ASIATODAY.ID, RIYADH — The global mining industry is entering a phase of fundamental transformation.
Surging mineral demand is no longer driven solely by the energy transition and traditional critical minerals, but increasingly by the technological revolution—particularly artificial intelligence (AI) and the rapid expansion of large-scale data centers.
Amid this shift, Saudi Arabia sees a strategic opportunity to position itself at the center of the global mineral value chain.
Saudi Arabia’s Minister of Industry and Mineral Resources, Bandar Alkhorayef, said that AI and data centers cannot operate without massive mineral infrastructure.
He made the remarks during a ministerial panel titled “Dawn of a Global Cause: the Role of Governments in Driving Mineral Supply” at the fifth annual Future Minerals Forum in Riyadh on January 15, 2026.
“Global mineral demand is now being reshaped by the technology revolution, not only by the energy transition,” Alkhorayef said.
“This creates a historic opportunity for Saudi Arabia to lead global mineral supply chains.”
AI and Data Centers Redraw Global Demand
Alkhorayef noted that the rapid growth of AI, cloud computing, and high-power data centers is driving unprecedented demand for minerals. These resources are essential to digital infrastructure, power systems, and energy-intensive processing facilities that underpin the modern digital economy.
The ‘Rare Trinity’ of Saudi Competitive Advantage
At the forum, Alkhorayef outlined what he described as Saudi Arabia’s “rare trinity”—a combination of advantages that few countries can match.
The first is abundant geological resources, supported by significant state investment in high-quality geological surveying data.
The second is competitively priced energy, a critical factor for mineral processing industries that require intensive power consumption.
The third is Saudi Arabia’s strategic geographic location, linking major global markets and reducing logistics costs by as much as 30 percent of mineral value.
Together, these three elements place Saudi Arabia in a unique position to evolve beyond raw material extraction and emerge as a global hub for mineral processing and manufacturing.
From Extraction to Global Manufacturing
Leveraging its rare trinity, Saudi Arabia is pursuing an integrated mineral value-chain strategy—spanning exploration, processing, and downstream manufacturing.
The approach aligns with the Kingdom’s economic diversification goals and its ambition to play a central role in the global economy in the AI era.
As the world becomes increasingly dependent on advanced technologies, Saudi Arabia aims to ensure that minerals—the unseen foundation of the digital revolution—are not only mined, but also processed and manufactured domestically, cementing the Kingdom’s role as a key node in global mineral supply chains. (SPA)
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