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February 17, 2018

?Why should we invest in the mining sector of Zanjan Province

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12 Apr 2017 Time 5:16
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A brief introduction to the Province

Zanjan Province is a land with an area of over 21773 square kilometers located in North West Iran, dating back to the late second millennium BC. According to the latest census, the Province with almost one million and fifty thousand inhabitants has accommodated 1.35 percent of the total population of the country. There are 8 cities in the Province named Zanjan, Abhar, Khoramdareh, Khodabandeh, Ijrud, Tarom, Soltanieh Mahneshan. In the domestic GPD of the Province, the share of agriculture is 23.6%, the industrial sector is 33.4, and the servicesector is 42%. Also,in main economic sectors,the employment share of the Provincein the agricultural sector is 30.5 per cent, in the industrial sector is 31.6 percent, and in the service sector is37.9 percent.

Location of  Zanjan province in northwestern of Iran

  • Existence of 50% of the country’s consumption and production market and Existence of  12 provinces Within a radius of 400 km from the Center of Province
  • Vicinity with seven provinces and connecting point of the central part of country with its northwest and west parts of country
  • Being located on south brance of Asian Land Transportation Infrastructure Development (ALTID)
  • Being located on transit route of the east to west and Tehran-Europe
  • Being located on Iran Trans Railway route which connects the south and center of Asia to Europe and Russia
  • Being located on AH1 highway route, the most and important Asian Highway  Vicinity to five boarder hubs which are major centers for goods exchange (including Bazargan, Jolfa, Astara ,Anzali and Bashmaq boarders)
  • Near to Anzali & Aras trade-industrial free zones
  • Being the connection bridge between the west of country with its central parts (through The Silk Road)
  • suitable Coverage communication paths inside and outside the province (highway, main road, detour, railway, etc)
  • Benefiting from well equipped passenger airport
  • Existence of suitable conditions for gas transferring to high-consumption industries in all of 8 sub-provinces of Zanjan province
  • Suitable Coverage of Communications and Information Technology Services in different areas of province
  • Presence of higher education, research centers & institute for advanced studies in basic science
  • Being underway to create a special economic zone in the province (under construction)
  • Existence of custom and the Bonab open international railroad station in the provin
  • Existence of international fair


Why should we invest in the mining sector of Zanjan Province?

   According to available statistics, there are over 64 types of minerals and 57 billion tons of proven and probable reserves in Iran which has placed it among significant mining countries of the world, ranking first for mining reserves in the Middle East. From the geological perspective, the Province benefits fromspecial features and privileges, so that it reflects the geological characteristics of Iran, placing in itself more than 80% of various types of minerals in the country, including 35 types of exclusive minerals existing in metal and non-metal sectors, as well as, decorative stones and various types of building materials.

At present from nearly 345 mines across the Province, almost 80% of them are active which has provided an appropriate capacity for the Province so that by extracting and providing processing opportunities, while paving the way for development, the grounds for increasing the volume of investments, in proportion to the capacities, will be provided. The existence of about 500 million tons of metallic and nonmetallic mineral reserves which have been definitely discovered and have the ability to provide the necessary energy as the required factors for the development of the mining industry, hasled to provincial officials consider creating mineral processing units as priority investment and economic development in the Province.

Zanjan Province is seeking to attract foreign investors to invest in the area of exploration, extraction and processing of mineralorescomplying with the current technologies in the world.

Capacities and capabilities of the mining sector

  • Availability of more than 80% of the country’s minerals in the Province (incl. 35 types of minerals).
  • Availability of a variety of mineral reserves including the Middle East’s largest Lead and Zinc mine, alunite, gold, kaolin, industrial soils, feldspat, boracite, salt (edible and Industrial) as well as, perlite, talc, bentonite, magnesite, large silica reserves, cement raw materials, potash stone, phosphate, Celestin, baryte and a variety of decorative stones including granite, porcelain and travrtin, gypsum, lime, rubble and building malone, water saline, iron, copper, manganese, zinc and ….
  • Availability of suitable grounds for investment in the mineral processing industry in the Province, such as silica, feldspat, gypsum, lime, decorative stones and …
  • Zanjan, ranks seventh in the country, due to generatingadded value in this sector, as well as, availability of units producingminerals, such as, zinc ingot, lead, and decorative stones, so asto createdownstream industries for the production of products such as zinc alloys, zinc powder and …

Lead and zinc

   Zanjan Province possesses 7 Zinc mines with a reserve of 11.4 million tonsand a nominal extraction of almost 761500 tons, for example, Angooran Lead and Zinc mine(in the provincialcity of Mahneshan) which can be referred to as one of the largest lead and zinc mines, which in terms of high-grade metal content, is considered as one of the rarest mines in the world. Considering major investments in mining industry activities, such as, the production of ingots, recycling zinc, lead and zinc concentrate and lead ingots, the grounds for creation of downstream industries, as well as, lead and zinc clusters are provided.

