Major Breakthrough: Pakistan and Tethyan Copper Company(TCC) have agreed over 50 per cent shares over Reko Diq

[AZMwi]

We are very poor negotiators.

more like hum aman pasand qoum hain. is naam nihaad aman pasandi ne hum ko begharat bana dia hai

 

[The Accountant]

Based on some crude calcs the mine is going to produce about $1.3 billion worth of minerals a year.
It could be worth at least $260 billion.

We're giving 50% away to a foreign company.

Its fucking criminal.

This is revenue ... What will be the profit ?

Had it been so profitable we could have paid 6 billion to earn 260.

Devil lies in details brother.

 

[SaadH]

Pakistan has been begging IMF for a lousy $1bn from IMF, where will you get $6bn to pay the fine and develop the mine ourselves, which we certainly don't have the capacity nor the perseverance to do. Ever see any gov't/state owned outfit working with any semblance of efficiency?

This is a great outcome considering how it was botched on two separate occasions, first at the initial negotiation and secondly with that wild eyed corrupt judge Chaudhry Iftikhar's idiotic intervention.

 

[Vapnope]

Based on some crude calcs the mine is going to produce about $1.3 billion worth of minerals a year.
It could be worth at least $260 billion.

We're giving 50% away to a foreign company.

Its fucking criminal.

Because some incompetent folks landed us where we are and there was no way out of it. Bandar k hath main bandook thi bhai !

 

[FuturePAF]

Based on some crude calcs the mine is going to produce about $1.3 billion worth of minerals a year.
It could be worth at least $260 billion.

We're giving 50% away to a foreign company.

Its fucking criminal.

True, it’s sad that this foreign company is getting a huge opportunity for a fraction of a penny on the dollar but considering how poorly run the country has been up to this point ...

I just hope Pakistan negotiates to get a transfer of technology of all the mining equipment for this deal. We have to take the loss on this one , but we need to acquire the technology to explore, develop, and independent extract any future finds.

Also, I hope the government has the foresight to save some of the gold being extracted into the national reserves. Gold prices may increase dramatically in the coming years, and having actual physical gold in the nation’s own central bank in Islamabad is a good way to show stability to investors and hopefully refinance the debt to a lower interest rate, and reduce the amount of interest we have to pay on our debts, so we can pay down the principal faster and get out of debt to these foreign lenders.

With this deal, hopefully other foreign investors (not loans) will follow. there is a lot of low hanging fruit in terms of modernizing how we do basically everything in Pakistan; such as in agriculture, great opportunity for foreign investors to make profit and for us to maximize yields and workers pay as well as taxes and profits for land owners. We need 3-5% of GDP in FDI every year for the next 20-30 years to truest modernize. This mine can set the tone in getting that investment

 

[Bouncer]

Lay out the red carpet for them. Provide them security. Ensure transparency. Please do NOT **** this up again.

Show the world that Pakistan is a sane and safe place for investment.

Some people here are crying over 50% share lol. O bhai this is better than nothing plus a 6 billion dollar fine. Plus its a Western company they'll train some of our people and leave some for us. Unlike our Chinese friends who have licked Saindak clean and we don't know how much was taken out of country.

For someone who claims to be an "Israeli and Norwegian" what would you know about Pakistan?

He is Mosad agent working in Pakistani embassy in Norway. In his spare time he interns at Ishaq Dar school of economics.

 

[truthseeker2010]

50% of our precious national resources and we consider it a win. Pathetic.

What is the total value of the mine?

Just $300 Billion at todays prices!

 

[hydrabadi_arab]

Pakistan has been begging IMF for a lousy $1bn from IMF, where will you get $6bn to pay the fine and develop the mine ourselves, which we certainly don't have the capacity nor the perseverance to do. Ever see any gov't/state owned outfit working with any semblance of efficiency?

This is a great outcome considering how it was botched on two separate occasions, first at the initial negotiation and secondly with that wild eyed corrupt judge Chaudhry Iftikhar's idiotic intervention.

Its not $1b but seal of approval from IMF. Otherwise Pakistan will not get $14b per year from lenders. Hell even Saudis put IMF condition before lending.

50% of our precious national resources and we consider it a win. Pathetic.

What is the total value of the mine?

Only part of mine will be developed by TCC, 20-25%. Rest is up for grabs later on. Overall its estimated $1 trillion worth.

