(Part 16) Summary of the Most Significant Accomplishments of the Islamic Emirate (2022 – 2023) By: H.N Utilization of Mines to Strengthen National Economy Afghanistan possesses vast mineral resources that, with proper management, can play a constructive role in strengthening domestic industries, national economy, and economic competitiveness with other countries. The Islamic Emirate has made […]
(Part 16)
Summary of the Most Significant Accomplishments of the Islamic Emirate
(2022 – 2023)
By: H.N
Utilization of Mines to Strengthen National Economy
Afghanistan possesses vast mineral resources that, with proper management, can play a constructive role in strengthening domestic industries, national economy, and economic competitiveness with other countries. The Islamic Emirate has made concerted efforts to optimally utilize these resources for national benefit, focusing on ensuring transparency in the mining sector and its revenues. This includes aligning major national projects for economic growth and public welfare, ultimately boosting the country’s industries and increasing export levels.
A: Mining Assessment
The Ministry of Mines and Petroleum has conducted assessments on 493 different types of mineral deposits and areas in 25 provinces across the country to identify new mines.
B: Small-Scale Mining Contracts
The Islamic Emirate facilitates small-scale mining through a transparent process involving open competition, presence of representatives from mining companies, and media coverage to ensure transparency in procurement processes and safeguard national interests during contract signings.
Over the past year, contracts for 108 small mines, including marble, granite, gypsum, travertine, fluorite, salt, lead and zinc, calcite, nephrite, and chromite in Kabul, Ghazni, Baghlan, Nangarhar, Parwan, Konar, Badghis, Khost, Logar, Maidan Wardak, Farah, Kandahar, Paktia, Herat, Oruzgan, and Helmand provinces, have been signed in accordance with Islamic Emirate principles through open compeition with domestic investors, creating 7,154 jobs in various mining stages and providing employment opportunities directly and indirectly for thousands of residents.
C: Large-Scale Mining Contracts
As a result of increased focus on the country’s mines and underground resources, the Islamic Emirate has signed major contracts that directly contribute to economic growth, implementation of infrastructural projects, and employment generation:
1. Signing of a cement project contract in the Shorandam region of Kandahar province.
2. Signing of a coal project contract in the Nayak region of Herat province.
3. Signing of a marble project contract in Nangarhar – Konar region.
4. Signing of a travertine project contract in Parwan province.
5. Signing of a copper project contract in Shaida region of Herat province.
It is noteworthy that with the commencement of these projects’ alignment, approximately 11,000 individuals are directly and indirectly employed, and besides increasing domestic revenue, played a crucial role in industrialization of Afghanistan.
D: Qashqari Oil Extraction
The Amu Basin, located in Sar-e Pol, Jawzjan, and Faryab provinces, is divided into three blocks: Qashqari, Bazarkhami, and Zamar Sayi. As a result of the determined efforts of responsible authorities, a contract for oil extraction in the Amu Basin with a Chinese company has been signed in accordance with specified conditions. In the past year, oil extraction activities have commenced in Qashqari and Ankot areas, with 5 wells being active in Qashqari and 4 wells in Ankot areas.
In addition, the Chinese company plans to invest $148 million in this project. It is noteworthy that the previous contract had a drilling cost of $6 to $7 million per well, while in the new contract, the cost has reduced to $3 million per well.
E: Sheberghan-Mazar-e-Sharif Pipeline Project
With the re-establishment of the Islamic Emirate, the 94.5-kilometer pipeline project from Sheberghan to Mazar-e-Sharif has commenced, showing a 50% progress over the past two years. An amount of 172 million Afghanis has been allocated for the remaining 42 kilometers of the project. This project transfers 170,000 cubic meters of gas from Sheberghan to Mazar-e-Sharif in 24 hours, playing a vital role in the national economy’s growth and providing energy to the private sector in Mazar-e-Sharif.
F: TAPI Project
The TAPI project, considered one of the national and regional projects in the country, plays a significant role in the economic growth of the involved countries. After the re-establishment of the Islamic Emirate, the TAPI project became a top priority in the governing system. Following discussions with the Turkmenistani delegation, it was agreed to construct a 153-kilometer gas pipeline from Turgundi to Guzarah district in Herat province, and further, a 20-kilometer gas pipeline from Guzarah to the Industrial Park of Herat province.
Accordingly, based on the agreed-upon terms, the construction of the gas pipeline in Farah, Nimroz, Helmand, and Kandahar provinces will commence. Upon completion of this project, Turkmenistan’s gas will be transported from Afghanistan to Pakistan and India.
W: Allocation of Mining Revenues in Public Welfare Projects
The Islamic Emirate, leveraging domestic revenues nationwide, provides services to its citizens and utilizes the generated revenues to allocate to public welfare projects. This reduces Afghanistan’s economic dependency significantly and brings about tangible and noticeable changes in the social and economic lives of the people.
In order to fund the construction of the Kosh Tepa Canal while adhering to mining extraction principles, a coal mining contract in Balkhab district of Sar-e Pol province was awarded to the National Development Corporation. The revenues from the mines will transparently contribute to financing this crucial project. Furthermore, the leadership of the Islamic Emirate has allocated contracts for the extraction of 5 small mines to fund the fundamental reconstruction of roads in various provinces, ensuring financial resources for essential road rehabilitation projects nationwide.
Furthermore, the commencement of coal extraction in Balkhab District, Sar-e-Pul Province, the construction of a market for processing and packaging of coal in Wardak province, increased cement production and quality at the Jabal Al-Siraj and Ghur factories, and the establishment of orchards in surrounding areas are among the visible achievements in this sector.
Continued…
Reference: IEA’s Accomplishments
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