Bloomberg reported that Afghanistan seeking investors for four mineral deposits containing copper and gold, a week after Indian steel and mining companies announced plans to spend as much as USD 11 billion in the war ravaged country.

The government is starting a tender process for deposits in the provinces of Badakhshan, Ghazni, Heart and Sar-I-Pul and Balkh. The Badakhshan gold site comprises four license areas of 250 square kilometers each while the Zarkashan copper and gold project in Ghazni province hosts two licenses of 242 square kilometers each.

India and China have so far led foreign investment in the country’s mineral resources. A group of seven Indian steel and mining companies last week said they planned to invest USD 11 billion to develop iron ore mines and build a steel mill and power plant after winning contracts in the country. The group, led by state run Steel Authority of India Limited won bids for three of four iron ore mines offered in the Hajigak region.

Mr Wahidullah Shahrani minister of mines of Afghanistan said that “The country’s rich mineral resources have the potential to transform the nation’s economy and provide early investors with substantial upside. Assessments of only a fraction of the country’s land area indicate the potential for considerable mineral resources.”

Mr Shahrani’s promoting the tender in London this week. The offer is expected to lead to mining accords, including licenses for exploration and possibly exploitation. Canaccord Genuity SRK Consulting and Mayer Brown advising on the tender.

(Sourced from www.bloomberg.com)