Tuesday, 02 January 2024 12:17 GMT

Pakistan, US Near Implementation Of $500 Million Rare Earth Minerals Deal Amid Opposition Concerns


(MENAFN- Tribal News Network)

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Pakistan and the United States are entering a new phase of economic and strategic partnership, as both sides move closer to implementing an agreement on the export of rare earth minerals.

According to reports, the American company Strategic Metals (USSM) had earlier signed a memorandum of understanding (MoU) with Pakistan for an investment worth $500 million to establish production and development facilities in the country.

The company recently shipped the first consignment of mineral samples from Pakistan to the United States, containing antimony, copper concentrate, and rare elements such as neodymium and praseodymium. USSM described the shipment as a milestone in Pak–US relations , noting that the agreement would pave the way for collaboration in exploration, development, and the establishment of refining units.

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Sources in Washington said the development could help Pakistan become part of the global supply chain for critical minerals, creating opportunities for billions of dollars in revenue, job creation, and technology transfer. Pakistan's mineral reserves are estimated to be worth around $6 trillion, placing the country among the resource-rich nations of the world.

However, the opposition Pakistan Tehreek-e-Insa f (PTI) has expressed reservations over the deal. PTI's Information Secretary, Sheikh Waqas Akram, urged the government to disclose details of the alleged secret agreements with the US before Parliament and the public. He also cited a Financial Times report claiming that the government was considering granting the US access to Pasni Port-an idea military sources have described as purely commercial.

Akram warned that non-transparent agreements could harm national interests, adding that PTI would not accept any unilateral arrangements. He reminded the government of Emperor Jahangir's 1615 decision to grant trade rights to British merchants, which he said paved the way for colonial rule.

He further alleged that the ongoing political confrontation between the Pakistan Peoples Party (PPP) and the Pakistan Muslim League-Nawaz (PML-N) was a deliberate tactic to distract the public from the country's real issues.

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