In a move signaling a deepening of economic ties beyond oil, Saudi Arabia has announced its intention to discuss and potentially sign a cooperation agreement with the United States in the crucial sectors of mining and mineral resources. The announcement, made by the Saudi cabinet on Tuesday, precedes a scheduled visit by U.S. President Donald Trump to the Kingdom next week, indicating the high-level importance of this potential collaboration.

The Saudi Ministry of Industry and Mineral Resources will be at the forefront of these negotiations with the United States Department of Energy. While the specifics of the memorandum of understanding remain undisclosed, the initiative underscores Saudi Arabia's ambitious Vision 2030 program, which aims to diversify its economy by capitalizing on its vast, largely untapped mineral wealth.

Saudi Arabia's mining sector has witnessed significant growth recently. The Kingdom's estimated mineral reserves nearly doubled last year to a staggering $2.5 trillion, primarily due to the inclusion of substantial rare earth deposits. The main resources currently being exploited include gold, phosphate rock, and bauxite. This partnership with the U.S. could provide the technological expertise and investment needed to further accelerate the development of these and other resources, including the newly discovered rare earths.

Furthermore, Saudi Arabia's state-owned mining giant, Ma'aden, is reportedly considering partnerships with international firms for rare earth processing, with U.S.-based MP Materials among the potential candidates. This highlights the Kingdom's proactive approach to establishing itself as a key player in the global critical minerals supply chain.

Beyond its domestic mining ambitions, Saudi Arabia is also expanding its international presence in the sector. Manara Minerals, a joint venture between the Saudi sovereign wealth fund and Ma'aden, has already made significant strides with its $26 billion investment in Vale Base Metals, a copper and nickel spin-off from the Brazilian mining giant Vale. This acquisition positions Saudi Arabia as a significant stakeholder in the global production of metals crucial for the clean energy transition.

For the United States, this potential alliance offers a strategic opportunity to secure access to critical minerals, particularly rare earth elements, and reduce reliance on supply chains dominated by other nations. The partnership could foster technological innovation in mining practices, promote sustainable resource development, and create mutual economic benefits for both countries.

This move signifies a potential new chapter in the long-standing relationship between Saudi Arabia and the United States, shifting beyond traditional energy and defense cooperation to encompass the increasingly vital sector of mineral resources.