The New Oil: Why Critical Minerals Define the 21st Century Economy

As the world accelerates toward electrification, a fundamental shift is reshaping global power dynamics. The nations that control the flow of critical minerals—lithium, copper, rare earths, and graphite—will define the 21st century economy, just as oil-exporting nations shaped the 20th. For Saudi Arabia, this presents both an urgent challenge and an unprecedented opportunity.

The Kingdom is already making bold moves. With mineral wealth officially revalued at $2.5 trillion (SAR 9.375 trillion) —a 90% increase from the 2016 baseline following the completion of a massive geophysical and geochemical survey of the Arabian Shield—Saudi Arabia is positioning itself as a global supplier of critical minerals . The target is ambitious: 300,000 electric vehicles produced annually by 2030, requiring massive quantities of copper, lithium, and rare earths .

At Darkstone Group, we are at the forefront of this transformation. Our Mining & Exploration division is actively engaged in copper exploration Arabian Shield and critical mineral development across the Kingdom’s most prospective geological terranes. With deep local expertise and proven exploration capabilities, we are helping Saudi Arabia unlock the mineral wealth that will power its electric future .

The Geopolitical Imperative: Breaking Supply Chain Concentration

A Concentrated Supply Chain Under Pressure

The global critical minerals supply chain is precariously concentrated. China currently dominates 90% of global critical mineral processing, creating strategic vulnerabilities for nations dependent on imported battery materials . This concentration has real consequences—Lucid Motors faced production challenges last year after China restricted rare earth exports, forcing the company to urgently seek alternatives .

For Saudi Arabia, this concentration represents both a risk and an opportunity. The Kingdom’s strategic location, stable investment climate, and ambitious Vision 2030 agenda make it an ideal candidate to become a reliable alternative source of critical minerals for Western markets.

Leapfrogging the Supply Chain

Saudi Arabia is not simply trying to replicate existing supply chains—it aims to leapfrog them. As Emilie Bodoin, CEO of battery maker Pure Lithium (backed by Saudi Arabia’s Public Investment Fund), noted: “By leapfrogging the current lithium-ion technology with lithium metal technology, we can circumvent Chinese dominance of the supply chain” .

This approach aligns with broader US-Saudi cooperation on critical minerals. The US Energy Department has taken equity stakes in critical mineral projects, while Saudi Arabia has signed framework agreements to develop alternative supply chains . The message is clear: critical minerals are not just an economic issue—they are a national security imperative.

Lucid’s Shift: A Case Study in Supply Chain Transformation

Lucid Motors’ recent announcement demonstrates the urgency of this transition. CEO Marc Winterhoff declared that the company “will cut China out of its magnets supply chain this year” and is looking to build ties with Saudi rare earth suppliers instead . The company is particularly interested in the output from a rare earths processing plant that US-government-backed MP Materials and Saudi Arabia’s Ma’aden are planning in the Kingdom .

This shift is driven by necessity—rare earth export restrictions from China disrupted Lucid’s production in 2025. The company is increasingly looking to source more parts inside Saudi Arabia as it prepares to begin full manufacturing of its first midsize EV at a plant on the Kingdom’s west coast by the end of this year . With the Public Investment Fund holding more than 60% of Lucid’s stock, this alignment of interests creates a powerful catalyst for domestic critical mineral development .

The Arabian Shield: A Geological Treasure House

World-Class Mineral Potential

The Arabian Shield, a Precambrian geological formation extending across western Saudi Arabia, is emerging as one of the world’s most prospective regions for critical minerals. The recently completed massive geophysical and geochemical survey of the Shield has revolutionized understanding of its potential, leading to the official revaluation of Saudi Arabia’s mineral wealth to $2.5 trillion .

The survey has enabled the identification of specific deposits of rare earth elements (REEs), copper, and zinc, creating a “plug-and-play” exploration environment that drastically reduces the geological risk typically plaguing greenfield projects . The Ministry of Industry and Mineral Resources has announced new major bidding rounds for 2026-2027 targeting these specific deposits .

Copper: The Metal of Electrification

Copper has become a strategic priority for Saudi Arabia, given its critical role in the energy transition. An electric vehicle contains nearly four times more copper than a conventional internal combustion engine vehicle—approximately 80 kg per vehicle versus 20 kg.

