Natural resources, particularly the mineral
resources are the hidden treasures of a country. Minerals are used in different
purposes for the benefit and comfort of the human kind as a simple stone axes
in those Stone Age and as Jewelry, cosmetics, electronic equipments, nuclear
medicine etc. in this developing world of 21 century. Proper exploitation and
utilization of valuable mineral resources present in the country and promotion
of mineral industries based on our own minerals and export of finished quality
products definitely help to develop infrastructures, generate income/
employment to the people, reduction in dependency on foreign imports and save
foreign currency. All these results ultimately help in poverty reduction, which
is the ultimate national goal of 10th Five Year Plan of the country
(Nepal Nepal
2. DEPARTMENT OF MINES AND GEOLOGY
Department of Mines and Geology (DMG) is the sole
government organization, which is quite similar to the Geological Survey of
other countries in its status, objective and most of the activities. It is
under the Ministry of Industry, Commerce and Supplies.
2.1OBJECTIVE
The main objectives of the
Department of Mines and Geology are:
- To conduct all types of geological investigations and research,
mineral resources exploration, development, promotion of mineral based
industries and administration of mining rules and regulations.
- To provide the basic geo-scientific information and expert services
to mineral exploration and development entrepreneurs, institutions and
individuals involved in infrastructure development planning, mitigation of
natural hazards and environment protection
through research and investigations.
- To manage the government investment in mineral exploration and
development and promote mineral based industries sector through formulation of
sound mineral policy and legislation ultimately to uplift national economy.
- To regulate and monitor the mineral exploration, mining and mineral
based industries and ensure that mineral development activities are carried out
in compliance with the government’s mineral policy and related laws (rules and regulations).
- To advise the government on
matters related to mineral development and geological hazards.
2.2
ORGANIZATIONAL STRUCTURE
At present the Department of Mines and Geology (DMG)
has 232 technical and nontechnical staffs in total. It is exercising its duties
and responsibilities through 3 Divisions, 4 Sub divisions, 25 Sections and 1
independent project all under the Director General. All these Divisions,
Sub-Divisions and Sections are actively involved to achieve the objective/
goals of the Department (Fig.1).
2.3
MAJOR ACTIVITIES AND OUTCOME
The main activities (mission)
of the Department of Mines and Geology are (1) Geoscientific survey and
research (2) Engineering and environmental geological studies/ Hazard mapping
(3) Mineral exploration, evaluation and promotion of mineral industries (4)
Exploration petroleum and natural gas (5) Seismic studies and earthquake
monitoring (6) Administration of mining rules and regulations (7) Move from the
traditional geological works to more scientific way, for sustainable
development and look for alterative source of energy and minerals particularly
renewable energy resource (8) Carry out researches and development of
appropriate technology for optimum use of natural resources for the benefit of
the people in the 21st century.
Till this time, DMG has conducted regional
geological mapping and published geological maps covering whole Nepal in
1:1,000,000scale; Sub Himalaya and Lesser Himalaya in 1:250,000 scale and most
part of Sub-Himalaya, Lesser Himalaya and small part of Higher Himalaya in
1:50,000 and 1:63360scale. At present DMG is conducting geological mapping of
new areas as well as updating of previously prepared geological maps and
regularly publishing these geological map sheets (in scale 1:50,000). The
department is also engaged in engineering and environmental geological mapping
of urban areas (in 1:15,000 and 1: 50,000 scale) and hazard mapping of some
selected areas. National Seismological center is engaged in seismotectonic
studies and earthquake monitoring to delineate high earthquake hazard prone
areas. All these maps are used as base maps for mineral exploration and
development planning, regional/ local infrastructure development planning, land
use planning, disaster mitigation and environment protection.
