Banking & Finance Ma’aden’s $1bn sukuk nine times over-subscribed By Edmund Bower February 10, 2025, 2:49 PM Pixabay/Diego Trujillo Ma’aden is planning to increase its operations across Saudi Arabia, including in gold, phosphates, copper, and aluminium Part of $12bn expansion $500m of 10-year bonds $750m of five-year bonds Saudi state-owned mining company Ma’aden has sold $1.25 billion of dollar-denominated sukuk to help finance a $12 billion expansion plan. The sale was more than nine times oversubscribed, the company said. The sale, which closed on Sunday, “marks a key milestone in Ma’aden’s ambitious 2040 strategy to secure essential minerals and transform mining into the third pillar of the Saudi economy,” the company said. Sukuk are sharia-compliant bonds that were developed as an alternative to conventional bonds, which are not considered permissible by many Muslims as they pay interest and may finance businesses involved in activities not allowed under Islamic law. Ma’aden is planning to increase its operations across Saudi Arabia, including in gold, phosphates, copper, and aluminium, over the next decade in line with the kingdom’s mining targets. Canada’s Barrick seeks to tap $2trn of Saudi minerals Ma’aden announces new gold discoveries in Saudi Arabia Saudi Arabia secures $9bn to unlock mining potential Saudi Arabia wants to increase mining’s contribution to its GDP from $17 billion to $75 billion by 2035. Sunday’s bond sale was split into $500 million of 10-year bonds and $750 million of five-year bonds.
