Rabin Shakya 2012

Env. 621 Unit 4. Conservation of Mineral and Energy Resources

Mineral Resources ........................................................................................................................................ 2

Introduction .................................................................................................................................................. 2

Categories of Mineral.................................................................................................................................... 2

Mining ........................................................................................................................................................... 2

Location and extraction of minerals ............................................................................................................. 2

Environmental Impact of Mining .................................................................................................................. 5

Conservation of Mineral Resources .............................................................................................................. 6

Mining in Nepal/Mineral in National Develoment ....................................................................................... 7

Mineral Resources in Geographical Regions in Nepal .................................................................................. 8

Processes of Mineral Concentration ............................................................................................................. 8

Mineral deposits, Mines and Their Present Status ....................................................................................... 9

Statutory Arrangement for Mineral Development and Administration ..................................................... 16

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Mineral Resources

Introduction

Mineral: Mineral is naturally occurring substances in or on the earth’s crust that have homogenous

chemical composition and are must be formed under natural processes. All the minerals don’t have

economic importance but have scientific importance. These minerals accumulate and compact naturally

and forms rocks. Therefore the different types of have different types of mineral assemblage. If a rock

contains one or more metallic minerals and has economic value is called ore.

Categories of Mineral

Reserves and Resources: Reserves are usually defined as known deposits from which minerals can be

extracted profitably using existing technology and under present economic and political conditions.

Because of economic, technology and legal/political approvals are essential parts, world reserves of

some minerals could increase or decrease significantly with no significant change in the actual minerals

could increase or decrease significantly with no significant change in the actual amount of that mineral

that is known to be in the ground.

Resources are the potential sources of extractable minerals that might be used in the future if changes

in technology or economic and legal conditions allow. We should also realize that the two categories of

minerals are not fixed and immutable. If mineral prices fall, as they have in recent years, some marginal

reserves may slip into the category of potential resources, when prices improve, they may shift back into

the active reserves.

Mining

Mining is the extraction of valuable minerals or other geological materials from the earth, from an ore

body, which forms the mineralized horizon and package of economic interest to the miner. The total

movement of ore and waste, which also includes the removal of soil in some cases, is referred to as the

mining process. Depending on the nature, attitude, and grade of the ore body, it is often the case that

more waste than ore is mined during the course of the life of a mine. The waste removal and placement

is a major cost to the mining operator and to facilitate detailed planning the detailed geological and

mineralization characterization of the waste material forms an essential part of the geological

exploration program.

Location and extraction of minerals

The prime objectives of locating and extracting (prospecting and exploration) work are the outlining or

delineation of a deposit.

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• Prospecting comprises several stages:

a) Search b) Preliminary c) detailed and d) mine exploration.

The object of Search is to establish the presence of a deposit and evaluate its promise

from the geological point of view. This includes study of the local geological and

economic conditions.

During the Preliminary stage, the deposit is studied by bore holes allowing general idea

of the deposit, general geologic conditions of occurrence, size and commercial value.

Detailed exploration helps clear up with high degree of accuracy the geological

structure of the deposit, the shape of ore bodies, the grade and distribution of the ore

along with hydro-geological and mining conditions.

The mine exploration is conducted in order to ascertain more precisely the shape and

position of mineral bodies, the distribution of the ore grades and the mode of

occurrence of the mineral during actual exploitation of the mine. It is conducted in

permanent mine working.

Prospecting criteria

Geological prospecting criteria mean such geological settings, which point to the possibility of

discovering various mineral deposits.

a. Remote Sensing

Remote sensing is the science and art of obtaining information about an object, area or

phenomenon through the analysis of data acquired by a device that is not in contact

with the object, area or phenomenon under investigation.

Sophisticated but valuable exploration tools.

Useful to detect, record, and analyze energy emitted off the earth

– Aerial photography – Satellites – Space shuttle, and other manned missions

b. Structural tectonic criteria:

Endogenous deposits are associated chiefly with folded regions.

Folded structures in the shape of domes, anticlines favor the formation of oil, gases and

also of some deposits of fluorite.

Minor faults and joints can serve as passage for hydrothermal solutions or become the

site for the localization of mineral bodies.

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Fractures often play an important role in the formation of mineral bodies.

c. Stratigraphic criteria

A number of sedimentary deposits are associated with specific paleo-environmental

conditions that had existed only during certain stages of the geologic history of a

particular segment of the earth’s crust.

95% of all deposits of the sedimentary sulfur occur in the Permian, Jurassic and

Neogenic rocks.

d. Lithological criteria

Lithological composition of rocks quite often features with possible generation of

certain types of deposits.

