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FAQs

We are working on enhancing the reliability and transparency of data within the FAQs and welcome any feedback that contributes to the mining sector\'s optimal development and improvement.

Yes, there is an initiative to support the issuance of bank guarantees in partnership with Bank Albilad, where a bank guarantee is issued with a low cash cover representing 20% of the total guarantee amount.

For example:

  • Guarantee amount: 500,000 SAR
  • Guarantee duration: 5 years
  • Cash cover 20% = 100,000 SAR
  • The fee is 2.25% of the guarantee amount = 11,250 SAR per year, paid once upfront, totaling 56,250 SAR.

The investor must pay 156,250 SAR initially (56,250 SAR fee + 100,000 SAR cash cover). The cash cover amount of 100,000 SAR will be refunded to the investor upon the completion of the guarantee period.

If the licensee discovers other minerals of the same category covered by the license, they must submit a request to amend the issued license to include the newly discovered mineral.

Yes, a license holder who owns an exploration license or a building materials quarry license can obtain more than one license according to the following conditions:

Exploration License:

  1. The applicant must have a minimum number of direct employees working continuously, with technical expertise, especially for minerals in category (A) and (B).
  2. The applicant must comply with the provisions of the system, regulations, and license conditions.
  3. The applicant must have adhered to the work plan and financial expenditures for exploration licenses over the last three years.
  4. Submit a report on the technical expertise, previously obtained licenses, and the results of their operations.
  5. Facilities owning factories that rely on mineral ores as raw materials may obtain more than one exploration license, limited to the ores used in those factories.

Building Materials Quarry License:

  1. Previous experience — an exploitation license valid for at least two years.
  2. Commitment to implementing the project, programs, and plans for the previous building materials quarry license.
  3. The applicant must not have committed 4 violations where at least one violation's penalty exceeded 200,000 SAR during the past two years.
  4. Facilities owning factories whose license sites do not cover the raw materials required for the factory may apply for another license, provided they prove their technical competence and financial capability to the ministry.

If the licensee discovers minerals from categories different than those specified in the license, the required procedure is to submit an application for a new license for the newly discovered mineral.

No, the holder of a surplus ore license does not have the right to establish any facility or fixed unit related to crushing, grinding, processing, or refining operations on the site.

No, proof of financial capability must be in the name of the company submitting the application only, and cannot be in the name of the company owner or any of its partners.

Yes, it is possible to combine multiple financial statements as proof of financial capability to cover the project costs.

Yes, it is possible if the license issuance is new, provided that the requested license duration is 3 years or more.

No, the fine must be paid in full before the investor can apply for services on the Taadeen platform.

The specified period for paying fines is 30 days, in accordance with the State Revenue System.

Failure to comply will result in actions and penalties being taken based on the type of violation (for reference).

Yes, if the due surface rental fee is not paid, the following penalties are imposed:

  • First Penalty: A 30-day warning notice.
  • Second Penalty: A 30-day violation notice. If the violation is not corrected within this period, a fine is imposed.
  • Third Penalty: A fine is imposed for every 30 days of delay from the date of the initial fine.

Yes, holders of exploration and exploitation licenses may request a partial relinquishment of the boundaries and coordinates of the licensed site.

No, the exploration license may not be transferred, directly or indirectly, during the first year of its term.

The exploitation license holder has the exclusive right to establish, construct, or carry out any surface or subsurface infrastructure facilities, and to use any equipment or conduct any operations necessary to achieve the purposes of the license — provided that the necessary permits are obtained from the relevant authorities (the Ministry of Environment, Water and Agriculture).

There is no specific depth limit. The depth is determined based on the purpose of the license and the type of mineral authorized for extraction, with a strict commitment not to exploit any other minerals. Additionally, compliance with the environmental studies and requirements submitted by the company to the National Center for Environmental Compliance is mandatory.

A notification will be sent via email and text messages to those registered on the Taadeen platform.