Mari Petroleum Company Limited (MARI), a prominent player in Pakistan’s energy and exploration sector, has announced its intention to invest up to Rs2.5 billion in its subsidiary, Mari Mining Company (Pvt) Ltd (MMC), through equity injection. The Board of Directors of MARI approved this investment, as revealed in a notice to the Pakistan Stock Exchange (PSX) on Monday.
This investment, to be made in tranches over two years, will involve subscribing to MMC shares via a right issue. MMC, a wholly-owned subsidiary of MARI established in July 2023, focuses on mineral mining projects in Pakistan, aiming to contribute significantly to the country’s mineral mining sector.
In a separate announcement, MARI disclosed its financial results for the three months ending March 31, 2024. Despite a rise in net sales by over 28% to Rs48.25 billion, the company reported a 14% decrease in profit after tax, amounting to Rs14.12 billion.
Key financial figures include an earnings per share (EPS) of Rs105.88, down from Rs123.16 in the same period last year. The cost of sales, including royalty and operating expenses, increased to Rs17.3 billion, while exploration and prospecting expenditure surged by 307% to Rs15.53 billion.
Despite these challenges, MARI remains active in exploration, with notable gas discoveries in Balochistan’s Block-28 (Maiwand X-1) and Waziristan Block’s Shewa-2, along with a gas discovery at Jhim East X-1 in Sindh’s Shah Bandar Block.