Oil deposits accumulate in porous sands, sandstones and cavernous limestone.

Coals are associated with sandy clay sequences, sometimes with the presence of

abundant vegetable remains

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Environmental Impact of Mining The nature of mining processes creates a potential negative impact on the environment both during the

mining operations and for years after the mine is closed. The impact varies with the resource’s stage of

development. Exploration activities for mineral deposit vary collectively and analyzing remote sensing

data gathered from air planes or satellite to field work such as surface mapping, drilling and gathering

geophysical data. Exploration usually has minimal impact the environment when care is taken in

sensitive areas. Mining and the processing mineral resources can have considerable impact on land,

water, air and biologic resources.

Most of the Environmental issues in mining includes erosion, formation of sinkholes, loss of biodiversity,

and contamination of soil, groundwater and surface water by chemicals from mining processes. In some

cases, additional forest logging is done in the vicinity of mines to increase the available room for the

storage of the created debris and soil. Contamination resulting from leakage of chemicals can also affect

the health of the local population if not properly controlled. Extreme examples of pollution from mining

activities include coal fires, which can last for years or even decades, producing massive amounts of

environmental damage.

Ore mills generate large amounts of waste, called tailings. For example, 99 tons of wastes are generated

per ton of copper, with even higher ratios in gold mining. These tailings can be toxic. Tailings, which are

usually produced as slurry, are most commonly dumped into ponds made from naturally existing

valleys. These ponds are secured by impoundments (dams or embankment dams). In 2000 it was

estimated that 3,500 tailings impoundments existed, and that every year, 2 to 5 major failures and 35

minor failures occurred;] for example, in the Marcopper mining disaster at least 2 million tons of tailings

were released into a local river. Subaqueous tailings disposal is another option. The mining industry has

argued that submarine tailings disposal (STD), which disposes of tailings in the sea, is ideal because it

avoids the risks of tailings ponds; although the practice is illegal in the United States and Canada, it is

used in the developing world.

This impact has led to most of the world's nations adopting regulations to moderate the negative

effects of mining operations. Safety has long been a concern as well, though modern practices have

improved safety in mines significantly.

Mining companies in most countries are required to follow stringent environmental and rehabilitation

codes in order to minimize environmental impact and avoid impacts on human health. These codes and

regulations all require the common steps of Environmental impact assessment, development

of Environmental management plans, Mine closure planning (which must be done before the start of

mining operations), and Environmental monitoring during operation and after closure. However, in

some areas, particularly in the developing world, regulation may not be well enforced by governments.

Certification of mines with good practices also occurs through the International Organization for

Standardization (ISO) such as ISO 9000 and ISO 14001, which certifies an 'auditable environmental

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management system'; this certification involves short inspections, although it has been accused of

lacking rigor.

Conservation of Mineral Resources

Conservation of mineral resources means the sustainable use of the resources. Considering sustainable

development and exploitation and use is problematic. This is because nonrenewable mineral resources

are consumed over time and sustainability is a long term concept that includes finding ways to provide

future generations a fair share of Earth’s resources. It has been argued that given human ingenuity and

sufficient lead time, solutions for sustainable development that incorporates non-renewable mineral

resources can be sought out.

Finding substitutes or ways to use nonrenewable resources more efficiently generally requires several

decades of research and development a measure of the time available for finding the solution to

depletion of nonrenewable reserves is the R to C ratio, where R is the known reserves (ex, hundreds of

thousands of tons of a metal) and C is the rate of consumption (ex, thousands of tons per year used by

people). The R to C ratio is often misinterpreted as the time a reserve will last at the present rate of

consumption. Thus, R to C ratio is a present analysis of a dynamic system in which both the amount of

reserves and consumption may change over time. However, the ratio can provide a view of how scarce a

particular mineral resource may be. Those metals with relatively small ratios can be viewed as being in

short supply, and it is those resources for which we should find substitutes through technological

innovations.

There are many examples for which the human ingenuity proved to be positive for the conservation of

mineral resources. Copper are used to transmit electricity in wires or electronic pulses in telephone

wires. It is not the copper itself we desire but the properties of capper that allow these transmission. We

can substitute copper wire by fiber glass cables in telephone wires, eliminating the use of the copper.

Similarly, digital cameras have eliminated the need for film development that used silver. The message is

that we can find alternative to compensate for a nonrenewable minerals.

Therefore, reducing consumption, reusing, recycling and finding substitutes are environmentally

preferable ways to delay or alleviate possible crises caused by the convergence of a rapidly rising

population and a limited resource base.

