Punjab govt eyes mining transparency

Bill introduced in provincial assembly aims to unlock mineral wealth

LAHORE:

The provincial government has introduced the Punjab Mines and Minerals Bill 2025 as part of the country's effort to unlock its mineral wealth amid intensifying geopolitical competition for critical resources.

The bill introduced in Punjab Assembly proposes a legal framework to regulate mining, ensure transparency, and curb illegal extraction across the province.

It calls for the establishment of a licensing authority to oversee the issuance and suspension of mining permits and the creation of a uniformed mining and minerals force to arrest offenders and operate dedicated police stations to combat unlawful mining.

To fast-track dispute resolution, special courts will be constituted for mineral-related cases, with appeals routed through the sessions courts A new Exploration Promotion Division will also be formed with a detailed geological database aimed at facilitating scientific exploration, policy planning, and investor confidence.

The bill introduces bidding procedures and stiffer penalties for violations, and the repeal of outdated mining regulations.

Officials say the legislation is designed to bring Punjab's mining governance "in line with global standards," streamline investor licensing, and promote scientifically responsible and environmentally sustainable mining practices.

Pakistan's accelerated focus on the mineral sector is unfolding against a backdrop of intensifying global resource competition. Over the past two decades, China's dominance in rare earth elements (REEs) — critical for electronics, renewable energy, and defence — has reshaped global supply chains. Recent efforts by the United States to reduce dependence on China have fuelled the race for alternative sources. China still controls around 70 per cent of the world's refining capacity and over 90% of rare earth separation and processing, prompting the US, Japan, and the European Union to urgently seek diversified and secure supply chains.

This global "critical minerals scramble" has positioned countries like Pakistan — home to an estimated $6 trillion worth of mineral deposits, including copper, gold, lithium, cobalt, and rare earth elements — as key potential partners in new supply networks.

The urgency intensified this year when the Pakistan-US Critical Minerals Partnership was launched. Pakistan made its first shipment of rare earth minerals to the US under a new investment arrangement.

Meanwhile, Saudi Arabia, Kuwait, and Western firms have expressed growing interest in Pakistan's mining sector.

Chief Minister Maryam Nawaz Sharif underscored this new direction during her meeting with US Consul General Stetson Sanders, where she invited American investors to explore Punjab's mineral and industrial potential. She described Punjab as an emerging global investment hub, highlighting the province's strong legal reforms, cultural richness, and e-business initiatives.

"The new mining bill is not just administrative reform — it's a signal that Punjab is ready for responsible, large-scale investment," said a senior official of the Mines and Minerals Department. "If Pakistan wants to benefit from the global shift away from Chinese supply chains, our provinces must provide investors with certainty, security, and transparency."