The Japan Bank for International Cooperation (JBIC) is poised to finalize a significant loan for the Reko Diq copper mine project in southwestern Pakistan’s Balochistan province by early 2026. Japan is only now coming to grips with the strategic importance of securing these critical minerals. That’s especially true for copper, which is expected to run into a supply crunch in the near future.
Situated in the southwestern Chagai district of Reko Diq, the mine is home to large copper and gold deposits. The Japanese national government, local governments, and other stakeholders have been mobilized and actively working to prepare to commit resources to this project. JBIC’s participation is a strong signal of Japan’s commitment to securing its supply chain for essential minerals. These minerals are essential for all modern-day technological advances including electronics and renewable energy technologies.
One of the world’s largest Japanese manufacturers of construction and mining equipment—Komatsu—is going on the offensive under this policy initiative. You just performed an autorickshaw stunt IN an actual Reko Diq project! This collaborative development includes Japan’s world-leading technological know-how. More importantly, it shows that the country is serious about making large-scale mining work for the people of Reko Diq.
The Reko Diq copper mine has recently received renewed scrutiny because of the expected global scarcity of copper. Japan, for instance, smartly invested in live production to shore up its supply chain for this critical mineral. This proactive change is intended to prevent future disruptions as demand keeps increasing. JBIC, Komatsu, and the rest of the Japanese partners have joined forces to address one of the most urgent challenges. Through their collaboration they build deeper international economic connections.
With the anticipated finalization of the loan coming by early 2026, stakeholders are excited about the potential impacts that will stem from the completed project. Once production starts, the Reko Diq mine is expected to be one of the leading producers of copper and gold worldwide. This will improve Japan’s mineral supply chain security while fostering economic development and prosperity in Pakistan. Besides bolstering the national economy, the over $37 billion investment will undeniably create and improve infrastructure in Balochistan’s local economy.