Besides these, there are several methods to conserve the nonrenewable mineral resources. They are;

a. Exploration: • This is not directly related to conservation. • From the point of time when a deposit has been identified, it is usually a long drawn

process reserve and the grades are estimated. b. Mineral Inventory

• Simultaneous with the exploration and exploitation activity going on in the country, it is of utmost importance to continually update the national mineral inventory.

Rabin Shakya 2012

• This facilitates effective monitoring of the country’s mineral resources.

c. Mining technology • Mining technology depends on the mode of occurrence and nature of deposits. • Mining technology determine how much of the deposit can eventually be mined and

how much will have to be lift in situ and wasted forever. d. Systematic dumping

• The ideal situation is that out of the mined out product, whatever cannot be marketed or used, should, instead of being through away, be systematically dumped.

• In future, the same can be recovered from such dumps by using latest technology e. Storage technology

• While solid rejects can be dumped, the same does not hold good for gaseous rejects. The natural gas comes out at the time of extraction of petroleum.

f. Technology • Reduction in the consumption of mineral raw materials can be achieved by improving

the process of manufacturing or the design plants. g. Blending

• In blending operation, a mineral commodity of lower grade is mixed with the same commodity of higher grade in a suitable ratio.

• It has two fold advantages. o Firstly, the lower grade mineral resources, gets utilized. o Secondly, the volume of consumption of the higher grade mineral is brought down.

h. Life of product • Conservation of some of the mineral resources can be achieved by increasing the life

span of the end products based on those minerals. • One of the ways to increase the life span of articles is preventing corrosion.

i. Substitution • Substitution of a scarce mineral, either by a relatively more abundant mineral or by

synthetic substance or by renewable substance. j. Scrap recycling

• Scrap may be generated in the factories during manufacturing or worn out consumer articles like cans, bottles etc.

• By recycling the scrap in the manufacture of consumer goods, conservation of mineral resources can be promoted.

Mining in Nepal/Mineral in National Develoment

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.

Mineral exploration activities were in peak during 1974 – 1980 when DMG and UN funded Mineral

Exploration Development Project was in action. many private investors are showing their interest and

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taken 451 exploration licenses for 21 minerals and 80 mining license for 21 mineral commodities (except

river gravel and sand mines) from DMG. For much talking, mining and mineral resources play a vital role

in overall development of the country. But, in Nepalese context it is very poor. Presently contribution

from minerals and mine is about 0.5% and on the whole from Minerals mines and mineral based

industries sector is just around 2.4 % which is not encouraging but could go above 10% or more if we

can utilize existing mineral resources to national GDP.

Mineral Resources in Geographical Regions in Nepal

Nepal Himalaya can be divided into five distinct morpho-geotectonic zones from south to north. The

complex geology of Nepal has led to the different form of mineral deposit in different zone

Southernmost Tarai 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.

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 and sand.

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.

Processes of Mineral Concentration

a. Magmatic concentration: it refers to the process by which molten rock at depth segregates into

different constituents as it cools and solidifies. In a similar manner, when a body of magma far

underground begins to cool, certain minerals will crystallize first and being denser than the

surrounding fluid, will sink to the bottom of the magma chamber. The residual rocks will

become increasingly felsic and in some other cases last remaining fluids, together with a slurry

of crystals already solidified, may be injected into cracks or fissures in the surrounding rock to

form pegmatic dikes. A dike refers to a tabular sheet of rock that has been injected into older,

already existing rock. It appears to be important in some deposits of chromium, iron, titanium,

platinum, nickel and copper.

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b. Hydrothermal process: Hot water circulating among cracks will dissolve minerals from the rock.

Solution takes place at depth where temperature and pressure are high. The ability of water to

dissolve minerals is enhanced when the fluid contains metal chlorides or fluorides. A chemical

reaction take place when these fluid comes in contact with sulfide (probably hydrogen sulfide)

creating metal sulfides, highly soluble in water which precipitates out and concentrates into an

ore deposit.

c. Replacement deposits: Rocks are altered when they come in contact with hot fluids. Some

element in the rock becomes dissolved in the fluid and other elements carried in the fluid

replace them, chemically altering the rock. Ores formed by replacement often contain iron,

copper, zinc, lead, tin, tungsten, molybdenum, graphite, gold, silver, manganese, and corundum.

d. Sedimentation: Exposed to weathering (rainfall, freezing and thawing, chemical reactions, etc)

rocks eventually become reduced to sedimentary detritus. Transported by water, sediment is

deposited on river banks, floodplains, in the deltas of major river systems, or on the sea floor

with ample opportunity to dissolve mineral in water. Precipitation, compaction, cementation,

bacterial action, etc aid in the mineral concentration process during and after deposition.

