Canadian miner Northern Graphite has signed a term sheet with Al Obeikan Group for Investment Company to jointly develop a US$200 million battery anode materials plant in Saudi Arabia, as part of its strategy to establish a fully ex-China graphite supply chain, the companies said.
The proposed facility will be located in Yanbu Industrial City on Saudi Arabia’s Red Sea coast and is expected to have an initial production capacity of 25,000 tonnes per annum. First output is forecast for 2028, subject to final agreements and regulatory approvals.
Under the proposed joint venture structure, Al Obeikan will hold a 51% stake, while Northern Graphite will own 49%. The project aligns with Saudi Arabia’s push to attract advanced manufacturing investments linked to electric vehicle and energy-transition supply chains, while providing Northern Graphite with a strategic Middle East production base to serve global battery markets.
