Pakistan's ECC Pushes for Reko Diq Revival with New Financing and Rail Upgrades by 2026
Pakistan's Economic Coordination Committee (ECC) is taking decisive steps to unlock the potential of the long-delayed Reko Diq copper-gold mining project. In a recent meeting, the committee greenlit crucial rail agreements tied to the initiative and called for a detailed roadmap to get things moving.
The ECC, a key decision-making body under the Cabinet, has instructed the Ministry of Railways and the Finance Division to deliver a comprehensive execution and refinancing plan by March 30, 2026. This comes hot on the heels of approvals for rail pacts that aim to connect the remote Balochistan site—home to one of the world's largest undeveloped copper-gold deposits—to major transport networks. The Ministry of Railways has been tasked with sharing its Rail Development Agreement with the Finance Division to ensure alignment on funding and timelines.
A standout element of the approvals is a $390 million bridge financing arrangement. This short-term funding will upgrade the ML-III railway line, specifically to facilitate the transport of copper and gold from Reko Diq. It's a practical move that addresses one of the project's biggest hurdles: logistics in the challenging terrain of southwest Pakistan.
Why Reko Diq Matters
The Reko Diq project has been mired in disputes and delays for over a decade, involving international players like Barrick Gold and the Balochistan government. Valued at billions, it promises to boost Pakistan's economy through mining revenues, job creation, and exports. However, past legal battles and infrastructure gaps have stalled progress. The ECC's directives signal a renewed government push to resolve these issues and attract investment.
By prioritizing rail enhancements, the plan not only supports Reko Diq but could modernize Pakistan's broader transport infrastructure. The $390 million infusion, likely from development partners or internal sources, underscores the urgency of making this happen soon.
Looking Ahead
As the deadline approaches, stakeholders will be watching closely to see if this momentum translates into on-ground action. A successful revival could mark a turning point for Pakistan's mining sector, turning untapped resources into real economic gains. For the full story, check out the original reporting from Profit Pakistan Today.