Sedimentary processes produce deposits of iron ore, manganese, phosphorus, sulfur, copper,

cobalt, lead, zinc, silver, gold, uranium, limestone and clay.

e. Evaporation: Lakes with no outlet to the ocean, such as Great Salt Lake of Utah or the Dead Sea

in the Middle East, collect and concentrate minerals form the river water draining into them. If

the lake dries up completely, mineral deposits are left behind to be incorporated into the local

rock strata as evaporites. In some cases, basins with a weak connection to the ocean can dry up

from time to time, creating extensive deposits. Evaporite deposits include gypsum, common

salt, potash form evaporation of seawater and borax.

f. Residual concentration: process of weathering can remove common rock minerals, leaving

concentrations of less easily weathered minerals behind. This is called residual concentrations of

minerals can results in deposits of iron ore, manganese, bauxite, nickel and clay.

g. Placer deposits: Heavy metals that do not react with oxygen or water may be released from

deposit by weathering of the rocks and may then be transported in streams. Because of their

density, the metal grains will tend to deposit in the sands and gravels of the stream bed that

drains the source rock. These kinds of concentrations are called placer deposits. Example: gold,

platinum, tin, titanium, rare earths, diamonds and other gemstones.

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

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for the exploration of 21 mineral commodities and 80 mining licenses for mining 12 mineral

commodities in different parts of the country.

Some of the prospecting mineral resources found in Nepal as headed below.

a. Metallic Minerals

Metallic minerals are very much used in various purposes in day to day life. They are mostly

extracted from their respective ores. Gold, platinum, silver and copper also occur as native

state. A numbers of metallic ore minerals are known from different parts of Nepal only the

important ones are briefly described.

Iron (Fe) is the principal metal which is used extensively in infrastructure development

works, to manufacture heavy machinery equipment, arms, agricultural tools etc. Iron

ores like magnetite, hematite, limonite/goethite occurrences/ prospects/ deposits are

known from more than 85 localities. Some of these ores were extensively mined and

smelted in different parts of Nepal since more than 150 years till 1951 (2007BS) but not

a single iron mine is in operation at present. The well-known iron ore deposits are

Phulchoki (Lalitpur), Thoshe (Ramechhap), Labdi Khola (Tanahun), Jirbang (Chitwan),

Dhuwakot (Parbat), Purchaundi/ Lamunigad (Bitadi), Dahabagar, Kachali, and Ekghar/

Khanigaon (Bajhang). Iron prospects and old workings are also known from different

parts of Baitadi, Bajhang, Jajarkot, Rolpa, Surkhet, Myagdi, Baglung, Parbat, Chitwan,

Ramechhap, Okhaldhunga, Taplejung etc. Phulchoki iron deposit still remained

untransformed into commercialization due to its location in the environmentally

sensitive area and shortage of power like electricity and unavailability of good quality

coal in Nepal and few other reasons. Thus, the iron deposit was mined in small scale

during Rana's time for almost 100 years. But it was totally closed after 2007BS. DMG

(Kaphle & Khan 1995, 1996, 2006) did the assessment of this prospect and calculated

geological reserve of about 10.5 million ton iron ore.

Copper (Cu) is another important metal which is mainly used in electrical industries to

produce electrical and electronic equipment, copper wires, crafts, making alloys,

utensils, and other household purposes. It was mined traditionally in Nepal since

historic time but at present there is no running copper mine. The common copper ore

found in Nepal are chalcopyrite, and few malachite, azurite, covellite, cuprite, bornite,

and chalcocite. Copper ore occurrences/ prospects/ deposits are known from more

than 107 localities in the country. Small scale copper mines were in operation in Gyazi

(Gorkha), Okharbot (Myagdi) and Wapsa (Solukhumbu) till to the last decade and they

were able 20 to 50mt finished copper per year. Other copper prospects/ deposits like

Kalitar (Makwanpur), Dhusa (Dhadhing), Wapsa (Solukhumbu), Bamangaon

(Dadeldhura), Khandeshori/ Marma (Darchula), Kurule (Udayapur), Bhut Khola

(Tanahun), Pandav Khani (Baglung), Baise Khani (Myagdi), Chhirling Khola (Bhojpur)

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Janter Khani (Okhaldhunga) are the major ones. Old workings are also known from

different parts of Darchula, Bajhang, Bajura, Parbat, Baglung, Myagdi, Gulmi, Tanahun,

Gorkha, Makwanpur, Kavre, Ramechhap, Okhaldunga, Dhankuta, Solukhumbu, Ilam and

Taplejung districts. Among them Siddhi Khani (Ilam), Mul Khani (Gulmi) Ningre (Myagdi)

are the important ones. 42 exploration licenses for copper exploration have been

issued by DMG (source DMG, FY2066/67).