In Nepal Nepal used to export
these commodities to Tibet
and India
Such activities in the past in the Lesser Himalayan
region were able to discover a number of economic and sub-economic mineral
deposits/ prospects/ occurrences/ showings and natural gas seeps in Muktinath in Mustang
district and natural gas as well as oil seeps in Padukasthan, Sirsasthan and
Navisthan in Dailekh district. Similarly 316 million cubic meter of methane gas
is discovered in Kathmandu
Valley Nepal
Based on the economic deposits
few mines and mineral industries such as cement, marble, magnesite, talc, coal,
salt, gemstone, red clay, kyanite, quartzt etc. are in operation (Table.1). The
commercially viable mineral commodities (Table.2) and production of some of the
mineral industries/ mines are presented in table.1. At present, HMG Nepal has
implemented new Mines and Minerals Act, 1985 as well as supplementary Mines and
Mineral Rules, 1999. Under these rules and regulations DMG has issued 53 active
mining licenses and 67 prospecting licenses to the investors in FY 2002/2003. A
license holder must pay the surface rental of the lease area and royalty
depending upon the type of mineral commodity and the amount/ volume of
production as per the rules and regulations. DMG keeps up to date records of
leaseholder and annual production of different mineral commodities. The
government has given authority to District Development Committees (DDCs) to
issue licenses and collect revenues only for exploitation/ mining of river
boulders, gravel and sand as simple construction raw materials.
DMG/ Petroleum Exploration
Promotion Project (PEPP) is engaged to promote petroleum exploration and
development in the country since 1982. By 1990 it was able to identify 10
prospective blocks in promising southern Terai plain and Siwalik foothill. Each
prospective block is nearly 5000km2. Composite data package with
geological and seismic data of the individual blocks are available to the
potential investors for exploration bidding. International oil companies are
invited to conduct exploration and development of petroleum in the above
promising areas. In 1986 -1990 Shell Company explored block 10 in detail but
could not trace oil or natural gas. Since last 3 years Texana Resources Company
of USA UK
Similarly natural gas exploration in Kathmandu valley was able to discover 316 million m3
of natural gas (methane) deposit in 26km2 area. Based on this deposit DMG has
invited potential investors to bid for the development and commercialization of
the gas resources.
National Seismological Centers in Kathmandu
and Birendra Nagar are operating 21 short period telemetric stations. Both
centers are continuously operating and monitoring the earthquakes. All these
data are helpful to delineate the earthquake hazard/ risk areas. The center
also allows a quick seismic surveillance
2.4 NATIONAL GOAL
In 10th Five Year Plan the
National Planning Commission, HMG/ Nepal
2.5 SECTORAL GOAL
The Sectoral Goal of Mining
Sector is the sustainable development of mineral resources and promotes mineral
based industries in the country.
3. GOVERNMENT POLICY FOR MINERAL DEVELOPMENT
HMG Nepal is committed to
sustainable development of the mineral and petroleum resources available in the
country. To meet the above objectives it has developed some policy guidelines,
strategies and also made some changes in management practices.
3.1 POLICIES AND STRATEGIES
HMG Nepal has promulgated a
new Industrial Policy 1992 and foreign investment and one window policy 1992.
Permission for foreign investment is allowed up to 100%, in large and medium
scale industries. It has also outlined
the policies and spell out the management practices for mineral resources
development.
·
Develop mineral resources in the country for
conveniences and economic welfare of the public as well as for speedy economic
development of the country.
·
DMG acts as the primary policy-provider,
administrative facilitators and provider of basic geological infrastructure
service supplied to the private sector to promote mineral industries sector.
·
Due priority will be given to the exploration
and mining of the construction materials and other nonmetallic minerals without
any environmental degradation, can provide quick economic return and
fulfillment the present internal demand.
·
Priority will be given to attract the public
private entrepreneurs and international investors in exploration and
development of mineral resources and international oil companies to invest in
petroleum exploration and promotion.
·
Efforts will be made for integrated planning of
geoscientific researches and implement them systematically.
·
Steps
will be taken to expand, improve, upgrade and efficient operation of National
Seismological center. Seismic hazard assessment will be made based on workout
parameters
·
Necessary legislation will be provided to ensure
that mineral development activities are carried out in an environment friendly
manner in compliance with the mineral laws:
* Mines and Mineral Act, 1985 with first Amendment
1993 and Mines and Mineral Regulation 1999 with first amendment 2003.
