Pakistan Minerals Investment Forum Draws Interest of Global Investors

[Riaz Haq]

Pakistan's mineral resources, estimated to be over $6 trillion, attracted global investor interest at the Pakistan Minerals Investors Forum 2025 (PMIF2025) held recently in Islamabad on April 8th and 9th. It was attended by major international companies and government officials from Australia, Canada, China, Saudi Arabia, Turkiye, the US and other nations. 

Pakistan is known to have large deposits of critical minerals from copper and gold to lithium. Canadian Mining Journal has described the border region of Afghanistan and Pakistan as "Saudi Arabia of lithium".  These deposits are found in various parts of the country, including Balochistan,  Gilgit,  Khyber Pakhtunkhwa, Sindh, and the Exclusive Economic Zone of Pakistan's coastal waters. The Geological Survey of Pakistan also notes the potential of lithium in LCT-type pegmatites and super arid salt lakes. Pakistan's major lithium-bearing areas are found in the Khyber Pakhtunkhwa and Tribal Areas (FATA), contributing about 85% of the country's lithium production. 

Pakistan Minerals Map. Source: ResearchGate

The Trump administration is interested in working with Pakistan to explore the potential for cooperation in meeting the US needs for critical minerals. "Critical minerals are the raw materials necessary for our most advanced technologies," said  Eric Meyer, a senior official for the Department of State's Bureau of South and Central Asian Affairs, who attended the PMIF2025 in Islamabad. He said Pakistan's "vast mineral potential" can benefit the United States as he highlighted the White House's strategic priority to secure diverse and reliable sources of critical minerals. 

Eric Meyer's participation in the PMIF2025 was preceded by a phone call from US Secretary of State Marco Rubio to Pakistani Foreign Minister Ishaq Dar.  After the  call, the US State Department readout said, "The Secretary raised prospects for engagement on critical minerals and expressed interest in expanding commercial opportunities for U.S. companies". 

In January of this year, Gentry Beach, an American billionaire investor and a close Trump ally, visited Pakistan to look for investment opportunities in the mining sector. Upon his return to the United States, Beach praised Pakistan government’s policies as “favorable for business and investment" and expressed keen interest in investing across various sectors. In a viral TikTok video of his speech at Trump's Florida home at Mar a Lago, Gentry said, " Last week, I had the benefit of visiting Pakistan, an amazing country.....unfortunately, the previous administration (Biden administration), burned every possible bridge they could, they even put sanctions on Pakistan, a close US ally... they (Pakistanis) have sacrificed so much for the American people....Pakistan is a country that we (US) need to build a strong bridge to and partnership with". 

Pakistan has one of the world’s largest porphyry copper-gold mineral zones. The Reko Diq mine in southwestern Balochistan province has an estimated 5.9 billion tons of copper ore. At current prices, the value of copper and gold deposits at Reko Diq in Balochistan province is nearly $200 billion. It is expected to generate $70 billion in free cash flow and $90 billion in operating cash flow over 37 years. 

Barrick Gold CEO Mark Bristow has said he’s “super excited” about the company’s Reko Diq copper-gold development in Pakistan. Speaking about the Pakistani mining project at a conference in the US State of Colorado, the South Africa-born Bristow said “This is like the early days in Chile, the Escondida discoveries and so on”, according to Mining.com, a leading industry publication. "It has enormous upside potential". He was referring to Pakistan’s untapped discovery potential. Escondida was the first discovery of copper in Chile which is now the world's largest producer and exporter of copper. Last year, the South American country exported nearly $20 billion worth of copper. 

“Copper has no substitutes,” Bristow continued. “It is as strategic as gold is precious, and we’re bringing new copper projects online just as the supply squeeze hits.” Comparing Reko Diq to Escondida, he said "walking across, there's more than one porphyry, significantly more than one, it's a real endowment for the people of Balochistan and greater Pakistan".  "It (Reko Diq) is world class, a gold mine on its own and a copper mine on its own". He expects a peak of 10,000 jobs during construction and 5,500-6,000 direct jobs to operate the Reko Diq mine afterwards. It will also create a lot of indirect job opportunities in the supply chain. "We are going to demonstrate (in Balochistan) that you can do something transformatory,  both socially and economically". 

The biggest foreign investor in Pakistan's mining sector is Canadian mining giant Barrick Gold with a projected investment of $5 billion. It is followed by the Saudi Manara Minerals with $540 million. World Bank's investment arm IFC has committed $300 million for Reko Diq. Pakistan's state-owned OGDCL has recently announced it is increasing its investment in Reko Diq to $627 million. 

The biggest challenge Pakistan faces is one of security in the remote areas where its mineral resources are located. Pakistani military chief General Asim Munir believes he can deal with it effectively. He made assurances to investors that his forces will ensure security. Another challenge is one of lack of political stability which is a matter of great concern to investors. 

