Riyadh: The Saudi Arabian Mining Company “MA’ADEN” has held a virtual extraordinary general assembly meeting, led by the Chairman of the Board of Directors, Yasir Al-Rumayyan, and attended by the Directors of the Board as well as the Executive Management.
Al-Rumayyan opened the meeting after the quorum was satisfied, describing fiscal year 2021 as a record-breaking success. Also pointed out that MA’ADEN's financial performance was phenomenal, owing to favorable macroeconomic conditions caused by a surge in commodity prices and high products demand.
He mentioned these outcomes substantially support our aspirational growth activities and contribute significantly to MA’ADEN's ambitious Strategy 2040, which is centered on optimizing the Kingdom's mineral resources.
In light of these outcomes, the Board of Directors has recommended a 100% share capital increase through the issuance of free shares and the capitalization of SR12 billion in retained earnings and the statutory reserve. Thus, each shareholder receives one free share for every share owned.
The extraordinary general assembly discussed the items of agenda and made the following resolutions:
1. Approval of the company's consolidated financial statements for the year ended December 31, 2021.
2. Approval of the auditor's report for the year ended December 31, 2021.
3. Approval of the company's Board of Directors report for the year ended December 31, 2021.
4. Approval for the Board of Directors’ recommendation not to distribute cash dividends for the year ended December 31, 2021.
5. Approval for discharging the Board of Directors from any liability for managing the company during the year ended December 31, 2021.
6. Approval for paying 5,430,781 riyals in remuneration and compensation to the Board of Directors and its committees for the year ended December 31, 2021.
7. Approval of the Board of Directors' resolution to appoint Mr. Robert Welt as an executive member of the Board beginning on February 1, 2022 and continuing until the end of the current session on October 24, 2023 as a replacement for Eng. Mosaed Alohali, an executive member.
8. Approval of the Board of Director's recommendation to increase the company's share capital by offering free shares.
MA’ADEN's net profits in 2021 topped 5.2 billion riyals, the highest in the company's history, compared to 209 billion riyals losses reported in the same period the previous year. This is due to a rise in average selling prices for all products except industrial metals, as well as an increase in the net profit of the company's joint ventures and a decrease in costs. These profits were realized despite a decline in ammonia, gold, and flat rolled product sales, as well as a fall in term deposit income.