The government has approved the establishment of the Siah Dik copper mining project in Balochistan as a private sector Export Processing Zone (EPZ), awarding the initiative to China Metallurgical Group Corporation (CMGC), which is already managing the Saindak gold and copper project.
The Economic Coordination Committee (ECC) recently approved the proposal during its review of a summary presented by the Industries and Production Division. The ECC was briefed that the Export Processing Zone Authority (EPZA), established under the EPZA Ordinance of 1980, is tasked with managing EPZs to foster industrialisation and export growth.
Located in Chagai district, the same region as the Reko Diq copper and gold mining project, the Siah Dik EPZ will focus on mining and processing copper concentrate.Â
The zone will be operated by Kohesultan Mining Company (Pvt) Limited (KMCL), a joint venture comprising Tongsin Resources Limited—a subsidiary of CMGC—and local partner Siakoh Mineral Development (Pvt) Limited. The project spans 296 acres, with mineral leases covering an additional 4,295 acres.
Incorporating private-sector EPZs into the ordinance under recent amendments and the Private and Public Participated Export Processing Zones Rules, 2023, aims to attract foreign direct investment, create employment opportunities, and bring advanced technologies to Pakistan.
Under the agreement, the project will be completed within three years. Any breach of the agreement could result in legal action, including revocation of the EPZ status. Although the zone will not house a downstream copper facility, the Industries and Production Division emphasised that the project is expected to significantly boost regional economic activity.
