Saudi firm to invest up to $1bn in Reko Diq project: UK paper

JEDDAH: The Reko Diq copper and gold project is poised to receive a major investment boost. Manara Minerals, a Saudi Arabian mining fund, will purchase a 10% to 20% stake for $500 million to $1 billion, according to a British newspaper.

According to sources, Saudi Manara Minerals will buy the equity stake in the project from the Pakistan government. Canada’s Barrick Gold is co-developing the project.

Petroleum Minister Musadik Malik announced that Manara Minerals is expected to invest in the Reko Diq mine within the next two quarters.

This development comes after executives from Manara visited Pakistan in May last year to discuss purchasing a stake in the mine, which is considered one of the world’s largest underdeveloped copper-gold mines. Malik said Pakistan is also in talks with other Gulf countries about mining opportunities.

Manara Minerals’ proposed investment in the Reko Diq project is valued between $500 million and $1 billion, with the Saudi firm eyeing a 10pc to 20pc equity stake. The deal, currently in negotiations, may be officially announced within the next few weeks.