Pakistan’s Reko Diq Copper-Gold Mine Secures $410M Funding from ADB

$6.6B Balochistan project aims to attract global investors, with Barrick Gold at the helm

Islamabad, August 22, 2025 — The Asian Development Bank (ADB) has approved a $410 million financing package for Pakistan’s massive Reko Diq copper and gold mine project, one of the largest untapped mineral reserves in the world. The venture, led by Barrick Gold Corporation, is expected to transform Pakistan’s mining sector and open doors for greater foreign investment.

Breakdown of the Financing

According to sources, the package includes:

• $300 million in loans to Barrick Gold for mine development.

• $110 million in financial guarantees for the Government of Pakistan.

The funding will accelerate progress on the $6.6 billion Reko Diq project in Balochistan, jointly owned 50% by Barrick Gold and 50% by Pakistan’s federal and provincial governments.

Strategic Importance for Pakistan

Islamabad is optimistic that Reko Diq will act as a catalyst for global investment in its underexplored mineral sector, including rare earth elements. The government has already signaled potential concessions for US companies, building on earlier interest shown during the Trump administration.

Expected Returns and Production Timeline

The Reko Diq mine is projected to:

• Begin commercial production of copper and gold by 2028.

• Generate an estimated $70 billion in free cash flow over its operational lifespan.

• Produce 200,000 metric tons of copper annually in its first phase, later expanding to 400,000 tons per year.

Barrick has also indicated that the mine’s 37-year life could be extended through future upgrades and exploration.

Additional Financing Plans

The Reko Diq project aims to raise over $2 billion in total funding. It has already secured $700 million from the International Finance Corporation (IFC), the World Bank’s private-sector investment arm.

Project director Tim Cribb revealed earlier this year that developers are in talks with additional financiers, including:

• The US Export-Import Bank

• Export Development Canada

• Japan Bank for International Cooperation (JBIC)

Formal agreements are expected within this quarter.

Overcoming Legal Disputes

The Reko Diq project was stalled for years due to a legal battle, which was resolved in 2022. With disputes settled and financing secured, the project is now positioned as a cornerstone of Pakistan’s mining industry and a potential magnet for foreign direct investment in Balochistan.