MINING HISTORY

A number of small scale historical iron, copper, lead, zinc, cobalt, nickel mines and many slate, quartzite, dolomite and limestone quarries were in operation in many districts. Old working pits, audits, smelting places, scattered slag and remnant of mine materials are the solid proofs of such mining activities in the past. In many cases the name of the village is derived after the particular mines e.g. Taba Khani, Phalam Khani, Shisa Khani, Sun Khani etc. But at present almost none of these old workings/ mines are in operation due to various reasons. Therefore reassessment and evaluation of such deposits/ mines by DMG or any private sector are extremely warranted for further exploration and mining. One of the examples is Thoshe iron old working which was reassessed by DMG and later explored in detail by a private company and now it is in the process of mine development to exploit iron ore in near future.

 3. MINERAL RESOURCES IN DIFFERENT GEOLOGICAL ZONES

Geology of Nepal is very complex because of continues geodynamic process in the Himalayan region and that resulted many thrusting, faulting, folding and metamorphic effects. Nepal Himalaya can be divided into five distinct morpho-geotectonic zones from south to north. From mineral resources point of view, the southernmost Terai Plain is potential for gravel, sand, ground water, petroleum and natural gas. The Sub Himalaya (Churia/ Siwalik foot hills) is the potential area for construction materials, radioactive minerals, petroleum, natural gas and minor amount of coal. Similarly, Lesser Himalaya (The Mahabharat Range including midlands) is promising for metallic minerals mainly Iron, copper, lead, zinc, cobalt, nickel, tin, tungsten, molybdenum, gold, uranium rare metals etc.; industrial minerals like magnesite, phosphorite, limestone, dolomite, talc, clay, kaoline etc.; gemstones like tourmaline, aquamarine/ beryl, garnet, kyanite, etc; fuel minerals e.g. coal, lignite, methane gas, petroleum and natural gas, hot springs and radioactive minerals; and voluminous construction materials crushed gravel as well as river boulders, gravel; sand some of the areas in Higher Himalaya are highly promising for precious and semiprecious stones, marble and metallic minerals like lead, zinc, uranium, gold etc. Tibetan Tethys zone is prospective for limestone, gypsum, brine water (salt) and natural gas. However, because of rugged topography, difficult mountain terrain, complex geology, lack of infrastructures and financial constrain exploration and exploitation of these mineral resources in Nepal is still challenging.

 4. MINERAL DEPOSITS, MINES AND THEIR PRESENT STATUS

Geological investigations and mineral exploration activities carried out mainly by DMG, UNDP/DMG/MEDP projects, GSI and very few private entrepreneurs were able to identify more than sixty six mineral commodities (metallic, nonmetallic/ industrial, gemstone, fuel mineral deposits/ prospects and construction materials/ minerals) in Nepal. DMG has provided 452 prospecting licenses for the exploration of 21 mineral commodities and 80 mining licenses for mining 12 mineral commodities in different parts of the country.

Similarly geological, aeromagnetic and seismic survey conducted by DMG/ Petroleum Exploration Promotion Project (PEPP) and foreign Oil Companies like Shell Netherlands were able to trace some promising sites for petroleum and natural gas in southern part of the country mainly in the Terai and Siwalik Foothills. Gas and oil seepages in Padukasthan, Sirsasthan etc. in Dailekh and gas seeps in Muktinath in Mustang are the indications of the existence of oil and natural gas in Nepal. Existance of oil in Potwar in Pakistan in the west and Aasam in India in the east is another indicator that there is also high possibility of similar oil pools in the similar geological environment/ lithological horizons in Nepal. On this basis ten prospective blocks for exploration of petroleum and natural gas are identified. Two of them have been leased by Texana Resources Co. (USA), and five blocks by CAIRN Energy PLC. (UK). Both the companies did some preliminary field works and lab tests/ works but still they are reluctant to conduct extensive exploration field works.