London-listed mining services company Capital has concluded formal negotiations and has signed a mining services contract with Reko Diq Mining Pakistan – operated by  Canadian miner Barrick Gold Corporation – for the Reko Diq project, in Pakistan.

The company says this “transformative” agreement sets the stage for long-term success, with operations extending through to December 2028 and generating over $60-million in yearly revenue once fully operational.

The agreement also includes a provision for a five-year contract extension after 2028.

Capital notes that the contract includes two major scopes of work.

The first is early works civils, focusing on the construction phase at Reko Diq, prior to first production.

Leveraging its mining equipment previously at the Belinga iron-ore project, in Gabon, the company says it will hit full run rate from the fourth quarter of this year.

This equipment is already on site, with commissioning under way, while the onboarding of the work force is nearly complete and operational training has begun.

The second scope of works includes tailings storage facility (TSF) mining services.

This phase focuses on the construction and ongoing maintenance of the TSF.

Using the majority of the fleet from the Sukari mine, in Egypt, Capital says its team will begin operations at the start of the fourth quarter of this year, reaching full utilisation in the second half of 2026.

With this contract, Capital says it is significantly expanding its service offering at the Reko Diq copper/gold project, building on its “proven record” since 2023 and its longer-term association with Pakistan dating back to 2008.

Alongside the new civils and TSF services, the company says it will continue to deliver reverse circulation and diamond drilling geotechnical services, showcasing its “unwavering commitment to operational excellence and project success”.

“This is an exciting new chapter for Capital and a testament to our ongoing partnership with Pakistan and Barrick. We look forward to the opportunities ahead and delivering outstanding results at Reko Diq,” the company expresses.

REKO DIQ
Barrick owns 50% of Reko Diq, with a further 25% held by three federal State-owned enterprises and 25% by the government of Balochistan.

Once the project is ramped up, based on Barrick's feasibility study, Capital says the operation will be among the Top 10 copper mines globally by production while also being among the lowest cost operations in the world with a C1 cash cost of just $0.53/lb.

The company says the long-term outlook of this operation is also compelling, with an estimated life-of-mine of about 37 years. Barrick has also reported exploration targets that could support a significant further extension to the mine life.

"Reko Diq is set to be the next truly major copper operation in the world and so it is exciting for us to be bringing our services to the site at the very beginning of its development, first through drilling and now adding mining services.

“Today highlights the strategy core to Capital of focusing on adding our services at long-term contracts at world class assets. We are also thrilled to be able to redeploy the majority of our mining kit from our previous two mining contracts and continue to drive a return from this investment,” says Capital executive chairperson Jamie Boyton.