Pakistan plans to open its vast rare earth and mineral reserves, worth up to $5 trillion, to global investment from countries including the US, China, and Saudi Arabia.
Pakistan is set to open its vast rare earth elements and mineral reserves, estimated at $3 to $5 trillion, to get investments from countries including the United States, China, Saudi Arabia, the United Kingdom, Turkey and UAE, according to a News18 report.
According to the officials quoted by News18, the country is making preparations to transfer all minerals and rare earth sites from provincial control to a single federal authority.
However, this transition will require a constitutional amendment to override the current framework under the 18th Amendment, which gives provinces control over natural resources and is designed to simplify bidding, regulatory approvals, and security clearances.
US, China eye Pakistan’s rare earth minerals
US officials are eyeing Pakistan’s untapped reserves of rare earth minerals critical to electronics and defence technology, according to a Washington Post report. US officials also attended the Pakistan Minerals Investment Forum in April.
The US is expected to gain access to mining projects in Northern Balochistan and Southern Khyber Pakhtunkhwa.
As per the News18 report, in the first phase of the allocation, China will be granted access to exploration rights in the Gilgit-Baltistan region.
A 2,000-mile transport project linking northern Pakistan with a deep-sea port in the south is being developed by China.
Meanwhile, Saudi Arabia is negotiating for the Reko Diq copper-gold mines, one of the largest untapped reserves of its kind in the world.
Pakistan government is planning to finalise these agreements within the next six to eight months.
Pakistani officials have confirmed that all top bidders will be accommodated, with efforts underway to establish an efficient one-window operation for investors, News18 reported.
Pakistan possesses a wide range of mineral resources, including coal, copper, gold, iron ore, chromite, and precious stones, along with the world’s second-largest salt reserves and the fifth-largest copper and gold deposits. These resources are spread across all provinces, from Balochistan’s rugged terrain to the mountainous north and the plains of Punjab and Sindh.
US President Donald Trump has expressed renewed interest in Pakistan’s rare earth and energy sectors, stating that the United States has finalized a partnership to jointly develop the country’s substantial oil reserves.
“We have just concluded a Deal with the Country of Pakistan, whereby Pakistan and the United States will work together on developing their massive Oil Reserves,” Trump wrote on Tuesday.
US-based South Asia analyst Michael Kugelman had pointed out earlier that Pakistan’s critical minerals are mostly found in highly insecure areas, suggesting that American interests may not linger for too long if the country is unable to deliver on its promises.
Reference Link:- https://www.moneycontrol.com/world/pakistan-plans-to-invite-us-china-to-tap-massive-5-trillion-mineral-reserves-report-article-13449542.html