Related Links:

Haq's Musings

South Asia Investor Review

New Infrastructure Brings Socioeconomic Development to Thar Desert

Pakistan Revives Reko Diq Mining Project

Kachhi Canal and N-70 Projects Boost Pakistan's Balochistan

Iftikhar Chaudhry Scared Away Foreign Investors

Musharraf Earned Legitimacy by Good Governance

Vindictive Judges Pursue Musharraf

Rare Earths at Reko Diq?

Riaz Haq's Youtube Channel

PakAlumni Social Network

[Riaz Haq]

Pakistan and Turkey to Develop Offshore Oil, Gas and other Minerals in Pakistan’s waters


Newly discovered offshore oil and gas deposits in Pakistan’s territorial seas could be brought to surface by Pakistan and Turkey.

Source: OilPrice.com
https://oilprice.com/Energy/Crude-Oil/Turkey-Pakistan-To-Explore-Wo...

The oil and gas discovery could yield additional benefits. Modern Diplomacy notes that Pakistan's marine areas are rich in natural resources including minerals such as cobalt, nickel and rare earth elements. The idea is to leverage its "blue water economy".

"The potential here goes beyond electricity, encompassing businesses such as fishing, marine biotechnology, and even ecotourism. A coordinated effort to expand these industries might give Pakistan a variety of revenue streams and employment generation, therefore strengthening its economy," the publication stated.

While Pakistan may not have the technological capabilities for deep-sea mining, there is a growing global interest in this area, with some companies exploring the potential for mining polymetallic nodules that contain valuable metals.

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Newly discovered offshore oil and gas deposits in Pakistan's territorial seas could be brought to surface by Pakistan and Turkey.

The two countries this week signed an agreement at the 2025 Pakistan Minerals Investment Forum in Islamabad to jointly bid on 40 offshore blocks. A bidding round for the granting of exploration licenses for the blocks, located in the Makran and Indus basins, was announced by the Pakistan government in February.

According to News.AZ, Pakistan's Mari Energies Limited, Oil and Gas Development Company Limited and Pakistan Petroleum Limited will jointly participate in the offshore bidding round with Turkish state-owned enterprise Türkiye Petrolleri Anonim Ortakl??? (TPAO).

Modern Diplomacy said the finding, made during a three-year survey, compiled data that suggests it is the fourth biggest oil and gas reservoir in the world. Venezuela, Saudi Arabia and Canada are the three countries with the largest proven oil reserves.



The cache is reportedly so large it could change the economic direction of Pakistan, where one in four people live in poverty.

If Pakistan's offshore reserves are that big, the obvious question is why haven't the oil majors been pestering the Pakistan government to drill them?

In a January 2024 article, Oilprice said Shell announced it was selling its Pakistan business stake to Saudi Aramco in June 2023, and an auction for 18 oil and gas blocks got a muted response from international bidders, at best. No international companies even bid on 15 of the blocks, according to The Nation.

In July [2024], the country's Petroleum Minister, Musadik Malik, told a parliamentary committee that no international companies were interested in offshore oil and gas exploration in Pakistan,and those in the country largely had the exit door in view.

It comes down to security, and risk versus reward with Malik explaining to the committee that the cost of security is a major deal-breaker because "in areas where companies search for oil and gas, they have to spend a significant amount to maintain security for their employees and assets". And security is provided by Pakistan, which has not been up to the task.

In March [2024], five Chinese engineers were killed in a suicide attack in Pakistan's northeast, when a vehicle rigged with explosives rammed into a bus transporting staff from Islamabad to the giant Dasu dam project in the Khyber Pakhtunkhwa province. The project is part of the $62-billion China-Pakistan Economic Corridor (CPEC). This incident sparked a series of temporary shut-downs across other projects, as well.

Earlier that same month, insurgents attacked Chinese assets in Pakistan's southwest, storming the Gwadar Port Authority complex, which is run by China. The attacks were perpetrated by the Balochistan Liberation Army (BLA), separatists fighting for an independent Balochistan, as reported by the Lowy Institute.

[Riaz Haq]

Massive Antimony reserves found in Balochistan; Gold and Copper confirmed in GB | The Express Tribune

https://tribune.com.pk/story/2537108/massive-antimony-reserves-foun...

Pakistan has made significant strides in mineral exploration, with the discovery of substantial antimony reserves in Balochistan and the confirmation of gold, copper, nickel, and cobalt deposits in Gilgit-Baltistan.

According to Express News, the discovery of antimony in Balochistan is part of a major commercial project undertaken by Oil & Gas Development Company Limited (OGDCL) and the Pakistan Mineral Development Corporation (PMDC).

The two companies have formed a 50:50 joint venture, which is expected to be officially announced at the Pakistan Minerals Investment Forum 2025, scheduled for April 8-9.

