Skip to content Skip to Search
Skip navigation

Miner Ma’aden reports $22m loss as commodity prices fall

Ma'aden aluminium plant in Saudi Arabia. The miner posted a Q3 loss Reuters
Workers at Ma'aden Aluminium in Ras Al Khair. Aluminium sales were down 29 percent in Q3
  • Loss of SAR83m in third quarter
  • Share price down 2% on results
  • Price drops for aluminium and phosphate blamed

Ma’aden, the Gulf’s largest mining company, posted a net loss of SAR83 million ($22.1 million) for the third quarter of 2023, compared with a profit of more than SAR2 billion a year earlier.

The Saudi company reported a SAR3.8 billion slump in sales on the back of declining commodity market prices of most of its products. Revenue in Q3 totalled SAR6.2 billion, down from more than SAR10 billion in the year-earlier period.

Sales fell by SAR740 million compared with the previous quarter, Ma’aden said in a filing to the Saudi Stock Exchange.

Its share price was down by nearly 2 percent in early trading.

Ma’aden is 67 percent owned by the Public Investment Fund, the kingdom’s sovereign wealth fund. It operates 17 mines and exports to more than 30 countries.

Earlier this year it launched Manara Minerals, a joint venture with the PIF, to invest in mining assets abroad.

Two of its three business units – phosphate and aluminium – were affected by lower prices that caused sales to drop by 37 percent and 29 percent respectively, despite production increases.

The company said the global phosphate market was expected to remain stable in Q4, supported by demand in the US and East Asia. Ammonia prices are also expected to remain at current levels, affected by weak industrial demand.

Ma’aden added that lower global demand for aluminium, associated with higher inflation and interest costs, continued to have an impact on prices. 

The mining giant’s other business unit – base metals and new minerals – reported double-digit sales growth on the back of sustained prices and higher production.

Robert Wilt, CEO of Ma’aden, said: “Even with commodity prices still off their 2022 peak and infrastructure challenges impacting ammonia production in the third quarter our production targets for the full year remain solid.”

Latest articles

Amanat's listing represents the third education IPO in the UAE over the past two years

Amanat to list its education platform

Amanat Holding, an investment company in Dubai, has announced plans to list its education platform. The move will be the third education-related initial public offering in the UAE in the last two years, following the listing of Dubai’s Taaleem in 2022 and Abu Dhabi’s Alef Education earlier this year. Amanat, which specialises in healthcare and […]

Mazaya Holding Oman fraud

Al Mazaya reports legal proceedings after alleged fraud

The Omani subsidiary of Al Mazaya Holding has uncovered alleged fraudulent activity by employees of the company, estimated at OR242,000 ($628,000). A criminal complaint has been filed by the Kuwait-based real estate development giant against “some of the company’s employees” regarding collections of the sale and rent of some units, according to filings on Boursa […]

ADQ's holdings include Abu Dhabi National Energy Company (Taqa) and are worth almost $200 billion

ADQ: how Abu Dhabi’s ‘baby’ fund is finding its feet

Abu Dhabi sovereign wealth fund ADQ may be the younger, smaller sibling of ADIA and Mubadala but there are no signs of an inferiority complex as it executes billion-dollar deals at home and overseas. Most notable was the $35 billion agreement signed with the Egyptian government in February this year to develop Ras El Hekma, […]

Suriname oil

QatarEnergies buys into Suriname oil expansion

The state-owned giant QatarEnergy has signed a deal with US oil company Chevron to acquire a 20 percent interest in a production-sharing contract for an offshore concession in the South American country of Suriname. Chevron will keep a 40 percent interest in Surname’s block 5, as will Paradise Oil, an affiliate of Suriname’s national oil […]