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Saudi Arabia to visit Brazil and lithium power Chile as seeks to diversify
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Saudi Arabia to visit Brazil and lithium power Chile as seeks to diversify
Jul 21, 2024 6:50 AM

RIYADH, July 21 (Reuters) - Saudi Arabia's mining

minister will visit Brazil and Chile over the coming two weeks,

the ministry said on Sunday, as the world's leading oil exporter

seeks to expand its international presence in mining.

In Brazil, talks will cover mining, food processing, and

aviation, while in Chile the focus is on lithium, needed for

electric vehicle batteries.

"This aligns with the Kingdom's direction towards expanding

the production of EVs," a Saudi government statement said.

Saudi Minister of Industry and Mineral Resources Bandar

Alkhorayaf will land in Brazil on Monday and leave for Chile,

the world's second largest producer of lithium, next Sunday.

First in Brazil, Alkhorayaf will meet agricultural and

industrial groups, including Minerva Foods, JBS, and BRF SA, as

well as the Brazilian Mining Association (IBRAM) and mining

company Vale.

In Chile, Alkhorayaf will meet his counterpart Aurora

Williams, as well as mining companies Antofagasta, and Codelco,

a state-run company tasked with bringing the Chilean government

into the lithium industry.

Codelco has been seeking private sector partners to launch

lithium projects.

A potential candidate is Saudi Arabia's Almar Water

Solutions, whose chief executive said in June the company sought

a partnership with Codelco in its planned Maricunga lithium

mining project.

Long dependent on oil, Saudi Arabia hopes to use lithium to

help diversify its economy and turn itself into a hub for EV

manufacturing.

The diversification strategy includes plans to expand into

international mining to secure access to minerals including

copper, cobalt, and nickel as well as lithium.

Saudi Arabia's sovereign wealth fund, the Public Investment

Fund (PIF), and the Kingdom's Mining Company, known as Ma'aden,

which is 67% owned by the PIF, formed a joint venture called

Manara Minerals to invest in mining assets abroad.

Brazil's minister for energy Alexandre Silveira said last

month the PIF plans to invest $15 billion in Brazil in areas

such as green hydrogren, infrastructure, and renewable energy.

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