Washington strengthens ties with Pakistan over minerals and hydrocarbons

The United States plans to collaborate with Pakistan on critical minerals and hydrocarbons, exploring joint ventures and projects in strategic areas such as Balochistan.

Share:

Comprehensive energy news coverage, updated nonstop

Annual subscription

8.25€/month*

*billed annually at 99€/year for the first year then 149,00€/year ​

Unlimited access • Archives included • Professional invoice

OTHER ACCESS OPTIONS

Monthly subscription

Unlimited access • Archives included

5.2€/month*
then 14.90€ per month thereafter

FREE ACCOUNT

3 articles offered per month

FREE

*Prices are excluding VAT, which may vary depending on your location or professional status

Since 2021: 35,000 articles • 150+ analyses per week

The United States has announced its intention to develop targeted economic cooperation with Pakistan in the field of critical minerals and hydrocarbons. On the occasion of Pakistan’s national day, U.S. Secretary of State Marco Rubio stated that Washington aimed to expand its economic partnerships into sectors deemed strategic, particularly natural resources.

Joint mining projects in Balochistan

Pakistani Minister of Commerce Jam Kamal stated that joint ventures were being offered to American companies to exploit mining deposits in the country’s southwest. The Reko Diq deposit, located in Balochistan province, is one of the world’s largest in terms of gold and copper reserves. The site is currently being developed by Barrick Gold Corporation.

A bilateral trade agreement concluded in July, which the Pakistani government presents as a lever for tariff reductions and increased investment, has paved the way for these discussions. However, no specific timeline or investment amounts have been made public so far.

Shifts in diplomatic and security dynamics

This economic rapprochement is part of a normalisation trend between the two countries, following several years of strained relations. Past tensions were notably linked to U.S. policy in Afghanistan and accusations of Pakistani support for certain armed groups. Pakistan has consistently denied these claims.

On Tuesday, the two countries held a bilateral counterterrorism dialogue in Islamabad. The U.S. Department of State welcomed Islamabad’s commitment, particularly in the fight against the Balochistan Liberation Army, which U.S. authorities have designated a foreign terrorist organisation.

Outlook for expanding trade relations

According to Marco Rubio, these discussions reflect a willingness to “foster dynamic economic relations” between the two countries, including in hydrocarbons and so-called strategic minerals. The Department of State also expressed appreciation for Pakistan’s role in regional stability and counterterrorism efforts.

Michael Kugelman, an analyst at Foreign Policy magazine, described the joint statement from the security dialogue as “the most positive” he had heard from Washington and Islamabad in several years. On the Indian side, however, foreign mediation remains firmly excluded from negotiations with Pakistan.

An emergency meeting led by the European Commission gathers key sectors affected by China's export restrictions on rare earths, ahead of a briefing at the European Parliament.
Manila plans to expand gas and renewable energy production to meet a 6.6% increase in electricity demand over the next two years.
Ottawa and London increased bilateral exchanges to structure strategic cooperation on nuclear energy and critical minerals supply chains, as part of Canada’s G7 presidency.
Donald Trump says he secured Narendra Modi’s commitment to end Russian oil imports, adding political pressure to India-Russia trade relations.
Under intense diplomatic pressure from Washington, member states of the International Maritime Organization agreed to postpone by one year the adoption of a carbon pricing mechanism for global maritime transport.
Washington confirms it has mandated the CIA to carry out secret actions against Nicolas Maduro’s government, escalating tensions between the United States and Venezuela amid geostrategic and energy stakes.
Two European Parliament committees propose to advance the full halt of Russian hydrocarbon imports to 2026 and 2027, including oil, gas, and LNG, strengthening the European Union’s geopolitical position.
The COP30 conference hosted in the Amazon by Brazil faces low participation from global leaders, amid geopolitical tensions and major logistical challenges.
The United States has granted Trinidad and Tobago a special licence to resume negotiations with Venezuela on the Dragon gas field, partially lifting restrictions imposed on the Venezuelan energy sector.
Ambassadors of European Union member states have approved the transmission of a legislative proposal to phase out Russian fossil fuel imports by January 2028 to the Council of Ministers.
The State Duma has approved Russia’s formal withdrawal from a treaty signed with the United States on the elimination of military-grade plutonium, ending over two decades of strategic nuclear cooperation.
Polish Prime Minister Donald Tusk said it was not in Poland’s interest to extradite to Germany a Ukrainian citizen suspected of taking part in the explosions that damaged the Nord Stream gas pipelines in 2022.
Al-Harfi and SCLCO signed agreements with Syrian authorities to develop solar and wind capacity, amid an ongoing energy rapprochement between Riyadh and Damascus.
Faced with risks to Middle Eastern supply chains, Thai and Japanese refiners are turning to US crude, backed by tariff incentives and strategies aligned with ongoing bilateral trade discussions.
France intercepted a tanker linked to Russian exports, prompting Emmanuel Macron to call for a coordinated European response to hinder vessels bypassing oil sanctions.
The activation of the snapback mechanism reinstates all UN sanctions on Iran, directly affecting the defence, financial and maritime trade sectors.
Commissioner Dan Jørgensen visits Greenland to expand energy ties with the European Union, amid plans to double EU funding for the 2028–2034 period.
European and Iranian foreign ministers meet in New York to try to prevent the reinstatement of UN sanctions linked to Tehran’s nuclear programme.
Canadian Prime Minister Mark Carney announces a bilateral agreement with Mexico including targeted investments in energy corridors, logistics infrastructure and cross-border security.
The US president has called for an immediate end to Russian oil imports by NATO countries, denouncing a strategic contradiction as sanctions against Moscow are being considered.

All the latest energy news, all the time

Annual subscription

8.25€/month*

*billed annually at 99€/year for the first year then 149,00€/year ​

Unlimited access - Archives included - Pro invoice

Monthly subscription

Unlimited access • Archives included

5.2€/month*
then 14.90€ per month thereafter

*Prices shown are exclusive of VAT, which may vary according to your location or professional status.

Since 2021: 30,000 articles - +150 analyses/week.