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

[Hakikat ve Hikmet]

You idiots. This is actually a reasonable solution. You guys who are crying over the 50% number are fools who know nothing about natural resource recovery!

Fist of all... It offsets the $6Billion penalty. Second it changes the terms from the criminal 75% the past idiots signed to a 50%>>> and most importantly... You have to realize that land mineral rights are allocated for a defined boundary.... It's not like the mineral lease is for entire Balochistan... If this high risk mining operation, is successful and proves that the reserves are there i.e proven reserves... That means the rest of the mineral lease lands can be developed at favorable terms and international investors will flock to Pakistan to develop those other area because the potential has been proven.

Idiotic PML and PPP corrupt. .

Moreover, a reasonable relationship with the West can be maintained by Pak without being under 100% Indian manipulation of the Western policies toward Pak....

 

[Eight Pass Charlie]

50% of something is better than nothing, left to our own devices this would either not be mined or if it does get mined it will all be stolen

Look at the Saindak mine and the Sui mine, where has all that money gone?

is there a government department that that checks how much gets mined and sold to ensure that ore isn't being stolen? assuming the government is not an accomplice in the theft itself

its pointless to discuss whether the income is 50% or 25% or whatever if there is no checks and balances to ensure that these resources are mined ethically, money goes into state and provincial coffers, this money should then be spent on local populace - imo none of this will happen as we don't have a law abiding culture

 

[Imad.Khan]

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

What is the total value of the mine?

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.

How much knowledge do you have on the mining sector? or how much do you know about international standards on royalties & taxation of the mining industry?

From your above comments I presume its Zero, read here if you want to get a better understanding of how things actually work, so you can prevent yourself from knee-jerk reactions based on emotions and not facts.

What are mining royalties and how do they work? - Minerals Make Life

A royalty is a fee that is imposed by local, state or federal governments on either the amount of minerals produced at a mine or the revenue or profit generated by the minerals sold from a mine.

mineralsmakelife.org

 

[darksider]

We are very poor negotiators.

we have jamait ali shah every where.

 

[Imad.Khan]

I agree with you. The person who negotiated for just 25% must have been an idiot.

50% is a lot better. But Pakistan still deserves more. It is our natural resources at stake here!

Its not possible unless you have local companies with enough wealth and expertise to deal with a mine at the scale of Reko diq. Even then those companies would negotiate a deal of the same kind because 40%-50% is international standard.

Some people here are saying that its easy to mine it. Well if it was that easy howcome Pakistan was unable to do so for the past 75 years? Ifit was easy then howcome Dr Samar Mubarak failed?

Some people are suggesting that we should follow what the Gulf countries are doing. The Gulf countries weren't born with those skills or expertise, they too first had to invite companies to drill up the oil and using the money they got from those deals they sent their own people to train on every aspect and then started doing it themselves.

Same is the case in Australia, they had Americans and British companies digging up the resources here and slowly Aussies learnt and took over from them and now Aussies are world leaders in the mining sector.

A 50% stake for the government, which is a passive / non-value adding “partner” is actually quite impressive negotiating.. I somewhat can’t believe it lol. In Canada for example, some jurisdictions collect less than 2% royalties + corporate taxes and many mines are run by international companies even though there are several large Canadian players. The benefit to the nation comes in the form of local employment and spending, which I hope will also happen in Balochistan. Add to that a $6 billion fine avoidance. I see this is a win, win, win.

This 50% includes taxes and not just royalties.

 

[Imad.Khan]

They should add a point to that agreement that 95% of the workers on the mine must be Pakistani and 75% of the Pakistanis must be Baloch. Baloch workers must hold high positions in the mine and any village and community within 100 kms of the mine must be developed at the cost of the company. The must build hospitals, roads, schools and infrastructure in the area. Adding to that a mineral research institute must be set up in the area and Pakistanis must be taught the technology behind extracting these minerals so eventually after a decade or two we can do it indigenously. Only then should we accept 50% of the profits.

BIGGEST POINT OF ALL, ALL VALUE ADDITION WORK MUST BE DONE IN PAKISTAN IN BALOCHISTAN. We should ban the export of raw copper and gold only products refinery and made in Pakistan can be exported!

That will never work. You need to understand that these companies are here to make a profit, they re not here to do social work. If the bottomline is not appealing then no company will come and invest. Its the job of the government to build roads, hospitals, schools and other infrastructure with its share.

95% of workforce being Pakistani will only happen if they are trained and have the relevant skills for the job. Now that can happen given enough time but not it won't happen today.

Also we lack any value adding industry, that too will happen but it will also take time.

What Pakistan needs to do is send a big chunk of people overseas to get trained on every aspect of mining, so that in about 10yrs from now Pakistan would be able to have its own workforce skilled in the mining industry. Also we need to remember that Reko diq is just one project, we have much more resources that are still untouched or undiscovered, there is also Saindak Gold & Copper reserves. No one has even tried to look if there are reserves of Lithium (potentially around Chitral ) or Rare Earth Metals and others.

 

[hydrabadi_arab]

They s is my exact point. The jahils here keep thinking that Pakistan has signed away all the blocks. That's not how mineral lease agreement work. They work on blocks.

This project can kickstart a mineral industry in Balochistan. But in typical Pakistani fashion we just don't understand the intricacies of the issue but rather resort to emotional responses!

Exactly, yes Baloch terrorists will start propaganda but thats where things get interesting. Pakistan need to convince TCC to build refinery in Balochistan and train local people. Terrorists backed by India will cry no matter what. Its army job to provide security which shouldn't be difficult for small area.

And once this block is developed, next one can be given away with bidding. Current deal is only for small part of mine.

Think about next 50-100 years of mining in Reko diq. Its in remotest part of Balochistan so lot of infrastructure will have to be build to start off.

