Wholly Owned With Capital of SAR 100 Million: AMAK Board Approves Establishment of Drilling and Exploration Services Company
Almasane Alkobra Mining Company (AMAK) today announced that its Board of Directors has approved the establishment of a new, wholly owned drilling company with a capital of SAR 100,000,000 (one hundred million Saudi riyals), in a strategic move that reflects the Company’s commitment to strengthening its exploration capabilities and supporting the long-term development of the mining sector in the Kingdom of Saudi Arabia.
The new company, which will be headquartered in Najran, has been established to accelerate exploration across AMAK’s growing portfolio of mining, exploration, and reconnaissance licenses. It will also provide drilling and related services to third-party operators, contributing to the expansion of a robust, locally based mining services ecosystem in the Kingdom.
The launch forms a key pillar of AMAK’s growth strategy and reflects the company’s focus on enhancing execution efficiency, reducing reliance on external service providers, and shortening the cycle from geological discovery to resource definition and development.
The establishment of the drilling company builds on a series of strategic milestones announced by AMAK in September, 2024. Over the past year, AMAK has also significantly scaled up exploration activity, increasing its exploration budget by four to five times, and follow-up drilling programs in highly prospective areas, particularly in the Najran region, as well as in Riyadh and Asir.
These developments have been complemented by the issuance of a 10-year mining license for the Khutainah Gold Mine in Najran, supporting AMAK’s strategy to extend the life of its resource base to 15–20 years and strengthen its pipeline of development-ready projects
Commenting on the announcement, Geoffrey Day, Chief Executive Officer of AMAK, said: “The establishment of a dedicated drilling company is a natural progression in AMAK’s evolution. As our exploration footprint continues to expand across the Kingdom, having in-house drilling capability enables faster execution, stronger cost control, and consistent safety and quality standards. This investment strengthens our ability to unlock long-term value from Saudi Arabia’s mineral resources.”
The drilling company will play a central role in supporting exploration across AMAK’s diversified portfolio of precious, base, and industrial minerals, while also addressing growing demand for technically capable, locally anchored drilling services within the Saudi mining sector.
This initiative is closely aligned with Saudi Vision 2030, which positions mining as a strategic pillar of economic diversification and industrial growth. By investing in downstream mining services and building domestic technical capacity, AMAK is contributing to the development of national value chains, the creation of skilled employment, and the strengthening of mining infrastructure across the Kingdom.
By locating the new company in Najran, AMAK reinforces its long-standing commitment to the regions in which it operates, supporting local economic development, workforce participation, and the growth of specialized technical skills.
The announcement follows AMAK’s participation at the Future Minerals Forum 2026 in Riyadh, where global mining leaders, policymakers, and investors convened to advance collaboration and investment across the minerals value chain.
