By Rishita Sogani
Pakistan has sent its first-ever shipment of rare earth minerals under a $500 million agreement signed last month with an American company. The deal aims to explore and develop the country’s vast — but largely untapped — mineral resources in hopes of easing its mounting debt burden.
The initial shipment includes:
- Antimony
- Copper concentrate
- Rare earth elements such as neodymium and praseodymium
The agreement was signed between US Strategic Metals (USSM), a Missouri-based company, and Pakistan’s military-run Frontier Works Organisation (FWO). USSM specializes in the production and recycling of critical minerals — materials the U.S. Department of Energy classifies as essential for modern technologies.
In a statement, USSM called the MoU “a significant milestone in the strategic partnership between Pakistan and the United States,” stating that it outlines cooperation in exploration, processing, and refining of minerals within Pakistan.
For years, Pakistan has courted foreign investors by showcasing its rare earth reserves, estimated to be worth nearly $6 trillion, according to Dawn. However, despite these bold claims, several international firms have previously exited the country after failing to find the mineral wealth they were promised.
The recent deal has sparked criticism within Pakistan, especially from the Pakistan Tehreek-e-Insaf (PTI) party led by former Prime Minister Imran Khan. PTI has raised concerns about national sovereignty and transparency, citing the secrecy surrounding the agreement’s terms and long-term implications.
Despite the backlash, the current government seems intent on leveraging the mineral sector to build stronger economic ties with the U.S. — particularly with the return of a deal-driven Trump administration, which is seeking new sources of critical minerals to reduce reliance on China.