By Staff Reporter
ISLAMABAD: Prime Minister Shehbaz Sharif has ordered a sweeping upgrade to the country’s railway infrastructure, including an extension to the Reko Diq mining project in southwestern Balochistan, as the government moves to bolster transport capacity ahead of production at one of the world’s largest untapped copper and gold deposits.
The directive, issued Tuesday, aims to prepare the railway network for future cargo and passenger demands tied to Reko Diq, a sprawling site being developed by Barrick Gold Corp., which controls a 50% stake. The remaining share is split between Pakistan’s federal and provincial governments.
Barrick estimates the mine could yield as much as $74 billion in free cash flow over its 37-year lifespan, a windfall that underscores its economic potential for the cash-strapped country. Production at Reko Diq slated to begin within three years.
“The Prime Minister directed that Reko Diq be connected to the railway network by 2028,” Sharif’s office said in a statement a meeting. To make it happen, Sharif instructed officials to establish an inter-ministerial committee tasked with sorting out financing for the railway overhaul.
“The committee will present concrete proposals regarding the financing required for the development of Pakistan Railways and its extension to Reko Diq,” the statement added.
The push comes as Pakistan looks to leverage its rail system, long seen as a linchpin of the economy, to unlock growth in underdeveloped regions like Balochistan.
Sharif called railways a “backbone” of the country’s communications network, touting their affordability, speed, and lower environmental footprint compared with road transport. Linking Reko Diq to the rail grid, he said, would supercharge the province’s mining and minerals sector while opening up jobs for local residents.
Yet the plan faces steep challenges. Balochistan, though rich in resources, remains mired in poverty and instability. Separatist violence has long plagued the province, disrupting ambitious development efforts. Earlier this year, armed militants seized a passenger train in Balochistan, holding it hostage until a military operation neutralized the attackers. Such incidents highlight the risks to infrastructure projects in the region.
Balochistan sits at the heart of the $65 billion China-Pakistan Economic Corridor (CPEC), a cornerstone of Beijing’s Belt and Road Initiative under President Xi Jinping. Reko Diq’s success, and the rail network to support it, could cement the province’s role in that broader vision, while delivering a much-needed economic jolt to Pakistan.
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