Najran Cement says plans for new firms put on hold

Najran Cement’s board of directors approved on Wednesday to put on hold plans for setting up limited liability companies for mining and transport services, the company said in a bourse statement.

The establishment of the mining firm was postponed as the ministry of mineral resources has suspended issuance of new mining licenses until law amendments are finalized.

Plans for the transport company were also shelved due to the current market conditions.

The cement producer added that the postponement will have no financial impact on its results.

In February and May 2016, Najran approved establishing mining and transportation firms each with SAR 500,000 in capital, respectively, Argaam earlier reported.