US-Saudi Business Opportunities
Forum
Saudi Arabian Mining Company
Company
29 April 2010
Mohammad Bajba
Table of Contents
Introduction
Evolution of Ma’aden
Ma’aden Current Business
Ma’aden Aluminum Project
Available Infrastructure
Future Opportunities
MA’ADEN
Government investment in infrastructure
to promote diversification facilitates growth
of minerals industry and downstream
opportunities.
Well positioned for growth as Saudi
Arabia expands into new industries to take
advantage of abundant mineral resources
and well advanced infrastructure.
Evolution of Ma’aden
1997~1999
2000~2002
2003~2006
2007~2008
2009~
Beginning
Gold Development
Mining Law & Railway
Capitalization
Expansion & Growth
2000
Al Hajar Gold Mine
commissioned
2004
KSA Mining
Investment Law
1997
Established
2007
2009
Phosphate Joint
Venture with SABIC
Aluminum Joint
Venture with ALCOA
ECA with SWCC
1999
50% of Petromin
interest in SCPM
2002
Bulgah Gold Mine
Opened
2006
North-South
Railway approved
by Council of
Ministers
2008
Today
Completed IPO
50% share public
Publicly traded
company (CAP over
SR.9,25B
With aspiration for
massive growth
Ma’aden Operation’s (KSA)
Current Business
World class diversified mining
and minerals group.
Organized to develop nonpetroleum resources into
competitive industries.
Ma’aden Gold Mines
Mines
Started
Years of
Operation
Gold Production
(1988 to 2009)
Mahd
1988
23
2,131,043 oz
Sukhaybarat
1991
20
952,586 oz
Al Hajar
2001
10
254,263 oz
Bulghah
2003
8
488,817 oz
Al Amar
2008
3
86,359 oz
Total
3,913,068 oz
World Competitive Gold Mines
Ma’aden Phosphate Project
Ma’aden Phosphate
70%
30%
Ma’aden Phosphate Company
93% Completed
S/U 4thQ 2010
Al Khabra Project
Feasibility Study
Will be completed
August 2010
9
Table of Contents
Introduction
Evolution of Ma’aden
Ma’aden Current Business
Ma’aden Aluminum Project
Available Infrastructure
Future Opportunities
Ma’aden Aluminum Project
Lowest Aluminum cost worldwide
Fully integrated complex (Mine & Refinery/
Smelter/Rolling Mill)
Leading role in advancing Local and Regional
economy as a major hub for the Aluminum and
downstream sectors
A catalyst for the generation of significant new
businesses and employment opportunities
One Project - Two Phases
Baiytha
1,350 MW
MINE
SWCC
4,000 ktpy (dry)
Bauxite Ore
Alumina
Refinery
Bulk Alumina
1,800 ktpy
Alumina
Aluminum
Smelter
Phase 2
740 ktpy
Aluminum
Standard Ingot
& T-Bar
Export Sales
Rolling Slab
Rolling Mill
380 ktpy
Phase 1
Flat Rolled
Products
Domestic
Sales
Aluminum Complex - Utilities
Mine &Refinery
4 Mt Mine Capacity
1.8 Mt/yr (SGA)
As per “MinPet“
Resource Allocation letter
dated 7th July 2009
610
1228.5 mw
Smelter
740 ktpa Alum.(AP37)
2 PL – 360 Pots/line
21mmscf/day
(MAC)
Gas
(521 mmscf/day)
52.3 mw
(ICH & system losses)
7268
Electricity
Natural Gas
500 mmscf/d
(309+191)
4594
(1,350 MW)
Gas (21mmscf/day)
Heavy Crude
Oil
8,000 BPD
Hot mill : 460 Kta
Cold mill: 250 Kta
Water ( Distillate (12,000 mt/d (maximum))
Rolling Mill
Aramco
Water (Potable (13,000 mt/d (minimum))
64 mw
SWCC PROJ
Power : 2400 MW
Water : 1,025,000 M3/D
New
Circuits
National Water Grid
1,000,000 tpd water
National Electricity
Grid
1,050 MW
Combined Power Project with SWCC
2400MW
SWCC
Power
SWCC Water
SWCC
power
1050MW
to SEC
1.025 M m3/d
Ma’aden
power
50MW DS
industries
in RSZ
Ma’aden
Water
Ma’aden off take
1350MW
& 0.025 mM3/d
SWCC water
SWCC Off take
1M m3/d
Larger Station with Efficient Energy Utilization
Ma’aden
Power
Ma’aden
Water
 Economies of scale
- Capital - single EPC, building cost
- Operating - single O&M contract
 Significantly lower capital investment
 Improved efficiencies by cogenerating of power & water
Table of Contents
Introduction
Evolution of Ma’aden
Ma’aden Current Business
Ma’aden Aluminum Project
Available Infrastructure
Future Opportunities
National Infrastructure Enhancement
Saudi Railway Company
Port Development
Minerals Industrial City
•
•
•
•
•
•
•
Longest Worldwide
(1,500KM)
Overall performance for
mineral line is 97%
Expected completion
date is Sep. 2010
23 Km2 Area
Six Berths
Expected Completion
date is Nov. 2010
•
•
Strategic metals & minerals
industry clusters
Center of excellence
Jubail Industrial City
Partnership
Table of Contents
Introduction
Evolution of Ma’aden
Ma’aden Current Business
Ma’aden Aluminum Project
Available Infrastructure
Future Opportunities
Advantages for Investors
Natural resources
Clear mining laws
Expanding supplier & services
Liquidity & Stability
Advance infrastructure
Proximity to markets
Access to energy
Aluminum End-user Applications
Casting
Products
Rolled
Products
Wires &
Cables
Extrusions
Opportunities for Partnership
Actively seeking partnership opportunities
Joint ventures
Investment
Technology
Suppliers and professional service
Massive exploration potential
Thanks …