<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of report (Date of earliest event reported): August 23, 1998
ARABIAN SHIELD DEVELOPMENT COMPANY
(Exact Name of Registrant as Specified in its Charter)
Delaware 0-6247 75-1256622
(State or Other Jurisdiction (Commission (IRS Employer
of Incorporation) File Number) Identification No.)
10830 North Central Expressway, Suite 175
Dallas, Texas 75231
(Address of Principal Executive Offices) (ZIP Code)
Registrant's telephone number, including area code:
(214) 692-7872
<PAGE> 2
Item 5. Other Events.
Arabian Shield Development Company (the "Company") learned that on
August 23, 1998 the Arabian Shield Company for Mining Industries, Ltd. (also
referred to as "Arabian"), the Saudi limited liability company which will
develop and operate the Al Masane mining project in Saudi Arabia, has been
officially registered with the Saudi Ministry of Commerce and issued its
registration certificate. It is now officially licensed to conduct business in
Saudi Arabia and is authorized to mine and process zinc and copper concentrates
and silver-gold dore from the Al Masane mining lease area. Arabian, which is
equally owned by the Company and Al-Mashreq Company for Mining Investments,
Ltd., has paid-in equity capital of $26.0 million and will immediately
commence operations. Both the Company and Arabian have applied to the Saudi
Ministry of Petroleum and Mineral Resources requesting the transfer of the
Company's existing Al Masane mining lease to the joint venture company, which
the Company intends to effect as soon as such approval is obtained.
The joint venture company has also sent documents to three major
engineering contractors in connection with its efforts to solicit bids for the
construction and development of the surface and underground facilities required
for the mining and production of the Al Masane mine. Each prospective bidder
has visited the mine site and agreed to submit a bid. Bids will be submitted
approximately two months after a final meeting is conducted with the bidders
regarding financial terms and conditions. It is anticipated that each bid will
be submitted on an engineering, procurement, construction and management, or
EPCM, basis. Construction and development of the mine will take approximately
twenty-one months to complete.
<PAGE> 3
SIGNATURES
Pursuant to the requirements of the Securities Exchanges Act of 1934,
the Registrant has duly caused this Report to be signed on its behalf by the
undersigned, thereunto duly authorized.
ARABIAN SHIELD DEVELOPMENT COMPANY
Date: September 29, 1998 By: /s/ JONATHAN COCKS
-----------------------------------------
Jonathan Cocks
Vice President