* Nepal Petroleum Act, 1983, Petroleum Regulation 1985
with first Amendment 1989 and second Amendment,1994 and Petroleum Industry
(Income Tax) Regulation, 1985 and amendment in 1995.
3.2 EXPECTED MAIN OUTPUTS AND SERVICES
To reach the goal of the 10th
Five Year Plan, meet its purpose and expected outputs some activities are
planned to conduct within 5 years time. For this logical framework for each
project is prepared during the planning process. The main estimated outputs are
prepared according to MTEF approach. Similarly key programs and activities
(prioritized and ranked) of all 3 different projects for 10th Five
year Plan (FY2002/2003 to 2pp6/2007) are presented in table.3.
3.3 PROGRAMMING AND BUDGETING
MTEF is a new technique/
approach to prioritize the project. It helps to utilize limited resources for
the selection of a best project. According to the MTEF concept the projects are
prioritized on the basis of (a) contribution to national goal (b) sectoral goals
(c) contribution to regional balance (d) role of government (e) participation
by the people/ local government /public enterprises (f) project status and (g)
certainty of funding. DMG has adopted MTEF approach while preparing the 10th
Five Year Plan in project planning and budgeting. For this a Policy Matrix,
Logical Framework was prepared for each project. To implement all the
activities to complete the project in time an Immediate Action Plan and
Calendar of Operations are prepared and implemented in the department since the
last fiscal year.
3.3.1 PROGRAMS SET FOR 10th FIVE YEARS PLAN PERIOD
According to the instructions
given by the National Planning Commission (NPC) the programs were designed and budget was estimated for Running cost,
Overhead cost and Objective costs for 10th Five Year Plan and made compatible
with MTEF.
In mineral sector, 10th Five
Year Plan has given priority in the following programs and activities.
·
Exploration and evaluation of huge limestone
resources to promote cement industries, which helps to meet the internal
demands, save foreign currency and provide quick economic return.
·
Priority is also given to the exploration and
development of high price metals like gold and precious stones prospects so as
to get immediate return.
·
Petroleum exploration is another priority
project of Department of Mines and Geology.
·
Fast growing urban areas in the country as well
as neighboring India and Bangladesh
·
Priority is also given for regular monitoring of
mines ands quarries to control pollution, regularize mineral production and pay
the right amount of royalty to the government.
·
Another priority is the publication of all types
of geological maps, engineering and environmental geological studies of urban
areas, hazard mapping, and constant recording and monitoring of earthquakes in
Seismological centers for quick seismic surveillance.
3.3.2 BUDGETING
After the
discussions at various level among National Planning Commission, Ministry of
Finance and Line Ministry the projects and their activities/ programs are
finalizes. Then the Government convinces the donor for resource allocation.
Budget is totally controlled by the Ministry of Finance. It releases
development budget to implement activities as recommended by the National
Planning Commission. In this current FY 2003/2004 there is no increment in the
total budget because of budget sealing. As a result some of the proposed programs/
activities comparatively on least priority were dropped. However, in the
following years extensive works are proposed to meet the targets set for 10th
Five Year Plan. Therefore more development budget is demanded for priority
project activities. Development budget are mainly allocated in 3 heads (1)
Personal cost (2) Running cost and Development cost.
3.4 ARRANGEMENTS FOR EFFECTIVE IMPLEMENTATION,
MONITORING AND ACCOUNTABILITY
All the
field programs/ activities of each project are designed with a view to conduct
smoothly to meet the anticipated targets defined in Annual and Five Year Plan.
MTEF is used to bridge the gape between Annual plan and Five Year Plan.
Regular
supervision of all the field activities and laboratory works by the project
Chief, Director General/ Deputy Director General are in practice in
coordination with the In-Charge/ Section Chief. In site guidelines are provided
to the working staffs.
