Share this story!            

Resource investment risky in Balochistan

QUETTA: Insurgency and fears of the spread of Talibanisation are likely to keep a lid on foreign investment in Balochistan.

For decades, separatists in Balochistan have been fighting for control of the province’s resources. While hard-nosed investors have been managing that risk, new danger lurks.

“Statements about possible drone strikes in Balochistan could make investors more reluctant to operate in the province, or in Pakistan,” said Claudine Fry, a London-based analyst for Control Risks Group.

Pakistan’s unexplored gas reserves are estimated at 62.26 trillion cubic feet with oil reserves at 3.5 billion barrels. The province also has substantial deposits of copper, iron, zinc and coal.

“The security situation is a concern in Pakistan and not just in Balochistan,” said an official of Tethyan Copper Co (TCC) Pakistan Ltd, a joint venture between Canada and Chilean firms, granted an exploration licence for the Reko Diq site with ore reserves estimated at over 4 billion tonnes. “Despite the concerns, TCC considers security to be manageable enough,” he said.

“When we are independent we will bring our own investors,” Sher Muhammad Bugti, spokesman for the separatist Balochistan Republican Party, said by telephone from an undisclosed location.

Balochistan Economic Forum (BEF) President Shaukat Popalzai said no one was strong enough to destabilise the province or break it away from Pakistan. reuters

Home | National

Share this story!