ISLAMABAD: An international mining company developing the world’s largest site of copper and gold deposits in Pakistan’s southwest announced on Tuesday it had paid $3 million to the government in Balochistan after agreeing to a timetable to disburse the committed funds to the province last month.
Barrick Gold Corporation said in a statement its new agreement to work on Reko Diq ensured the benefits from the project started accruing to the people of Balochistan well before the mine went into production through advance royalties and social development funds.
Pakistan’s mineral-rich Balochistan is the country’s largest but least developed province, and home to both religious militants and separatist Baloch groups who have engaged in insurgency against the government for decades, demanding a greater share of the region’s resources.
Last month, political parties in Balochistan held protests while demanding a greater share for the province in the project.
“Reko Diq Pakistan Country Manager Ali E. Rind handed over the cheque for $3 million to Secretary, Mines and Minerals Development Department, Mr. Saidal Khan Luni,” the company said in its statement.
“During peak construction, the project is expected to employ approximately 7,500 people and once in production it will create around 4,000 long-term jobs,” it added. “Barrick’s policy of prioritizing local employment and suppliers will have a positive impact on the local economy.”
The company also maintained it was working to set up community development committees to identify priority projects focused on food security, environmental management and access to education, health care and potable water.
It informed that it planned to finish the Reko Diq feasibility study update by the end of next year, with 2028 targeted for first production.
The Barrick Gold statement said the company wanted to carry out the construction activities in two phases, beginning with a plant that would be able to process approximately 40 million tons of ore per annum which could be doubled in five years following first production from phase one.
“With its unique combination of large scale, low strip and good grade, Reko Diq will be a multi-generational mine with a life of at least 40 years,” it added.
