KARACHI: Chinese companies and major Pakistani business groups have joined Canada’s Barrick Mining Corporation in securing mining leases for copper, gold, and other minerals, signaling a broad expansion of the mining sector in Balochistan.
Sharique Azim Siddiqui, CEO of Pakistan International Bulk Terminal Limited (PIBT), said the terminal had secured contracts to export more than $5 billion worth of minerals from the Reko Diq project in phases, with additional mining ventures emerging in the same mineral belt.
“There are some Chinese involved, but Pakistani big business houses have also taken mining leases,” Siddiqui told Arab News.
Last week, Reko Diq Mining Company (RDMC), a Barrick subsidiary, signed a port access agreement with PIBT to export copper and gold concentrate from Port Qasim starting in 2028. Located in Balochistan’s Chagai district, Reko Diq is one of the world’s largest undeveloped copper-gold deposits. Barrick owns 50 percent of the project, while Pakistan’s federal and Balochistan governments each hold 25 percent.
Siddiqui said the project would export 800,000 to one million tons of concentrate annually in its first phase, generating about $2.7 billion in exports. After expansion, exports could reach $5 billion a year.
“One single project adding $5 billion to our exports would be very helpful for Pakistan,” he said.
Under the agreement, RDMC will invest $150 million to build dedicated storage and handling facilities at PIBT as part of its $7.7 billion overall investment. Construction of port-side infrastructure is expected to begin within two months.
PIBT, operational since 2017, has an annual export capacity of four million tons. Reko Diq will initially use one million tons, rising to two million in the second phase. Traditionally an import terminal for coal, PIBT will become a major mineral export hub with Reko Diq shipments.
Siddiqui said PIBT was also in talks with exporters of barite, iron ore, rock phosphate, and sand, and expressed confidence in security arrangements for mineral cargo despite ongoing challenges in Balochistan.
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“The government will ensure security for cargo movement because the success of this project depends on it,” he said.
