Why did MSA Group choose to establish a presence in KSA in 2022?

MSA Group is a geology, environmental and mining-focused consultancy. We engage in all stages of the mining cycle; our work ranges from identifying potential exploration targets and conducting on-the-ground activities like mapping, sampling, and supervising drilling programs, to providing mineral resource estimates and due diligence assessments, through to mine planning and resolving ESG issues. Although we have been active in KSA and the broader Middle East for around 15 years, - working with major players like Ma'aden and different junior exploration companies - MSA Arabia established itself in Jeddah in 2022 as a Joint Venture with a leading player in the Saudi mining industry, the Al Rushaid Group.

The decision to establish a permanent local office was partly driven by a large increase in our work in the Region, our positive view of KSA as a future leading mining destination, and the increasing importance of Saudization in our projects. Many clients, particularly within government sectors, are prioritizing local involvement, and through MSA-Arabia we are integrating local talent, whilst still providing expert support through our highly experienced expatriate staff. MSA Arabia recognises the importance of developing the skills of Saudi nationals, offering them hands-on experience that might otherwise be hard to access.

As KSA experiences an early-stage exploration "boom", have you observed changes in the demand for your services?

We have noted a surge in activity and enquiries about exploration and mining opportunities in Saudi Arabia both from large international producers and juniors alike. The Saudi Ministry of Industry and Minerals has done a remarkable job promoting the country's geological potential to investors and drawing attention to KSA. 

Much of our recent work for our clients in KSA has focused on early-stage exploration, including prospectivity analysis, licence applications, Mineral Resource Estimations and Competent Person reporting. We regularly advise clients on where to acquire licenses and provide access to our extensive collection of non-confidential geological data. In addition to ongoing consulting, we have recently completed a large-scale geochemical sampling program for a client on a previously auctioned license and are currently engaged in managing several exploration programs for various commodities.

How has KSA's government helped promote mining?

KSA has been making big moves to promote its mineral resources and catch up globally. One major step was passing a new mineral law that meets international standards and is clear for international and local companies, which helped simplify the licence application process. Additionally, the National Geological Database (NGD) now provides useful data for exploration, which is a big plus. That said, there is still room to improve, especially when making baseline data more accessible and speeding up the licensing process. Resolving these issues could make it even easier for investors to get involved.

How important is it for early-stage exploration companies to prioritize ESG?

Considering ESG issues early on is a smart move for any mining company, as it helps prepare for potential challenges when exploring promising mineralization. Water, for instance, is a critical concern, especially in KSA. Yet, if the opportunity is big enough, mining companies tend to find solutions, whether investing in pipelines or wells. Fundamentally, mining is a commercial opportunity, so if the company sees profit potential, it will tackle the challenges. However, if the costs outweigh the benefits, they will walk away and look elsewhere. While water is a key issue, it is manageable. More complex challenges could involve protecting environmentally sensitive areas or archaeological sites, which need thorough baseline studies to avoid damaging these areas. 

Engaging with local communities is just as important. A solid exploration company knows the value of establishing clear communication lines early on to understand the needs and expectations of local populations, whether they are nomadic groups or small settlements.

How does MSA-Arabia's goals align with Vision 2030?

We believe in the vision of Saudi Arabia as a world class mining destination and want to become the go-to service provider for exploration and mining companies that are establishing operations in the Kingdom. At present, much of our work in KSA focuses on early-stage exploration and resource evaluation simply because the industry has not yet reached the more advanced stages. However, as the Kingdom's mining sector progresses, we aim to become a full-chain mining consultancy, offering services throughout the mining life cycle. MSA Arabia is committed to our role in helping to develop the mineral opportunities of KSA in a responsible manner.