IFC Commits Additional $400 Million to Pakistan’s Reko Diq Mine

Islamabad — The International Finance Corporation (IFC) has announced a $400 million subordinated loan for Pakistan’s Reko Diq copper-gold mining project, according to a public disclosure by the organisation. This new commitment adds to the $300 million already pledged in April, bringing IFC’s total contribution to $700 million.

The Reko Diq project, located in Balochistan, is one of the largest undeveloped copper-gold deposits in the world. The total estimated cost for the mine stands at $6.6 billion, to be financed through a combination of debt and equity from a consortium of international and regional lenders.

“The estimated total project cost is $6.6 billion, and it will be financed using a combination of debt and equity,” the IFC document states.

The newly announced subordinated loan will serve as a risk-absorbing instrument, which typically ranks below senior debt in repayment priority. This structure is designed to encourage additional financing by making the project more attractive to other investors.

Alongside IFC, several major financial institutions are expected to participate in the financing package. These include:

• U.S. EXIM Bank
• Asian Development Bank (ADB)
• Export Development Canada (EDC)
• Japan Bank for International Cooperation (JBIC)

Project Director Tim Cribb earlier told Reuters that term sheets for the full financing arrangement are expected to be finalised by early Q3 of 2025.