 

[313ghazi]

Its not possible unless you have local companies with enough wealth and expertise to deal with a mine at the scale of Reko diq. Even then those companies would negotiate a deal of the same kind because 40%-50% is international standard.

Some people here are saying that its easy to mine it. Well if it was that easy howcome Pakistan was unable to do so for the past 75 years? Ifit was easy then howcome Dr Samar Mubarak failed?

Some people are suggesting that we should follow what the Gulf countries are doing. The Gulf countries weren't born with those skills or expertise, they too first had to invite companies to drill up the oil and using the money they got from those deals they sent their own people to train on every aspect and then started doing it themselves.

Same is the case in Australia, they had Americans and British companies digging up the resources here and slowly Aussies learnt and took over from them and now Aussies are world leaders in the mining sector.


This 50% includes taxes and not just royalties.

Your right, I don't know **** all about mining or royalties but I come from a culture where if you don't know something and you need to know it - you learn it.

We are not talking about an individual we are talking about a state. A state should have no limits. We weren't born with the capability to make nuclear weapons, we learnt. We trained experts, we bought equipment, we built equipment we stole secrets.

Why did we agree to a shit deal 30 years ago? Why can't we learn from the mistakes of others. The US purchased 50% of Saudi Arabian oil for a mere pittance because the Saudi state was broke.

Saudi Aramco World : A King and a Concession

archive.aramcoworld.com

Why do we follow that model? Why can't we follow the model of the Chinese, the Japanese, the American, Russian, British, European who rather than be exploited learn instead.

For 70 years its laid untouched. If 30 years ago our govt had self respect and chose to learn rather than be exploited - today we'd be in a position to benefit from all of the resources. We'd be in a position to exploit others.

Instead we act and think like the inferior race we are.

Rekodig has 100s of block this is just one
Balochistan is full of minerals
Either it stays buried or you let foreign investment and competitive bidding flow

Didn't know that. Although I'd bet you anything none of these blocks will ever be mined by Pakistanis.

 

[Kompromat]

50% of what?

 

[hydrabadi_arab]

50% of what?

50% of gold and copper extracted.

 

[POPEYE-Sailor]

Because this Jew is more Pakistani and Muslim than you are

Oh thats love showing from thousand kilometers away. burn ur denmark passport and shift to pakistan. if u dont do this then stop praising IK papa.

 

[Imad.Khan]

Your right, I don't know **** all about mining or royalties but I come from a culture where if you don't know something and you need to know it - you learn it.

We are not talking about an individual we are talking about a state. A state should have no limits. We weren't born with the capability to make nuclear weapons, we learnt. We trained experts, we bought equipment, we built equipment we stole secrets.

Why did we agree to a shit deal 30 years ago? Why can't we learn from the mistakes of others. The US purchased 50% of Saudi Arabian oil for a mere pittance because the Saudi state was broke.

Saudi Aramco World : A King and a Concession

archive.aramcoworld.com

Why do we follow that model? Why can't we follow the model of the Chinese, the Japanese, the American, Russian, British, European who rather than be exploited learn instead.

For 70 years its laid untouched. If 30 years ago our govt had self respect and chose to learn rather than be exploited - today we'd be in a position to benefit from all of the resources. We'd be in a position to exploit others.

Instead we act and think like the inferior race we are.



Didn't know that. Although I'd bet you anything none of these blocks will ever be mined by Pakistanis.

I am sure you already know the answer to the questions you raised. Shit self centred governments combined with a lazy nation that prefers easy money over hard work.

I can't exactly remember but a diplomat of some nation called Pakistanis "a nation asleep".

I will tell you some interesting facts. Pakistan is famous for a gem stone called peridot. It comes in different shades of green, most common is the light olive green shade. But most of the Pakistani Peridot is as dark green as our flag. Pakistan has been mining it for years but we don't have the skills to refine it, so we sell the raw uncut product, which other nations refine it and then sell them with 10 fold the price.

Similarly we had a metal called chromite which is being mined like the olden days and is being exported raw, while we importing the finished products like alloy wheels, why? Coz we don't have the skills to process it. The government doesn't care nor does the private sector.

 

[313ghazi]

I am sure you already know the answer to the questions you raised. Shit self centred governments combined with a lazy nation that prefers easy money over hard work.

I can't exactly remember but a diplomat of some nation called Pakistanis "a nation asleep".

I will tell you some interesting facts. Pakistan is famous for a gem stone called peridot. It comes in different shades of green, most common is the light olive green shade. But most of the Pakistani Peridot is as dark green as our flag. Pakistan has been mining it for years but we don't have the skills to refine it, so we sell the raw uncut product, which other nations refine it and then sell them with 10 fold the price.

Similarly we had a metal called chromite which is being mined like the olden days and is being exported raw, while we importing the finished products like alloy wheels, why? Coz we don't have the skills to process it. The government doesn't care nor does the private sector.

That's the sad truth.

 

[jamal18]

When the Europeana first established Mines, who did they turn to for advice?

 

[Genghis khan1]

Those minerals are the Haq of every single citizen of this country.

1. Nobody can make us pay a fine.
2. We can borrow to invest.

A few billion dollars is a pittance.

They are going to spend $3 billion and earn $120 billion.

That is more than our total debt.

Gora came and extracted oil out of badus land in Arabia. Was it their Haq? Badus owned nothing, they just living over dry sand. What if Gora kick these badus out and renamed the desert Georgetown. These badus could not have done a thing.


Point is, earn your Haq, if you call someone to bring expertise and billions in investment to turn dirt into gold than that’s their HAQ to be compensated for their hard work.

When the Europeana first established Mines, who did they turn to for advice?

Their brain and good old hardware.