AMAK CEO says Al Masane mine expansion to boost copper, zinc outputs by 2023-end

Al Masane Al Kobra Mining CEO Yahia M. AlShangiti

Al Masane Al Kobra Mining Co. (AMAK) plans to expand Al Masane mine for copper and zinc production in 2023, CEO Yahia M. AlShangiti told Argaam.

He added that the expansion will boost the company's output of copper by 40% and zinc by 80% by the end of 2023. In the next three years, AMAK will seek to maximize the exploration of land plots exceeding an area of more than 600 square kilometers.

AlShangiti pointed out that the company was qualified to obtain a metal detection license at Al Khunayqiyah site in Riyadh and results will be disclosed in August. AMAK’s commodities mainly contribute to its revenues, as copper accounted for about 38% of the total revenue, while zinc, gold and silver contributed 27%, 34%, and 1%, respectively, by the end of June.

The CEO stressed that the capital increase aims to support AMAK’s financial position according to its strategy, expansion and growth.

This will be by exploiting investment opportunities in the mining sector from the Ministry of Industry and Mining for exploration in new locations. 

According to data compiled by Argaam, AMAK’s board of directors recommended a 36.36% capital hike to SAR 900 million from SAR 600 million through distributing one bonus share for each 2.75 held shares.

The company will capitalize SAR 240 million from the SAR 508.59 million share premium account.