Suliman Saleh Alothaim

Chairman of Saudi Gold Refinery Company

Charting a Course to Mining Excellence in the Kingdom

Suliman Saleh Alothaim, Chairman, Saudi Gold Refinery Company, outlines the company’s strategy to become a major player in Saudi Arabia’s nascent mining industry and its current standing as a standout partner for international investors.

"Our goal is to integrate global expertise with local talent, expanding our operations to meet the demands of a growing market while staying committed to environmental and social responsibility."

Suliman Saleh Alothaim

    • What major transformations has Saudi Gold Refinery Company made since its inception to become the diversified business that it is today?

      As Saudi Arabia was developing, we entered the jewelry market because my father owned a building in the gold market center. He rented space to jewelers and had a real estate office, which we converted into a jewelry shop after his passing in 1980. We created jewelry when gold was $800 per ounce. However, in 1982 the price of gold dropped to $400 per ounce, causing significant losses. We united our companies in the supermarket and jewelry segments to ensure business growth. In 1983, we began manufacturing in Italy, Hong Kong, Thailand and Singapore and attracted female customers with diverse models. We launched marketing campaigns for freshwater pearls inspired by jewelry collections of popular women in the world such as Princess Diana whose popularity helped boost our promotions. From 1985 to 2000 the Saudi government mandated job localization and we expanded our business backwards to match the government’s Vision 2030 initiative. We moved into refining and gold mining to create an integrated company.

    • We have hired experts from South Africa, the UK, Turkey and Australia. We aim to maximize local and international expertise to maintain our operations and management activities at international standards. We are preparing for an initial public offering and aim to have five operational mines before proceeding. Currently we have one mine in operation and 10 licenses under exploration. We have applied for 160 locations, and we hope to secure more mines soon. Saudi Arabia consumes 150 tons of gold annually, making it the fifth-largest consumer in the world. The country currently produces around 10-12 tons of gold annually, all of which is consumed locally. As production increases, we aim to satisfy local demand without the need for exports. We are also moving beyond gold. We have one exploration license for copper and have applied for 30 more. We are conducting extensive research and surveys to identify viable mineral deposits. The Saudi Geological Survey provides initial data, but we must conduct detailed studies to confirm the feasibility of minerals at these mining sites.

    • We financed our initial mining independently but plan to utilize the Saudi Industrial Development Fund for future projects. Government incentives cover 75% of mining costs and make it feasible for companies to invest. This support is crucial for attracting international investors and achieving the Vision 2030 initiative's goals. We invite international mining companies to collaborate with us. We have hired consultants to coordinate and develop join ventures with potential partners. We have 30 experts in geology, advanced drilling and drones. We received a lab license from London that is internationally recognized. Additionally, we adhere to international and local environmental standards. Our operations include regular inspections and pollution control measures. We plant trees around our mines to maintain a healthy environment. Sustainability is integral to our operations. It is crucial we maintain a minimal impact on the environment. In terms of social impact, our mining operations provide jobs and support local communities through various initiatives, including education and sports. We are involved in corporate social responsibility activities to help develop the region and improve the quality of life for residents. All our capabilities combined make us a strong contender in the industry.