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ISLAMABAD: Pakistan&rsquo;s Economic Coordination Committee (ECC) has approved a $390 million bridge financing deal with Reko Diq Mining Company to build a railway in southwestern Balochistan province, enabling copper and gold transport to export terminals, the finance division said. The decision was made during a meeting held at the Finance Division under the chairmanship of Finance Minister Muhammad Aurangzeb. According to an official statement released on Thursday, the railway development agreement includes the laying of a 1,350-kilometer track to handle large volumes of export material from the Reko Diq site, one of the world&rsquo;s largest untapped copper-gold deposits. The ECC reviewed and approved the railways ministry&rsquo;s proposal for entering into both a rail development agreement and a bridge financing agreement with the Reko Diq Mining Company. It further directed the ministry to share finalized agreement documents with the Finance Division for appraisal. In a forward-looking directive, the ECC instructed finance and railways ministries to submit an update on the project&rsquo;s execution and implementation by March next year. Earlier in the meeting, the ECC also approved a summary submitted by the Petroleum Division concerning definitive agreements and financial commitments related to the broader Reko Diq Project.&nbsp; Highlighting the significance of the project, Finance Minister Muhammad Aurangzeb said, &ldquo;The ECC&rsquo;s approvals signify the government&rsquo;s firm commitment to moving ahead with this landmark project, which has the potential to transform the economic landscape of Balochistan and generate far-reaching benefits for the people of Pakistan.&rdquo; &ldquo;The Reko Diq Project will not only unlock one of the world&rsquo;s largest undeveloped copper-gold deposits but also catalyze job creation, infrastructure development, and long-term socio-economic uplift across the region,&rdquo; he added. The Reko Diq Project, situated in Chagai district near the border with Iran and Afghanistan, is a joint venture between the Government of Pakistan, the Government of Balochistan, and global mining company Barrick Gold Corporation. With copper and gold reserves estimated to be worth billions of dollars, the project is widely seen as a game-changer for Pakistan&rsquo;s mineral sector. The latest approvals signal a crucial step toward the full operationalization of the Reko Diq mine, which could become a major source of foreign exchange and development for the country.

Economy

The agreement includes building a 1,350-km railway to transport large volumes of copper and gold from Reko Diq, one of the world’s largest untapped deposits.

Pakistan approves $390 million railway plan for Balochistan mines

ISLAMABAD: U.S. Strategic Metals (USSM) on Monday signed a Memorandum of Understanding (MoU) with Pakistan&rsquo;s Frontier Works Organization (FWO), marking a new chapter in U.S.-Pakistan cooperation in the critical minerals sector, the U.S. Embassy in Islamabad said in a press release. The signing ceremony took place at the Prime Minister&rsquo;s House, with Acting Deputy Chief of Mission Zach Harkenrider and other senior officials in attendance. Speaking at the event, Charg&eacute; d&rsquo;Affaires Natalie Baker described the agreement as &ldquo;yet another example of the strength of the U.S.-Pakistan bilateral relationship,&rdquo; emphasizing that it stands to benefit both countries. &ldquo;The Trump administration has made the forging of such deals a key priority, given the importance of critical mineral resources to American security and prosperity,&rdquo; she said. Baker also expressed optimism about future collaboration between U.S. and Pakistani firms in mining and mineral development. About U.S. Strategic MetalsBased in Missouri, USSM specializes in the production and recycling of critical minerals. These include elements deemed essential by the U.S. Department of Energy for advanced manufacturing, clean energy technologies, and national defense applications. Strategic opportunityThe MoU comes just weeks after U.S. Secretary of State Marco Rubio reiterated Washington&rsquo;s interest in deepening collaboration with Pakistan on critical minerals and hydrocarbons. Pakistan&rsquo;s Commerce Minister Jam Kamal said in August that the government is actively offering joint venture opportunities to foreign investors, particularly in Balochistan, home to major projects such as the Reko Diq copper-gold mine. According to the Geological Survey of Pakistan, the country holds an estimated $6 trillion worth of mineral assets. Despite this vast potential, much of it remains underdeveloped and untapped.

U.S. and Pakistan sign critical minerals deal, aiming to unlock untapped resources and boost cooperation.

Articles tagged with "Reko Diq"

Pakistan approves $390 million railway plan for Balochistan mines

Digging into the future: U.S. eyes Pakistan’s untapped mineral riches