Capital has entered into a multi-year mining services agreement with Reko Diq Mining Pakistan, the operating company for the Reko Diq copper-gold project managed by Barrick Gold.
The Reko Diq project is located in Balochistan, Pakistan.
The agreement covers key development activities and is expected to generate annual revenue exceeding $60m once fully operational for Capital. The contract is set to run through December 2028, with a provision for a five-year extension.
Capital executive chair Jamie Boyton said: “Reko Diq is set to be the next truly major copper operation in the world and so it is exciting for us to be bringing our services to the site at the very beginning of its development, first through drilling and now adding mining services.
“Today highlights the strategy core to Capital of focusing on adding our services at long-term contracts at world class assets.”
Under the agreement, Capital will deliver two major scopes of work. The first involves early-stage civil works required during the construction phase of the project.
Mining equipment previously deployed at the Belinga site has been transported to Reko Diq, where commissioning has commenced.
The company has stated that the onboarding process for personnel is nearly complete and operational training is underway. Full run rate for this scope is targeted for Q4 2025.
The second component of the contract relates to mining services for the tailings storage facility (TSF), including both construction and maintenance.
Capital intends to utilise equipment previously used at the Sukari project to support these activities. Initial mobilisation is expected to begin in Q4 2025, with full utilisation anticipated in the second half of 2026.
In addition to these scopes, Capital continues to provide reverse circulation and diamond drilling services for geotechnical work at Reko Diq. These services, which began in 2023, expand upon the company’s long-standing engagement in Pakistan, which dates back to 2008.
The Reko Diq project is jointly owned by Barrick Gold (50%), three federal state-owned enterprises (25%), and the Government of Balochistan (25%).
Based on feasibility assessments conducted by Barrick, Reko Diq is expected to be among the 10 largest copper producers globally once operational, with a projected C1 cash cost of $0.53 per pound.
The estimated mine life of the project is approximately 37 years. Barrick has also identified further exploration potential that may support an extension of the mine’s operational timeline beyond current projections.