 

[BRAVO_]

Reko Diq Gold mines of Balochistan have a value more than a $1 Trillion. One of the world's biggest of copper and gold is Reko Diq, with an estimated 5.9 billion tonnes of ore grading 0.41 percent copper and 41.5 million oz of gold reserves. so 6 billion Dollars is nothing but a peanut against the over all value of mines, in my opinion even if govt of pakistan started mining trough their own bureaucracy ordinary public will never get benefit through it .... money will go to the pocket of same corrupts politicians and govt machinery in same manner as they awarded the contract to this company in a dirt low price. we are a messed up crowed of people who have no direction and no leadership

 

[Kaleem.61]

Is it the only solution. I don't think so! We may have procured the technology. Like transfer of technology!

I know it's not that easy but I mean to generate jobs. These exports will cut our debt to half by valuing our currency subjected to the use of this blessing!

I am not an expert but i discussed it with my coach in Bachelors where he assumed it's more beneficial rather than getting share as Reko-Diq is not the last mine!

 

[ziaulislam]

Is it the only solution. I don't think so! We may have procured the technology. Like transfer of technology!

I know it's not that easy but I mean to generate jobs. These exports will cut our debt to half by valuing our currency subjected to the use of this blessing!

I am not an expert but i discussed it with my coach in Bachelors where he assumed it's more beneficial rather than getting share as Reko-Diq is not the last mine!

The negotiations were done with contrived interest in mind when this was first agreed - and those in power then were to make a nice dollar amount. Unfortunately, since Pakistani have zero intelligence nor interest to hold anyone truly accountable other than pie in the sky promises of bringing looted money back - they must suffer the consequences. This is actually a decent face saving measure.

As for suggestions on not paying the fine,see if you can even get a reply back on RFIs leave alone RFPs in the future from any overseas firm. Pakistan government and even private sector Pakistani organizations will be labeled (more than they are already) as unreliable partners as best and renegade frauds at worst.

People overseas have alresdy labelled us this
Simply because our leaders are like this

We are one of few countries in the world where frauds are heroes and convicted criminals are martyers

 

[TNT]

Who's holding a gun to us asking us to pay the fine? **** them, don't pay it, instead spend a few hundred million buying some experts. Apparently it costs 3 billion to build the mine. Borrow the money - pay 10 times the normal rate for experts to get it running and train your own people.

When it's making money pay the fine.



It's small minded thinking.

We can buy equipment and buy expertise. Do what the Gulf Arabs do - buy the individual experts for extortionate rates.

It's cheaper than being asset stripped like 3rd world Africans.

U sound like khadim rizvi, u think its a joke? They already wanted to confiscate NY and paria hotels. If u have no assets they can also put sanctions on Pakistan. Looking at our economic situation, even mild sanctions will destroy us. Come out of delusions and live in real world.

 

[313ghazi]

Some people have made some very good points.

- Clearly not all of the estimate $260 billion upwards is going to be profit, upto 30-40% of that could go to costs depending on efficiency.
- We do need the jobs and investment and support industries that would be developed now.
- Previous domestic attempts have failed

It still boils my blood that we can't do something as simple as mining and that we're concerned over a pathetic $6 billion in a country where half the economy is undocumented and about 10% file tax returns. A part of me wishes we just leave it in the ground until we can take maximum profit from it. However I guess the need for investment and employment is now. This is a classic case of Pratchetts boot theory.

I suggest;

• we include in the contract that everyone working on the contract has to be Pakistani with 75% of the workforce Baloch as suggested by @Jf-17 block 3
• we keep our 50% of the gold instead of selling it and keep it in our reserves
• we retain the option to buy upto upto 50% of the copper produced at cost price for our domestic industry

 

[313ghazi]

U sound like khadim rizvi, u think its a joke? They already wanted to confiscate NY and paria hotels. If u have no assets they can also put sanctions on Pakistan. Looking at our economic situation, even mild sanctions will destroy us. Come out of delusions and live in real world.

I think it was through annoyance at the whole situation when I read this yesterday. I was a child and the economic condition of this country was that of a third world shithole and my children are nearly adults and the economic condition of this country is still of a third world shithole,

Having said that, where there is a will there is a way. As I suggested in further post we could have delayed payment by launching legal challenges. I would have based this one;

1. Govt who signed original agreement were corrupt and took kickbacks.
2. Judge who rejected the deal was appointed by a military dictator.

Any bakwas to drag matters on for longer.

However i concede that we are too incompetent to successfully play that game, we are too imcompetent to mine ourselves, we are too incompetent to strike a good deal.

 

[ARMalik]

Oh man, one pathetic decision after another. Just terrible sale of Pakistan's extremely valuable and strategic resources to JEWS. Looks like we have Jews sitting in Islamabad.