ADB to give $410m for Barrick-run Reko Diq

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Reko Diq, delayed for years by a legal dispute that was settled in 2022, will produce 200,000 tonnes of copper annually. —Reuters
Reko Diq, delayed for years by a legal dispute that was settled in 2022, will produce 200,000 tonnes of copper annually. —Reuters

ISLAMABAD: The Asian Development Bank will provide a $410 million financing package to help develop Pakistan’s Reko Diq copper mine, one of the world’s largest untapped deposits, which will be operated by Barrick Gold , two sources told Reuters on Thursday.

Islamabad hopes the project will serve as a springboard to draw more foreign interest to its mineral sector, particularly to exploit rare earth deposits. Pakistan has already attracted interest from the Trump administration and offered future concessions to US companies.

The loans and a financing guarantee will support development of Reko Diq, which is expected to produce copper and gold from 2028 and generate about $70 billion in free cash flow over its lifespan.

The financing is composed of two loans totalling $300m to Barrick and a $110m financing guarantee for the Government of Pakistan, both sources said ahead of the official announcement.

The $6.6bn project in Balochistan is 50pc owned by Barrick with the other half held by the federal and provincial governments.

ADB, the petroleum ministry and Barrick did not immediately respond to requests for comment.

The project aims to raise upwards of $2bn and has a previous agreement for $700m in financing from the International Finance Corporation, the World Bank’s private investment arm.

The project’s developers are in talks with other prospective financiers, including the US Export-Import Bank, Export Development Canada and Japans JBIC and expect to sign term sheets this quarter, project director Tim Cribb told Reuters in April.

Published in Dawn, August 22th, 2025

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