The saga of Tethyan Copper Co’s (TCC) efforts to develop the Reko Diq mine found resolution last week with an International Centre for Settlement of Investment Disputes (ICSID) ruling in favor of TCC following a dispute that has rumbled on for years.
TCC, owned jointly by Antofagasta and Barrick Gold Corp, ditched its original intention of developing Reko Diq back in 2013, a couple of years into arbitration. Former company chief executive officer Tim Livesey stated at the time that the conduct of the governments of Pakistan and Balochistan had made that goal impracticable.
It’s a classic example of the dilemma facing miners as they seek to find new deposits to develop: In short, all the easy mining projects have been taken. New greenfield mines are going to require companies to explore and develop in areas where the risks are heightened but the rewards are immense.
When Antofagasta agreed to buy TCC...