ECC approves financing $390m rail deal for Reko Diq project

September 19, 2025 (MLN): The Economic Coordination Committee (ECC) of the Cabinet has approved key proposals related to the Reko Diq Project, including definitive agreements and financial commitments for the project’s financing as well as a rail development and bridge financing agreement worth $390 million.

The approvals came during an ECC meeting held at the Finance Division under the chairmanship of Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb.

The ECC considered a summary submitted by the Petroleum Division, approving the final terms of agreements for Reko Diq’s financing, with the directive that any material deviations in execution if identified by the project’s legal and financial consultants and certified by the Reko Diq Mining Company must be brought back to the ECC for approval.

Additionally, the ECC reviewed a summary submitted by the Ministry of Railways regarding agreements with the Reko Diq Mining Company for bridge financing to develop a 1,350 km railway track.

The track will facilitate the transport of large volumes of export material from Balochistan’s mines. The ECC approved the proposal and instructed the Ministry of Railways to share agreement documents with the Finance Division for appraisal.

It also directed both ministries to submit an update on the project’s execution and implementation by March next year.

Chairing the meeting, Senator Aurangzeb highlighted that the approvals mark a significant step forward in ensuring the timely execution of the Reko Diq Project, which he said holds the potential to transform Balochistan’s economy and generate long-term benefits for the country.

The meeting was attended by Federal Minister for Petroleum Ali Pervaiz Malik, Federal Minister for National Food Security and Research Rana Tanveer Hussain, Federal Minister for Board of Investment Qaiser Ahmed Sheikh, along with federal secretaries and senior officials from relevant ministries and regulatory institutions

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