Caretaker Prime Minister Anwaar-ul-Haq Kakar has indicated that Pakistan expects to finalize a deal with Saudi Arabia by December to sell shares in the Reko Diq project.
The project is one of the world’s largest gold and copper mines located in Balochistan. In his interview with Arab News, PM Kakar expressed optimism about the negotiations, highlighting the government’s enthusiasm for Saudi participation in this significant venture.
Current Stakeholders and Potential Saudi Involvement
The Reko Diq project currently involves several key stakeholders. Canadian company Barrick Gold Corporation holds a 50% share, while a consortium of Pakistani governmental entities owns 25%. Balochistan holds the remaining 25%.
The project, valued at over $7 billion, has the potential to produce substantial amounts of copper and gold annually. Although Barrick Gold Corporation is not selling its stake, it is open to Saudi Arabia purchasing the shares held by the Pakistan government.
In addition to the Reko Diq discussions, PM Kakar emphasized the role of the newly established Special Investment Facilitation Council (SIFC). The SIFC aims to streamline foreign investment processes and address bureaucratic challenges.
With initiatives like the SIFC, Pakistan hopes to attract significant foreign investment, potentially exceeding $60 billion in the next five years. The SIFC is part of a broader strategy to enhance Pakistan’s investment climate and foster economic growth through foreign direct investments and strategic partnerships.