ISLAMABAD:* The government is ramping up efforts to unlock Pakistan’s vast mineral reserves—now estimated at $8 trillion—by attracting local and foreign investment. To showcase these opportunities, a high-profile mineral conference is planned for next month.
At a recent federal cabinet briefing, officials highlighted the significant growth in estimated mineral wealth, up from the previous $6 trillion assessment. Currently, the mineral sector contributes 1% to GDP and employs 300,000 workers. The cabinet was also informed about major mineral deposits and ongoing extraction projects, particularly in Balochistan.
Among the key initiatives is the *Reko Diq copper and gold project, expected to commence production by 2028. Revived by Canada’s **Barrick Gold, the project will see an initial investment of $5.5 billion and is projected to generate *$74 billion in free cash flow over 37 years*. Saudi Arabia’s *Manara Minerals is set to acquire a 15% stake with a potential *$1 billion investment. Once operational, Reko Diq is anticipated to contribute *$2.8 billion in annual exports**, create thousands of jobs, and transform Balochistan’s economy.
To further expand its mining sector, Pakistan has identified five potential mineral projects for investment by the *United Arab Emirates (UAE). These sites, located in **Chagai, Waziristan, and Gwadar, include key copper blocks managed by **Balochistan Mineral Resources Limited and the Frontier Works Organisation (FWO). A *copper smelter in Gwadar with a processing capacity of 50,000-80,000 tonnes per year is also in the pipeline.
The government is *developing a rail network to connect Gwadar and Chagai, facilitating mineral transport and trade. Additionally, consultations are underway with *Mari Petroleum and Balochistan authorities to finalize investment frameworks.
Another significant development is the approval of the Siah Dik copper mining project as a *private-sector Export Processing Zone (EPZ). Awarded to **China Metallurgical Group Corporation (CMGC)—which also manages the **Saindak copper-gold project—the Siah Dik EPZ will focus on *mining and processing copper concentrate in *Chagai district. The project spans **296 acres, with mineral leases covering an additional *4,295 acres.
With growing interest from global investors and strategic infrastructure projects, Pakistan’s mining sector is poised for accelerated growth, paving the way for economic transformation and increased foreign direct investment.
Story by Zafar Bhutta