Preliminary
results/ outcome of each activity are presented in in-house seminar/ talk
program and discussed for further follow up or detail investigation. Field
In-Charge must submit a preliminary report within 35 days after completion of
his field works and a final technical report with findings on due date.
Review and
mid term evaluation of the project activities is done annually as guided by
MTEF in presence of field In-charge, Section Chief, Project Chief, Chief of
Planning Section and Director General.
Regular
monitoring of mines and quarries operated under the license issued by DMG is
carried out by the Mining Regulations and Administration Division/ DMG to
control haphazard mining and consequence pollution. Higher management
authorities carry out verifications of monitoring plans.
Private
sectors are encouraged for exploration and mining of economic mineral resources
and invest more in mineral based industries and international oil companies are
invited to invest in petroleum exploration and development in Nepal
Researches
are also concentrated on seismotectonic and data obtained by constant recording
and monitoring of all earthquake events in the country. Information's are
shared with other similar international organizations. Further efforts will be
made for mid term prediction of recurrence time of earthquake with compilation
of seismic hazard maps.
Preparation
of database and networking through Internet with various agencies and mining
companies and international oil companies are in progress.
Regular
production of Annual reports, field reports, publication of DMG Newsletters,
DMG Pre'cis, information booklets and geological, geo-environmental and Seismic
hazard maps and their circulation to the various organizations / potential
users are the parts of its regular activities.
4. GENERAL GEOLOGY AND MINERAL POTENTIAL
(A)
The Terai (Indogangatic
Plain)
The Terai represents the alluvial plain located
towards southern most part of the Kingdom. The sedimentary deposits of this
plain belong to the last phase of the Himalayan upheaval and conceal beneath
them are the northern fringe of Peninsular India and the southern fringe of the
Himalaya . This area comprises of few hundred
to over 1000m thick Quaternary sediment deposits that consist of gravel,
pebbles, sands, silt and clay with some remains of organic materials. This area
is the potential area for ground water, oil, and natural gas. Detail
exploration for petroleum by DMG and international companies is in progress.
Construction materials like Boulders, gravel and sand can be extracted/ mined
from the riverbeds of this area.
Table-1: Annual Mineral Production of some of the Mines and Mineral
Industries in Nepal
|
Minerals
|
Unit
|
1995/1996
|
1996/1997
|
1997/1998
|
1998/1999
|
1999/2000
|
2000/01
|
2001/02
|
|
(A)
Metallic:-
|
|
|
|
|
|
|
|
|
|
1.
Copper
|
mt
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
|
2.
Copper metal
|
mt
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
|
(B)
non Metals
|
|
|
|
|
|
|
|
|
|
1.
Agri-lime
|
mt
|
Included
in Chemical grade Limestone
|
||||||
|
2. Asbestos
|
mt
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
|
3. Beryl
|
|
|
|
|
|
|
|
|
|
3.1I.Q.
|
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
|
3.2G.Q.
|
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
|
4. Clay
|
|
|
|
|
|
|
|
|
|
4.1
White
|
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
|
4.2
Yellow
|
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
|
4.3
Others (Red)
|
mt
|
10,000
|
5,129.35
|
4,663.93
|
3,119
|
2304
m3
|
36953
|
28036
|
|
5. Garnet
|
|
|
|
|
|
|
|
|
|
5.1
I.Q.
|
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
|
5.2
G.Q.
