ADB Loan for Reko Diq Copper Project Signals New Phase for Pakistan

ADB Pakistan

ADB loan for Reko Diq copper project secures $300mn to accelerate mine delivery and unlock critical minerals. The ADB loan for Reko Diq copper project includes a partial credit guarantee for Balochistan’s equity. Therefore, the ADB loan for Reko Diq copper project underpins what may be Pakistan’s largest-ever FDI.

Scale, timeline, and ownership structure

Reko Diq will be the world’s fifth-largest copper mine. Phase one targets 800,000 t/yr of copper concentrate. Barrick will build and operate the mine. Operations are planned for at least 37 years. First concentrate is expected in 2028. RMDC is a joint venture led by Barrick at 50%. Balochistan holds 25%, and federal state firms hold 25%. The ADB also offers a $110mn partial credit guarantee.

Funding mix and strategic context

Total phase-one capex is about $3bn. Barrick plans $1.4bn–$1.7bn in equity. The IFC plans $400mn in loans plus a $300mn A-loan. Moreover, ADB backs Reko Diq under its new critical minerals value chain approach. The program targets clean energy and digital technologies. Global copper demand remains firm on energy transition needs. Cochilco sees consumption at 26.38mn t this year.

The Metalnomist Commentary

Reko Diq’s financing breadth reduces execution risk while anchoring Pakistan’s role in copper supply. Watch project ramp sequencing, concentrate offtake, and regional logistics to verify timelines and cost discipline as 2028 approaches.