Saturday , May 28 2022

Ministry of drafting mining policy | The English Ethiopian Correspondent



[ad_1]

The Ministry of Mines and Petroleum has drafted a national mining policy which would aim to strengthen the local mining industry.

A senior official of the Ministry of Mines and Petroleum said The Correspondent The draft mining policy would enable the Ministry to identify the mineral potential of the country and harness the natural resource. The officer said the policy would encourage the private sector to invest in the mining sector.

The Ethiopian Mining Council held a stakeholder consultation meeting last week on the draft Mining Policy. The consultative meeting chaired by Assefa Kumsa, the Minister of State for the Ministry of Mines and Petroleum, discussed the sector's huge potential to transform the country's economy, as well as the major challenges that the sector is facing. face them. “The draft policy aims to clearly communicate the sector's potential contribution to the country's Growth and Transformation Plan, and the best way to capitalize on the benefits that the sector could deliver,” said Assefa.

During the consultation meeting, participants noted that there were not enough cross-sectoral inter-relationships, reduced investment, lack of added value, inadequate awareness of the importance of the sector and lack of access to organized data as the main challenges they need to be. get to grips with them.

The draft Mining Policy will be further enhanced by incorporating comments and feedback received from stakeholders prior to submission to Ministerial Council approval.

The Ministry believes that the national mining policy would enable it to promote the contribution of the mining sector to the overall economic development of the country. “The overall goals set for the sector are to contribute to the country's Sustainable Development and to create structural reform,” said the Ministry. Once confirmed, the Mining Policy envisages that it will boost revenue, create additional employment opportunities by encouraging and attracting investors in the sector.

The mining sector has been severely affected by the political instability that the country has created over the last four years. The growth of contraband trade has significantly reduced mineral export earnings. The annual mineral export gains have resulted from USD 600 million to 130 million.

According to the Ministry of Mines and Petroleum Ethiopia offers great opportunities for mineral exploration and development. A favorable geological environment supports a wide range of mineral resources. The Ministry claims that Ethiopia's green stone belts offer one of the best areas for gold mineralization anywhere in the world, and more than 500 tonnes of gold deposits have already been identified through exploration. . Precious and metallic minerals such as tantalum, and platinum have been mined on a small scale. More than 200 overseas and local mining companies are involved in the exploration and extraction of minerals.

In terms of petroleum resources the country has five sediment basins. The Ogaden basin covering 350,000 square meters of land is the largest basin in Ethiopia. Natural gas and crude oil reserves were found in the basin.

Five international oil companies are involved in oil and gas exploration and development projects in different parts of the countries. Poly GCL Petroleum Investments Ltd, New Age, Africa Oil, South West Energy and Gazprom are the licensed companies to develop and develop hydro and hydro gas reserves.

Mining companies operating in remote parts of the country have reported that safety concerns have disrupted their activities. Last week, five people working for a mining company in Wellega near the town of Nejo were killed by unknown gunmen. Senior officer of the Ministry of Mines and Petroleum is informed The Correspondent that the security problems needed a political solution adding that that situation was beyond the control of the Ministry.

[ad_2]
Source link