The $2.6bn Vale batterymetals deal announced last week has set the stage for a potentially landmark shift in the metal and mining investment landscape: the arrival of SaudiArabia as a pivotal player.
A $2.6-billion deal announced last week has set the stage for a potentially landmark shift in the metal and mining investment landscape: the arrival of Saudi Arabia as a pivotal player.
China has for years been the dominant buyer and a key source of funding, as it sought to secure supply for its rapid industrialization. But as tensions with the West have mounted, the mining industry is now facing increased pressure to look elsewhere. For western producers, the kingdom offers access to deep pools of capital, which are appealing as Chinese funds become less politically palatable, but also as some institutional investors have turned less comfortable with mining over environmental concerns.
But Saudi Arabia offers something else beyond cold cash: political backing for companies looking to expand into the Muslim world as deposits in more traditional jurisdictions are depleted. Executives at two of the biggest mining companies, which have spent years assessing base metal assets such as those owned by Vale, said privately that they were surprised by the price tag in last week’s deal, which valued the unit at $26-billion
France Dernières Nouvelles, France Actualités
Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.
Israel to build $27 billion rail expansion, eyes future link to Saudi ArabiaBenjamin Netanyahu sidestepped analysis of constitutional crisis to discuss infrastructure initiatives at weekly Isreali cabinet meeting
Lire la suite »
Saudi Arabia will host a Ukrainian-organized peace summit in August, Officials sayThose taking part in the summit will include Ukraine, Brazil, India, South Africa and several other countries, Russia has not been invited
Lire la suite »
Officials say Saudi Arabia will host a Ukrainian-organized peace summit over Russia's war in AugustDUBAI, United Arab Emirates (AP) — Saudi Arabia will host a Ukrainian\u002Dorganized peace summit in early August seeking to find a way to start negotiations over…
Lire la suite »
Dispute over Persian Gulf gas field poses early challenge to Saudi-Iranian rapprochementAn escalating dispute over a gas field in the Persian Gulf poses an early challenge to a Chinese-brokered agreement to reconcile regional rivals Saudi Arabia and Iran.
Lire la suite »
Forget China, the hot money in mining is suddenly SaudiA US$2.6\u002Dbillion deal announced last week set the stage for the arrival of Saudi Arabia as a pivotal player in mining investment. Read on.
Lire la suite »