Pakistan: US To Extract Gold, Copper From Balochistan As Donald Trump Strikes Deal With Asim Munir, Shehbaz Sharif

Islamabad: Pakistan has struck a $1.3 billion deal with the US President Donald Trump, allowing the United States to extract gold and copper in the Balochistan province. This effectively gives the US control over the valuable resources in Balochistan, a sensitive region of Pakistan.

What is the Reko Diq project?

Balochistan has already seen protests against China's presence and its ongoing projects. The entry of the US into this region could further exacerbate the situation. The project for which Pakistan has made this deal with the US is called the Reko Diq project, located near the Pakistan-Iran border.

Under this project, worth a total of $7 billion, the US could begin gold extraction by the end of 2028. The project is being developed by the Canadian company Barrick Gold, with Pakistani authorities also participating as partners. The US funding for this project will be provided through EXIM, the Export-Import Bank of the United States. Through this, the US is moving towards gaining control of the valuable resources buried in Balochistan's soil, although it claims to be strengthening economic ties with Pakistan.

What has Barrick Gold said?

Barrick Gold states that it holds a 50 percent stake in the project. Three Pakistani government companies hold another 25 percent, and the Balochistan government holds the remaining 25 percent. It's worth noting that Baloch separatist organizations in Balochistan are highly resentful and have been attacking Pakistani establishments for many years. They have also targeted Chinese citizens on several occasions. Now, with the US entering the region, security concerns will also arise for them. The mining project also includes plans for the expansion of railway lines to facilitate the transportation of copper from Balochistan to Karachi.

What is the importance of Reko Diq project?

The Reko Diq project is extremely important for Pakistan. It expects to generate significant revenue from it. Therefore, it has entrusted the work to the Canadian company to accelerate development. However, this will be a cause for concern for the indigenous people of Balochistan. They already complain that Punjabis dominate key institutions in the country, including the administration, politics, and the military. Furthermore, they are worried that Balochistan will not benefit from the exploitation of its resources. It remains to be seen how they will react to the presence of China, Pakistan, and the United States in this situation.