|
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
|
6. Graphite
|
|
|
|
|
|
|
|
|
|
7. Limestone (Chemical
grade)
|
mt
|
13,000
|
NA
|
NA
|
9400
|
19,360
|
15587
|
20000
|
|
8. Magnesite
|
mt
|
NA
|
NA
|
4861.56
|
NA
|
1640
|
NA
|
NA
|
|
9. Mica (Crude)
|
mt
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
|
10. Ochere
|
mt
|
|
|
|
|
|
|
|
|
11. Quartz crystal
|
kg
|
1500
|
3000
|
2000
|
3200
|
IQ
= 94 mt
GQ=2830
kg
|
IQ
=123 mt
GQ=1135
kg
|
172mt
1720kg
|
|
12. Salt
|
mt
|
6.5
|
6.55
|
6.00
|
1.01
|
1.52
|
5
|
5
|
|
13.Tourmaline
|
|
|
|
|
|
|
|
|
|
13.1 IQ.
|
kg
|
2
|
500
|
20
|
10
|
NA
|
NA
|
NA
|
|
13.2 GQ
|
kg
|
0.95
|
NA
|
0.5
|
0.5
|
1
|
NA
|
NA
|
|
14. Talc
|
mt
|
5323.2
|
6809
|
5552.56
|
6157
|
5852
|
3923
|
2621
|
|
15. Kyenite
|
|
|
|
|
|
|
|
|
|
15.1 IQ.
|
Tons
|
NA
|
NA
|
NA
|
NA
|
NA
|
1
|
9.4
|
|
15.2 GQ
|
Kg
|
NA
|
NA
|
NA
|
NA
|
NA
|
100
|
1040
|
|
Fuel Minerals
|
|
|
|
|
|
|
|
|
|
1. Coal
|
mt
|
5979.22
|
8163.49
|
15770
|
10954
|
17530
|
16589
|
9612
|
|
2. Lignite
|
mt
|
744
|
785
|
350
|
312
|
52
|
NA
|
NA
|
|
3.Natural Gas
|
m3
|
530
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
|
Construction Materials
|
|
|
|
|
|
|
|
|
|
1. boulder & gravel
|
m3
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
|
2.Cement clinker
|
mt
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
|
3.Flagstone
|
m2
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
|
4. Stone boulder
|
m3
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
|
5.Sand
|
m3
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
NA
|
|
6. Limestone (cement grade)
|
mt
|
488,883
|
368,666
|
484,154
|
401,700
|
352,060
|
287,810
|
356,218
|
|
7. Marble
|
|
|
|
|
|
|
|
|
|
7.1
Aggregate
|
m3
|
40040.3
|
NA
|
34966.34
|
37283
|
39400
|
NA
|
NA
|
|
7.2
Chips
|
kg
|
548290
|
635950
|
612.88
|
660160
|
654820
|
6065
|
537
|
|
7.3
Crazy
|
m2
|
2690
|
58095
|
267.4
|
2092
|
1530
|
1333
|
2279
|
|
7.4
Raw stone
|
m3
|
22499.8
|
378.94
|
9650
|
NA
|
NA
|
NA
|
NA
|
|
7.5
Slab
|
m3
|
688841
|
950766.93
|
65622.47
|
70475
|
79700
|
54834
|
46156
|
|
7.6
Decorative stone
|
pcs
|
NA
|
NA
|
5086.68
|
38
|
16000
|
NA
|
NA
|
|
7.7
Crusher dust
|
mt
|
NA
|
NA
|
3306
|
16444
|
10640
|
NA
|
NA
|
|
7.8
Marble dust
|
mt
|
NA
|
NA
|
154.18
|
116
|
165
|
NA
|
NA
|
|
Revenue
|
NRs.
|
1,087,982
|
769,400.45
|
909,284.5
|
884,918
|
3,131,217.67
|
|
|
Source:
Department
of Mines and Geology/ Contractors and Mine lease holders
I.Q.
= Industrial Quality G.Q.
= Gem Quality NA = Not
Available mt = Metric ton
Table-2: Commercially Viable Mineral Deposits Available for Investment inNepal
Table-2: Commercially Viable Mineral Deposits Available for Investment in
|
S.N.
|
Name and Location
|
Proven Reserve (Million Tons)
|
Average grade (%)
|
Infrastructures
|
Development Status
|
|
1
|
Ganesh Himal Zinc and Lead deposit, Rasuwa
District
|
1.1
|
Zn
13.6, Pb 2.3,
and
small amount of Ag and Cd
|
Gravel
road up to Somdang and 11 KVA line up to Dhunche
|
Metal company Ltd. was established in 1975 to mine
and mill 400 tpd ore. Proven reserve is inadequate for commercialization.
