Major Investment in Pakistan’s Mineral Sector
Pakistan has signed a $500 million memorandum of understanding (MoU) with the US Strategic Metals (USSM), a Missouri-based company. The deal was finalized at the Prime Minister’s House in Islamabad on Monday.
Focus on Critical Minerals and Recycling
USSM specializes in producing and recycling critical minerals. The company extracts metals such as cobalt, nickel, copper, and rare earth elements from old lithium-ion batteries. These minerals are essential for advanced manufacturing and clean energy technologies.
Signing Ceremony at Prime Minister’s House
A USSM-led delegation, accompanied by Acting Deputy Chief of Mission Zach Harkenrider, signed the agreement with the Frontier Works Organisation (FWO). US Chargé d’Affaires Natalie Baker said the partnership reflects the strong US-Pakistan relationship and will benefit both countries.
Strategic Importance for Both Nations
Baker emphasized that critical minerals are vital to America’s security and prosperity. She noted that the United States looks forward to more collaborations with Pakistan in mining and resource development.
Meetings with Top Pakistani Leadership
The USSM delegation met the Prime Minister, the Chief of Army Staff, and ministers of petroleum and commerce. They were briefed on Pakistan’s reserves of copper, gold, and rare earth elements. Two MoUs were signed: one for mineral development and processing, and another for logistics services.
Partnership with Mota-Engil Group
The second MoU involved the National Logistics Corporation of Pakistan and Mota-Engil Group, a global leader in construction and engineering. The group aims to create long-term partnerships through technology transfer, job creation, and sustainable development.
First Phase of $500m Investment
According to the Prime Minister’s Office, the partnership will begin with the export of available minerals such as antimony, copper, gold, tungsten, and rare earth elements. The initial phase of the agreement is valued at $500 million.
Strengthening US-Pakistan Economic Ties
Relations between the two nations have improved with recent trade agreements. In July, both sides reduced reciprocal tariffs from 29 percent to 19 percent. Earlier this year, the US also expressed strong interest in Pakistan’s mineral and energy sectors, highlighting their strategic importance.
This will also help in economic growth of Pakistan
