KP Government Leases Gold Mining Blocks for 10 Years

The Khyber Pakhtunkhwa (KP) government is taking steps to legalize gold mining in the Indus River after significant gold reserves were discovered within its territory.

These reserves are believed to be worth more than double the value of those recently found by the Punjab government in Attock.

The Mines and Minerals Department has leased four blocks along the river – from Kohistan to Dera Ismail Khan – to private companies for a decade, generating Rs. 4 billion in revenue.

KP’s gold reserves are estimated to be worth over Rs. 1,600 billion, compared to Punjab’s Rs. 800 billion.

In February 2024, Punjab’s government confirmed gold deposits worth Rs. 800 billion in Attock, with reserves spanning a 32-kilometer stretch at the confluence of the Kabul and Indus rivers. However, illegal gold mining in the Indus River has been an ongoing issue in KP and Punjab.

To address this, the KP government has taken action to regulate mining activities. A survey by the Geological Department at the University of Peshawar confirmed the presence of substantial gold deposits in the river. Four blocks spanning from Swabi to Kohat have already been auctioned, with mining operations beginning in two blocks.