International lenders will provide over $2 billion in financing for Barrick Gold’s Reko Diq copper and gold project in Pakistan, with term sheets expected to finalize by early Q3 2025, according to the project’s director, Tim Cribb.
The Reko Diq mine in Pakistan holds one of the world’s largest undeveloped copper-gold deposits. The project has the potential to generate $70 billion in free cash flow and $90 billion in operating cash flow, representing a significant economic opportunity for both local stakeholders and global investors.
Jointly owned by Barrick Gold and the governments of Pakistan and Balochistan, the Reko Diq project is aiming to begin production in 2028 as part of its first development phase. Financing discussions for this phase are ongoing with multiple global financiers, including the International Finance Corporation (IFC) and the International Development Association (IDA), which could contribute $650 million. Additional negotiations are underway with the US Export-Import Bank for up to $1 billion and other development finance institutions, such as the Asian Development Bank, Export Development Canada, and the Japan Bank for International Cooperation, aiming to secure another $500 million.
“We anticipate finalizing the term sheets by late Q2 or early Q3,” Cribb stated during the Pakistan Minerals Investment Forum 2025. He also noted discussions with the IFC and other lenders regarding railway infrastructure financing, which could cost between $500-800 million, with $350 million estimated for initial costs.
The project’s feasibility study has been updated, increasing phase one throughput from 40 to 45 million tons annually and phase two throughput from 80 to 90 million tons. These increases have shortened the mine’s estimated lifespan from 42 years to 37 years, although undiscovered reserves might extend its life to as much as 80 years. The estimated cost for phase one has also risen from $4 billion to $5.6 billion.
Global interest in the project is growing, with offtake agreements likely to include clients from Asia (Japan and Korea) and Europe (Sweden and Germany) eager to secure reliable copper supplies for industrial use.
The World Bank has also committed to investing $2 billion annually in Pakistan’s infrastructure over the next decade, signaling optimism for further development opportunities tied to the Reko Diq project.
