China backed cooper mine threatens Pakistan shutdown over security risk
- Thread starter Owaiz
- Start date
313Ghazi
Elite Member
The biggest Chinese-operated copper and gold mine in Pakistan has warned that a worsening insurgency in the restive province of Balochistan may force it to suspend operations.
“The prevailing law and order situation in the province has severely affected the transportation of essential project cargo,” the managing director of Saindak Metals Limited wrote in a letter to Pakistan’s energy ministry, which was reviewed by the FT and has not been previously reported.
“If this situation continues unabated, the uninterrupted operation of the Saindak Copper-Gold Project may become unsustainable, and there is a serious likelihood that the Project’s operations may be forced to cease within a month owing to the non-availability of essential production materials and logistical support,” added the letter, which was dated June 29.
Saindak, Pakistan’s largest active copper and gold mine, was leased in 2001 to the state-owned Metallurgical Corporation of China, which has operated it under a joint venture with Pakistan’s state-owned SML. The project lease was extended for 15 years in 2022.
Almost all of the project’s output, which accounted for the majority of Pakistan’s roughly $750mn of copper products last year, is exported to China, according to official statistics.
China is also Pakistan’s largest bilateral lender, having provided Islamabad with billions of dollars in loans and grants to develop transportation and power infrastructure as part of the Belt and Road Initiative, Chinese leader Xi Jinping’s signature overseas infrastructure drive.
Much of that investment has focused on Balochistan, a mountainous south-western region that is roughly the size of Germany and has been beset by a separatist insurgency in recent years.
A bombing near a railway track in the provincial capital Quetta in May killed more than 20 people, while another four dozen lost their lives in a co-ordinated assault throughout the province in January.
The letter says that the main issue for its operations is road travel, which has become “increasingly hazardous” as a result of the attacks.
“The situation in Balochistan is far worse than many in Islamabad realise,” said one person involved in the mine who requested anonymity. “Security is especially bad in the area where major projects like [the Barrick Mining-backed] Reko Diq and Saindak are located.”
Islamabad claims the insurgency is backed by Indian intelligence agencies, a charge New Delhi denies, and insists it can stamp out militancy and guarantee “foolproof security” for foreign investors.
On Wednesday, Pakistan’s military spokesperson told a press conference that 42 people, including security and law enforcement personnel, had been killed by militancy in the province just last week.
“We will hunt you, and we will hurt you everywhere,” said Lieutenant General Ahmed Sharif Chaudhry. He added that Pakistan Armed Forces would not show “rationality and proportionality” in its response.
Pakistani forces have killed more than 100 fighters from both separatist and Islamist groups since July 5, according to state media.
Pakistan’s deteriorating security situation has also strained relations with China, its closest defence and economic partner, as insurgents have targeted foreign assets and personnel.
More than a dozen Chinese citizens have been killed by militants in recent years, and senior officials in Beijing including Xi have warned their Pakistani counterparts that improved security is needed for further investment.
Saindak’s woes mark the latest blow to Pakistan’s ambitions to turn its western frontier into a hub for natural resource extraction and source of much-needed export revenue.
In late March, the FT revealed that Barrick Mining was postponing development of the $9bn Reko Diq gold and copper mine as it reviewed the region’s security situation and supply chain disruption resulting from the US-Israeli war in Iran.
Reko Diq is roughly 50km from Saindak, and the projects share many transport links.
SML, Pakistan’s energy ministry and MCC did not respond to requests for comment.
“The prevailing law and order situation in the province has severely affected the transportation of essential project cargo,” the managing director of Saindak Metals Limited wrote in a letter to Pakistan’s energy ministry, which was reviewed by the FT and has not been previously reported.
“If this situation continues unabated, the uninterrupted operation of the Saindak Copper-Gold Project may become unsustainable, and there is a serious likelihood that the Project’s operations may be forced to cease within a month owing to the non-availability of essential production materials and logistical support,” added the letter, which was dated June 29.
