U.S. Strategic Metals (USSM) on Monday signed a Memorandum of Understanding (MoU) with Pakistan’s Frontier Works Organization (FWO) for a landmark investment of around $500 for its critical minerals sector.
In a statement, the Prime Minister’s Office said the two sides signed two MoUs at the Prime Minister’s House during the visit of a high-level U.S. delegation, including representatives from USSM and Mota-Engil, a global mining and infrastructure group. The agreements cover cooperation in the development and processing of critical minerals, including rare earth elements, as well as logistics services.
The FWO is Pakistan’s largest miner of critical minerals while USSM is a leading U.S.-based processor, recycler and miner. The deal establishes a framework for collaboration across a range of strategic minerals essential for the defense, aerospace, and technology industries.
Under the agreement, the partnership will begin with the immediate export of minerals such as antimony, copper, gold, tungsten, and rare earth elements, while laying the groundwork for establishing USSM’s proprietary poly-metallic refinery in Pakistan. The facility will produce intermediate and finished products to meet the rising demand of the U.S. market.
Prime Minister Shehbaz Sharif witnessed the signing alongside Deputy Prime Minister and Foreign Minister Ishaq Dar, Chief of Army Staff Field Marshal Asim Munir, and federal ministers. The delegation also held separate meetings with the COAS, petroleum minister, and commerce minister to review Pakistan’s mineral wealth, including copper, gold, and rare earth elements.
The Prime Minister’s Office said the cooperation aims to unlock new opportunities in sustainable growth, technology transfer, and job creation, while prioritizing environmental responsibility. Future steps would include the formation of dedicated teams to identify critical minerals for export, scale up exploration and processing operations, and explore innovative financing solutions such as tokenization of minerals to attract global investors, the statement added.
Also on Tuesday, the National Logistics Corporation signed a MoU with Mota-Engil Group to explore long-term partnerships in engineering and construction. The global firm expressed interest in aligning with Pakistan’s infrastructure development goals and expanding its presence in West Asia through local job creation, technology sharing, and sustainable practices.
The statement described the delegation’s visit and the MoU signings as a milestone in Pakistan’s efforts to attract global investment in the mining and logistics sectors, highlighting strengthened economic cooperation between Islamabad and Washington.
Strengthening ties
In a statement issued by the U.S. Embassy in Islamabad, U.S. Chargé d’Affaires Natalie Baker described the signing of the agreements as a step forward in strengthening bilateral relations and noted that such cooperation would bring benefits to both countries.
“We look forward to seeing future agreements between U.S. companies and their counterparts in the critical minerals and mining sector in Pakistan,” she added.