Saudi Arabia’s strategic positioning extends beyond domestic resources. Through the Manara Minerals joint venture between the Public Investment Fund (PIF) and Ma’aden, the Kingdom is securing copper concentrate from Africa’s Copperbelt to feed its downstream ambitions . Talks have advanced significantly regarding Manara’s acquisition of minority stakes in Zambian copper and nickel assets, with Saudi capital acting as a “force multiplier” providing liquidity to expand existing mines in exchange for offtake agreements destined for Saudi refineries .

At the recent Future Minerals Forum (FMF2026), the strategic intent was clear: Saudi Arabia is positioning itself not just as an investor, but as the processing hub for Africa’s critical minerals .

Lithium: The White Gold Rush

Saudi Arabia’s lithium journey has accelerated dramatically. In 2024, the Kingdom achieved a major breakthrough: successfully extracting lithium from oilfield brine run-off, a sustainable source that transforms waste into wealth . Research at King Abdullah University of Science and Technology (KAUST) has also found new ways to extract the mineral from seawater, opening vast new resource frontiers .

The Ma’aden-Aramco joint venture is pioneering a new extraction technology designed to recover lithium from brine produced during oil extraction—a potential game-changer that could turn Saudi Arabia’s oil fields into lithium sources .

The strategic importance of lithium cannot be overstated. With Saudi Arabia targeting 300,000 EVs annually by 2030, lithium demand is projected to grow twentyfold by 2030 . Each EV requires approximately 8-10 kg of lithium carbonate equivalent, meaning domestic production of 300,000 EVs would require 2,400-3,000 tonnes of lithium annually.

Rare Earth Elements: Breaking Chinese Dominance

The rare earth story is equally compelling. Ma’aden has partnered with US-based MP Materials to develop a rare earth refinery in the Kingdom that would supply magnets to the US market . This facility is exactly the kind of supply source that Lucid Motors is seeking to replace Chinese-origin magnets .

The US-Saudi critical minerals partnership was formalized through an agreement signed in November 2025, with both nations seeking to build “safe corridors for the materials crucial for the global high tech economy” . Cove Capital and Saudi’s AHQ conglomerate plan to raise a “multibillion-dollar” fund to invest in African critical minerals projects and secure offtake for processing in America and Saudi Arabia .

Darkstone’s Role: Exploration Excellence for a Secure Future

Proven Capabilities on Major Projects

Darkstone Arabia has established itself as a trusted partner in Saudi Arabia’s mining sector, delivering exploration and development services across the Kingdom’s most significant projects.

Key Achievements:

• Mansourah-Massarah Tailings Storage Facility: Completed a SAR 105 million project for Ma’aden—the largest TSF in Saudi Arabia—six months ahead of schedule, spanning 2.5 million square meters

• Exploration Drilling: Delivered extensive RC and core drilling programs across the Arabian Shield

• Geological Services: Providing expert geological support across Ma’aden’s exploration and mining sites throughout Saudi Arabia

Integrated Critical Mineral Expertise

Darkstone’s Mining & Exploration division offers comprehensive capabilities essential for critical mineral development:

• Exploration Program Management: End-to-end management from target generation to resource definition

• RC & DD Drilling: Advanced drilling techniques for precise mineral evaluation

• Geological Studies & Resource Modeling: Cutting-edge modeling to quantify mineral resources

• Geotechnical Monitoring: Ensuring safe and efficient extraction

Darkstone’s deep local expertise and proven track record position us as an ideal partner for international mining companies and investors seeking to participate in Saudi Arabia’s critical minerals boom .

The Downstream Opportunity: Building a Domestic Battery Ecosystem

From Minerals to Manufacturing

Securing critical minerals is only the first step. Saudi Arabia is simultaneously building downstream processing capacity to capture value across the entire battery supply chain.

Rare Earth Refining:
Ma’aden’s partnership with MP Materials to develop a rare earth refinery in the Kingdom represents a major milestone. This facility will process rare earth elements into the magnets essential for EV motors—exactly the kind of domestic supply that Lucid Motors is seeking .

Lithium Processing:
The Ma’aden-Aramco joint venture is developing commercial lithium production from oilfield brines, with commercial production targeted for 2027. The joint venture aims to produce enough lithium to meet the needs of 500,000 EVs annually .

Battery Storage Capacity:
Saudi Arabia is targeting 48 gigawatt-hours of battery storage capacity by 2030, supporting both grid stability and industrial energy security .

The Investment Case for Foreign Partners

Saudi Arabia is actively seeking international investment in its critical minerals sector. The Ministry of Industry and Mineral Resources announced new major bidding rounds for 2026-2027 targeting specific deposits of REEs, copper, and zinc, with the fully surveyed Arabian Shield offering investors a “plug-and-play” exploration environment .