In Gilgit-Baltistan, significant progress has been made in securing ten mineral blocks, where surveys have confirmed the presence of gold, copper, nickel, and cobalt.

Meanwhile, efforts to explore mineral resources in Chiniot, Punjab, are ongoing, with OGDCL and the Mineral Department engaged in discussions to accelerate the process.

Pakistan is also exploring options to utilize Oman’s advanced facilities for refining antimony. Additionally, steps are being taken to align mining education with global standards to support the advancement of the sector.

To further develop the mineral sector, OGDCL is strengthening its collaboration with the Higher Education Commission (HEC) and universities. Additionally, preparations are underway for remote sensing and geological surveys to conduct a comprehensive analysis of Balochistan’s newly discovered antimony reserves.

Experts believe these discoveries could play a crucial role in boosting Pakistan’s economy and enhancing the country’s mining industry.

[Riaz Haq]

U.S. Eyes Pakistan’s Mineral Wealth – Foreign Policy

By Michael Kugelman

https://foreignpolicy.com/2025/04/16/pakistan-mineral-reserves-inve...

Pakistan's mineral reserves, which include massive copper and gold deposits as well as critical minerals such as lithium, are estimated to stretch across more than 230,000 square miles—more than twice the size of the United Kingdom.

[Riaz Haq]

As Pakistan bets on a mining boom, can it equal Indonesia’s nickel success? | South China Morning Post


https://www.scmp.com/week-asia/economics/article/3307992/pakistan-b...

Pakistan is poised to join the ranks of the world’s top producers of critical metals by the end of the decade, thanks to an April 8 deal between the government and Canadian mining giant Barrick Gold. Together, they aim to unlock the vast potential of Reko Diq, home to the world’s largest known untapped deposits of copper and gold with near-term production potential.

Chinese firms are already on the ground, Saudi Arabia is on the verge of investing, and the United States is clamouring for access to Pakistan’s mineral wealth. Analysts say this convergence of global interest gives Pakistan a rare chance to break free of its decades-long cycle of fleeting economic booms followed by prolonged stagnation.
“If Pakistan plays its cards right, it can leverage US-China competition to its advantage,” said Michael Kugelman, a Washington-based South Asia analyst. He argued that the country could secure investment deals from both powers, maximising returns from the expected influx of capital.

But the opportunity comes with risks. Pakistan faces mounting pressure to favour either China or the US in lucrative mining deals, Kugelman warned. This, in turn, could deepen Islamabad’s entanglement in global rivalries, “depriving it of the agency it would want to navigate geopolitical competition to its advantage”.


Prime Minister Shehbaz Sharif painted a more optimistic picture, however. Following the Barrick agreement, he said Pakistan could finally “say goodbye” to decades of reliance on the International Monetary Fund and other financial institutions – provided the country could fully capitalise on its mineral resources.

“With the right reforms, planning and integrated policies, that’s possible,” said Farwa Aamer, director of South Asia initiatives at the Asia Society Policy Institute, a New York-based think tank. She called the current moment “a unique opportunity” for Pakistan, not just to revitalise its beleaguered economy “but also to reclaim some of its relevance on the global stage” – a relevance that has waned since the US withdrawal from neighbouring Afghanistan in 2021.

The Indonesia model
Finance Minister Muhammad Aurangzeb, in a recent address to business leaders in Lahore, likened Pakistan’s copper reserves – part of the Tethyan metallogenic belt stretching from Europe to Southeast Asia – to Indonesia’s transformative nickel industry. Last year, Indonesia’s nickel exports generated US$22 billion.

“Copper is to us what nickel has been to Indonesia,” Aurangzeb said on April 12.

The potential is enormous. A feasibility study estimated that Reko Diq held more than US$60 billion worth of copper and gold. The project is expected to yield 13.1 million tonnes of copper and 17.9 million ounces of gold over its 37-year lifespan, with a quarter of the venture owned by the government of Balochistan, where the deposits are located.

Barrick, which holds a 50 per cent stake, projects US$74 billion in free cash flow over the mine’s lifetime. The first phase, requiring US$3 billion in financing from a multinational consortium led by the International Finance Corporation, is set to begin construction next year, after which exports are expected to commence in 2028. By 2029, operators plan to process 45 million tonnes of ore annually, with capacity doubling by 2034 following an additional US$3.5 billion investment.

[Riaz Haq]

Pakistan Isn’t That Risky Anymore. Its Economy Is a Mini-Miracle. - Barron's

https://www.barrons.com/articles/pakistan-economy-turnaround-257d44e3

For markets like Pakistan, it can take a threat of war to capture the world’s attention. Investors may regret not having looked sooner.

