Saudi Arabia is moving quickly to become a global hub for critical minerals, with a special focus on lithium — the essential metal for batteries powering electric vehicles (EVs) and renewable energy systems. Through major public-private partnerships, the Saudi Lithium & Battery Mining strategy is shaping the nation’s future energy transition and industrial growth.
Lithium Mining: The Core of Saudi Arabia’s Future Energy Vision
Saudi Aramco and Ma’aden have joined forces to lead the kingdom’s lithium ambitions. Their joint venture aims to start commercial lithium production by 2027, tapping deposits with concentrations above 400 parts per million — enough to support 500,000 EV batteries and generate 110 GW of renewable energy capacity by 2030.
This bold move positions Saudi Arabia as the first country in the Middle East with established lithium processing pipeline capacity, following a key 2021 agreement that marked its entry into the upstream lithium market.
Globally, lithium demand has tripled in just five years, driven by the explosion of EV production and renewable energy projects. As the world accelerates its shift toward decarbonization, Saudi Arabia’s timing could not be more strategic.
The government has committed $25–$30 billion by 2024 to strengthen mineral supply chains — particularly those tied to battery minerals. This massive investment is part of the broader Vision 2030 strategy to diversify the economy beyond oil, creating a sustainable foundation for green industries and advanced manufacturing.
To support this, the kingdom is adopting Direct Lithium Extraction (DLE) technologies that offer a faster, more efficient, and environmentally friendly alternative to traditional methods. Collaboration with King Abdullah University of Science and Technology (KAUST) is accelerating research on local lithium extraction, helping Saudi Arabia innovate from within.
From Lithium to Batteries: Building a Full Supply Chain
Saudi Arabia’s lithium production goals are directly tied to its ambition of becoming a leading battery manufacturing and EV hub. The lithium extracted domestically will not only meet local industrial demand but also feed into a growing export network for advanced materials.
The domestic EV battery recycling and supply chain market has already reached $155 million, fueled by strong government incentives and private sector participation under Vision 2030. This ecosystem aims to create jobs, attract international partners, and establish Saudi Arabia as a reliable global supplier of battery-grade lithium.
Experts forecast a twentyfold increase in lithium demand by 2030, and Saudi Arabia is positioning itself to capture a meaningful share of this booming market. The combination of abundant mineral resources, technological innovation, and policy support gives the kingdom a unique edge in shaping the global battery and EV industry.
By 2030, the country’s lithium and battery sector will not only power millions of vehicles but also strengthen energy security, reduce emissions, and anchor new industrial supply chains across the Middle East.
Saudi Arabia’s Lithium & Battery Mining journey is more than a resource project — it’s a cornerstone of its economic transformation. Through strategic investments and global partnerships, the kingdom is electrifying its path toward a cleaner, more sustainable future.
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