Exploration works are in progress in near by area in Suple to prove additional deposit.
|
|
2
|
Phulchoki
Iron Deposit,
|
4
– 6.8 (probable and possible)
|
55.75
|
Gravel
road and 33 KVA line 8 km away
|
Establishment
of 50,000 tpa capacity iron and steel plan t was feasible.
|
|
3
|
Kharidhunga
Magnesite deposit, Dolakha district
|
60 high grade
114 low grade
|
High
grade and refractory
|
Black toped road and 33 KVA power supply exist
|
Nepal Orind Magnesite (P) Ltd. was established in
1979 to produce 50,000 tons DBM per annum. Trial production in 1987 and plan
improvement was not successful.
|
|
4
|
Chaukune
Limestone deposit, Surkhet, district
|
31.6
|
CaO=47.9
Mgo=2.3
|
Gravel road 13km from he deposit. 13 km road has
to be constructed. 132 KV line is 52 km from National grid
|
To establish a cement plant tender is called from
private investors.
|
|
5
|
Narpani
Limestone deposit, Arghakhanchi, district
|
17.44
|
CaO=47.5
MgO=3.15
|
49 km from East-west highway and 132KVA national
grid. Gravel road passes through
|
The deposit t has been granted to the private
investors to establish a 800 tpd capacity.
|
|
6
|
Kajeri
Limestone deposit, Sallyan district
|
20
|
CaO=52.1
MgO=1.92
|
Gravel road exists till 8km far from he deposit.
No electricity near the site.
|
The deposit will be offered to private sector for
establishment of a cement plant in near future
|
|
7
|
Nigale
Limestone deposit, Dhankuta district
|
10
|
CaO=51.78
MgO=1.02
|
13km away from gravel road 30km from 33KVA power
line
|
Feasibility study to establish a cement and other
mineral based industry is being carried out through NIDC under SAAARC program
|
|
8
|
Gandari
Limestone deposit, Dang district
|
10
|
CaO=47
MgO=1.5
|
50km from East-west highway and 132KVA national
grid
|
Exploration suspended for the time being
|
|
9
|
Salandu
limestone deposit, Dhadhing district
|
4.31
|
CaO=47.81
MgO=0.91
|
It is situated at a few km away from road and
power line.
|
The area is leased for detail exploration
|
|
10
|
Katari
– Galtar limestone deposit. Udayapur district
|
18.74
|
CaO=52.29
MgO=1.29
|
Located few km away from the road and power line
|
The area is under mining lease
|
|
11
|
Udayapur
dolomite. Udayapur district
|
4.8
|
CaO=31.9
MgO=18.3
|
Road and electricity line (33KVA) reached to the deposit
|
The reserve is open for mining and development
|
Source: Department of Mines and Geology
(B)
Sub-Himalaya (Churia Range /
Siwalik Hills): This part of the Himalaya is bounded
by Main Fontal Thrust (MFT) to
the south and by Main Boundary Thrust
(MBT) to the north. The MFT, in most places is concealed below the
colluvial debris derived from the Siwalik Foothills and Gangetic alluvium. Sub Himalaya comprises of largely fluviatile more than 6km
thick sequence of molasses type sediments represented by sandstone, siltstone,
mudstone, shale and conglomerate deposits of Mid-Miocene to Early Pleistocene
age. As in India and Pakistan the rocks of the Siwalik Group of Nepal
(C)
The Lesser Himalaya : It is confined within Main
Boundary Thrust (MBT) in the south and Main Central Thrust (MCT) to the north.