Zinc (Zn) and Lead (Pb) occurrences/ prospects/ deposits are reported from more than

54 localities in different parts of Nepal. In most cases their ore minerals e.g. Sphalerite

and Galena are associated like in Ganesh Himal area (Rasuwa), Phakuwa

(Sankhuwasabha), Labang- Khairang (Makwanpur), Pangum (Solukhumbu), Salimar

valley (Mugu/ Humla), Daha Gulzar (Darchula), Phulchoki (Lalitpur), Sisha Khani and

Kandebas (Baglung), Dhuwakot (Parbat), Barghare (Makwanpur), Khola Khani

(Taplejung) etc. Most of them are known as old workings. Among them only Ganesh

Himal Zinc - Lead deposit (Lari and Suple) has been proved as an economic deposit and

mine development work has been completed by Nepal Metal Company since long time

before but there is no production as yet.

Cobalt (Co) prospects are not as common as iron, copper, lead and zinc in Nepal.

Cobaltite, erythrite and absolite are the common ore of Cobalt. Few old workings for

cobalt are known from Netadarling & Tamghas (Gulmi) and Samarbhamar

(Arghakhanchi). They are also recorded from Lamadanda (Dhadhing), Nangre (Kavre),

Bhorle (Ramechhap), Bauli Gad (Bajhang) etc. There is no cobalt mine at present.

Nickel (Ni) occurrences are reported from few polymetallic deposits like in Bamangaon

(Dadeldhura), Bering Khola (Ilam), Bauligad (Bajhang), Khopre Khani (Sindhuli) and

oldworkings from Nangre, Nigre and Bhorle (Kavre) area. The main ore of this metal is

niccolite and pentlandite which are mainly associated with chalcopyrite, pyrrhotite and

pyrite.

Gold (Au) is a precious metal which has a very good worldwide market. It is widely used

in making coins, ornaments, jewelry, dental appliances, electroplating, metal coating

and many other purposes. In Nepal alluvial/ placer gold are frequently wined by local

dwellers (Botes) from the river gravel/ sediments deposited by the rivers like Mahakali,

Chamliya, Jamari Gad, Seti, Karnali, Bheri, Rapti, Lungri Khola & Phagum Khola (Rolpa),

Kaligandaki, Myagdi Khola, Modi, Madi, Marshyangdi, Trishuli, Budhigandaki, and

Sunkoshi along their high and low flood plains as well as in their terraces. Primary gold

occurrences are known from Lungri Khola area (Rolpa); Bangabagar, Gorang & Jamari

gad (Baitadi); Bamangaon (Dadeldhura) but they are yet to be evaluated by detail

exploration.

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In addition to above mentioned metals/ Metallic ore minerals, some marked minerals in

Nepal are Silver (Ag), Tin (Sn), Tungstun(W), etc. Some minor occurrences of

Molybdenum (Mo), Tintanium (Ti), Uranium (U), Thorium (Th), Bismuth (Bi), Lithium

(Li), Berrylium (Be), Antimony (Sb) Tantalum (Ta) , Niobium (Nb), Lanthenum (La) ,

Celenium (Ce) , Cadmium (Cd), Titanium (Ti), Venedium (V), and Mercury (Hg) are also

reported from different parts mostly as associated minerals.

b. Non-Metallic Minerals:

A number of Nonmetallic minerals like magnesite, phosphorite, talc, limestone, dolomite,

quartz, mica, clay, silica sand, gemstones, decorative and dimension stones, construction

materials etc. are known from different parts of the country. Some of the important ones which

are explored up to certain stages are briefly described.

1. Nonmetallic/ Industrial Minerals

Limestone: Over 1.298 billion metric tons of cement grade limestone deposits are

already known from the Lesser Himalayan region only. Exploration of limestone by

DMG, in the past was able to identify a number of large to small size limestone deposits.

