Barrick Mining seeks $3.5bn from US, other lenders for Reko Diq project

Barrick Mining is pursuing up to $3.5 billion in financing from the United States and other global lenders to develop a massive copper and gold mine in Pakistan, after long-anticipated funding from Saudi Arabia failed to come through.

Chief Executive Mark Bristow told the Financial Times that the company is working on a “G7-country financing package” to back the Reko Diq project in Balochistan province. The plan involves financial support from institutions such as the World Bank’s International Finance Corporation, the US Export-Import Bank, the US International Development Finance Corporation, the Asian Development Bank, as well as lenders from Germany, Canada, and Japan.

“There is a lot of interest to support Pakistan,” Bristow said, noting that the $9 billion undertaking had “focused a spotlight” on the region.

Bristow’s comments came on Monday as Barrick — formerly known as Barrick Gold — reported net earnings of $811 million in the second quarter of 2025, up 33% from the same period last year, driven by record-high gold prices.

Project Financing and Structure

The first phase of the Reko Diq copper and gold mine — 50% owned by Barrick, with Pakistan’s federal and provincial governments holding the other half — is expected to cost around $6.6 billion.

Bristow explained that both Barrick and Pakistan will each contribute between $1.5 billion and $1.8 billion, while the remaining $3 billion to $3.5 billion will be secured from international lenders.

“It’s a perfect situation where Pakistan is investing alongside us, 50-50,” Bristow stated. “We bring the skills and we’re the operators, and then we’re gearing it with international limited recourse financing.”

Earlier, Barrick and Pakistan had engaged in talks with Saudi Arabia’s Manara Minerals, exploring a potential deal for the Saudi state mining fund to acquire up to 20% of the project. However, those discussions ultimately ended without an agreement.

Geopolitical and Strategic Importance

The development of Reko Diq — slated to begin production in 2028 — comes amid rising geopolitical competition for critical minerals essential to energy infrastructure and defence manufacturing.

Former US President Donald Trump and several Western governments have prioritised securing access to such minerals. Bristow noted that any US government financing for Reko Diq would likely give it access to the mine’s copper concentrate, though it would still need to be processed into refined metal.

“The challenge for the US is smelting to capacity — it’s all spoken for,” he said, adding that more domestic smelting facilities would be required for the US to truly cut reliance on Chinese metal imports.

Saudi Interest and Gold Tariff Concerns

In a separate interview with Reuters, Bristow clarified that Barrick Mining is not acting as a middleman between Saudi Arabia and Pakistan regarding Reko Diq. He confirmed that Saudi Arabia’s Public Investment Fund (PIF) had been in talks directly with the Pakistani government to invest in the project.

He also commented on the World Gold Council’s position, noting that it is waiting for clarity from the US government on potential tariffs on gold bars. Bristow downplayed the impact on mining companies, saying they are largely “price takers” in the market.

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