ISLAMABAD (PEN) : Saudi Arabia’s Public Investment Fund (PIF) has put forward an exciting proposal to acquire a 15% share in the Reko Diq mining project. Alongside this investment, they’re offering a grant to help build vital infrastructure around the mining area through Manara Minerals.
The deal isn’t just about the money. It includes a significant investment to improve local infrastructure, including plans to build the Mashkhel-Panjgur road, which will make operations smoother and boost the region’s connectivity. This investment could be a game-changer, potentially creating new jobs and strengthening ties between Pakistan and Saudi Arabia.
Pakistan is taking this offer seriously. They’ve set up a negotiation committee to evaluate the proposal and recommend a fair price to the federal cabinet. Currently, the federal government holds a 25% stake in Reko Diq and is looking to sell 15% of this share to Saudi Arabia. This would be the first move under the Special Investment Facilitation Council (SIFC) initiative, which aims to attract more foreign investments.
The committee will soon review the Saudi offer, which, if approved, could mark a significant step in enhancing economic relations and development in the region. The Reko Diq project, with Barrick Gold holding a 50% stake, the federal government’s 25%, and Balochistan’s 25%, is also undergoing feasibility studies, with commercial production expected to start by 2028.
The Saudi grant for infrastructure could pave the way for smoother operations and better opportunities in the area, and both governments are keen to see this investment come to fruition. The Ministry of Economic Affairs is already in talks with the Saudi Fund for Development (SFD) to finalize the road project, with detailed feasibility studies to follow.
This collaboration holds promise for not only economic growth but also for improving the quality of life in the region.