Based on some of the proved limestone deposits few cement industries are already in

operation/ production, few others are under construction and quite a few others are in

the pipelines. Present domestic cement production could fulfill about 40 - 50% of the

total internal demand. 6 new cement industries named Sibom, Sonapur, Ghorahi, Rolpa,

Bishal and Nigale cement industries Pvt. Ltd. are under construction and they will start

cement production very soon. Therefore, establishment of more cement factories based

on own limestone resources is rewarding. Some of the main limestone deposits are

Sindhali & Galtar (Udaypur), Bhainse, Okhare and Nibuwatar (Makwanpur), Jogimara &

Beldada (Dhadhing), Chovar, Bhattedanda (Llitpur), Balthali & Nandu (Kavre), Kakaru

Khola (Sindhuli), Galtar (Udayapur), Kajeri (Salyan), Nigale (Dhankuta), Chaukune and

Lakharpata (Surkhet), Gandari (Dang), Narapani and Supa Khola (Arghakhanchi),

Diyarigad (Baitadi) and few other place in Lalitpur, Kavre, Khotag, Udayapur, Syangja,

Palpa, Arghakhanchi, Dang, Pyuthan, Sallyan, Rolpa, Rukum, Bajhang, Baitadi and

Darchula districts. Preliminary studies indicate that there is a possibility to find more

than 2.5 billion tons of cement grade limestone deposits only in the Lesser Himalaya. 29

mining licenses and 196 prospecting licenses of limestone have been issued by DMG to

private sectors.

In many cases Dolomite and limestone occur together. From geological mapping it is

known that over 5 billion tons (possible) of dolomite occur mainly in Dhankuta, Khotang,

Udayapur, Sindhuli, Dolakha, Kavre, Kathmandu, Makwanpur, Dhadhing, Syangja, Palpa,

Baglung, Gulmi, Arghakhanchi, Dang, Pyuthan, Sallyan, Rolpa, Rukum, Jajarkot, Surkhet,

Dailekh, Jumla, Achham, Doti, Bajhang, Bajura, Baitadi and Darchula districts in the

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Lesser Himalayan and in some parts of Higher Himalayan region. Most of them are not

yet explored in detail and still do not know their grade and quality to utilize as raw

materials for industries.

Phosphorite is one of the main raw materials to manufacture chemical fertilizers like

fused magnesium phosphate, triple super phosphate etc. Present annual demand of

chemical fertilizer in Nepal is about 150,000mt/ year. Except one or two fertilizer

blinding plant no fertilizer plant based in the local phosphatrite minerals exist in the

country. Phosphorite (0.7 - 0 4.7m thick bed) is confined to massive cherty and

stromatolitic dolomite of Pre-Cambrian to Lower Paleozoic age that occur in Dhik Gad,

Junkuna, Morgaon, Sanagaon and Dhaubisaune areas in Baitadi, Far-western Nepal This

phosphorite consists of 5–32 % P2O5. Similar (1 to 23m thick) stromatolitic phosphorite

band is also traced at Tarugad, Juilgad, Goichan - Kandechaur area in Bajhang and

further east to Bajura. Detrital phosphorite fragments (<1mm -1.5cm) are recorded from

Eocene argillaceous limestone lenses and beds in Sewar Khola (Dang) and Mari Khola

(Pyuthan). P2O5 content in them is <5% to 10% (Kaphle & Pradhanang 1985). However,

the phosphorite fragment itself revealed up to 25% P2O5. Exploration of phosphorite in

the vicinity of MBT was able to trace few phosphatic rocks consisting of <5% P2O5. Only

few phosphatic nodules/ lenses consist of up to 22% P2O5 in Takure, Barahakshetra,

Tawa Khola (Kazitsyn, 1970); Gawar Khola, Sewar Khola in Midwestern Nepal and in

Khulia Khola (Kaphle 1997) in Far-Western Nepal.

Magnesite: 180 million tons (66 million tons of high grade, MgO content 88 to 96% loss

free basis) of magnesite deposit in Kharidhunga, Dolakha; 20 million tons of mediums to

low-grade magnesite deposit in Kampughat in Udayapur district; and few small size

magnesite occurrences from Palpa, Baitadi and Dolakha have been identified.

Kharidhunga magnesite an open cast mine (Fig.2) has been developed to exploit

magnesite as a raw material for Dead Burnt Magnesite (DBM) plant located in

Lamosanghu. Some technical problems appeared during test production of DBM.

Talc : Occurrences of talc bands, lenses, veins and pockets are known in magnesite,

dolomite and chloriticm talc schist in different parts of Lalitpur, Dolakha, Sindhupalchok,

Dhadhing, Chitwan, Tanahun, Kaski, Syangja, Surkhet, Bajhang, Bajura, Baitadi and

Darchula districts. DMG has issued 25 prospecting and 6 mining license to the private

sector. Khari Dhunga talc mine is in operation since more than 2 decade.