The mining sector’s capital attraction target has been increased from approximately $12billiontonearly$25 billion for 2025-2030, including a doubling of foreign direct investment . The sector is expected to achieve 20-30% average internal returns .

Saudi Arabia’s investment climate has improved dramatically, with the Fraser Institute ranking Saudi Arabia as the 23rd most attractive mining investment destination globally in 2024—up from 104th in 2013 . This improvement reflects comprehensive legal and regulatory reforms aligned with international best practices .

Strategic Partnerships: The US-Saudi Critical Minerals Alliance

A New Corridor for Strategic Materials

The US-Saudi partnership on critical minerals represents a significant geopolitical realignment. At FMF2026, the strategic intent was clear: Saudi Arabia is positioning itself as the processing hub for Africa’s critical minerals, with the US as a key partner and off-taker .

Key Initiatives:

• MP Materials-Ma’aden Joint Venture: Rare earth refinery in Saudi Arabia supplying magnets to US markets

• Cove Capital-AHQ Fund: Multibillion-dollar fund for African critical minerals projects with offtake for US and Saudi processing

• US Energy Department Support: Equity stakes and loans for critical mineral projects aligned with both nations’ interests

Africa as the Source, Saudi as the Hub

The “Super Region” stretching from Africa to West Asia is emerging as a new axis for critical minerals supply. Saudi Arabia’s strategy is distinct from Chinese investment models; rather than seeking total operational control, Saudi capital is acting as a “force multiplier,” providing liquidity to expand mines in exchange for offtake agreements destined for Saudi refineries .

This approach—African mines, Saudi processing, global markets—creates a diversified supply chain that reduces dependence on any single source. For Saudi Arabia, it ensures a steady flow of feedstock for its growing processing industry. For African nations, it brings much-needed investment capital. For end-users like Lucid and Ceer, it provides supply chain security .

The Future: Saudi Arabia as Critical Minerals Hub

2030 Vision Realized

By 2030, Saudi Arabia aims to have transformed from a mineral explorer to a fully integrated critical minerals hub:

• Domestic Production: Commercial lithium and rare earth production from Saudi resources

• Processing Capacity: World-class refineries processing both domestic and imported ores

• Manufacturing Integration: Direct supply to Ceer, Lucid, and other EV manufacturers

• Export Markets: Critical minerals and processed materials for global markets

The Local Content Imperative

The Ministry of Industry and Mineral Resources emphasizes that Saudi Arabia’s mining strategy is not limited to resource extraction—its goal is to build a completely integrated mining ecosystem, including the development of local talent and institutional capabilities .

This localization creates opportunities for Saudi companies like Darkstone to participate across the value chain—from exploration to development to processing support.

The Technology Revolution

The global mining industry is undergoing fundamental change. Demand growth is no longer driven only by energy transformation and critical resources—the technological revolution has become an equally important driver . Data centers and artificial intelligence require enormous critical mineral infrastructure, giving Saudi Arabia an advantage in the global supply chain of mining-related industries .

Conclusion: A Sovereign Critical Minerals Future

The race for critical minerals Saudi Arabia is not merely about resources—it is about national sovereignty, economic diversification, and technological leadership. As the world transitions from fossil fuels to batteries, the nations that control critical mineral supply chains will shape the global economy.

Saudi Arabia has all the ingredients for success: world-class geology ($2.5 trillion in mineral wealth), visionary leadership (Vision 2030), substantial investment capital (PIF), and strategic international partnerships (US-Saudi collaboration). The Arabian Shield is yielding discoveries that confirm its status as one of the world’s great mineral provinces .

At Darkstone Group, we are proud to be part of this national endeavor. Our exploration teams are on the front lines of discovery, applying advanced technologies and deep local expertise to unlock the mineral wealth that will power Saudi Arabia’s electric future. From copper exploration Arabian Shield to lithium discovery and beyond, we are helping secure the EV supply chain KSA needs for decades to come.

The critical minerals race is underway. Saudi Arabia is positioned not merely to compete but to lead.

Ready to Explore Saudi Arabia’s Critical Mineral Potential?

Contact Darkstone Group’s Mining & Exploration division to discuss how our expertise in lithium Saudi Arabia and critical mineral development can support your strategic objectives.

Head Office: 13223 King Abdullah Rd., Riyadh, Kingdom of Saudi Arabia

Phone: 11 430 0307

Email: info@darkstone.com.sa