Saudi Arabia has signed an agreement with the United Kingdom to jointly develop resilient and responsible critical minerals supply chains in support of global energy transition. These critical minerals are vital in in production of electric vehicles, wind turbines and solar panels.
This partnership, which is mainly aimed at increasing the global supply of critical minerals, will also prioritise the sustainable and responsible production of critical minerals.
"Saudi Arabia and UK share a common vision of ensuring the availability of minerals necessary for the energy transition, while upholding high sustainability standards. Our collaborative approach emphasizes international collaboration," remarked Saudi Minister of Industry and Mineral Resources Bandar Al Khorayef, after signing the pact with UK's Secretary of State for Business and Trade, Kemi Badenoch.
The minister pointed out that the shift towards a low-carbon economy necessitates an unprecedented supply of minerals.
"For instance, lithium supply will need to increase by approximately 700%, nickel production by around 100%, and copper production by roughly 50% between 2020-30 compared to 2010-2020 within a 1.5°C-degree pathway," he stated.
Al Khorayef explained that this step was part of increasing cooperation in bilateral relations between the two countries in the industrial and mining sectors and contributes to supporting joint global efforts to reach the green future sought by the world's countries, which requires new sources of critical minerals.
"Both countries share a vision aimed at ensuring the availability of minerals necessary for the transition to clean energy, while maintaining high standards of sustainability, as the declaration of intent will allow the two countries to diversify supply chains for critical minerals for several mineral intensive industries, including manufacturing, aviation of electric vehicles, defense, and renewable energy," he added.
On the deal, Badenoch said: "Critical minerals are essential to our everyday life - from electric vehicles and medical devices to wind turbines and solar panels."
"The agreement I have signed today with Saudi Arabia will strengthen our partnership on supply chain resilience and industrial cooperation- brilliant news for both our economies," she stated.
According to her, the collaboration deal will focus on the following areas of cooperation: developing a shared understanding of critical minerals strategies and resilience of supply chains as well as encouraging the replacement and recycling of critical minerals.
It will also pave the way for establishing a unified vision for the mineral industry that aligns with global environmental standards and promotes social contribution, with coordination in multilateral forums supporting the flow of essential minerals, observed Badenoch.
It will help identify collaborative research opportunities on clean mineral production techniques, resource efficiency, recycling, and other relevant technologies, she added.-TradeArabia News Service