(Repeats to fix slug identifier for media clients toSAUDI-CINEMA/ from SAUDI-CINEMAS/, no change to text)

RIYADH, April 18 (Reuters) - Saudi Arabia is launching itsfirst commercial movie theatre on Wednesday as it ends a nearly40-year ban on cinemas under a push by the crown prince to openup the deeply conservative Muslim kingdom.

But ordinary Saudis must hold out a few more weeks beforethey can catch a film. Attendance to private screenings thismonth in Riyadh is by invitation only, with a public opening tofollow in May, according to operator AMC Entertainment Holdings AMC.N .

Senior government officials, foreign dignitaries and selectindustry figures are expected to watch Marvel's superhero movie"Black Panther" at the inaugural event.

The viewing serves as a test run on the only screen set upso far at the venue, a symphony concert hall hastily retrofittedwith a screen to meet the debut date announced two weeks ago.

Despite limited access, the screenings mark anothermilestone under reforms spearheaded by Crown Prince Mohammed binSalman to open up Saudis' cloistered lifestyles and diversifythe economy of the world's top oil exporter.

The powerful prince, 32, has already eased many restrictionsin the last two years, including on public concerts, womendriving and gender mixing.

The kingdom banned cinemas in the early 1980s under pressurefrom Islamists as Saudi society turned towards a particularlysevere form of religion.

Yet Saudis have been avid consumers of Western media andculture. Despite the cinema ban, Hollywood films and televisionseries are widely watched at home, and private film screeningshave been largely tolerated for years.

In 2017, the government said it would lift the ban as partof ambitious economic and social reforms that include retainingmoney that Saudis currently spend on entertainment in trips toDubai, Bahrain and elsewhere.

To serve a population of more than 32 million, most of whomare under the age of 30, the authorities plan to set up around350 cinemas with over 2,500 screens by 2030, which they hopewill attract nearly $1 billion in annual ticket sales.

A source familiar with the matter told Reuters last monththat theatres would not be segregated by gender like most otherpublic places, but it remains unclear how heavily movies mightbe censored.

Many Saudis rejoiced in anticipation of Wednesday's theatreopening, sharing praise and pictures of Crown Prince Mohammed onsocial media.

Others expressed confusion at what they called thegovernment's about-face on cinemas' permissibility, with onetweeting: "Remember you will stand in front of God ... and youwill bear the sins of all those who watched the movies."

Religious conservatives believe films from more liberal Arabcountries such as Egypt could violate religious taboos. Somealso view cinema and acting, as a form of dissembling, asinconsistent with Islam.

(Reporting by Stephen KalinEditing by Alison Williams) ((stephen.kalin@tr.com; +966554282201; Reuters Messaging:stephen.kalin.thomsonreuters.com@reuters.net))