Barrick Gold decelerates Reko Diq project amid escalating regional security fears

WEB DESK: The mining giant confirmed it will extend its ongoing project review by a further 12 months, effective from July.

This cautious pivot follows a preliminary assessment initiated in February 2026, which scrutinized capital allocation and operational feasibility.

While the company insists the move is a strategic adjustment rather than a total suspension, the delay signals a cooling of momentum for what is considered one of the world’s most significant untapped mineral deposits, according to Reuters.

A strategic pause for risk assessment

The decision to extend the review period is designed to allow Barrick to conduct a “deeper assessment” of the mounting risks associated with the Balochistan-based project. By slowing the pace of activity, the firm aims to refine its delivery strategy to better withstand regional volatility.

The company explicitly linked this deceleration to the recent escalation of security threats within Pakistan and the broader Middle East.

According to a company statement, these evolving conditions necessitated a more “cautious evaluation” of how long-term investment and site operations can be safely maintained.

Despite the reduced tempo, Barrick maintains that the site will remain under active management to ensure its eventual viability.

Shifts in timelines and financial projections

This change in pace is expected to have a knock-on effect on the project’s previously published budgets and completion dates.

A spokesperson for Barrick Gold noted that earlier financial projections may no longer be accurate as the 12-month extension unfolds. The company has promised to update the market as new, more stable timelines emerge from the review process.

Located in the volatile province of Balochistan, Reko Diq is a cornerstone of Pakistan’s hopes for foreign direct investment.

While the slowdown is a blow to immediate economic expectations, Barrick reiterated its belief in the deposit’s “long-term value,” framing the current delay as a necessary step in navigating a complex geopolitical climate.