ISLAMABAD – The Reko Diq copper and gold mining project, located in Balochistan’s Chagai district, is set to begin production by 2028. Spearheaded by Canada’s Barrick Gold, which holds a 50% stake, the project is expected to generate a staggering $74 billion in free cash flow over the next 37 years.
The initiative involves a total investment of $5.5 billion, with an initial funding plan of $1.9 billion already in place. Barrick Gold CEO Mark Bristow emphasized the project’s potential, noting the world’s largest untapped copper reserves will produce 400,000 tonnes of copper and 500,000 ounces of gold annually.
Saudi Arabian mining company Manara Minerals is set to acquire a 15% stake in the project, potentially investing $1 billion. The Reko Diq project is anticipated to generate $2.8 billion in annual exports and create thousands of jobs, significantly transforming the local economy.
Efforts are also underway to establish refineries, allowing Pakistan to move up the value chain and reduce its reliance on raw material exports. Despite its potential, the mineral sector currently contributes only about 3.2% to Pakistan’s GDP and accounts for a mere 0.1% of global exports.
The government is finalizing the National Minerals Harmonisation Framework 2025 to attract more investment and streamline mining regulations. This comprehensive policy aims to provide incentives to local and foreign investors, facilitating public-private partnerships.
The Pakistan Minerals Investment Forum 2025, scheduled for April 8-9 in Islamabad, will bring together global ministers, leading corporations, investors, policymakers, and industry experts to discuss investment opportunities and technological advancements in the mining sector.
Pakistan’s commitment to infrastructure development, with the support of the China-Pakistan Economic Corridor (CPEC), is crucial for unlocking the mining industry’s full potential. Enhanced connectivity through improved road and rail networks will facilitate better transportation of mineral resources.
