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Pakistan’s Reko Diq mine to generate $74 billion in free cash flow over 37 years — Barrick CEO

Pakistan’s Reko Diq mine to generate $74 billion in free cash flow over 37 years — Barrick CEO
Mark Bristow, CEO of Barrick Gold Co., speaks during the Investing in African Mining Indaba 2023 conference in Cape Town, South Africa on February 8, 2023. (REUTERS/File)
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Updated 21 January 2025

Pakistan’s Reko Diq mine to generate $74 billion in free cash flow over 37 years — Barrick CEO

Pakistan’s Reko Diq mine to generate $74 billion in free cash flow over 37 years — Barrick CEO
  • Bristow says project’s timeline on track, with fencing, accommodation, and surveys already completed
  • Saudi mining firm Manara Minerals could invest in Reko Diq in next two quarters, Pakistani petroleum minister has said

KARACHI: The Reko Diq copper and gold project in Pakistan is expected to generate approximately $74 billion in free cash flow over the next 37 years, based on consensus long-term prices, the CEO of joint owner Barrick Gold said in a media interview.
Barrick Gold owns a 50 percent stake in the Reko Diq mine and the governments of Pakistan and the province of Balochistan own the other 50 percent. Barrick considers the mine one of the world’s largest underdeveloped copper-gold areas, and its development is expected to have a significant impact on Pakistan’s struggling economy.
The project, which was delayed due to a long running dispute that ended in 2022, is expected to start production by the end of 2028. It will produce 200,000 tons of copper per year in its first phase, with an estimated cost of $5.5 billion. The first phase is expected to be completed by 2029, Barrick’s CEO Mark Bristow told Pakistani digital media outlet Dawn News English.
A second phase, estimated to cost $3.5 billion, will double production, he added.
The mine is estimated to have reserves lasting 37 years but Bristow said that through upgrades and expansions it could potentially be mined for much longer.
A free cash flow of $74 billion could generate significant dividends, royalties and taxes for Pakistan, which currently has only around $11 billion in foreign reserves.
Barrick is also in talks with railway authorities and infrastructure providers to revamp the coal terminal in Port Qasim, on the outskirts of Pakistan’s port city Karachi, to develop infrastructure to transport copper in the country and for export.
Bristow said the project’s timeline is on track, with fencing, accommodation, and surveys already completed.
ֱn mining company Manara Minerals could invest in Pakistan’s Reko Diq mine in the next two quarters, Pakistani Petroleum Minister Musadik Malik said last week.
Executives from Manara visited Pakistan in May last year for talks about buying a stake in the project. Pakistan is also in talks with other Gulf countries about mining opportunities, Malik said.


Islamabad accuses Kabul of ‘instigating Pashtunism’ in Pakistan amid heightened tensions

Islamabad accuses Kabul of ‘instigating Pashtunism’ in Pakistan amid heightened tensions
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Islamabad accuses Kabul of ‘instigating Pashtunism’ in Pakistan amid heightened tensions

Islamabad accuses Kabul of ‘instigating Pashtunism’ in Pakistan amid heightened tensions
  • Tensions have been high between Pakistan and Afghanistan in recent years, with Islamabad accusing Kabul of harboring militant groups
  • Clashes erupted between the neighbors on Oct. 11 after Pakistan conducted airstrikes in Afghanistan against what it called militant targets

ISLAMABAD: Islamabad on Friday accused the Afghan Taliban government of “instigating Pashtunism” in Pakistan, amid heightened tensions between the neighbors over a surge in militancy in Pakistan.

Tensions have been high between Pakistan and Afghanistan in recent years, with Islamabad accusing Kabul of harboring militant groups like the Tehreek-e-Taliban Pakistan (TTP) and the Balochistan Liberation Army (BLA). Kabul has consistently denied this.

Clashes erupted between the neighbors on Oct. 11 after Pakistan conducted airstrikes in Afghanistan against what it said were TTP-linked targets. The two sides reached a ceasefire in Doha on Oct. 19, but two subsequent rounds of talks in Istanbul failed to firm up the truce.

Speaking at a weekly press briefing in Islamabad, Pakistani foreign office spokesman Tahir Andrabi said some elements within the Afghan Taliban have made an attempt to “instigate” Pashtun sentiment in Pakistan. He did not offer any evidence, while Kabul did not immediately respond to the comment.

“It is a historical fact that Pashtuns in Pakistan are a vibrant part of our society and the state, holding leadership position across the spectrum of public life and civil society. More number of Pashtuns live in Pakistan than in Afghanistan,” Andrabi told reporters on Friday.

“Therefore, instead of instigating Pashtunism in Pakistan, it would be wise for Taliban regime to look into its own credentials of inclusivity across all segments of this population in its governance structure.”

Pashtunism, often framed in political discourse as Pashtun nationalism, refers to the idea of uniting Pashtun-speaking communities under a shared ethnic, cultural or political identity. While Pashtuns constitute one of the largest ethnic groups in both Pakistan and Afghanistan, they have been divided by the 2,600-kilometer border, known as Durand Line, named after British diplomat Sir Mortimer Durand who drew the boundary in the late 19th century with the agreement of Afghan authorities of the day.

The Taliban government, like many previous Afghan administrations, does not recognize the border known as the Durand Line and describes it as “imaginary.” Pakistani officials maintain that Kabul’s rhetoric on Pashtun unity have occasionally been deployed to stir sentiment within Pakistan, particularly during periods of strained bilateral relations.

The Pakistani foreign office spokesman once again blamed the rise in militancy in Pakistan on Afghanistan-based militant groups.

“With evidence-based and well-documented sharp rise in terrorism emanating from Afghanistan into Pakistan after August 2021, the Taliban regime can neither deny the reality nor absolve itself of this responsibility,” Andrabi said.

He, however, reiterated Pakistan’s commitment to resolution of bilateral differences through dialogue: “Pakistan’s core concerns, that is terrorism emanating from Afghanistan, need to be addressed first and foremost.”