Economy, Business And Markets

Gold Mine Develops New Recovery Method

Gold Mine Develops New Recovery Method
Gold Mine Develops New Recovery Method

Zarshooran gold mine complex, in northwest of the country, is expected to be officially inaugurated today as a national project aimed at increasing the country’s output to over 6 metric tons per annum.

The mine, for the first time in the world, is adopting an indigenous method developed by an Iranian company, which employs chemical reactions for extracting gold.

Zarshooran, which produced its first sample of gold ingot two months ago, holds 110 tons of proven gold reserves. Officials say more exploration could probably add to the proven reserves.

During the first phase of the project, 10 kilograms of gold will be extracted per day, while the figure is to double during the second phase, which is due to be in operation by 2018.

Zarshooran is Iran’s biggest gold mine and is located in West Azerbaijan province, 35 kilometers from the town of Takab. The mine is estimated to have a lifespan of 20 years based on its current proven reserves.

More than 830 billion rials as well as about 19 million dollars in foreign currency have been invested in the project which is expected to produce 2.5 tons of silver and one ton of mercury every year in addition to over 3 tons of gold of 99.999% purity.

In its first phase of operation, the mine will directly employ 176 people, while creating jobs for 2,600 supporting workers.

Iran exported $1 billion worth of gold in the Iranian calendar year 1391 – which ended March 20, 2013 – and was ranked 57th among the gold exporting countries, while 1-trillion-dollar worth of gold was exported globally over that period.

Aimed at boosting and facilitating the export of the precious metal, Iran’s Money and Credit Council recently ratified a new directive according to which gold importers will no longer need to guarantee that they will return gold or bring back the equivalent cash in foreign currencies. Previously, gold exporters had to either guarantee that they would exchange their profit earned in foreign currencies at the central bank at an official exchange rate, or bring back the same amount of the exported gold back to the country in a defined period.

Foreign Interest

in Car Manufacturing Hub

Chabahar free trade and industrial zone organization said China, South Korea, and Oman are among the countries interested in investing in Iran’s third auto manufacturing hub to be built in the southeast of the country, reported Tasnim news agency.

Hamed Ali Mobaraki, the organization’s head, told Tasnim that Oman and the United Arab Emirates were expected to reach agreements to make their investments in December.

The official said 400,000 hectares of land would be allocated to the large project which includes ten development phases. The car manufacturing hub, established to attract the private sector’s investment, is expected to create 20,000 jobs after the ninth phase is completed.

Iran’s automotive industry is Iran’s second largest industry after its oil and gas industry, accounting for 10% of the country’s GDP. Iran produced a total of 630,639 cars in 2013 which shows a 25.6% decline compared to 2012 largely due to western sanctions imposed on Tehran over its nuclear energy program.

The strategic Chabahar free trade zone is seen as the shortest and the most secure route connecting central Asian independent states (CIS) and Afghanistan to open waters. It also enjoys proximity to one of the world’s largest oil, gas and mineral reserves and is the only ocean port of the country.

Weekly IME Trade Up 92%

Around 550,000 metric tons of goods were traded at the Iran Mercantile Exchange (IME) during the week leading up to November 13, marking a 92% and 58% increase in terms of volume and value, respectively, compared to a week earlier.

Ten commodities experienced growth in trade, namely copper, aluminum, molybdenum concentrate, vacuum bottom, lube cut, sulphur, bitumen, insulations, and polymers, reported the IME’s public relations and international affairs office on Friday.

Based on the report, some 200,000 tons of commodities were traded on the export trading floor for industrial and mineral goods at nearly 3.3 trillion rials, including 139,000 tons of steel and steel products, 50,000 tons of iron ore, 7,950 tons of copper, 3,000 tons of aluminum, 60 tons of zinc ingots, 9 tons of molybdenum concentrate, and 200 tons of coke.

The oil and petrochemical trading floor also registered trading of 345,000 tons of commodities, including 197,000 tons of different grades of bitumen, 48,000 tons of polymers, 61,000 tons of vacuum bottom, 11,000 tons of different lube cuts, 21,000 tons of chemicals, and 6,920 tons of sulfur.

The soft commodities trading floor, as often, did not record as much in trades as only 685 tons of food products, including 2,875 tons of corn, 400 tons of barley, and 25 tons of sugar lumps were traded.