News Desk:
Reko diq agreement was finalized on December 15th paving the way for massive foreign investment in Balochistan, Pakistan’s resource-rich but least developed province. “This is the biggest foreign investment of 8 billion US dollars in Pakistan”, an official handout issued by the Balochistan government said on Thursday night.
After signing the agreement, the fine of 6.5 billion dollars imposed on Pakistan by the international court has also become ineffective. The international arbitrary court for settlement of financial disputes fined Pakistan of 6.5 billion US dollars.
The government has signed an agreement with the Barrick Gold Corporation (BGC). The official handout had not mentioned the location of the agreement. However, the handout has mentioned a dateline. Work on the Reko Diq would commence today (Friday).
Representatives from the federal and provincial governments signed the agreement with the BGC, the official handout concluded.
Chief Secretary Balochistan, Abdul Aziz Uqaili took to the social media network Twitter and announced that the project would commence today December 16, 2022.
BGC statement after the agreement
One of the largest undeveloped copper-gold projects in the world, Reko Diq is owned 50% by Barrick, 25% by three federal state-owned enterprises, 15% by the Province of Balochistan on a fully funded basis, and 10% by the Province of Balochistan on a free carried basis.
Barrick president and chief executive Mark Bristow said the completion of the legal processes was a key step in progressing the development of Reko Diq into a world-class, long-life mine which would substantially expand the company’s strategically significant copper portfolio and benefit its Pakistani stakeholders for generations to come.
“We are currently updating the project’s 2010 feasibility and 2011 feasibility expansion studies. This should be completed by 2024, with 2028 targeted for the first production,” Bristow said.
However, Balochistan National Party (Mengal) on Thursday claimed that the province’s share in the project would be increased to 35 percent from 25%. Similarly, National Party (NP) Chief Dr. Malik Baloch has also opposed the agreement and termed it an attempt to usurp Baloch resources.
The role of Akhtar Mengal is similar to that of Asif Zardari who permitted US to continue Drone Strikes and at the same time was condemning them for consumption of local apatite .