Saindak, Pakistan’s largest active copper and gold mine, was leased in 2001 to the state-owned Metallurgical Corporation of China, which has operated it under a joint venture with Pakistan’s state-owned SML. The project lease was extended for 15 years in 2022.
Almost all of the project’s output, which accounted for the majority of Pakistan’s roughly $750mn of copper products last year, is exported to China, according to official statistics.
China is also Pakistan’s largest bilateral lender, having provided Islamabad with billions of dollars in loans and grants to develop transportation and power infrastructure as part of the Belt and Road Initiative, Chinese leader Xi Jinping’s signature overseas infrastructure drive.
Much of that investment has focused on Balochistan, a mountainous south-western region that is roughly the size of Germany and has been beset by a separatist insurgency in recent years.
A bombing near a railway track in the provincial capital Quetta in May killed more than 20 people, while another four dozen lost their lives in a co-ordinated assault throughout the province in January.
The letter says that the main issue for its operations is road travel, which has become “increasingly hazardous” as a result of the attacks.
“The situation in Balochistan is far worse than many in Islamabad realise,” said one person involved in the mine who requested anonymity. “Security is especially bad in the area where major projects like [the Barrick Mining-backed] Reko Diq and Saindak are located.”
Islamabad claims the insurgency is backed by Indian intelligence agencies, a charge New Delhi denies, and insists it can stamp out militancy and guarantee “foolproof security” for foreign investors.
On Wednesday, Pakistan’s military spokesperson told a press conference that 42 people, including security and law enforcement personnel, had been killed by militancy in the province just last week.
“We will hunt you, and we will hurt you everywhere,” said Lieutenant General Ahmed Sharif Chaudhry. He added that Pakistan Armed Forces would not show “rationality and proportionality” in its response.
Pakistani forces have killed more than 100 fighters from both separatist and Islamist groups since July 5, according to state media.
Pakistan’s deteriorating security situation has also strained relations with China, its closest defence and economic partner, as insurgents have targeted foreign assets and personnel.
More than a dozen Chinese citizens have been killed by militants in recent years, and senior officials in Beijing including Xi have warned their Pakistani counterparts that improved security is needed for further investment.
Saindak’s woes mark the latest blow to Pakistan’s ambitions to turn its western frontier into a hub for natural resource extraction and source of much-needed export revenue.
In late March, the FT revealed that Barrick Mining was postponing development of the $9bn Reko Diq gold and copper mine as it reviewed the region’s security situation and supply chain disruption resulting from the US-Israeli war in Iran.
Reko Diq is roughly 50km from Saindak, and the projects share many transport links.
SML, Pakistan’s energy ministry and MCC did not respond to requests for comment.
313Ghazi
Elite Member
The enemies of Pakistan are succeeding. Balochistan is on fire and the security services are only interested in protecting their bedfellows in crime. Plenty of resource to divert to the suppression of democracy, but for securing our national resources and ending terrorism....
hussain0216
Elite Member
Start hitting Afghanistan
The Pakistani state is so reactive, FC and police running around
Belligerent states don't wait around, for any act of terrorism you should be striking vital targets across Afghanistan
You should be hitting Baloch villages and areas in the Baloch part of Afghanistan
You should be making it costly for the enemies of Pakistan and arresting anyone making sedition statements
Fight,,,
The Pakistani state is so reactive, FC and police running around
Belligerent states don't wait around, for any act of terrorism you should be striking vital targets across Afghanistan
You should be hitting Baloch villages and areas in the Baloch part of Afghanistan
You should be making it costly for the enemies of Pakistan and arresting anyone making sedition statements
Fight,,,
hydrabadi_arab
Trusted Member
Fake news. Already debunked. Post again in a month if you think this story is true.
onlinpunit
Trusted Member
I've said this before: the situation in Balochistan bears many similarities to the Naxal insurgency India faced.
