The recent Pakistan Minerals Investment Forum (PMIF25) in Islamabad has cast a spotlight on Pakistan’s mineral sector, revealing a landscape ripe with opportunity and fraught with complexity. The forum, attended by key stakeholders from both the public and private sectors, underscored the vast potential of Pakistan’s untapped mineral resources, positioning the country as a promising investment destination, particularly for the United States.
The global demand for critical resources used in high-tech industries has driven a surge of interest in Pakistan’s mineral sector. With significant reserves of copper, gold, and rare earth minerals, Pakistan is increasingly seen as a key supplier for the US, which is eager to diversify its mineral sources and reduce dependency on other countries, especially China. The US’s growing interest in these minerals is rooted in its need to secure access to materials critical for long-term industrial resilience.
The forum highlighted the strategic and economic advantages of US involvement in Pakistan’s mining sector. Beyond resource extraction, US engagement brings with it advanced mining technologies and sustainable practices that could modernize Pakistan’s mining operations. As the global race to secure stable supply chains intensifies, Pakistan’s vast reserves offer a unique opportunity for the US to diversify its mineral sources and reduce dependency on other countries, especially China. The US’s growing interest in these minerals is rooted in its need to secure access to materials critical for long-term industrial resilience.
However, while the strategic and economic advantages of US involvement are apparent, it is crucial not to overlook the role of traditional local miners. Pakistan’s mining industry has long depended on artisanal miners who have been instrumental in resource extraction. Without their inclusion in broader economic opportunities, these miners risk displacement as large-scale, tech-driven operations take over. The government must ensure that any foreign partnership includes provisions for local miner involvement. As one industry expert noted, “Including local workers can help foster skills development, create jobs, and preserve the social fabric of mining communities.”
This inclusion is also vital to ensuring broader economic benefits across the country. Training and empowering traditional miners could create thousands of jobs, strengthen local economies, and reduce poverty. Moreover, community engagement is essential to securing buy-in for large-scale mining projects, mitigating the risk of social unrest, and promoting shared prosperity.
The forum also called attention to the need for regulatory reform and infrastructure development. While Pakistan’s mineral wealth is undeniable, a lack of modern infrastructure, energy supply, and clear regulations continues to deter investors. These challenges must be addressed to unlock the mining sector’s full potential. The US, with its expertise in infrastructure development, could play a meaningful role in helping Pakistan modernise its regulatory framework and physical logistics.
Security remains another key concern, especially across mineral-rich provinces like Balochistan. For any investment to succeed, the government must guarantee safety, equitable resource sharing, and transparency. A stable environment is crucial to attracting and retaining both foreign and local investors.
However, if the US is seeking a sovereign-level agreement for mineral access, it indicates a desire for a direct, exclusive arrangement with the Pakistani government. From Islamabad’s perspective, this places the country in a delicate geopolitical position. Saudi Arabia, for instance, has already shown serious investment interest. Given the historical and strategic relationship between our two countries, any side-lining of Riyadh could send an unintended diplomatic signal. Saudi Arabia has consistently provided financial support, and alienating such a longstanding partner would be short-sighted. Then there’s China – Pakistan’s all-weather friend, an important investor and partner through the China-Pakistan Economic Corridor. Any perceived shift towards Washington, especially in mineral-rich areas where Chinese interests are already active, could cause discomfort in Beijing. The overlap of strategic and commercial interests requires a nuanced approach. For Pakistan, the smart play is to keep all doors open. Investment is essential, but not at the cost of alienating traditional allies or undermining long-term strategic relationships. Balance is everything.
The forum also highlighted the need for a nuanced approach to foreign investment. The US has a complicated legacy in mineral-rich regions. History offers examples from Africa to Afghanistan, where foreign interest in natural resources led to conflict, instability, and weakened state control. The term “conflict minerals” did not emerge in a vacuum. For Pakistan, this is a lesson worth remembering. Granting any single power too much control or exclusive access risks compromising national sovereignty and increasing foreign interference. Pakistan must craft a mineral policy that promotes strategic autonomy, not dependency.
As global demand for minerals like rare earths, copper, and gold continues to surge, Pakistan’s untapped resources represent a major economic opportunity. If managed wisely – through inclusive partnerships, strategic diplomacy, and sustainable development – this sector could power a new phase of national growth. For the US, securing access to these materials strengthens its supply chain. However, Pakistan must navigate these waters carefully, ensuring that its mineral wealth benefits its