Brazil and Saudi Arabia are discussing investments in sustainable mining and the energy transition, according to Brazilian Minister of Mines and Energy, Alexandre Silveira.
Attending the World Economic Forum in Davos, Switzerland, Silveira met with the Saudi ministers of investments, Khalid Al-Falih, and industry and mining, Bandar Alkhorayef.
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“Last night, I had a bilateral meeting with the minister of investment and the minister of mining from Saudi Arabia to discuss essential investments for Brazil in energy transition, as this is our great vocation,” Silveira told CNN.
Silveira said he had discussed the energy transition “vigorously” with the Saudis, and representatives from the Kingdom expressed their interest in investing in the energy and mining sectors in Brazil.
“Brazil is recognized for its mineral potential, our territorial expanse, natural wealth, and critical minerals. Rare earths are extremely crucial for energy transition,” he noted.
In 2023, Manara Minerals, a joint venture between the Saudi state mining company Ma’aden and the Public Investment Fund, acquired a 10% stake in Vale Base Metals, the basic metals subsidiary of the Brazilian company, for approximately $3 billion.
Saudi Arabia recently signed memorandums of understanding for mining collaborations with Egypt, Russia, Morocco and the Democratic Republic of Congo.
The country also announced a $182 million mineral exploration incentive program as part of efforts to build an economy that does not rely mostly on oil. Saudi Arabia has vast reserves of phosphate, gold, copper and bauxite.