Dec 03, 2014
Today the Saudi Arabian Mining Company (Ma’aden) announced its affiliate the Ma’aden Barrick Copper Company has completed the acquisition of the Jabal Sayid copper project. Earlier this year, Ma’aden signed an agreement with Barrick Gold Corporation to form a joint venture for the purpose of establishing a limited liability Saudi company that will acquire, develop and operate the Jabal Sayid copper project located 120 km southeast of Medina, Saudi Arabia.
The Ma’aden Barrick Copper Company is a limited liability company established in Saudi Arabia owned 50% by Ma’aden and 50% by Barrick. Ma’aden is investing US$ 216M to acquire its 50% share in the Project assets, rights and existing infrastructure, free of any debt or obligations. This acquisition transaction will be reflected on Q4 financial results of 2014.
Khalid Al-Mudaifer, President & CEO of Ma’aden said “This is an exciting new development for Ma’aden as we launch not only an important new business line for Ma’aden but also a significant new partnership with Barrick Gold Corporation, the world’s largest gold mining company. The Jabal Sayid mine is an attractive asset and we are confident that by working with Barrick, we will maximise the potential of the asset for the benefit of Ma’aden and its shareholders, the community around the mine, and the Kingdom as a whole.”
The Jabal Sayid copper mine project has been constructed and mechanically completed. Commissioning activities will begin shortly. First production is expected to commence in late 2015 and when fully operational, the project will produce approximately 45,000-60,000 tonnes of copper in concentrate per year.