The country of 255 million has pulled off a macroeconomic miracle of sorts over the past two years. Inflation has nosedived from near 40% annually to near zero. Eurobonds maturing in 2031 have soared from 40 cents on the dollar to 80 cents. The Karachi Stock Exchange index has tripled. Prime Minister Shehbaz Sharif’s government reached a $7 billion stabilization agreement with the International Monetary Fund last September. More than $2 billion has already been disbursed.

“Pakistan is a good story,” says Genna Lozovsky, chief investment officer at Sandglass Capital Management, which buys distressed emerging markets debt. “So good it’s not risky enough for us anymore.”

The latest armed conflict with India, in a tenuous state of truce at press time, won’t likely knock Pakistan’s recovery off course. The country’s own shaky underpinnings might. The latest IMF bailout is its 24 th since joining the Fund in 1950. “Pakistan has been known for boom-and-bust cycles throughout its history,” notes Khaled Sellami, an emerging markets sovereign debt manager at Barings.

He sees some signs that this time could be different. Pakistan’s current bout of stabilization started with a near-default experience in 2022-23. Catastrophic flooding and a spike in oil prices following Russia’s invasion of Ukraine coincided with domestic political turmoil, as Sharif engineered a no-confidence motion against his predecessor Imran Khan, who was subsequently locked up on corruption charges.

“Everyone thought Pakistan would default along with Sri Lanka in 2023,” says Alison Graham, chief investment officer at frontier markets specialist Voltan Capital Management.

Instead, the State Bank of Pakistan hiked interest rates from 10% to 22%, pitching the country into recession but wringing out inflation. Sharif won a (disputed) election in February 2024, and improved Khan’s rocky relations with Islamabad’s meddlesome military, hopefully securing political stability until the next required poll in 2029.

Pakistan’s sovereign creditors—China, Saudi Arabia and the United Arab Emirates—rolled over their loans without extending new credit. Gross domestic product growth bounced back to 2.5% last year, and the country’s books are uncustomarily balanced. “The current account balance is positive, and they have a primary fiscal surplus [excluding interest payments],” Sellami observes. “That’s something we haven’t seen in many years.”

Stabilization is one thing, though, development another. Pakistan’s IMF program, like all IMF programs, calls for reforms that will be unpopular with powerful interests or the population at large. Islamabad is supposed to increase its tax take by half and slash electricity subsidies, among other uphill battles.

India’s leap forward in advanced industries like IT and pharmaceuticals points up its neighbor’s relative stagnation. Cotton, apparel and cereals account for two-thirds of Pakistan’s exports. It is belatedly moving into IT outsourcing, foreign sales rising from near nothing to $3 billion annually over the past few years, Sellami says. India is in the $200 billion range.

Without a value-added ladder to climb, fate and free-spending election cycles may continue driving Pakistan’s boom and bust, Graham thinks. “Pakistan remains extremely fragile to external shocks,” she says. “When there is a rally, you need to be in early.”

Sellami is more optimistic, remaining “constructive” on Pakistani Eurobonds.

[Riaz Haq]

Pakistan stocks soar to record high amid budget buzz, IMF tranche

https://www.arabnews.com/node/2600857/business-economy


ISLAMABAD: Bulls took charge of the local bourse today, Thursday, as the Pakistan Stock Exchange surged to new heights, fueled by optimism surrounding upcoming budget announcements and the release of a $1 billion tranche by the IMF, analysts said.

Pakistan on Wednesday received the second tranche of special drawing rights worth 760 million ($1,023 million) from the IMF under an extended fund facility (EFF) program. The IMF last week approved a fresh $1.4 billion loan to Pakistan under its climate resilience fund and also approved the first review of its $7 billion program, freeing about $1 billion in cash.

Pakistan’s federal budget for the next fiscal year, starting July, will be finalized within the next four weeks, with scheduled budget talks with the IMF to take place from May 14-23, according to the finance ministry.

The benchmark index witnessed a remarkable intraday rally, climbing as much as 1,453 points before closing with an impressive gain of 1,425 points at 119,961, marking a 1.20% increase and setting a new all-time high.

“Refinery stocks ended the day in the green amid sector-specific developments,” brokerage house Topline Securities said in a daily market review.

“The government is working to finalize a binding legal framework between oil marketing companies and refineries, with key clauses like take-or-pay aimed at resolving ongoing disputes over product upliftment and HSD imports — a move expected to bring greater clarity and stability to the supply chain.”

Market participation also picked up, with total traded volume reaching 695 million shares and a traded value of Rs39.01 billion. Pakistan Refinery Limited topped the volume chart with 50.8 million shares traded.

Samiullah Tariq, head of research and development at Pak Kuwait Investment Company Ltd, said the market was positive due to recent inflows from the IMF, noting the “expectations of further inflows on the back of the IMF Board approval.”

Thursday’s bullish momentum also comes as the market continues to recover from upheaval brought by the most intense military row between Pakistan and India in years last week. The two nuclear-armed nations agreed to a US-brokered ceasefire on Saturday.