Al Masane Al Kobra Mining Company (AMAK) has established a new wholly owned subsidiary named Advance Drilling Co. to accelerate its exploration activities in Saudi Arabia. The simplified joint stock company is headquartered in Najran with an authorized capital of SAR 100 million and a paid-up capital of SAR 40 million. This strategic move aims to support the development of mining projects and enhance the local economy.
Operational Scope of Advance Drilling Co.
The newly formed entity will focus on supporting AMAK’s internal exploration programs while offering exploration drilling services to local and international mining firms operating within the Kingdom. By establishing this subsidiary, AMAK aims to secure greater control over its exploration timelines and improve the efficiency of converting mineral resources into active production. This initiative builds upon AMAK’s extensive operational track record in the region.
Strategic Alignment with Saudi Vision 2030
The launch of the subsidiary aligns with the goals of Saudi Vision 2030, which designates the mining sector as the third pillar of the national industrial base. Furthermore, the initiative responds to the rising demand for specialized drilling services in the Saudi market. The company plans to build an integrated operational platform combining drilling with complementary services to support the national mining sector.
Leadership Perspectives on Mining Growth
“Exploration is at the core of sustainable mining growth. By bringing drilling capabilities in-house, we gain flexibility, speed, and cost efficiency in executing our exploration programs. Advance Drilling Co. positions AMAK to unlock value from its resource base more effectively and supports our ambition to scale operations in line with our long-term strategy.”
Geoff Day, Chief Executive Officer of AMAK
Future Outlook and Growth Strategy
This development supports AMAK’s broader growth strategy introduced in September 2024, which focuses on expanding its resource base and developing new mines. While AMAK will be a primary customer, Advance Drilling Co. will operate as an independent service provider for other entities in the region. This expansion is expected to contribute to the integration of the national mining network and support economic diversification.
Operational Standards and Safety
The subsidiary will implement industry standards in drilling operations to ensure efficiency, safety, and consistency in execution. By utilizing modern drilling equipment and technical expertise, the company aims to maintain high quality and occupational safety. These measures are designed to support AMAK’s broader exploration objectives while minimizing environmental impact.
