Saudi Arabia is in discussions to acquire a share in the massive $7 billion copper mine that Canadian company Barrick Gold is building in Pakistan’s west.
Mohammed AlQahtani, CEO at Saudi Arabia Holding Company in a Linkedin post said, ”As part of the economic cooperation between the Kingdom of Saudi Arabia and Pakistan, Saudi Arabia is engaged in discussions to acquire a stake in a giant copper mine in Pakistan for $7 billion.’
The construction of the Diamir-Bhasha dam and mining operations in the “Reko Diq” project in the Chagai district of Balochistan province are two projects that Pakistan’s Special Investment Facilitation Board recently agreed to offer investments in principle to the Gulf Cooperation Council countries.
The list of approved projects, which will be presented to Saudi Arabia, the United Arab Emirates, Qatar, and Bahrain, exceeds the total amount of investments needed for them to reach $ 28 billion.
One of these projects is an oil refinery that will be presented to Saudi energy giant “Aramco.”
These developments come as the Kingdom of Saudi Arabia seeks to diversify its sources of income and bolster its economy. Pakistan stands as a key market for Saudi Arabia, which exports oil and gas to the country. Additionally, Saudi Arabia invests in infrastructure projects in Pakistan, such as road and rail construction.
Earlier on Tuesday, Barrick CEO Mark Bristow in an interview with Reuters said the company is open to partnering with Saudi Arabia’s sovereign wealth fund on the Reko Diq gold and copper project in Pakistan.
Bristow stated that although Barrick won’t be decreasing its stake in the project, it “will not mind” if the Public Investment Fund (PIF) of Saudi Arabia wishes to purchase the Pakistani government’s stake.
The governments of Pakistan and the Balochistan province jointly own the remaining 50% of the Reko Diq mine, with Barrick Gold holding a 50% share. The mine is one of the greatest untapped copper-gold regions, according to Barrick.
In 2022, the Kingdom of Saudi Arabia unveiled plans to build a $14 billion petroleum refinery in Pakistan. The refinery is set to commence production in 2025, generating approximately 250,000 barrels of #oil per day, helping to meet Pakistan’s growing demand for oil.
Pakistan, Barrick Gold agree to revive Balochistan’s Reko Diq Project
