• US Strategic Metals signs a $500 million MoU to boost Pakistan's critical minerals sector.
• The deal aims to enhance production and recycling of essential minerals like gold and antimony.
• This agreement is part of ongoing efforts to strengthen US-Pakistan economic ties.

Pakistan has signed a memorandum of understanding (MoU) with the Missouri-based American metals company, US Strategic Metals (USSM), worth $500 million, to boost its critical minerals sector. This agreement was formalized at a ceremony attended by Zach Harkenrider, acting deputy chief of the US Embassy in Islamabad, and members of the Frontier Works Organisation (FWO) at the Prime Minister's House, according to Dawn and TRT Global.

US Strategic Metals focuses on producing and recycling critical minerals, such as cobalt, nickel, and copper, which are deemed essential by the US Department of Energy for advanced manufacturing and energy production. The MoU signing underscores the strategic importance of these resources, according to comments from US Chargé d’Affaires Natalie Baker, who stated, “This signing is yet another example of the strength of the US-Pakistan bilateral relationship that will benefit both countries,” as reported by Dawn and India Times.

The agreement also aims to facilitate the establishment of poly-metallic refineries in Pakistan and includes plans for immediate commencement of mineral exports, including copper, gold, and rare earth elements. This initiative is intended to build local processing capabilities alongside enhancing mineral extraction efforts, as highlighted by a statement from the Pakistan PM's office, according to India Times and TRT Global.

This partnership follows a recent trade pact that has led to reduced tariffs between the US and Pakistan, reflecting improved diplomatic and economic relations. Pakistan's strategic mineral reserves, especially those located in conflict-prone areas like Balochistan, have been highlighted as critical to both nations’ economic futures, as emphasized by senior US officials, according to Dawn and India Times.