AsianFin — Pakistan’s largest miner of critical minerals has signed a $500 million investment deal with a U.S. metals company, marking a major step in Islamabad’s efforts to attract foreign investment in its resource sector.

Pakistan’s Frontier Works Organization (FWO) on Monday inked a memorandum of understanding (MoU) with Missouri-based U.S. Strategic Metals to collaborate on projects including the establishment of a poly-metallic refineryin Pakistan. The refinery is expected to process key minerals essential for advanced manufacturing and energy technologies.

The agreement comes on the heels of a U.S.-Pakistan trade deal finalized last month, which Islamabad hoped would pave the way for increased American investment in Pakistan’s mineral and energy sectors.

U.S. Strategic Metals focuses on the production and recycling of critical minerals, which the U.S. Department of Energy classifies as essential for a wide range of technologies, from clean energy systems to high-tech manufacturing. The collaboration could bolster Pakistan’s role in global supply chains for these strategic materials.

In a separate move, Pakistan’s National Logistics Corp (NLC) signed an agreement with Mota-Engil Group, a Portuguese engineering and construction company, further highlighting Pakistan’s push to develop its infrastructure and industrial capacity.

A statement from Prime Minister Shehbaz Sharif’s office said he held talks with delegations from U.S. Strategic Metals and Mota-Engil, discussing Pakistan’s copper, gold, rare earths, and other mineral resources, emphasizing the government’s commitment to leveraging foreign expertise to expand its domestic mining and processing capabilities.