US metal company to invest $500 million in Pakistan's critical minerals sector

Islamabad (Web Desk): Renowned US companies are set to invest $500 million in Pakistan’s critical minerals sector.

According to details, a high-level US delegation, including representatives from United States Strategic Metals (USSM) and Mota-Engil, met with Prime Minister Shehbaz Sharif in Islamabad on Monday to explore investment opportunities.

The meeting was attended by Deputy Prime Minister Ishaq Dar, Chief of Army Staff (COAS) Field Marshal Syed Asim Munir, and federal ministers.

The delegation is visiting Pakistan to assess opportunities for expanding mining operations, adding value to mineral resources, and developing the necessary supporting infrastructure.

During discussions with the Prime Minister, the Army Chief, and federal ministers, the delegation received briefings on Pakistan’s extensive mineral reserves, which include copper, gold, and rare earth elements.

The US companies expressed their readiness to establish value-addition facilities in the country, increase mineral processing capabilities, and undertake large-scale infrastructure projects linked to the mining sector.

In this context, two Memoranda of Understanding (MoUs) were signed. The first focuses on developing and processing critical minerals, including rare earth elements, while the second covers logistics services.

The Frontier Works Organization signed a significant MoU with USSM, a leading processor, recycler, and miner based in St. Louis, Missouri. This agreement establishes a framework for collaboration across critical minerals that are vital for defense, aerospace, and technology industries.

The partnership will commence immediately with the export of readily available minerals from Pakistan, including antimony, copper, gold, tungsten, and rare earth elements.

The collaboration will also lay the groundwork for establishing a USSM proprietary, flexible poly-metallic refinery in Pakistan, which will produce intermediate and finished products to meet growing demand in the US market.

The cooperation is expected to strengthen the bilateral relationship between Pakistan and the US while creating opportunities for sustainable growth, technology transfer, and job creation. Next steps include forming dedicated teams to explore the full potential of Pakistan’s mineral resources, identifying critical minerals for immediate export, and developing a long-term framework for exploration, extraction, and processing. 

The initiative will prioritize sustainability, profitability, and environmental responsibility to ensure benefits for both nations.

Additionally, both parties will examine innovative financing and digital solutions, including tokenization of critical minerals, which would allow global investors to participate in Pakistan’s mineral sector and improve transparency, liquidity, and value creation.

Separately, the National Logistics Corporation of Pakistan signed an MoU with Mota-Engil Group, a global engineering and construction leader, to explore opportunities for expanding its presence in West Asia.

The company aims to identify priority markets aligned with government and private sector initiatives and build long-term partnerships that bring technology transfer, job creation, and sustainable development to the local economy.

The delegation’s visit and the signing of these MoUs represent a landmark moment in Pakistan’s efforts to attract international investment in the mining and logistics sectors.