ISLAMABAD: Pakistan expects the Reko Diq project to reach financial close within two weeks. The government and its international partners aim to secure $3.5 billion in new funding for the copper and gold mine in Balochistan.
Officials said machinery has already reached the site. Construction work is underway even before the financing is formally completed.
Sources said Pakistan has prepared two financing plans. Under the first plan, the government and its partners are seeking funds from global lenders.
Legal advisers for the lenders briefed the petroleum minister and the managing director of Oil and Gas Development Company (OGDC). They assured them that major financial arrangements are in place.
Documents are now in the final stage. Authorities expect the deal to close within days.
A key meeting in Islamabad brought together Petroleum Minister Ali Pervaiz Malik, OGDC MD Ahmed Hayat Lak, and Milbank partner Munib Hussain. Hussain represents the project’s financiers and shared positive updates.
The meeting also reviewed new investment opportunities in Pakistan’s mining and oil and gas sectors. Stakeholders showed confidence in long-term growth.
Pakistan has vast mineral reserves, but the mining sector contributes only 3.2% to GDP. It holds 92 known minerals, and 52 are commercially extracted. The sector supports more than 5,000 mines and employs around 300,000 workers.
Reko Diq lies in Balochistan’s Chagai district. It is one of the world’s largest untapped copper deposits.
The project, revived by Canada’s Barrick Gold, carries an initial investment of $5.5 billion. Production is expected to start by 2028.
Barrick Gold CEO Mark Bristow says the mine could generate $74 billion in free cash flow over almost four decades.
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Exports from Reko Diq are projected at $2.8 billion a year. Officials expect strong job creation and higher copper and gold output as the project expands.
