Terror in the Mining Sector: Pakistan's Resource Wealth Under Attack

The security of foreign investments in Pakistan is increasingly threatened after an attack on a coal mine in the Duki district of the southwestern province of Balochistan claimed the lives of at least 20 miners and injured seven others. This region is particularly significant for Barrick Gold, as it hosts the company's main copper and gold project. According to Al Jazeera reports, armed men stormed the workers' accommodations, fired rockets, and used grenades before fleeing and damaging equipment. Although no group has claimed responsibility for the attack, suspicion falls on separatist groups from Balochistan, who have long attacked workers from outside the region. The region of Balochistan, which lies between Afghanistan and Iran, is known for its tensions between ethnic groups and the central government of Pakistan. Despite its low population density, it is rich in natural resources such as copper, gold, and oil, making it a key component of the country's economic ambitions. These resources attract international investors. Saudi Arabia recently signed an investment agreement worth 2 billion USD, which also includes the mining sector. Additionally, 1 billion USD was invested in Barrick Gold's Reko Diq project, one of the largest undeveloped copper-gold deposits in the world. The Saudi-backed Manara Minerals Investment Company participated in the share held by the Pakistani federal government, which held 25% of the project. Barrick still owns 50%, while the provincial government of Balochistan holds the remaining 25%. Pakistan has four other significant mineral projects, including copper sites in the Chagai and Waziristan districts and a copper smelter in Gwadar. The latter city is crucial for Pakistan's connection to global trade routes, particularly under the Chinese Belt and Road Initiative, but suffers from a lack of business activity and infrastructure.