Al Masane Al Kobra Mining Company (AMAK) has inked a letter of intent with Esan and ARMICO-Fujairah to set up a closed joint stock company to invest in industrial minerals and related manufacturing industries across Saudi Arabia.

AMAK and Esan will each hold a 45 percent stake in the new company, while ARMICO-Fujairah will own the remaining 10 percent, AMAK said in a stock exchange statement.

The new venture will have an initial capital of 1 million Saudi riyals, with possible top-ups in the future, the statement said.

The JV will study, develop, and implement projects for exploiting base metals, such as copper, zinc, and nickel and precious metals, like gold and silver, in Saudi Arabia. It will also invest in industries developing quartz, feldspar, silica sand, and clay minerals of various types.

Istanbul-headquartered Esan specialises in exploiting and producing industrial minerals and related manufacturing industries. It also invests in producing and exporting industrial mineral materials to international markets, including feldspar, quartz, spherical clay, kaolin, and mineral ores such as lead, zinc and copper.

Headquartered in Fujairah, ARMICO-Fujairah is wholly owned by the Arab Mining Company, specialised in the field of mining and industrial investments.

(Writing by D Madhura; Editing by Anoop Menon)

(anoop.menon@lseg.com)

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