Barrick, Komatsu finalize $440m deal for Reko Diq mining equipment

June 25, 2025 (MLN): Barrick Gold Corporation and Japan’s Komatsu have finalized a $440 million agreement to supply mining equipment for Pakistan’s Reko Diq copper-gold project.

As part of the deal, Komatsu will also establish a local subsidiary to support the project’s operations.

Located in Balochistan near the border with Iran and Afghanistan, Reko Diq is one of the world’s largest undeveloped copper and gold deposits.

The project is expected to enhance Pakistan’s exports, attract foreign investment, and support long-term energy and industrial needs through its significant copper reserves.

Jointly owned by Barrick (50%), Pakistan’s federal government (25%), and the Balochistan provincial government (25%), construction at the site is scheduled to begin in 2025, with first production targeted for 2028.

Barrick President and CEO Mark Bristow described the Komatsu partnership as an important part of a long-term vision for mining in Pakistan, citing the equipment’s proven global performance.

Komatsu stated that the five-year agreement represents its first major equipment deployment in Pakistan and signals a deepening collaboration with Barrick, as per Arab News.

To support the deal, Komatsu will establish Komatsu Pakistan Mining (SMC-Private) Limited and invest further in its regional headquarters in Dubai.

The agreement includes delivery of ultra-class mining equipment from the United States and Europe, such as Komatsu 980E-5 haul trucks from Illinois, P&H electric rope shovels from Wisconsin, PC7000-11 excavators from Germany, and WE2350-2 electric wheel loaders from Texas.

Komatsu Mining Business Division President Peter Salditt emphasized the need for high-performance machinery given the scale and complexity of the project.

The partnership builds on previous collaborations at Barrick’s Lumwana mine in Zambia and the Nevada Gold Mines joint venture in the U.S., and follows a global framework agreement signed by the two companies in October 2023.