ISLAMABAD, Dec 11: The US Export-Import (EXIM) Bank has approved $1.25 billion in financing for Pakistan’s major minerals project, Reko Diq, marking what is being described as a significant boost for the country’s economy.
In a statement posted Wednesday on X, the US Embassy in Islamabad said the new financial support would help strengthen Pakistan–US cooperation and promote economic development in Balochistan, where Reko Diq’s vast copper and gold reserves are located.
Reko Diq is considered one of the world’s largest undeveloped copper-gold deposits and is operated under a 50-50 joint venture between Canada’s Barrick Gold and Pakistani partners. The project aims to begin production in 2028.
Up to $2 Billion in US Machinery and Services
US Chargé d’Affaires Nathalie Baker, in a video message, said that in the coming years, EXIM Bank’s financing would facilitate the supply of up to $2 billion worth of US-made machinery and services for the Reko Diq mining operations.
According to Baker, the project is expected to create 6,000 jobs in the United States and 7,500 jobs in Balochistan, making it a model initiative that benefits American exporters as well as Pakistani communities and partners.
She added that the administration of President Donald Trump has made such economic agreements a key pillar of its diplomatic strategy.
More US–Pakistan Agreements Expected
Baker expressed hope that additional agreements between US and Pakistani companies in the critical minerals and mining sectors would follow.
Last month, EXIM Bank Chairman Reta Jo Lewis / John Junovich (as reported by the Financial Times) said the bank planned to invest $100 billion in the coming years to strengthen supply chains for critical minerals, nuclear energy, and LNG. Initial projects include those in Egypt, Pakistan, and Europe.