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AuKing Mining turns its eyes towards Saudi Arabia in strategic pivot

ASX News, Materials
ASX:AKN      MCAP $4.707M
04 April 2024 13:00 (AEST)

A man surveys boundless plains in Saudi Arabia from a rocky ledge. Source: Adobe Stock

AuKing Mining (ASX:AKN) isn’t any stranger to far flung locales, with its WA zinc-copper acreage partnered up in the past with projects in Chile and Southeast Asian nation Laos.

Those latter assets are in the company’s past, with the company currently focusing on multiple landholdings in Tanzania (while retaining its WA landholding.)

But AuKing has turned its eyes today towards a fourth international jurisdiction – the Kingdom of Saudi Arabia.

Partnering up with a local partner in the region called Barg Alsaman Mining Company (BSMC), AuKing is to participate in the 5th landholding auction round held by the Kingdom.

Those auctions are described by AuKing Mining as “tenders,” with the licencing round part of a 2030 strategy from the Kingdom to boost the domestic mining sector beyond oil.

BSMC is a subsidiary of Segia Gulf Group, a company that advertises itself as a builder for multiple government projects in the Kingdom.

“The Saudi Government has now established its 5th Licensing Round whereby six project licence areas, covering a total of approximately 750sq.km, will be made available to qualified bidders for tender,” AuKing CEO Paul Williams said.

The project areas, Williams added, are prospective for polymetal mineralisation with gold, copper “and other base metals” in the Arabian Shield geological region in the Kingdom’s western region.

Segia chief Sheikh Abdullah Al-Qahtani described the partnership as a “new challenge.”

“By applying for the 5th Licensing Round bidding projects announced by the Ministry of Industry and Mineral Resources in Saudi Arabia, we are pursuing projects that are potentially very prospective areas for gold, silver, copper and associated minerals”, Al-Qahtani said.

“Barg Alsaman Mining Company is entering a new challenge partnering with ASX-listed AuKing Mining.”

AKN shares were up 13% to 2.5cps at 1pm AEDT.

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