hydrabadi_arab
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The United States is prepared to finance another mining project the size of Reko Diq, and American investors remain willing to accept security risks to invest in Pakistan's mineral sector, The Express Tribune reported, citing a US embassy official as saying, who added that some investors are also exploring the purchase of small mines worth a few million dollars.
"The US is ready to finance another Reko Diq-sized project where the feasibility is showing potential," the official said in a background briefing.
Some US firms want to buy and develop small mines directly, while others are pursuing larger copper investments.
Pakistan holds a high concentration of antimony and one of the world's major copper reserves, the official said, at a time when global copper demand is rising sharply.
"There are very viable reserves of copper, antimony and tungsten," the official said, noting that companies are already working on the ground to extract these minerals.
American companies are also seeking offtake agreements from small mines for processing and export to the US.
The US has identified 60 minerals considered vital for AI, semiconductors, computing, energy and defence technologies, several of which are present in Pakistan.
US companies are also looking at copper deposits in Khyber-Pakhtunkhwa and rare earth minerals in Gilgit.
"The critical minerals issue is very important for us because it is about economic security, prosperity and national defence," the official said.
The Trump administration is pushing to develop critical minerals supply chains, with financing available through the Exim Bank and the Development Finance Corporation.
The official said the mining sector could have a significant impact on Pakistan's economy over the next 10 to 20 years, with minerals currently accounting for just 3% of the country's economy.
On Reko Diq, the official said the project is moving forward but at a slower pace than planned, with some costs being recalculated.
The Export-Import (Exim) Bank of the US has offered $1.25 billion for the project, though the overall financing package has not yet been finalised. Once fully operational, Reko Diq is expected to generate $2 billion in free cash flow annually, split between Balochistan and state-owned enterprises.
The US government is encouraging American firms to partner with Pakistani companies that understand local operating conditions, including security risks in areas such as Balochistan and Khyber-Pakhtunkhwa.
"US companies understand the security risks in Pakistan and are willing to take them," the official said. "We encourage the government of Pakistan to do everything it can to provide security and assistance."
"Good opportunities exist in Balochistan and Khyber-Pakhtunkhwa, but these are also areas with security challenges," the official added.
Pakistan joined the US Critical Minerals Initiative in Washington earlier this year. The official said the US continues to encourage Pakistan to provide a transparent and level playing field for American investment.
"The US is ready to finance another Reko Diq-sized project where the feasibility is showing potential," the official said in a background briefing.
Some US firms want to buy and develop small mines directly, while others are pursuing larger copper investments.
Pakistan holds a high concentration of antimony and one of the world's major copper reserves, the official said, at a time when global copper demand is rising sharply.
"There are very viable reserves of copper, antimony and tungsten," the official said, noting that companies are already working on the ground to extract these minerals.
American companies are also seeking offtake agreements from small mines for processing and export to the US.
The US has identified 60 minerals considered vital for AI, semiconductors, computing, energy and defence technologies, several of which are present in Pakistan.
US companies are also looking at copper deposits in Khyber-Pakhtunkhwa and rare earth minerals in Gilgit.
"The critical minerals issue is very important for us because it is about economic security, prosperity and national defence," the official said.
The Trump administration is pushing to develop critical minerals supply chains, with financing available through the Exim Bank and the Development Finance Corporation.
The official said the mining sector could have a significant impact on Pakistan's economy over the next 10 to 20 years, with minerals currently accounting for just 3% of the country's economy.
On Reko Diq, the official said the project is moving forward but at a slower pace than planned, with some costs being recalculated.
The Export-Import (Exim) Bank of the US has offered $1.25 billion for the project, though the overall financing package has not yet been finalised. Once fully operational, Reko Diq is expected to generate $2 billion in free cash flow annually, split between Balochistan and state-owned enterprises.
The US government is encouraging American firms to partner with Pakistani companies that understand local operating conditions, including security risks in areas such as Balochistan and Khyber-Pakhtunkhwa.
"US companies understand the security risks in Pakistan and are willing to take them," the official said. "We encourage the government of Pakistan to do everything it can to provide security and assistance."
"Good opportunities exist in Balochistan and Khyber-Pakhtunkhwa, but these are also areas with security challenges," the official added.
Pakistan joined the US Critical Minerals Initiative in Washington earlier this year. The official said the US continues to encourage Pakistan to provide a transparent and level playing field for American investment.
