KARACHI: Pakistan’s mining sector has the potential to significantly increase its contribution to the national economy, with revenues projected to rise from $2 billion to $6-8bn annually by 2030, provided the country capitalises on its vast untapped mineral reserves.

In a keynote address at the Natural Resources and Energy Summit 2025 on Wednesday, Shamsuddin A. Shaikh, CEO of National Resources Ltd (NRL), highlighted the sector’s underutilised potential. He noted that while Pakistan sits on one of the world’s richest mineral belts, it contributes only 0.15pc to global mineral output and 2-3pc to national GDP. Of the 92 known minerals in the country, nearly 90pc remain unexplored.

Shaikh stressed the urgency of exploiting these resources, warning that failure to act quickly could result in foreign companies capitalising on the opportunity. “This is the time for Pakistani companies and investors to lead through joint ventures and partnerships, creating wealth and jobs at home,” he said.

Key projects already underway include Reko Diq, which has the potential to generate $4-5bn annually, Siah Diq ($1-2bn), Thar coal expansion ($200m), and barite, lead, and zinc projects ($100m). Together, these initiatives are expected to add billions of dollars to the economy within the next five years. Shaikh also pointed to further copper and gold exploration in the Chagai region, which could generate an additional $5-10bn annually after 2030.

Investment in Reko Diq and Thar coal could raise mining revenue to $6-8bn by 2030, says NRL chief

He emphasised that responsible mining could bring significant social benefits, including job creation, improved housing, and access to healthcare and education, particularly in impoverished regions. “Mining is not just about extracting minerals; it’s about building communities and eradicating poverty,” he said.

Hassan R. Muhammadi, Founder and Director of Fidelity Insurance Brokers, also spoke at the summit, highlighting the importance of mining and energy sectors in driving economic growth, enhancing energy security, and earning foreign exchange. He assured that the insurance sector is ready to support both local and foreign investors with tailored risk solutions.

Khurram Ali Khan, CEO of Fidelity Insurance Brokers, underscored the critical role of insurance in sustaining large-scale projects. “In volatile environments, insurance provides the safety net that keeps projects moving and investors confident,” he said.

Muhammad Sohail Tabba, Chairman of Lucky Cement, pointed out that mining could offer significant socio-economic benefits, particularly in rural provinces. He suggested that developing these resources, coupled with investments in education and capacity building, could bring prosperity, stability, and peace to underserved regions.

However, experts cautioned that without investment in governance, regulation, and human resource development, the sector’s potential could be undermined. Challenges such as inconsistent policies and climate-related risks need to be carefully managed, with innovation and technology playing a crucial role.

The summit, which brought together policymakers, investors, CEOs, insurers, and international experts, focused on how mining and energy sectors could become central pillars of Pakistan’s economic future. Discussions also centred on the role of specialised insurance and emerging technologies, such as artificial intelligence, in supporting these industries.

Shaikh urged both government and industry to act decisively. “This is Pakistan’s moment,” he concluded. “With the right policies and local investments, mining can become a $10bn-plus industry, driving growth, stability, and national pride.”

Published in Dawn, September 18th, 2025