It is 60 to 100km wide and comprises of a thick succession of largely
unfossiliferous metasedimentary rock of Pre-Cambrian age and crystalline nappe
intruded by a number of granite bodies of Ordovician Age. This region is fairly
complicated due to the presence of numerous folds, faults and thrust sheet
structures. The main rock types encountered in the Lesser Himalaya are
limestone, dolomite, quartzite, shale, sandstone, slate, phyllite, quartzite,
schist, gneiss, granite, pegmatite and amphibolite. This part of the Himalaya is potential for metallic minerals like Iron,
Copper, Lead, Zinc, Nickel, Cobalt, Tin, Tungsten, Silver and Gold
mineralization/ occurrences. Similarly Nonmetallic/ Industrial minerals like
limestone, dolomite, magnesite, phosphorite, marble and fuel minerals like
coal, natural gas are potential sources. Small scale copper, lead/ zinc mines,
coal/ lignite mines, limestone, magnesite, talc, slates, and marble quarries
are in operation in this part of the Himalaya .
(D)
The Higher Himalaya :
It is bounded to the south by Main Central Thrust (MCT)
and to the north by Tethyan sedimentary sequence. This part of the Himalaya
comprises of high grade metamorphic rocks like garnet mica schist, kyanite/
sillimanite garnet mica schist, quartzofelspathic schist, amphibolite, gneiss,
quartzite, marble of Pre-Cambrian age and leucogranites of Tertiary age. It is
believed that the Higher Himalaya is the root zone of the crystalline nappe. A
number of lead and zinc occurrences/ deposits are recorded in the crystalline
carbonate rocks and ruby, kyanite, garnet and sillimanite in calcareous schist.
Tin, tungsten and uranium are prospective in granitic terrains. Some of the
pegmatites are prospective for gemstones like tourmaline, aquamarine/ beryl and
garnet.
(E)
The Inner Himalaya
(Tibetan Tethys Zone): It is bounded to the north by Tsangpo Suture Zone and to the south by
Higher Himalayan Crystalline rocks. The rocks of this zone are represented by
sandstone, limestone and shale. These rocks are fairly rich in invertebrate
fossils of Late Paleozoic to early Cenozoic age. This part of Nepal Himalaya
appears to be prospective for natural gas and petroleum.
5. FUTURE MINERAL EXPLORATION PLAN AND INVESTMENT OPPORTUNITIES
In Nepal Nepal
·
Present domestic cement production fulfills only
about 30 - 40% of the current demand. The Mahabharat Range Nepal
·
In Lesser Himalaya there is a huge potentiality
of dolomite deposits (over 1,000,000,000 tons) in Nepal Nepal "
and submitted to the National Planning Commission and Line Ministry to request
to the government of South
Korea
·
The country has a high demand of dimension
stones either as the polished slab or in other forms. The Godavari marble
industry is partially fulfilling the domestic demand but most of them are
fulfilled from the external supplies mainly from India Nepal
·
The river boulder, gravel, and sand in Terai
plain and Churia Range
·
Gem quality ruby, sapphire, tourmaline,
aquamarine, garnet, kyanite and quartz crystals reveal high potential in the
country. They need a proper assessment. DMG is planning to conduct exploration
of gemstone in this 10th plan period. The promotion of gem industries is likely
to be highly rewarding. Many of the potential areas are sill remain unexplored.
·
Petroleum exploration provides another area of
considerable promise for investment in Nepal India
situated close to Nepal
border is an positive evidence towards encouragement in undertaking petroleum
exploration activities in Nepal Nepal
·
Potential target areas for gold exploration are
found in different parts of the country. Alluvial gold is traced in most of the
major rivers coming from the Higher Himalayan regions. Such indications of
alluvial gold of which primary sources still remain unidentified. However,
recent discovery of in-situ primary gold sources in Rolpa, Baitadi and Darchula
regions are the encouraging indications for prospecting gold in many potential
areas of Nepal
·
Lead Zinc deposits in Ganesh Himal area is
another mineral wealth, which can be mined economically. It needs further
investment to construct a zinc concentrate plant and further exploration of
other deposits located in this region. Government is looking for potential
investor to exploit this hidden treasure.
