed the month at 12,037 points, with daily trading values averaging SR5.2 billion and total trading reaching SR119.6 billion, the Arab Monetary Fund reported.
