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KARACHI:

Pakistan Tehreek-i-Insaf (PTI) Sindh president Haleem Adil Sheikh on Friday accused the Pakistan Peoples Party (PPP) of ruining Sindh during its 17 years of rule despite receiving over Rs30 trillion in budgetary allocations.

Addressing a press conference at Insaf House Karachi alongside PTI Karachi president Raja Azhar, General Secretary Arsalan Khalid and other leaders, Mr Sheikh alleged that more than Rs10tr had been lost to corruption and mismanagement under PPP governments. He said Karachi, which contributes nearly 97 per cent of the country’s revenue, had consistently been denied its due share of resources.

“Karachi was entitled to Rs1,136 billion in development funds over the past 15 years but received only Rs200bn. The shortfall means the city has been deprived of Rs3.36tr, including Rs944bn in development allocations,” he said.

Turning to the devastation caused by recent rains, he said at least 10 people had died and over 50 were injured since the Sept 8 downpour, while the overflow of Malir River, Thado Dam and Lyari River had submerged dozens of neighbourhoods. He recalled that in the Aug 19 rains, 19 people had died, thousands of vehicles were damaged and many settlements were left inundated.

Sheikh demanded Rs2 million compensation for each of the deceased, including five members of the Bheel community who drowned after Thado Dam’s overflow, Rs500,000 for the injured, Rs100,000 for damaged cars and Rs10,000 for motorcycles. He also proposed a Rs200bn package for Karachi’s rehabilitation, waiver of utility bills, emergency cash aid of Rs20,000 for daily wage earners and a survey of affected homes.

Criticising mega development projects, he claimed the Rs54.7bn Bhutto Expressway had a per kilometre cost higher than in Europe but collapsed even before its inauguration due to substandard construction. He said billions were wasted and demanded accountability. Similarly, he said, the Rs12.78bn New Hub Canal-meant to supply 100mgd water to Karachi-collapsed within a month of its launch. “Repairs will take months, but the government is misleading people by claiming restoration in 36 hours,” he said, demanding a judicial inquiry into the project.

He further alleged that Rs43bn had been shown as spent on solid waste management, yet Karachi remained buried under garbage. He said 28bn rupees were misappropriated last year alone, with only half of the city’s daily waste actually being collected.

Speaking about PTI founder Imran Khan, Haleem Adil Sheikh said the “people’s leader” was imprisoned unjustly for two years without access to his physician but continued to inspire the party to stand by citizens. PTI Karachi president Raja Azhar accused the mainstream media of sidelining PTI and questioned the fate of 118 relief aircraft that arrived in 2022. He also criticised the Muttahida Qaumi Movement (MQM) for siding with PPP instead of playing its role as opposition.

General Secretary Arsalan Khalid added that even a light spell of rain was enough to paralyse Karachi due to negligence, pointing to lingering water in areas like Shafiq Colony and Madina Colony. He urged the city administrator to witness citizens’ plight firsthand.

The press conference concluded with PTI leaders reiterating their demands for immediate relief for rain victims, release of Rs200bn for rehabilitation, and formation of judicial commissions on alleged corruption in mega projects.

Reko Diq, among the world’s largest undeveloped copper-gold projects, is set to begin commercial production by late 2028, with the initial phase targeting an annual ore processing capacity of 45 million tonnes.

Reko Diq Mining Company (RDMC) is advancing efforts to secure up to $3.5 billion in limited recourse project financing for Phase 1 development. The lending group includes the International Finance Corporation (IFC), Asian Development Bank (ADB), U.S. International Development Finance Corporation (DFC), Export-Import Bank of the United States (US EXIM), Export Development Canada (EDC), Germany’s KfW IPEX-Bank GmbH and Euler Hermes, Sweden’s Exportkreditnämnden (EKN), and Finland’s Finnvera Oyj. This project represents the largest foreign direct investment in Pakistan’s history.

Barrick Mining Corporation (BMC) of Canada holds a 50% ownership stake in Reko Diq. BMC has mining operations and projects in Argentina, Canada, Chile, Côte d’Ivoire, Democratic Republic of the Congo, Dominican Republic, Ecuador, Egypt, Mali, Pakistan, Papua New Guinea, Peru, Saudi Arabia, Senegal, Tanzania, the United States and Zambia. BMC is now positioning Reko Diq as a key asset expected to generate approximately $74 billion over 37 years.

In April, the shareholders of Reko Diq appointed Fluor Corporation as the lead Engineering, Procurement, and Construction Management (EPCM) partner. Fluor will work alongside the Barrick Owner’s Team on the project’s detailed design and construction. Headquartered in Irving, Texas, Fluor Corporation is a U.S.-based engineering and construction firm with annual revenues of approximately $16 billion.

Komatsu Ltd., headquartered in Tokyo, has signed a $440 million agreement to supply mining equipment for the Reko Diq project. The company is the world’s second-largest manufacturer of construction and mining machinery, employing 60,000 people and generating annual revenues of ¥2.44 trillion.

Metso Corporation, headquartered in Helsinki, Finland, has been selected as the key supplier of processing equipment for the Reko Diq project. In August 2024, the company signed a €200 million framework agreement to provide comminution and mineral-processing systems. Once operational, the plant will have the capacity to process approximately 90 million tonnes of ore per year, developed in two phases.

The Weir Group plc, a Scottish multinational engineering company headquartered in Glasgow, has secured a £53 million contract to supply energy-efficient and sustainable processing solutions for the Reko Diq project. Its scope of work includes fine grinding, separation, and tailings management—critical components of the mine’s ore processing flowsheet.

Question: Why are heavyweight corporations from Canada, the United States, Japan, Finland, and the United Kingdom pouring billions into Balochistan? Isn’t this supposed to be one of the riskiest investment destinations in the world? With an active insurgency on the ground, why are global giants betting on a province that many write off as ungovernable?

Answer 1: Because the prize is simply too big to ignore. Reko Diq is one of the largest undeveloped copper-gold deposits in the world — estimated at 40 million tonnes of copper and 50 million ounces of gold. For mining giants, such deposits are rare, long-life, and worth billions. The size and quality of the resource outweigh the risks, especially in a world hungry for copper to power electrification and green energy transitions.

Answer 2: International lenders like the IFC and ADB build security components directly into their financing, ensuring that capital is tied to specific guarantees of protection. Combined with Pakistan’s sovereign commitments and the involvement of a global player like Barrick, much of the ‘unmanageable risk’ is shifted away from the corporations.

Manara Minerals of Saudi Arabia — a joint venture between Ma’aden (the Saudi Arabian Mining Company) and the $900 billion Public Investment Fund (PIF) — is negotiating to acquire a 10–20% stake in Reko Diq. For Riyadh, the move aligns squarely with Vision 2030, a push to diversify the economy and lessen dependence on oil. For Pakistan, PIF’s entry will anchor Middle Eastern support, adding another political shield.

Remember, copper is now classified as a ‘critical mineral’ by the U.S., EU, and Japan — which means Reko Diq is not just a Pakistani project, but part of a global effort to secure strategic supply chains. Unlike CPEC ventures often targeted by insurgents, Reko Diq is backed by Western capital, giving it a very different geopolitical profile.

Clearly, heavyweight corporations from Canada, the United States, Japan, Finland, and the United Kingdom are wagering that the sheer scale of Reko Diq’s resource, surging global demand for copper, and the institutional security guarantees built into the project outweigh the dangers of insurgency.