Barrick Delays Full Reko Diq Construction Over Security Concerns

Barrick Mining Corporation has postponed the full development of the Reko Diq copper and gold project in Balochistan, citing security concerns that need to be addressed before construction can proceed. In an interview at the Mining Forum Americas, Barrick CEO Mark Hill stated that the company is reassessing the project due to the need for enhanced security conditions.

Hill did not disclose a revised construction schedule or the financial impact of the delay. The security situation in Balochistan has been a significant issue, with militant activity on the rise and security forces conducting numerous counterterrorism operations. In 2026, Pakistan's security forces carried out over 40,000 intelligence-based operations, with more than 31,000 in Balochistan alone.

Barrick holds a 50% stake in the Reko Diq project, which is jointly owned by the Balochistan government (25%) and Pakistani state-owned enterprises (25%). The first phase of the project, initially estimated at $4 billion, was later revised to $5.6 billion. The total investment across both phases is projected at approximately $7 billion, with the second phase estimated at $3.5 billion.

Reko Diq is designed to operate for decades, producing copper and gold concentrate through an open pit mining and milling operation. Phase one is intended to process around 45 million tons of ore annually, with potential capacity expansion to 90 million tons in the second phase. The project is expected to create about 7,500 jobs during peak construction and around 4,000 long-term positions once production commences.

A recent feasibility study estimates the mine's life to be 37 years, with potential for further expansion.