Pakistan Minerals and Mining Updates

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US ready to finance another Reko Diq-sized mining project in Pakistan: report​

An embassy official says American investors are also eyeing small mines and offtake deals as the US targets 60 critical minerals globally, several of which are present in Pakistan, including copper, antimony and tungsten

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.

 

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Equity injections to be made over two years to fund NRL operations, including natural resource exploration in Balochistan.

 

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Barrick seeks security improvements before full construction of Reko Diq​

• The security situation in Balochistan remains a significant concern

Barrick Mining Corporation, a leading global mining, exploration and development company, has slowed development of its Reko Diq copper-gold project in Balochistan, Pakistan and is reviewing its plans, saying improved security conditions are needed before it proceeds with a full construction schedule.

“We are revisiting it because we need some sort of security improvement before we would embark on a full construction schedule at Reko Diq,” said Barrick CEO Mark Hill at the Mining Forum Americas.

The CEO did not provide a new construction timeline for the project or quantify the impact of the slowdown in the presentation.

The comments came as the security situation in Balochistan remains a significant concern, marked by a surge in militant activities and comprehensive counter-terrorism operations. In 2026, Pakistan’s security forces conducted over 40,000 intelligence-based operations (IBOs) nationwide, with more than 31,000 of these taking place in Balochistan alone.

The Reko Diq project is operated by Canada’s Barrick Mining, formerly known as Barrick Gold Corporation, which holds a 50% ownership stake. The Balochistan government owns 25%, and Pakistani state-owned enterprises share the remaining 25%.

Initial investment for the first phase was estimated at $4 billion, later revised to $5.6 billion. The total investment across two phases is projected to be approximately $7 billion, with phase two estimated at $3.5 billion.

The mine is expected to have a life of at least 40 years, though a recent feasibility study revised the mine life to 37 years due to increased throughput, with potential to extend to 80 years.

During peak construction, the project is expected to employ 7,500 people, and once in production, it will create 4,000 long-term jobs.

The project is envisioned as a conventional open-pit and milling operation, producing a high-quality copper-gold concentrate. Phase one will process approximately 45 million tons of ore per annum, potentially doubling to 90 million tons in phase two.

The Reko Diq project is expected to generate approximately $74 billion in free cash flow over 37 years, based on consensus long-term prices.

 

[Owaiz]

Barrick seeks security improvements before full construction of Reko Diq​

• The security situation in Balochistan remains a significant concern

Barrick Mining Corporation, a leading global mining, exploration and development company, has slowed development of its Reko Diq copper-gold project in Balochistan, Pakistan and is reviewing its plans, saying improved security conditions are needed before it proceeds with a full construction schedule.

“We are revisiting it because we need some sort of security improvement before we would embark on a full construction schedule at Reko Diq,” said Barrick CEO Mark Hill at the Mining Forum Americas.

The CEO did not provide a new construction timeline for the project or quantify the impact of the slowdown in the presentation.

The comments came as the security situation in Balochistan remains a significant concern, marked by a surge in militant activities and comprehensive counter-terrorism operations. In 2026, Pakistan’s security forces conducted over 40,000 intelligence-based operations (IBOs) nationwide, with more than 31,000 of these taking place in Balochistan alone.

The Reko Diq project is operated by Canada’s Barrick Mining, formerly known as Barrick Gold Corporation, which holds a 50% ownership stake. The Balochistan government owns 25%, and Pakistani state-owned enterprises share the remaining 25%.

Initial investment for the first phase was estimated at $4 billion, later revised to $5.6 billion. The total investment across two phases is projected to be approximately $7 billion, with phase two estimated at $3.5 billion.

The mine is expected to have a life of at least 40 years, though a recent feasibility study revised the mine life to 37 years due to increased throughput, with potential to extend to 80 years.

During peak construction, the project is expected to employ 7,500 people, and once in production, it will create 4,000 long-term jobs.

The project is envisioned as a conventional open-pit and milling operation, producing a high-quality copper-gold concentrate. Phase one will process approximately 45 million tons of ore per annum, potentially doubling to 90 million tons in phase two.

The Reko Diq project is expected to generate approximately $74 billion in free cash flow over 37 years, based on consensus long-term prices.

They have postponed financial closure of the project till at least the middle of next year, so nothing other than minimal "keep the lights on" maintenance of the site will be done till at least then.

 

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"Copper prices are expected to surge more than 50% within the next six months due to shrinking stockpiles, according to Deutsche Bank"

https://www.bloomberg.com/news/articles/2026-09-30/commodity-boom-pushes-mongolian-stocks-to-world-beating-quarter

Pakistan better hurry up with that new FC force and security upgrade promised to Barrick Gold.

 

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OGDCL, PINSTECH sign agreement to explore lithium, rare earth elements in well water​

More than 2,000 samples from selected OGDCL wells will be tested to map lithium and other critical mineral concentrations


ISLAMABAD: Oil and Gas Development Company Limited (OGDCL) has signed an agreement with the Pakistan Institute of Nuclear Science and Technology (PINSTECH) to investigate the potential of lithium and other critical minerals in produced water and brine from its oil and gas wells.

The agreement was signed at OGDCL headquarters in Islamabad in the presence of Managing Director and CEO Ahmed Hayat Lak, senior management of OGDCL and representatives of the Pakistan Atomic Energy Commission (PAEC) and PINSTECH.

Under the agreement, PINSTECH will conduct advanced Inductively Coupled Plasma (ICP) elemental profiling and radioactive element profiling of produced water and brine from selected OGDCL wells.

More than 2,000 samples will be collected from candidate wells to determine the presence and concentration of lithium, rare earth elements, precious metals and radioactive elements.

The exercise will enable OGDCL to develop a comprehensive geochemical database of its produced water and identify wells and areas with higher concentrations of lithium and other critical minerals.

The company will use the results to rank candidate wells according to their lithium and rare earth content and map areas with high and low concentrations. The data will provide a technical basis for assessing the feasibility of Direct Lithium Extraction (DLE), a technology designed to recover lithium directly from liquid resources.

The initiative is part of OGDCL’s broader strategy to diversify beyond conventional oil and gas operations and explore opportunities in critical minerals and new energy resources.

Produced water, which is generated during oil and gas production and is generally treated as a waste stream, is being examined as a potential source of valuable minerals. If technically and commercially viable, extracting lithium and other elements from such water could create an additional resource opportunity from existing oil and gas operations.

OGDCL’s earlier pilot work at the Wahid Bukhsh-01 well identified geothermal brine containing 291 milligrams per litre of lithium. According to the company, the concentration is comparable with leading geothermal-lithium brines internationally.

The expanded sampling programme is expected to provide a broader scientific picture of the distribution of lithium and other critical minerals across OGDCL’s candidate wells.

Lithium is increasingly important for batteries, electric vehicles and energy-storage systems, while rare earth elements are used in electronics, advanced manufacturing and other high-technology applications.


The identification of minerals in produced water, however, would not by itself establish commercial viability. The potential for future extraction would depend on mineral concentrations, recovery rates, extraction technology, processing costs, infrastructure requirements and market conditions.

The OGDCL-PINSTECH agreement will therefore provide the scientific and technical data needed to determine whether the identified mineral resources warrant further exploration and potential development.