World Bank investment arm considering providing $300M to Pakistan’s key mining project

The International Finance Corporation, a member of the World Bank Group, has confirmed that it is considering providing up to $300 million for the Reko Diq copper-gold mining project in Pakistan's Balochistan province.

In an emailed response to Nukta's questions, the IFC said all investments are subject to approval by its board and management.

"This potential investment builds on our commitment to catalyze private sector growth and job creation in Pakistan," it added.

IFC has tripled investments over the last three years and plans to invest $2 billion a year in Pakistan over the next decade.

In this context, IFC plans to share expertise to harness the significant economic potential of the minerals sector in the country by helping attract private capital and de-risking investments.

The Reko Diq project, which was restructured in 2022, is a 50-50 partnership between the government of Pakistan, the Balochistan government, and Barrick Gold.

The mine, considered one of the largest untapped copper and gold reserves in the world, is expected to have a substantial economic impact on Pakistan.

The project’s first production is expected to commence in 2028, with an annual target of 240,000 tons of copper and 300,000 ounces of gold. Phase two aims to increase production to 400,000 tons of copper and 500,000 ounces of gold per year.

On the sidelines of the two-day Pakistan Minerals Investment Forum in Islamabad held on April 8-9, Barrick Gold CEO Mark Bristow said that the Reko Diq project will become a pivotal asset for Pakistan, marking the country’s emergence as a global player in the mining sector.

Barrick Gold Corp. has provisionally approved plans to develop a vast copper-and-gold project in Pakistan and expects to sign a $3 billion funding package for the mine in the third quarter.