Key points
- Pakistan, Barrick to co-invest $3bn
- ADB calls it fifth-largest copper mine
- Western lenders show strong project confidence
ISLAMABAD: The Reko Diq copper and gold mine project in Pakistan has secured $6 billion in loan pledges from international lenders.
The project, developed by Canadian firm Barrick Mining, is set to become one of the world’s largest copper mines once operational.
According to Nikkei Asia, funding commitments have come from the World Bank, Asian Development Bank (ADB), the US Export-Import Bank, Japan Bank for International Cooperation, and Export Development Canada.
The first phase of Reko Diq will cost an estimated $6.6 billion. Of this, $3 billion will be jointly contributed by Pakistan and Barrick, with the remainder arranged through external lenders, Radio Pakistan reported.
Necessary approvals
Reko Diq Mining, the project’s operator, said it is “currently advancing a debt financing package of approximately $3 billion with a syndicate of external parties,” and remains “optimistic about securing the necessary approvals and closing the financing process by the end of this year.”
In a press release, ADB, which announced a $410 million finance package, stated, “When fully complete, Reko Diq is expected to be the world’s fifth-largest copper mine.”
Legal and tax expert Ikram ul Haq said lender enthusiasm reflects confidence in Reko Diq’s vast copper, gold, and rare earth deposits.
