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Morocco's Managem Group, the mining company owned by Al Mada, the family office of King Mohammed VI, plans to invest $750 million to raise gold production by 134% to 500,000 ounces by the end of the decade, after a surge in gold prices drove net profit up 384% to more than $322 million in 2025.
The company currently produces gold across seven African countries alongside precious and base metals, cobalt and fluorine. CEO Imad El Tumi disclosed the production targets and investment plans at the group's annual results conference in Casablanca on Tuesday.
Gold production rose 26% last year to 213,000 ounces. That increase, combined with the run-up in gold prices, drove the outsized profit jump. Gold contributed more than half the company's earnings. The average gold price across 2025 was $3,445 per ounce, up 44% on the prior year. Silver production rose 18% to 151 tons, with the average silver price up 42% to $40 per ounce. Group revenue climbed 55% to $1.3 billion.
El Tumi said revenues would exceed $2 billion within the next two years, supported by higher production volumes and continued strength in gold prices. Gold reached $4,600 per ounce this week after an initial decline when the Iran war began. Goldman Sachs forecasts the metal will end 2026 at $5,400, with central bank buying continuing and two US interest rate cuts anticipated.
New projects in Gabon and Guinea
The production expansion will be anchored by two large new gold projects. The Eteke project in Gabon is expected to begin producing approximately 60,000 ounces per year in the fourth quarter of 2028, with investment of $150 million. The Karita project in Guinea, currently at feasibility study stage, is projected to produce 200,000 ounces annually from 2029, with anticipated investment of $600 million. Managem also intends to acquire stakes in existing gold operations to accelerate the production build.
In total, the group invested $1.2 billion over the past several years and plans to inject more than $1.5 billion by 2030 across gold, critical minerals and natural gas.
A new gas business
Managem extended beyond metals last year with the acquisition of a controlling stake in Sound Energy Morocco, which holds the concession for the Tendrara onshore natural gas field in Morocco. Commercial production of liquefied gas is expected to begin by June 2026, initially contributing around 5% of group revenues.
Tendrara is the first liquefied natural gas project in Morocco. First-phase production is targeted at 100 million cubic meters annually, rising to 600 million cubic meters by 2029. Output will be connected to a local pipeline serving industrial areas. Morocco currently imports more than one billion cubic meters of natural gas annually, primarily from Spain via pipeline, so domestic production from Tendrara would reduce that dependence.
A market transformation
Managem's standing on the Casablanca Stock Exchange has shifted dramatically. The company ranked seventh by market capitalisation at the end of 2024. By April 2026, it had risen to second place with a market capitalisation exceeding $10 billion. Its share price closed Tuesday at 8,500 dirhams, double its level at the end of 2024, driven by the surge in gold prices and the scale of the group's disclosed expansion plans.
