Reko Diq copper-gold project in Pakistan : Barrick Gold moves ahead with $7bn project
Canadian mining company Barrick Gold has reconstituted the Reko Diq copper-gold project in Pakistan, located in Chagai District, Baluchistan following the clearance from the apex court of the country and the passage of the law.
Reko Diq is an undeveloped copper-gold project, which is owned by Barrick Gold (50%), three federal state-owned enterprises (25%), the Province of Balochistan (25%, which constitutes15% on a fully funded basis and 10% on a free carried basis).
The development of the Reko Diq copper-gold project in Pakistan is expected to increase Barrick Gold’s copper portfolio and establish the company’s gold and copper mining business as well as benefit its Pakistani shareholders.
The copper-gold mine with a combined process capacity of 80 million tonnes a year is expected be constructed in two phases and expected to have 40 years of life.
Barrick Gold moves ahead with $7bn Reko Diq copper-gold project in Pakistan. Photo courtesy of Barrick Gold Corporation.
Mark Bristow — Barrick Gold president and chief executive, said: “We are currently updating the project’s 2010 feasibility and 2011 feasibility expansion studies.
“This should be completed by 2024, with 2028 targeted for first production.
“We envisage a truck-and-shovel open pit operation with processing facilities producing a high-quality copper-gold concentrate.
“Our investment in these is expected to amount to around $70 million over the feasibility and construction period.
“In addition, Reko Diq will advance royalties to the government of Balochistan of up to $50 million until commercial production starts.”
The Reko Diq copper-gold project in Pakistan is expected to offer employment for 7,500 people during peak construction phase, with a potential of approximately 4,000 long-term jobs once production begins.