Mari Energies expands mineral exploration footprint in Balochistan

Mari Energies Limited has expanded its footprint in Balochistan’s mining sector through a definitive agreement between its fully owned subsidiary Mari Minerals and Sanjrani Mining Company.

Under the agreement, Mari Minerals secures an 87.5% working interest along with operational control over multiple mineral exploration licenses in the Chaghi district. This marks Mari Mineral's second major acquisition in the region, strengthening its ambitions to harness significant copper and gold reserves.

“This expansion presents a significant opportunity for MARI to unlock substantial untapped copper and gold deposits, especially amid the natural decline of major oil and gas reserves in Pakistan,” stated Intermarket Securities in a research analysis.

Expanding mining presence

Sanjrani Mining Company plays a pivotal role in Pakistan’s mineral extraction sector, operating across Sindh and Balochistan. The company oversees multiple projects, including the Sadiq Sanjrani coal mine in Hyderabad, the Sanjrani coal mine in Larkana, an iron ore mine at Saindak, the Siah Diq project, and a lead mine in Washaab area.

Mari Minerals has been actively scaling its operations in the mining industry. In early 2025, it acquired a 5% stake in Kohesultan Mining Company through an agreement with Siahkoh Mining Development. Prior to that, in mid-2024, it was granted two exploration licenses in the region.

Chaghi district is home to Reko Diq, one of the world's largest undeveloped copper and gold deposits, indicating immense resource potential. According to Intermarket Securities, Mari Mineral’s expansion in the area could drive considerable earnings growth for the company, particularly as hydrocarbon reserves from its primary asset — Mari D&P — face a natural decline.

Strategic diversification

This latest move represents MARI’s second major acquisition into mineral exploration. Previously, the company entered into a joint venture with YB Pakistan (sponsors of Lucky Cement) and Liberty Mills through National Resources Limited to develop Reko Diq.

However, the license was revoked in 2021 and subsequently awarded to Barrick Gold and state-backed exploration firms.

In addition to mining, MARI is broadening its operations into digital infrastructure. The company invested PKR 10 billion in cloud computing initiatives during second quarter of the current fiscal year.

While these diversification efforts offer significant long-term prospects, Intermarket Securities cautioned that substantial capital expenditures in mine development, alongside ongoing investments in the high-potential Bannu West field, may temporarily impact dividend payouts.

By expanding into mineral exploration and digital services, MARI is positioning itself for a sustainable future. Its latest acquisition underscores its commitment to diversifying operations and capitalizing on untapped resource potential, paving the way for a transformative impact on Pakistan’s energy and mining landscape.