Balochistan, the untapped treasure trove of natural resources has once come under global spotlight. Not because of the oppression of Baloch people by Pakistan Army, not for the freedom struggle of Baloch fighters, but due to the renewed interest of global players in squeezing the disputed region of its resources. Now, Barrick Mining, the company that has been extracting gold from Balochistan, is seeking $3.5 billion to fund its copper mining project in the region.
Barrick Mining is seeking $3.5 billion to set up a major copper-gold mine in Balochistan after Saudi Arabia refused to finance this project. On August 11, CEO Mark Bristow announced that the company is preparing a “G7 financing package” for the Reko Diq copper-gold project. The Reko Diq mine is expected to commence production by 2028.
“There is a lot of interest to support Pakistan,” Bristow told Financial Times.
The U.S. Export-Import Bank, the U.S. International Development Finance Corporation, the Asian Development Bank, the International Finance Corporation (IFC, a World Bank subsidiary), and lenders from Canada, Japan, and Germany are all involved in the negotiations.
According to Bristow, numerous financial organisations have expressed a keen interest in funding the initiative in Pakistan.
Barrick Mining’s CEO also said that with the backing from US government, Pakistan would be able to access the mine’s copper concentrate, adding that further processing would still be required to produce usable metal.
Balochistan has one of the world’s largest undeveloped copper-gold projects
Notably, the Reko Diq copper-gold deposit is considered as one of the world’s largest undeveloped copper-gold projects. Over the course of its 37-year mining life, it is expected to produce over $70 billion in free cash flow and $90 billion in operating cash flow. Barrick Gold, the federal government of Pakistan, and the provincial government of Balochistan jointly own the project.
As per a statement made by Tim Cribb, earlier this year, the mine is looking for $650 million from the International Development Association and the IFC, as well as $500 million to $1 billion from the U.S. Export-Import Bank. The project is also seeking an additional $500 million from other development finance organisations, such as the Japan Bank for International Cooperation, Export Development Canada, and the Asian Development Bank.
Pakistan trying to get close to Donald Trump as tariff war with India rages on
Interestingly, amidst a fallout between India and the US over Trump’s tariff war against India for buying Russian oil, Pakistan has grown close to Trump through PM Shehbaz Sharif and de facto ruler Field Marshal Asim Munir’s sycophancy of the American leader.
Pakistani military-backed government has frequently thanked Trump for his imaginary role in brokering India-Pakistan ceasefire understanding after India inflicted a humiliating defeat on Pakistani Forces during Operation Sindoor in the aftermath of Pakistan-sponsored Pahalgam Islamic terror attack. Pakistan’s Field Marshal Asim Munir has visited the US twice since India agreed to a Pakistan requested ceasefire.
Impressed with Pakistan’s flattery, the Trump administration recently designated the Balochistan Liberation Army (BLA) and its Majeed Brigade a ‘Foreign Terrorist Organisation’, labelling Baloch freedom fighters as ‘terrorists’.
Opposition of Pakistan in Balochistan
Over the years, the BLA struck Pakistani military and Chinese personnel along with Beijing’s projects in the province because they exploit the Baloch resources. The Baloch people, who are among the most marginalised communities in Pakistan, accuse the Pakistani government and China of exploiting their resources without providing any benefit to the locals.
US President Donald Trump recently unveiled a new trade agreement with Islamabad to jointly develop Pakistan’s alleged “massive oil reserves”. The announcement came just hours after he slapped the first round of 25% tariff and additional penalties on Indian imports. Weirdly, Trump claimed that someday Pakistan might be selling oil to India.
The timing of the US declaring the BLA a ‘terrorist organisation’, Trump’s pro-Pakistan tilt, and growing interests of foreign companies in extracting Balochistan’s natural resources is crucial. First, the Baloch freedom fighters have so far not allowed the Chinese to set their foot properly in Gwadar for the China-Pakistan Economic Corridor (CPEC). Then there is the US repeatedly highlighting its minerals deal with Pakistan. Now we have Barrick Mining seeking funding for copper mining project, suggesting that Pakistan Army is selling off Balochistan for dollars, while Baloch people continue to be persecuted by the oppressive regime.
Earlier, the natural resources of Balochistan, be it gas or electricity, were diverted to Pakistan’s Punjab and other provinces despite Balochi people deserving the first share. Now foreign companies with US backing will also fill their coffers by profiting from the natural resources of Balochistan. Gplus’s report on the possibility of Balochistan becoming the next oil war destination for USA can be read here.
