Pakistan, KSA eyeing Reko Diq deal in ‘next few months’

ISLAMABAD: Pakistan and the Kingdom of Saudi Arabia (KSA) are moving towards finalising the nitty-gritty of the multibillion dollar Reko Diq project in the next few months.In another relevant development, the revised valuation of the project has been accomplished and both sides are at the stage of finalising the nitty-gritty of the project.

The KSA will procure 10 percent stakes at the first stage followed by an increase in future.

“One of the major stumbling blocks in finalising the project was resolved amicably, as Saudi Arabia wanted to keep a bank account outside Pakistan for utilising the foreign exchange amount in case of procurement of any machinery. Now both sides have agreed that the foreign exchange would be brought into Pakistan and both sides have also struck a broader agreement to this effect,” a top official privy to the ongoing negotiations disclosed to The News on Friday. Asked about any timeframe for striking the deal, the official said it could not be ascertained yet but the deal was heading towards final stages and could be struck anytime in near future.

To another query about the revised valuation of project shares, he said the project was in its preparatory stage but the revised exercise resulted in improved valuation of the shares.

The results of the updated valuation have been shared with the other side and negotiations are reaching the conclusion stage, said the official.