Reko Diq Project’s Future Uncertain Amid Security Concerns

The future of the Reko Diq copper-gold project in Balochistan is under scrutiny as Barrick Gold Corporation reassesses its budget and timeline due to ongoing security concerns, Reuters reports.

To date, Barrick has invested $849 million in the project, including $721 million in 2025, against a Phase 1 capital budget of approximately $6 billion. The company had initially planned to secure a limited recourse project financing facility in the second half of 2025 to advance development.

However, recent security incidents in the region have cast doubt over the project’s timeline, raising questions about potential delays and the company’s ability to commit fully to the planned financing. JPMorgan noted that security-related reviews could delay the financing package, although the earmarked capital spending indicates that Barrick still remains invested in the project.

The Reko Diq project, one of the world’s largest undeveloped copper and gold deposits, is considered a strategic asset for both Pakistan and Barrick Gold. Analysts suggest that overcoming local security challenges will be crucial for the project to progress, with delays potentially impacting expected returns and broader investment confidence in the region.