Pakistan and US Sign MoU on Critical Minerals Exploration

A high-level US delegation, including USSM (United States Strategic Metals) and Mota-Engil, renowned global companies in the mining and infrastructure sector, visited Pakistan from 7 to 9 September 2025 to explore opportunities for expansion of mining operations in Pakistan and assess potential for value addition in mineral resources and development of supporting infrastructure. Delegation held high-level meetings with the Prime Minister of Pakistan, Chief of Army Staff (COAS), Minister of Petroleum, and Minister of Commerce, and were briefed on Pakistan’s vast mineral reserves, including copper, gold, and rare earth elements. Pakistan and the United States have signed a Memorandum of Understanding (MoU) to enhance cooperation in the exploration and production of critical minerals. The event was attended by senior officials, including the US Acting Deputy Chief of Mission, Zach Harkenrider, and other dignitaries. The Frontier Works Organization (FWO) – Pakistan’s largest miner of critical minerals – signed a landmark Memorandum of Understanding (MoU) with 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 towards 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 U.S. market. The first phase of this deal is envisaged at approximately $500 million of investments into Pakistan’s critical minerals sector. 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 the people of both nations. In addition, both parties will also explore innovative financing and digital solutions such as tokenisation of critical minerals, enabling global investors to participate in Pakistan’s mineral wealth and further accelerating transparency, liquidity, and value creation across the sector. Speaking on the occasion, US Chargé d’Affaires Natalie Baker highlighted the significance of the agreement, calling it a testament to the strengthening bilateral ties between the two nations. “This MoU is a valuable example of the strong and mutually beneficial relationship between the United States and Pakistan,” said Baker. She added that the Trump administration had prioritized such bilateral agreements, recognizing the importance of critical mineral resources. Baker expressed optimism about the collaboration, stating, “We are hopeful for more agreements with American companies in Pakistan’s mining and minerals sector. USSM’s visit to Islamabad marks a significant milestone in this regard.” USSM has committed to cooperating with Pakistan in the production of critical minerals, which are essential for various industries, including technology and renewable energy. The partnership is expected to strengthen economic ties and open new avenues for collaboration in the mining and minerals sector. Baker described the agreement as a “far-reaching partnership” with immense potential for both countries. “This agreement will not only bolster economic relations but also pave the way for long-term collaboration in critical mineral production,” Baker added. Similarly, the National Logistics Corporation of Pakistan signed an MoU with Mota-Engil Group, which is a global leader in engineering and construction 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 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.