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

Published August 22, 2025
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

Follow Dawn Business on X, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

After the budget
Updated 26 Jun, 2026

After the budget

Though not a bad document per se, the budget for FY27 is a familiar one, and familiarity in our economic history is rarely cause for comfort.
Missing the mark
Updated 27 Jun, 2026

Missing the mark

Pakistan cannot rely on international partners to compensate for weak governance and inconsistent implementation at home.
Up in smoke
26 Jun, 2026

Up in smoke

PAKISTAN is watching an epidemic unfold as the menace of narcotic abuse hits every fourth household in Karachi ...
Reflection time
Updated 25 Jun, 2026

Reflection time

Israel is the biggest source of instability in the Middle East, and it is high time the US ended its blind support to Tel Aviv, if it genuinely wants peace in the region.
Raised temperatures
25 Jun, 2026

Raised temperatures

THE fraught situation in Azad Jammu and Kashmir requires immense patience and cool heads. Temperatures are raised on...
Debatable remedy
25 Jun, 2026

Debatable remedy

THE Pakistan Psychiatric Society’s challenge to the Federal Shariat Court’s ruling on attempted suicide deserves...