Saudi Arabia has proposed a 15% investment in Pakistan’s Reko Diq mining project and has offered grants to develop road infrastructure around the site.
The Special Investment Facilitation Council (SIFC) has approved the proposal’s framework, but the final decision now lies with the Cabinet Committee on Intergovernmental Transactions.
Pakistan is expecting Saudi investments of up to $5 billion in the mining and agriculture sectors by June next year.
Finance Minister Muhammad Aurangzeb has noted Saudi Arabia’s increasing interest in various sectors, including metals and mining. He mentioned that some of these projects are nearing announcement.
A Saudi delegation recently visited Pakistan to explore investment opportunities in solar energy, mining, hydropower, and technology. Saudi Foreign Minister Prince Faisal bin Farhan emphasized the kingdom’s commitment to these ventures.
The Reko Diq project in Balochistan’s Chagai district is slated to start production by 2028. Barrick Gold Corporation owns a 50% stake, Pakistan’s federal government holds 25%, and the Balochistan provincial government has the remaining share.
Saudi Arabia is negotiating to acquire a portion of the Pakistani government’s stake in the project.
Barrick CEO Mark Bristow has stated that while the company supports Pakistan’s decisions regarding Saudi investments, it will not dilute its equity in the project.
