By SKM
September 18, 2025
ISLAMABAD – In a significant development for Pakistan’s mining and infrastructure sectors, the Economic Coordination Committee (ECC) of the Cabinet on Wednesday approved key agreements and financial commitments that will enable the long-awaited $7.48 billion Reko Diq copper-gold project to move forward.
The meeting, chaired by Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb, approved definitive agreements related to the financing of the project. The Petroleum Division had presented a summary seeking approval of final terms for the agreements, which were cleared by the ECC with the condition that any material deviations identified by the project’s legal and financial consultants must be resubmitted for approval.
In a parallel move to support the logistics component of the project, the ECC also gave the green light to a rail development agreement and a bridge financing arrangement between the Ministry of Railways and the Reko Diq Mining Company. Under the agreement, bridge financing of $390 million will be provided to develop a 1,350-kilometre railway track from Reko Diq to the nearest port city. This track will serve as a crucial conduit for transporting large volumes of export material from the mineral-rich region of Balochistan.
The ECC instructed the Ministry of Railways to share the signed agreements with the Finance Division for appraisal and mandated both ministries to provide an execution and implementation update by March next year.
Speaking during the meeting, Finance Minister Aurangzeb underscored the strategic importance of the Reko Diq Project, calling it a “landmark initiative” with the potential to transform the economic landscape of Balochistan and deliver far-reaching benefits for the country. “The Reko Diq Project will not only unlock one of the world’s largest undeveloped copper-gold deposits but also catalyze job creation, infrastructure development, and long-term socio-economic uplift across the region,” he said.
The ECC meeting was attended by key cabinet members including Federal Minister for Petroleum Ali Pervaiz Malik, Federal Minister for National Food Security Rana Tanveer Hussain, Federal Minister for Board of Investment Qaiser Ahmed Sheikh, along with senior federal secretaries and officials from relevant ministries and regulatory bodies.
The approvals mark a major milestone in the revival of the Reko Diq project, which has remained stalled for years due to legal and financial hurdles. The latest developments signal the government’s renewed commitment to fast-tracking large-scale strategic projects aimed at unlocking economic growth and regional development. Ends