Mica: Several but comparatively small occurrences of mica (muscovite and biotite)

books are known from different parts of Nepal. But mineable coarse size mica books are

recorded only in complex pegmatite Langtang (Rasuwa), Bhumidanda and Kharanetar

(Nuwakot), Chaukibhanjyang (Kathmandu), Nibuwagaon (Sindhupalchok), Lekhpatan,

Fulbari and Tikachaur (Jajarkot), Khaptad (Bajhang), Baskot and Bhasukan (Doti), Fikal

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(Ilam), Chilingdin (Panchthar), Rangmale, Akabu/ Sainsabu, Dobal Pokhari, and

Khanigaon (Taplejung), Phakuwa and Hyakule (Sankhuwasabha) etc.

Some other non-metallic minerals includes, red clay/ceramic clay, pyrite, silica sand,

barites, graphite, calcite, diatomite, salt etc.

2. Gemstones

Semiprecious stones like tourmaline, aquamarine/ beryl, garnet, kyanite, amethyst, citrine,

smoky quartz (quartz crystals); and precious stones like ruby, sapphire etc. are known only from

few districts.

Tourmaline: Five distinct types of tourmaline are known from Nepal (Basset 1978).

Small-scale mines of aquamarine, beryl, tourmalines are in operation. Pegmatites of

Langtang valley (Rasuwa) and Naje (Manang) are also promising for beryl/ aquamarine

and tourmaline. Two tourmaline mines are in operation in Daha area in Jajarkot.

Garnets are recorded from strongly tectonized high-grade metamorphic rock sequence

mainly in the Higher Himalayan region. Deep red or red colored almandine, hessonite

and pyrope garnet are mined mainly in Sankhuwasabha and Taplejung districts. Small-

scale garnet mines were in operation in Budhekhani, Bhote Khola, Hanglaung, Khining,

Sunamla, and Swachi Khani in Sankhuwasabha district.

Beryl/ Aquamarine of Taplejung (Ikabu, Lodantar) area are high prized. Lekhpatan and

Tikachaur in Jajarkot; Jagat, Panchmane, Kagtigaon, in Kathmandu; Baguwa,

Tarkeghyang, Nibuwagaon in Sindhupalchok are the other known places for Beryl.

Rubies and Sapphire: Gem quality but generally small crystal of light red to red ruby and

light to dark blue colored sapphire are known from in Chumar, Ruyil (Dhadhing) and

Lari/ Ganesh Himal (Rasuwa).

Quartz Crystals (Rock Crystal): Two small-scale quartz crystals mines are in operation

from pegmatites in Khejemi/ Sirku (Taplejung) and Raluka (Nuwakot). Quartz crystals are

also known from different parts of Jajarkot, Dailekh, Dhadhing, Rasuwa, Nuwakot,

Sakhuwasabha, Ilam and Taplejung districts.

3. Decorative and Dimension Stones

Marble: Pink, gray and white colored marble deposit (1.63 million ton) is located in

Godavari, Lalitpur district. Based on this deposit Godavari marble industries (Pvt.) Ltd. is

established. Its annual production capacity is about 80,000m2 polished marble slabs. It

is producing about 50,000m2 to 70,000m2 polished marble slabs and some crazy

marble, chips and aggregate as bi-products. Based on Anekot (Kavre) marble deposit

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Everest marble and allied industry is in operation. Recently Nawadurga Marble Industry

Pvt. Ltd is developing marble quarry in Chhatre Deurali in Dhadhing.

Granites are known from, Makwanpur (Palung and Ipa), Sindhuli, Udaypur, Dadeldhura

in the Lesser Himalaya. Course grained, massive granites are used as decorative and

dimension stones. Granites are also known from the Higher Himalayan and Inner

Himalayan (Tethys) region.

Quartzite is a hard metamorphic rock which consists of mainly quartz. It is abundantly

known from many districts like Taplejung, Ilam, Panchthar, Solukhumbu, Dhankuta,

Ramechhap, Sindhupalchok, Makwanpur, Dhadhing, Nuwakot, Tanahun, Kaski, Syangja,

Parbat, Baglung, Beni, Dang, Sallyan, Rolpa, Rukum, Jajarkot, Achham, Doti, Bajhang,

Bajura, Dadeldhura, Baitadi, Darchula and few other districts.

Slate is the common roofing and pavement material that is extensively mined from

different parts of Dhankuta, Sindhupalchok, Ramechhap, Nuwakot, Sindhupalchok,

Dhadhing, Baglung, Parbat, Jajarkot, Achham, Doti, Dadeldhura, Baitadi, Bajhang, Bajura

and many other districts since historic time.