Beside these mineral deposits
there are a number of small to medium size sub economic copper, lead/ zinc,
polymetal sulphide, tungsten, phosphorite, quartzite, garnet, kyanite, mica,
graphite, kaoline etc. deposits in different parts of the country. Indeed there
is a need of further detail exploration to confirm these deposits as economic.
6. CONCLUSIONS AND
RECOMENDATION
Difficulties has been arising
in mining administration due to contradiction in some of the Rules in Mines and
Mineral Act 1985, with First Amendment, 1993, Forest Act, 1992 and Local Self
Governance Act 1998 and rules and regulations, 1999, that needs immediate
clarifications and some amendment if required in these Acts.
There is no regional and district office of DMG to
provide necessary services to the local lease holders. Establishment of
district level offices in priority basis is necessary especially for mines
administration.
.
Substantial budget is
required to run all the field programs in full swing and to provide basic
facilities, field equipments to the staff, to strengthen and regular operation
and maintenance of all the geoscience laboratories.
Favorable working
environment in the field must be prevailed to conduct all types of field
activities within time frame. Otherwise it is almost impossible to conduct
field activities in the remote areas.
Mineral exploration, evaluation
of the deposit and promotion of mineral based industry is a 5 to 12 years long
process. Laboratory facilities to analyze all types of samples also depend upon
its reliability, capacity and volume of samples. Therefore, strengthening of
existing Geoscience labs is highly recommended.
Exploration and
identification of some potential target areas for precious metals, precious/
semi precious stones, polished/ dimension stones and promotion of mineral
industries based on the local raw minerals must get priority at the earliest to
be sufficient at least in internal demand, if more to export.
Commercialization of Kathmandu Valley Natural gas
not only helps to substitute the gas import in the valley but also save foreign
currency. Therefore commercialization of this resource must get priority.
Because of lack of basic
infrastructures (road, electricity, water supply etc) in the deposit sites and
less incentive private companies are reluctant to invest in the mines and
mineral industries. In this competitive world of 21st century, more
incentive has to be provided to the investors to invest in mineral sector.
Government must try hard to
attract international oil companies to invest in petroleum exploration and
promotion by providing basic geological information and seismic data and
offering competitive terms and condition of petroleum agreement.
There should be peace in the
country and substantial increase in development budget so that defined targets
for 10th Five Year plan cold meet and economic mineral deposit are
proved to promote more mineral based industries in the country.
REFERENCES
*
Challenges in Geological Science in the 21st Century by Krishna P.
Kaphle (2001): Bulletin of Nepal Geological Society vol.18, pp41–42, year 2001.
* Department of Mines and Geology: Achievements and
Prospects. Published by DMG in, 2000.
* DMG Newsletter December 2001 and 2002. Edited by
Krishna .P. Kaphle, published by DMG, Nepal
* Geology and Mineral Resources of Nepal Nepal
* History and Charter of Function of the DMG, Nepal
* Mid Term Expenditure Frameworks (MTEF) various
documents from Ghana
* Mines and Mineral Act, 1989 amended in 1993 (HMG
Nepal).
* Mineral Resources, Development policies and
exploration opportunities in Nepal
* Mines and Mineral Regulations 1999 (HMG Nepal
* National Planning Commission, HMG, Nepal
* National Planning Commission, HMG, Nepal
* Nepal
Petroleum Act, 1983 (HMG Nepal
* Petroleum Industry (Income Tax) Regulation 1985.
* Publications of Bureau of Statistics, HMG, Nepal
* The Petroleum Regulation 1985 amended in 1989 and
1994.
ACKNOWLWDGEMENT
The
author would like to express his sincere gratitude to Mr. N.R. Sthapit,
Director General, Department of Mines and Geology, for permitting him to use
all the published and unpublished reports and data of DMG to prepare this paper
and publish it.
The
author acknowledge with thanks to UNESCAP, Bangkok
for the invitation and financial support to attend the Training Workshop,
organized by UNESCAP on 4-6 Nov. 2003 in Colombo ,
Sri Lanka
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