Power Metallic Announces Expansion In the Kingdom of Saudi Arabia via Joint Venture With Amaar Mining

Power Metallic Mines Inc. has entered into a strategic alliance and joint venture framework agreement with Amaar United Mining Company, valued at $10 million, to jointly pursue mining license opportunities in Saudi Arabia. The announcement was made on May 19, 2026, and marks a significant step in Power Metallic's expansion strategy within one of the world’s emerging mining jurisdictions.

Under the terms of the agreement, both companies will share 50/50 ownership and economics in any licenses awarded through this partnership. Power Metallic will serve as the technical lead and proposed operator, leveraging its geological and exploration expertise, while Amaar Mining will act as the local strategic partner, providing essential coordination and regulatory interface capabilities within the Kingdom. The initial approved work program will allocate up to $10 million, with Power Metallic contributing $2.5 million and Amaar Mining contributing $7.5 million for the first phase of work.

This collaboration is particularly timely as Saudi Arabia is actively working to enhance its mining sector as part of its Vision 2030 initiative, which aims to diversify the economy and increase the contribution of mining to national revenue. The Kingdom has been making strides to position itself as a significant player in the global mining landscape, and the partnership between Power Metallic and Amaar Mining aligns with these objectives. The local presence and expertise of Amaar Mining will be crucial in navigating the regulatory environment and establishing relationships with local stakeholders.

The strategic rationale behind this partnership lies in the combination of Power Metallic's technical capabilities and Amaar Mining's local knowledge. This integration is expected to enhance the competitiveness of both companies in future mining license auction rounds. As the Kingdom opens more opportunities for exploration and development, the ability to effectively manage local relationships and regulatory requirements will be a critical factor for success.

Looking ahead, this joint venture framework not only positions Power Metallic and Amaar Mining for immediate opportunities but also sets the stage for scalable participation in future mining projects in Saudi Arabia. The partnership exemplifies a growing trend in the mining sector where international companies seek local partners to navigate complex regulatory landscapes and capitalize on emerging opportunities. As Saudi Arabia continues to develop its mining sector, strategic alliances like this one will likely play a pivotal role in attracting foreign investment and fostering sustainable growth within the industry.