Egyptian billionaire considers investment in Pakistan's Reko Diq project

Egyptian billionaire Naguib Sawiris, known for his successful ventures in telecommunications and gold industries, is exploring the possibility of investing in Pakistan’s Reko Diq copper-gold project, valued at $7 billion. This move is part of his broader business expansion into Pakistan.

Reko Diq, located in the Balochistan region along the borders of Afghanistan and Iran, is recognized as one of the world's largest untapped copper and gold reserves. It has the potential to produce 200,000 tons of copper and 250,000 ounces of gold annually for over 50 years. The project is a collaboration between the Government of Pakistan and Canadian firm Barrick Gold.

During an interview, Sawiris, who is a major investor in the gold mining sector through his company La Mancha Resources Inc. and holds interests in firms like Endeavour Mining Plc, confirmed his interest in the Reko Diq project. He cited his familiarity with the country and its people as an advantage in pursuing this investment opportunity, Bloomberg reported.

Sawiris expressed a keen interest in establishing a presence on the Pakistani side, where he has spent 25 years of his business career. However, he did not disclose specific investment details, stating that there were limited alternatives in the region due to a lack of other major projects.

Mark Bristow, CEO of Barrick, mentioned a growing interest in Reko Diq from multinational mining companies, signaling a potential shift toward investment in challenging regions.

Additionally, the Reko Diq project has attracted attention from Saudi Arabia, which could contribute to its stability in a geopolitically sensitive area.

In the previous month, Pakistan's state-owned energy exploration companies, with a stake in the Reko Diq project, indicated their intent to explore potential collaboration with foreign sovereign investors, without providing specific details.

Separately, Sawiris’ Ora Developers is engaged in a luxury housing project called "Eighteen." He previously founded Mobilink, one of Pakistan's earliest mobile phone companies, which is now owned by Veon Ltd and is the country's largest cellular service provider in terms of subscribers.

Investing in Pakistan comes with certain challenges, including bureaucratic procedures, currency instability, and capital restrictions. Despite these obstacles, Sawiris remains optimistic, stating, “If there is an obstacle in my path, I will overcome it. I have never allowed anyone in my life to hinder me from achieving my goals.”