The solution is likely to follow a similar path not relying solely on the military, but building a strong, locally recruited police force that understands the terrain, can operate independently for extended periods, and is capable of taking on the militants effectively.
The solution is likely to follow a similar path not relying solely on the military, but building a strong, locally recruited police force that understands the terrain, can operate independently for extended periods, and is capable of taking on the militants effectively.
Owaiz
Registered Member
- Thread starter
- #7
If it is fake news, why did the government announce it is increasing security instead of suing the Financial Times in London ? Just because a face-saving denial statement has been issued at sarkari behest doesn't mean the original story is not true. FT is one of the most credible newspapers in the world and doesn't publish stories without verifying their sources.
safriz
Elite Member
I see Balochi crying rivers about lack of development in their province .
Then I also see Bakochi blowing up every development project in their province.
They succeed in stopping all development. Gawadar is a prime example, and many other such projects.
So which one is it ?
They want development or they don't ?
Then I also see Bakochi blowing up every development project in their province.
They succeed in stopping all development. Gawadar is a prime example, and many other such projects.
So which one is it ?
They want development or they don't ?
hydrabadi_arab
Trusted Member
Baloch terrorists don't cry about development. Their apologists sitting in other provinces believe they are killing punjabi labour and destroying infrastrucutre to develop Balochistan.
Terrorist Baloch know why he is killing. He think by killing some punjabi labour, Pakistan will give them azad state.
hussain0216
Elite Member
The security will just be increased if their is any threat and operations will continue
Doesn't matter where it is in the world or how dangerous, when it comes to profit companies and businesses will operate
The problem is for the wider Baloch, their will simply be no further investment
In normal areas projects will start to encourage further development and investment, but because of the state of the local area and populations, all projects tend to be isolated and stand-alone
Until locals are willing to receive investment, create a peaceful environment and understand that THIS WILL BRING CHANGE and will include workers and professionals from OTHER PLACES and you can't kill them, then nothing will really change for local Baloch or tribal Pashtuns or anyone
Doesn't matter where it is in the world or how dangerous, when it comes to profit companies and businesses will operate
The problem is for the wider Baloch, their will simply be no further investment
In normal areas projects will start to encourage further development and investment, but because of the state of the local area and populations, all projects tend to be isolated and stand-alone
Until locals are willing to receive investment, create a peaceful environment and understand that THIS WILL BRING CHANGE and will include workers and professionals from OTHER PLACES and you can't kill them, then nothing will really change for local Baloch or tribal Pashtuns or anyone
hydrabadi_arab
Trusted Member
Govt job isn't to sue anyone writing stories to earn some bucks.
Owaiz
Registered Member
- Thread starter
- #12
Check your facts again. Dissidents in the UK have been sued by arms of the establishment to silence them by forcing expensive litigation.
And no need to be shah se jyaada wafadaar. Even the idaaras have only said that the mine is not shutting down. They have not disputed that the letter referenced by FT is genuine.
Also, for those outside Pakistan and even those in Pakistan with exposure to the world and capacity to use their brains, the credibility of FT far exceeds that of the Government of Pakistan.
El Sidd
Elite Member
What is Jyada?
313Ghazi
Elite Member
Did you see the bit where Balochis were being denied access to Gwadar and not being employed in the development of the CPEC project?
hussain0216
Elite Member
You have GOT TO have some sort of qualification to work in some of these areas
Some sort of work history, a secure background
Regardless of who was employed, the point is across the world this is how you start investment and change in a area, one project brings another project and then slowly and gradually economic activity increases and benefits the locals and everyone
If on day one , the country takes multi billion debt to start projects and the locals block the streets with their usual dance and threaten violence, spread propaganda and scare away any investment
Then not only has the state suffered for taking on needless debt, but the local retards never see any changes whatsoever
The jahilat of the locals is incredible in these areas
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