Australian iron ore company keen to invest in Pakistan

ISLAMABAD: Fortescue Metals Group, the world’s fourth biggest Australian iron ore producer, on Monday expressed keen interest to invest in hydropower, green fertiliser and steel production in Pakistan.

A delegation of Fortescue Metals Group, headed by its chairman Andrew Forrest, called on Adviser to the Prime Minister on Commerce and Investment Razak Dawood. Board of Investment Chairman Atif Bokhari, Secretary Fareena Mazhar, and others attended the meeting.

It was informed that the group intends to invest in Pakistan to establish new technologies with zero carbon emissions, particularly green fertilser and green steel production plants. The company is incorporated in Australia.

Pakistan had been involved in the past in a dispute with Australian company Tethyan Copper over the multi-billion-dollar Reko Diq copper and gold reserve in Balochistan. Fortescue delegation visited some of the possible sites for their ventures. It was informed in the meeting that the sites in Pakistan have a lot of potential and value in terms of energy source, which can sustain the industry to support the future of Pakistan.

“Pakistan is one of the short-listed countries, which are being actively explored for investments,” a statement said. “The investment from Fortescue will result in generating economic opportunities for local communities, employment and large-scale development of green industry for export market and domestic consumption. In addition, it will result in diversification, broadening and up-skilling of workforce in Pakistan.”

The investment would focus on green industry, starting from generation of hydropower and development of industry in the associated land, which would be owned and operated by the group with the help of local partners.

Active engagement from the government and local communities, sustainable environmental practices, rapid decision-making and speedy access to markets are the criteria considered for shortlisting of Pakistan as a potential destination.

Dawood said the approach of the group is unique and it would result in knowledge and technology transfer to Pakistan. “The workforce of Pakistan is quite capable of learning and adapting to new technologies quickly and the investment would result in improving of our labor market,” he said. “The board of Investment would act as the focal point for the group and actively resolve any issues that may arise during different stages of materialisation of their plans.”

The adviser appreciated the approach of the group for giving employment opportunities to indigenous communities, which is also a benchmark for their investment plans in Pakistan. Forrest appreciated the support and enthusiasm of the government.

“Pakistan is one of the few countries in the world which is ensuring the gender balance in employment opportunities,” he said. “The group also plans to train and employ women to endorse the efforts of the government.”