Platinum Mining Company (Pvt) Ltd signed a Joint Venture Agreement with the Government of Balochistan to develop the country’s first mineral processing project on August 31, 2023, at the BMRL office in Quetta. Mr. Ismail Suttar, President LCCI, represented Platinum Mining Company (Pvt) Ltd. in this mutual collaboration with Balochistan Mineral Resource Limited, represented by Mr. Saeed Sarpara, MD BMRL, to value-add and convert raw fluorite ore into acid-grade calcium fluorite that will be sold as a feedstock to many chemical industries established internationally. The Honourable Minister of Mines and Minerals, Mr. Umair Hasni, witnessed the signing of this historic JV.
President LCCI says that after long and thoughtful brainstorming sessions with both the office teams, we have carefully worded the JV agreement that will be mutually beneficial for the private sector company and the Government of Balochistan and, most importantly, to benefit the SME sector at large.
Ismail emphasised that we are exporting our raw ore at a bare minimum price converted into valuable products like steel, chemicals, and ozone-friendly refrigerants in countries like China, Turkey, USA, etc. and is re-purchased by Pakistan at extremely high prices. He stressed that we must start developing value-added products if we wish to straighten our trade balance deficit.
After thorough research, PMCL and LCCI established that the average available fluorite resource in the district of Loralai is found to be 1.6 million tons; the company will start its extraction in the region and will convert this available raw ore into acid-grade calcium fluorite in its production facility installed in Hub Balochistan, says Ismail. He added that BMRL will enjoy a share of 5% of the profits without investing in the project. This share is beneficial for the development of the province.
MD BMRL, Mr Saeed Sarpara, has declared the JV agreement as the first of its kind that is not only restricted to mining but also explores the avenues of value-addition and has identified this project worth 3 billion rupees. At the same time, Honourable Minister of Mines and Minerals, Mr. Umair Hasni, congratulated PMC and BMRL and thanked Mr. Ismail Suttar for his unwavering support and efforts to develop this precious sector.
President LCCI applauds the Honourable Minister of Mines and Minerals’ positive remarks and efforts for understanding that the province’s development starts from the development of the areas from where the mineral is extracted. He added that Pakistan is not an export-oriented country at the moment, and this JV is a stepping stone that will be a gateway for establishing new industries, enhancing trade value through exports of value-added products and tapping new regional and export markets. Mr. Umair Hasni also made an important comment regarding mineral policy revision. He said they are working tirelessly to devise a new mineral policy that will be investor-friendly and contribute positively to the Province and the Country.
President LCCI appreciates MD BMRL’s efforts in bringing forth this day that laid the foundations of Pakistan’s first-ever mineral value addition project. The project is already in its development stages. Platinum Mining Company (Ltd) is the first investor to share our industrial development vision with time; it will pave the way for hundreds of such companies and projects that the Government of Balochistan and LCCI will facilitate.
MD BMRL, President LCCI and Minister Mines and Minerals are confident that our joint efforts will open new vistas of investment in Pakistan, and we will see Pakistan as a chemical hub in Asia over the next few years.