Pakistan Mining Law: Lexology Panoramic Guide
We authored the Pakistan chapter of the Lexology Panoramic Mining Guide, an essential reference for understanding the legal and regulatory framework governing Pakistan’s mining sector. The comprehensive guide provides an in-depth examination of the laws, policies and opportunities shaping Pakistan’s rapidly evolving mining industry. With vast untapped mineral wealth—particularly along the Tethyan copper-gold belt in Balochistan—Pakistan’s mining sector is poised to become a major driver of foreign investment and industrial growth.
The chapter examines how mining regulation operates at the provincial level under Pakistan’s Constitution. Each province—Punjab, Sindh, Balochistan and Khyber Pakhtunkhwa—administers its own mining legislation covering licensing, extraction and mineral development. Notably, the Balochistan Mines and Minerals Act 2025 introduces a modernised framework that categorises licences more effectively, distinguishes surface rights from mining rights and imposes social obligations on mining operators. “With the enactment of the Balochistan Mines and Minerals Act 2025 and the proposed National Minerals Harmonisation Framework, Pakistan is taking significant steps to modernise its mining governance,” commented Bilal Shaukat (Managing Partner – Pakistan) at RIAA Barker Gillette.
The guide explores mining rights and title acquisition in detail. Under Pakistan law, all minerals in their natural condition are the property of the respective provincial government. Private parties may obtain mining rights only through licences or leases granted by provincial licensing authorities. These include reconnaissance licences, exploration licences, mineral deposit retention licences, and mining leases for both large-scale and small-scale operations. Large-scale mining leases are typically granted for up to 30 years, with renewal periods varying by province. The chapter details the application process, eligibility criteria, and ongoing compliance obligations for each type of mineral title.
The chapter further addresses the foreign investment regime, including Pakistan’s bilateral investment treaties and the landmark Reko Diq copper-gold project in Balochistan, which has attracted substantial global interest from investors such as Barrick, Saudi Arabia’s Manara Minerals and Abu Dhabi’s International Holding Company. The chapter also discusses incentives under the Foreign Investment (Promotion and Protection) Act, 2022 and the Inter-Governmental Commercial Transactions Act, 2022 and protections available to foreign investors, including access to ICSID arbitration under Pakistan’s extensive network of bilateral investment treaties. “The Reko Diq project and growing interest from global investors highlight why understanding Pakistan’s mining law framework is more important than ever,” said Shafaq Rehman, (Partner-Pakistan) at RIAA Barker Gillette.
Additionally, the chapter details the fiscal obligations of mining operators, including royalties, annual rents and surface compensation. It covers environmental review requirements, mandatory environmental impact assessments and closure and remediation processes enforced by provincial environmental protection agencies. The guide also analyses community engagement and corporate social responsibility obligations that mining operators must fulfil under each province’s laws.
“This guide serves as a valuable resource for investors and businesses seeking to navigate Pakistan’s complex mining regulations and capitalise on the sector’s immense potential,” said Hasnain Naqvee, (Senior Partner – Pakistan) at RIAA Barker Gillette.
For a comprehensive overview of the legal framework governing Pakistan’s mining sector, please read the full Pakistan chapter of the Lexology Panoramic Mining Guide, authored by Hasnain Naqvee, Bilal Shaukat, Shafaq Rehman and Parus Qureshi.
For advice on miming laws in Pakistan, please contact Hasnain Naqvee, Bilal Shaukat and Shafaq Rehman.
This article is not legal advice; it provides information of general interest about current legal issues.
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RIAA Barker Gillette is Pakistan’s premier law firm, with an on-the-ground presence in three major cities in Pakistan: Karachi, Islamabad and Lahore, and affiliated offices in Dubai (DIFC) and London.
The firm practices in all areas of corporate, commercial and dispute resolution law. Leading international legal directories consistently recognise the firm as a top-tier law firm in Pakistan.
RIAA Barker Gillette is the exclusive member firm in Pakistan for Lex Mundi, the world’s leading network of independent law firms with in-depth experience in over 125 countries worldwide.
