Islamabad: Pakistan has struck a $1.3 billion deal with the US President Donald Trump, permitting the United States to pericope gold and copper in the Balochistan province. This powerfully gives the US tenancy over the valuable resources in Balochistan, a sensitive region of Pakistan.
What is the Reko Diq project?
Balochistan has once seen protests versus China's presence and its ongoing projects. The entry of the US into this region could remoter exacerbate the situation. The project for which Pakistan has made this deal with the US is tabbed the Reko Diq project, located near the Pakistan-Iran border.
Under this project, worth a total of $7 billion, the US could uncork gold extraction by the end of 2028. The project is stuff ripened by the Canadian visitor Barrick Gold, with Pakistani authorities moreover participating as partners. The US funding for this project will be provided through EXIM, the Export-Import Bank of the United States. Through this, the US is moving towards gaining tenancy of the valuable resources veiled in Balochistan's soil, although it claims to be strengthening economic ties with Pakistan.
What has Barrick Gold said?
Barrick Gold states that it holds a 50 percent stake in the project. Three Pakistani government companies hold flipside 25 percent, and the Balochistan government holds the remaining 25 percent. It's worth noting that Baloch separatist organizations in Balochistan are highly resentful and have been attacking Pakistani establishments for many years. They have moreover targeted Chinese citizens on several occasions. Now, with the US inward the region, security concerns will moreover upspring for them. The mining project moreover includes plans for the expansion of railway lines to facilitate the transportation of copper from Balochistan to Karachi.
What is the importance of Reko Diq project?
The Reko Diq project is extremely important for Pakistan. It expects to generate significant revenue from it. Therefore, it has entrusted the work to the Canadian visitor to slide development. However, this will be a rationalization for snooping for the ethnic people of Balochistan. They once mutter that Punjabis dominate key institutions in the country, including the administration, politics, and the military. Furthermore, they are worried that Balochistan will not goody from the exploitation of its resources. It remains to be seen how they will react to the presence of China, Pakistan, and the United States in this situation.