4. Construction Minerals (Materials)

Rocks are the main construction materials since the Stone Age. Some of the rocks like marble,

basalt, granite and red sandstones are used in decoration; phyllite, slates, flaggy quartzite and

schist are used for roofing; limestone, dolomite, quartzite, sandstone are used for aggregate in

various construction works, road paving and flooring. Vast quantities of river boulders, cobbles,

pebbles and sands are mined as construction materials/ aggregates. DMG (Y.P. Sharma et al

1988) has evaluated such materials (Boulders= 347,006,000m3, Cobbles = 214,261,000m3 and

Pebbles = 229,205,000m3) in the Major Rivers of Tarai region.

5. Fuel Minerals

Coal: In Nepal low to medium grade coal occurrences/ deposits are known in four

stratigraphic positions e.g. (i) Quaternary lignite (ii) Siwalik coal (iii) Eocene Coal and (iv)

Gondwana coal. Peat/ lignite in Kathmandu valley is mined and used mainly in brick

burning. Siwalik coal is not economically attractive because of scattered small lenses.

Eocene Coal occurs as irregular seams confined to orthoquartzite in Tosh, Siuja, Azimara

and Abidhara in Dang, Sallyan, Rolpa, Pyuthan and Palpa districts. Small scale 20 coal

mines are in operation in these districts. In addition to that 49 prospecting license are

also issued by DMG. Present Coal production in Nepal is insignificantly small (150 -

250mt/ day).

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Petroleum and Natural Gas: A number of Oil and Natural gas seeps are recorded in a

stretch of about 14km in Padukasthan, Sirsethan and Navisthan area in Dailekh and only

gas seeps in Muktinath in Mustang. GON/DMG/Petroleum Exploration Promotion

Project (PEPP) are giving high priority to explore and promote petroleum exploration in

Nepal since 1982. DMG/ PEPP were able to identify 10 prospective blocks in the

southern parts of the country. Since last few years Texana Resources Company of USA

and Cairn Energy PLC of UK have initiated the exploration. The possibility of finding oil in

some of these blocks appears fairly high.

Methane gas deposit in Kathmandu Valley is known since long time. It dissolves in water

type biogenic gas. DMG explored this gas in 26 sq. km area in Kathmandu valley by

exploration drilling and proved 310 million cubic meter methane gas deposit. The gas

occurs at different depth from 120m to 300m. Its average calorific value is 7200kcal/m3.

A model gas plant is set in Tripureshor/Teku. Feasibility study has confirmed that the gas

can be used for industrial and household purpose and the reserve is sufficient to supply

gas to 21,000 families for about 30 years. The GON/ DMG is inviting for potential

investor to come forward with the suitable proposal to develop the gas wells and

commercialize this gas deposit for the benefit of the people.

Geothermal Hot Springs: During preliminary study 23 geothermal hot springs are

identified. Most of them are found to be associated with Main Central Thrust (MCT) and

confined to the river banks e.g. in Mahakali, Karnali, Tila, Kaligandaki, Myagdi Khola,

Marshyangdi, Trishuli, Bhotekoshi Rivers, and in Kodari. The temperature of the hot

spring water ranges from 400C to 1150C. It can be utilized for heating, drying fruits, hot

water bath to heal skin disease.

Radioactive Minerals like uranium are known from Sindhuli, Makwanpur, Kathmandu

and Baitadi districts. There is a high possibility to find such minerals in the granitic

terrain (granite, gneiss and pegmatite) in the Higher and Lesser Himalayan region and

from the Siwalik sandstone. Uranium is a major source of fuel for the production of

Nuclear energy.

Statutory Arrangement for Mineral Development and Administration

The Government of Nepal has formulated timely relevant Acts and Regulations to promote mineral exploration and development in the country. Accordingly, two separate Acts and corresponding Regulations exist to deal with different minerals, categorized into two groups, namely, (1)All mineral resources (except petroleum) and (2) Petroleum.

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The Acts and Regulations relating directly to mineral resources exploration and development are as follows:

Mines and Mineral Act, 2042 (1985) with First Amendment, 2050 (1993).

Mines and Mineral Regulation, 2056 (1999).

Nepal Petroleum Act, 2040 (1983).

Petroleum Regulation, 2041 (1985) with First Amendment, 2046 (1989) and Second Amendment, 2051 (1994).

Petroleum Industry [Income Tax] Regulation, 2041 (1985)