ISLAMABAD; The Asian Development Bank (ADB) has approved a $410 million financing package to support the development of Pakistan’s massive Reko Diq copper-gold mine in Balochistan, one of the world’s largest untapped deposits, which will be jointly developed by Barrick Gold and the federal and provincial governments.
The package includes two loans totaling $300 million to Barrick and a $110 million partial credit guarantee for the equity share of the Government of Balochistan. The $6.6 billion project is equally owned by Barrick and Pakistan’s federal and provincial authorities.
ADB President Masato Kanda said the project would “help strengthen the global critical minerals supply chain, accelerate the clean energy transition, and drive digital innovation,” while also serving as a “game-changer for Pakistan by creating quality jobs and diversifying its economy.”
The mine, expected to begin production in 2028, is projected to generate $70 billion in free cash flow over its 37-year life and could operate longer with upgrades and further exploration. In its first phase, it will produce around 800,000 tonnes of copper concentrate annually, helping address the anticipated global copper shortage.
Pakistan hopes the landmark project will attract greater foreign investment into its minerals sector, including rare earth exploration. Financing efforts are ongoing, with developers already securing $700 million from the International Finance Corporation and pursuing additional support from institutions such as the US Export-Import Bank, Export Development Canada, and Japan’s JBIC.
Reko Diq, once stalled by a protracted legal dispute resolved in 2022, is set to become the world’s fifth-largest copper mine upon completion. Copper — vital for renewable energy, electric vehicles, batteries, smartphones, and data centers — positions the project as a critical contributor to the global energy transition and digital transformation.
