The financial closure of the Reko Diq copper-gold mining project is anticipated next month, with significant involvement from major international financial institutions, as revealed on Tuesday. Entities such as the U.S. EXIM Bank, U.K. EXIM Bank, and the World Bank are reportedly in the final stages of negotiations. The financial arrangements also include contributions from the federal government of Pakistan, the Balochistan government, and the Asian Development Bank.
Sources indicate that loan agreement terms with international partners are nearly finalized. Following financial closure, a substantial influx of foreign investment, estimated at $3 billion, is expected to stimulate Pakistan’s economy.
Read more: IFC commits $300 million to Reko Diq mining project
The federal government will provide approximately $3.4 billion in project financing, with $1.7 billion allocated on behalf of the Balochistan government. Production at the Reko Diq site is projected to begin within three years after closure.
This month, the Pakistan Minerals Investment Forum offered insights into Reko Diq’s mineral reserves to potential investors. A separate session held in Balochistan highlighted the project’s feasibility and strategic significance. Mark Bristow, CEO of Barrick Gold, a major stakeholder in the project, described Reko Diq as a “beacon” for Pakistan’s mining sector. He underscored its potential to enhance the nation’s global standing, deliver significant economic benefits, and create thousands of jobs.
