Economy, Business And Markets

Private Sector Invests in Golgohar

Private Sector Invests in GolgoharPrivate Sector Invests in Golgohar

A private consortium has won the tender to exploit the 5th phase of Golgohar mine in Kerman Province. The tender was launched aimed at developing mines across the country by making best use of the private sector’s expertise and financial resources, ILNA quoted Iranian Mines and Mining Industries Development and Renovation Organization (IMIDRO) on Saturday.

According to the report, the consortium is responsible to extract and sell the minerals based on the Article 44 of the Constitution. Part of the Article calls for the private sector’s more significant role in supplying the raw material for the domestic steel chain.

The consortium is composed of companies with past experience in mining and mineral processing industries.

It has been ranked as the best provider of these services with regard to its technical and financial capabilities, added the report.  

Golgohar, as one of the biggest iron ore mines in the country, is located 50 kilometers from Sirjan in the southeastern province of Kerman. The mine is operating in six phases, the 5th phase of which has an estimated reserve of 25 million metric tons of iron ore.

Based on the plans included in the 20-Year Vision Plan (ends in 2025), Iran should be able to annually produce between 52 and 55 million metric tons of crude steel by 2025.

Such increase in steel production –currently standing around 18 million metric tons per year– needs a dramatic increase in production of raw materials such as iron ore, iron ore concentrate, and iron ore pellets.