Pakistan, Netherlands Eye Stronger Trade and Investment Cooperation
August 7, 2026
Pakistan has taken a significant step toward developing a domestic lithium industry by launching a technology development initiative for extracting lithium from geothermal brine.
high-concentration lithium-bearing geothermal brine in Sindh, opening new opportunities in the global battery materials market.
The Oil and Gas Development Company (OGDC) has signed an agreement with the Pakistan Institute of Nuclear Science and Technology (PINSTECH) to jointly develop technology for the commercial-scale extraction of lithium from geothermal brine. The collaboration marks an important step toward building local technological capabilities for processing one of the world’s most sought-after critical minerals.
The initiative follows the discovery of lithium-bearing brine at the Wahid Bakhsh geothermal well in Khairpur, Sindh. According to OGDC, geochemical analysis identified lithium concentrations of approximately 275 milligrams per liter, a level considered suitable for commercial evaluation.
Encouraged by the initial findings, OGDC has expanded its exploration programme and identified between eight and ten additional wells across Sindh for further assessment. The objective is to determine the extent of lithium-bearing formations and evaluate the country’s long-term resource potential.
Before commercial production can begin, officials say extensive technical and scientific studies are required. These include detailed brine chemistry analysis, reservoir mapping, resource verification, and comprehensive economic feasibility assessments to determine the commercial viability of large-scale lithium extraction.
The partnership with PINSTECH is expected to support the development of indigenous extraction technologies, reducing reliance on imported expertise while strengthening Pakistan’s scientific and industrial capabilities in critical mineral processing.
If exploration confirms commercially viable reserves, the discovery could position Pakistan as an emerging participant in the global supply chain for lithium, a mineral that plays a vital role in the production of electric vehicle batteries, renewable energy storage systems, and other advanced technologies.
Pakistan’s initiative also aligns with a growing international trend of extracting battery-grade lithium from geothermal brine. Several countries, including Germany, the United Kingdom, France, and the United States, are actively developing similar technologies to meet rising global demand for critical minerals supporting the clean energy transition.
By combining domestic resource exploration with local technology development, Pakistan aims to strengthen its role in the critical minerals sector while creating new opportunities for industrial growth, technological innovation, and future investment.
