The US has approved a potential $24.3 billion sale of 48 F-35 fighter jets to Saudi Arabia, currently pending congressional review. Separately, Saudi Arabia has announced the discovery of 110 million tonnes of uranium-bearing and rare-earth ore. These developments signal shifts in defense procurement and mineral exploration, though both projects face significant long-term hurdles regarding legislative approval and commercial extraction viability.
The US State Department has greenlit a $24.3 billion deal to supply 48 F-35 fighter jets and 49 engines to Saudi Arabia. This potential sale, which involves Lockheed Martin as the primary aircraft manufacturer and Pratt & Whitney for engine production, has moved into the US congressional review process. Historically, the F-35 has been restricted in the Middle East, with Israel being the main operator of the aircraft, making this a significant shift in regional defense policy.
Alongside this defense move, Saudi Arabia reported the discovery of 110 million tonnes of ore containing uranium and rare-earth minerals in the Madinah region. It is important for investors to note that this figure represents the total amount of raw ore identified, rather than the quantity of refined uranium or rare-earth metals that can be recovered. The commercial success of any mining project depends on factors such as mineral grade, extraction costs, and the technical capacity to process the ore. This announcement represents an early-stage exploration finding rather than a proven, economically viable industrial resource.
There has also been a distinct shift in Saudi Arabia’s financial and geopolitical alignment. The country has ceased active participation in the mBridge project, a China-linked initiative designed for cross-border digital currency payments, following a technical test in May 2025. This exit indicates a move away from non-dollar-denominated payment systems, which carries implications for international trade and financial policy in the region.
For investors, these events highlight three main areas of interest: defense manufacturing, global commodity supplies, and regional geopolitical risk. The F-35 sale is not final, as it remains subject to the US congressional review process. Regional security concerns and technology transfer requirements may lead to further legislative scrutiny. Similarly, while the mining discovery aligns with Saudi Arabia's economic diversification goals, converting raw ore into a revenue-generating mining operation is a capital-intensive, multi-year process with inherent execution risks. Investors may monitor the progress of the congressional review for the defense deal and follow official government updates regarding any feasibility studies or extraction plans for the mineral deposits.