Iran will initiate mining operations in Afghanistan’s Ghor Province within a month, local officials were quoted as saying by Fars News Agency.
An Iranian company has signed contracts to start mining for lead and zinc in Ghor.
Ebrahim Jamili, the head of the Mines and Mining Industry Commission of Iran Chamber of Commerce, Industries, Mines and Agriculture, said Iran’s private sector is planning to invest in the mines of Afghanistan, Iraq, Kazakhstan, Kyrgyzstan and Azerbaijan.
“We might need to transfer technology to these countries and, in return, meet our domestic needs for minerals from these mines,” he added.
A memorandum of understanding on exploration and exploitation of Afghanistan’s mines and mineral exports was signed between Iran and Afghanistan in 2016.
Afghanistan is home to over 1,400 mineral fields containing copper, gold, iron ore, lead, sulfur and zinc as well as high-quality gemstones such as emerald, lapis lazuli, red garnet and ruby.
It is believed that the country holds $1 billion in untapped mineral deposits, according to USGS reports.
The best known and largest iron ore deposit in Afghanistan is located at Hajigak in Bamyan Province. It is also among the world's biggest untapped iron ore deposits.
Hajigak Iron Ore Mine is estimated to possess nearly 2 million tons of approximately 62% pure iron ore, with 16 iron ore bodies extending for up to 3 kilometers. The mine is amenable to open pitting, with the added bonus that the nearby Shabashak Coal Mine provides for the establishment of an integrated iron and steel plant.
Afghanistan is also home to one of the world's largest copper reserves. The Mes Aynak copper mine – located in the Afghan Logar Province – is the world's second largest copper reserve. The Afghan Mining Ministry estimates that the mine holds some 6 million tons of copper. The mine is expected to be worth tens of billions of dollars.