The Saudi Arabian Tadawul All-Share Index closed 0.10 per cent higher at 9,812.5 points on Sunday, July 13.
The shares of Saudi Arabian Mining Company, also known as Ma’aden, surged one per cent to reach SAR36.10. Earlier in the day, Ma’aden (Arabic for metals) said it entered into an agreement to form a joint venture with Barrick Gold Corporation (Barrick) from Canada for the purpose of establishing a limited liability company that will acquire, develop and operate the Jabal Sayid copper project located 120 km southeast of Medina, Saudi Arabia.
In a filing to the Tadawu in bourse in Riyadh, Ma’aden said itself and Barrick, the largest mining firm in the world, will each own 50 per cent of the new limited liability company, and Ma’aden will invest approximately $210 million to acquire its 50 per cent share in the project assets, rights and existing infrastructures free of any debt or obligations. “The consideration paid by Ma’aden will be funded through available cash and facilities. The acquisition is targeted to be completed in the fourth quarter of 2014 and is subject to customary closing conditions and the approval of related authorities.”