ISLAMABAD: Pakistan and the United States Monday signed two landmark MoUs, focusing on development and processing of critical minerals, including rare earth elements (REEs), and logistics services.
The MoUs were signed during the visit of a high-level US delegation, representing United States Strategic Metals (USSM) and Mota-Engil Group, to the Prime Minister’s House. Deputy Prime Minister and Foreign Minister Ishaq Dar, Chief of Army Staff Field Marshal Asim Munir and federal ministers attended the meeting.
The delegation is visiting Pakistan for exploration of opportunities to expand the mining operations and assess the potential for value addition in mineral resources and development of supporting infrastructure, a statement issued by the PM media office said.
The delegation held high-level meetings with the prime minister, chief of army staff (COAS), minister of petroleum and minister of commerce and was briefed on Pakistan’s vast mineral reserves, including copper, gold, and rare earth elements.
The companies expressed readiness to invest in establishing value-addition facilities in the country, enhancing mineral processing capacity, and developing large-scale infrastructure projects linked to the mining sector.
In this context, two Memoranda of Understanding (MoUs) focusing on development and processing of critical minerals, including rare earth elements (REEs), and logistics services, were signed between the two governments.
The Frontier Works Organization (FWO) – Pakistan’s largest miner of critical minerals – signed a landmark MoU with the United States Strategic Metals (USSM), a leading processor, recycler, and miner based in St. Louis, Missouri.
The agreement establishes a framework for collaboration across a range of critical minerals essential for the defense, aerospace, and technology industries. The partnership will begin immediately with the export of readily available minerals from Pakistan, including antimony, copper, gold, tungsten, and rare earth elements.
This cooperation lays the foundation for scaling up toward the establishment of a USSM proprietary, highly flexible poly-metallic refinery in Pakistan. The refinery will produce intermediate and finished products dedicated to meeting the rapidly growing demand of the US market.
The first phase of this deal is envisaged at approximately $500 million of investments into Pakistan’s critical minerals sector. This collaboration further strengthens the enduring bilateral relationship while unlocking new opportunities for sustainable growth, technology transfer, and job creation.
The next steps for the MoU include forming dedicated teams to explore the full potential of Pakistan’s vast resource base, identifying critical minerals for immediate export, and building an anchor position for a long-term partnership in exploration, extraction, and processing. Importantly, the cooperation will prioritize sustainability, profitability, and environmental responsibility to ensure benefits for both nations.
In addition, both parties will also explore innovative financing and digital solutions such as tokenization of critical minerals, enabling global investors to participate in Pakistan’s mineral wealth and further accelerating transparency, liquidity, and value creation across the sector.
Similarly, the National Logistics Corporation of Pakistan signed a MoU with Mota-Engil Group, which is a global leader in engineering and construction, and is actively working new opportunities to expand its footprint across West Asia.
The current survey of opportunities in Pakistan aims to identify priority markets where Mota-Engil Group can align with government visions and private sector initiatives. The Group seeks to build long-term partnerships that leverage its global know-how while creating value locally through job creation, technology transfer, and sustainable development.
The visit of the delegation and signing of the aforementioned MoUs mark a milestone in Pakistan’s efforts to attract global investment in the mining and logistics sectors. Jamila Achakzai adds: Acting Deputy Chief of Mission at the US Embassy Zach Harkenrider accompanied a delegation led by US Strategic Metals (USSM) to sign a memorandum of understanding with the FWO at the Prime Minister’s House.
Chargé d’Affaires (CDA) Natalie Baker said the MoU signing was yet another example of the strength of the US-Pakistan relationship that would benefit both countries. The USSM is focused on producing and recycling critical minerals, which the US Department of Energy has defined as essential in a variety of technologies related to advanced manufacturing and energy production.
About the importance of such bilateral agreements, Baker said the current Trump administration had made the forging of such deals a key priority given the importance of critical mineral resources to American security and prosperity.
“We look forward to seeing future agreements between the US companies and their counterparts in the critical minerals and mining sector in Pakistan,” she said. Representatives of USSM and Mota-Engil, global leaders in the mining and infrastructure sectors, visited Pakistan from September 7 to 9 to explore opportunities for expanding mining operations and value addition in mineral resources, along with the development of supporting infrastructure.
The visitors were briefed on Pakistan’s vast mineral reserves, including copper, gold and rare earth elements. The US Embassy facilitated the visit, underscoring strong bilateral engagement in the economic and investment domains.
The visitors expressed readiness to invest in establishing value-addition facilities within Pakistan, enhancing mineral processing capacity and developing large-scale infrastructure projects linked to the mining sector.