Biafo Industries Limited (PSX: BIFO) has entered into a contract with Reko Diq Mining Company (Private) Limited (RDMC) to provide blasting services for civil works, the company’s filing on the Pakistan Stock Exchange (PSX) revealed today.
This agreement encompasses the supply of explosives and related civil blasting services for the initial infrastructure development at the Reko Diq mining site before mining operations commence.
Following this announcement, Biafo Industries’ share price surged, rising from an opening value of Rs182.25 to Rs198.50, marking a notable 8.93% increase.
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Biafo Industries, which was incorporated in Pakistan on September 7, 1988, as a public limited company under the Companies Ordinance, 1984 (now the Companies Act, 2017), began its commercial production on July 1, 1994. The company specializes in manufacturing commercial explosives, blasting accessories, detonators, and related materials.
Reko Diq, a major mining project, is 50% owned by Canadian mining giant Barrick Gold, 25% by three state-owned enterprises (GHCL, OGDCL, and PPL), 15% by the Balochistan Government (fully funded), and 10% by the Balochistan Government on a free-carried basis.
In a related development, Saudi Arabia’s Manara Minerals Investment Co., backed by the Saudi Sovereign Fund (SSF), has expressed interest in acquiring $1 billion worth of shares in Reko Diq, currently controlled by Barrick Gold.
Last week, Barrick Gold reported a significant increase in its proven and probable gold reserves, which surged by 23% to 17.4 million ounces by the end of 2024, driven by the success of its Reko Diq copper-gold project.The company added 13 million ounces of gold to its probable reserves after completing a feasibility study at the site.
Barrick Gold sees the Reko Diq mine as one of the largest untapped copper-gold deposits, with production expected by late 2028.