Iron ore

   Zanjan Province, with more than 36 iron ore reserves of about 14 million tons and anominal extraction of 12.5 million tons, has provided a potential capacity for the development of upstream and downstream industries. Iron oremines of the Provincehave provided a good opportunity to build iron ore concentrate factories, as well as, generate added value in this industry. Currently, most iron ore mines in the Province possess crushing and granulating units. There are five units in the province, producing granulated iron ore, as well as,oreconcentrate and pellets,withtheutilization license for annual capacity of 2.357 milliontons.


    There are fiveSilica granulating and processing unitsin the Province, with an annual capacity of 733,000 tons. Most of silica application is in glass and foundry industries. Due to the potentials of the Province, silica processing plants can be created to help generating added value and profitability for this product. The unit should be able to produce various types of silica products as follows:

  1. Gel and Nano-silica powder for use in:
  2. A) As mattifyer in paint industries, as well as, aproliferator of concentration and abrasiveproperties and environmental resistance
  3. B) As a filler and proliferator of the strength and longevity ofrubber in rubber and plastic industries, as well as,an eliminator of the environmental problems caused by soot effects, and a reducer of the amount of noise caused by motion
  4. C) Concrete constructions and cement compounds
  5. D) Thermal and electricalinsulations

At present,the need ofrubber, paint and cement industries for this powder is over 5000 tons per year, which is financed by imports from European countries. (Domestic samples with prices much lower than similar foreign products are available).

  1. 1st class granulated Silica: for the manufacture of various types of ceramics and sanitary products

3.2nd class granulated Silica: for metal molds, such as steel, black iron, aluminum and copper alloys, as well as,fireproof materials used in manufacturing iron and steel, ceramics, glass and cementfurnaces

  1. Silica: for glass manufacturing
  2. High quality rounded silica: for opening gaps and increasing permeability in the production of oil and gas
  3. Sodium silicate: forcontrollingabrasion on water pipes and formulation of enamel glazes, types of liquid solutions in soap making, industrial and non-industrial cleaners, adhesives, cement manufacturing, paints and coatings, flotation of ores, stabilizing peroxide and corrosion control
  4. Silica deposits:from sodium silicate reaction with sulfuric acid or hydrochloric acid, under certain conditions, the deposited silica is produced which because of properties such as high illumination and low porosity, it is used as a filler of fine grained silica andrubber anti- slip(for automobile tires and floor tiles), PVC, polyolefin, LDPE films and fine-pore filters for lead batteries, disseminator, carrier and many other uses
  5. colloidal silica:a suspension of fine-grained silica used in in aqueous environments, in paper and board frictions, welding of fiber fireproof materials, catalysts and chemical precursors

           9. Ferrosilicon magnesium:a deoxidizer agent in steel production, amodifying agent in cast iron production, an alloying element in the production of high-silica steel, a regenerative material in the production of some Ferro alloys

  1. Ferrosilicon magnesium: as a break-proof agent in the production of ductile cast iron
  2. Micro-silica powder: used in construction industries to enhance the compressive electrical resistance and corrosion resistance of concrete, in polymer industries, and in refractories and fireproof material industries

Construction Stones

The most important decorative stone in province is Granite and Travertine. Currently, about 45 million tons of decorative stones have been discovered in the Province. In this regard, by putting the mines into operation, which also leads to job creation, creating modern stone cutting units and providing grounds for the exportation of the productscan be achieved. Travertine stones is among other capacities to boom sculpting businesses.

 Industrial soils (kaolin, bentonite, fireproof soils, and…)

Considering a large number of industrial soil mines in the Province, as well as, diverse applicationsof this group of minerals, there is always a need felt for creating a modern processing plant to producediverse and high-quality products so as to be capable of exportation and competitiveness, regarding the standards and consumer needs in the European countries.In 2015, about 150,000 tons of different types of Feldspat, as well as, hunk and granulated kaolin have been exported to the countriesin the Persian Gulf region.

    The Processed soil belonging tothis group, already constitutes a significant share of the international tradein the world. Zanjan Province, with regards to benefiting from numerous mines with industrial soils, also being located between the Provinces of Qazvin and East Azerbaijan, which also have a rich and high quality industrial soil, with the existence of a world-class industrial soil processing plant,can be regarded as the hub of industrial soil products for domestic and exportation uses.

    Despite the availability of industrial soil products used for the manufacturing of tiles, yetthere is no active unit for tile manufacturing in the Province, and therefore, they are exported to Provinces such as Hamedan and Yazd for processing.


    ZanjanProvince has more than 9 limestone mines and cement raw materials, with 165.6 million tons of reserves and a nominal extraction of 2.9 million tons. Limestone has applications in cement and Zinc industries, while,with regard to the needs of Zinc-producing units, lack of units producing hydrated lime is felt for this material, and therefore, there should be necessary investments in this area. Also part of the Province limestone is extracted from stiff limestone as the base material for asphalt and there is a good potential for investment in this area. Limestone has many industrial applications and can be used as a mineral substance or processedin various forms of products. Limestone is a raw substance for a wide range of applications, such as, construction, agriculture, environment and industry.

  • Production of live or active lime
  • Production of Hydrate lime


    In Zanjan Provincethere are four units possessingoperation license andactive in the field of plaster processing with an annual capacity of 542 500 tons. The existence of plaster mines in the Province has provided an opportunity to build a plant for the production of dry plaster panels, as new materials used for exportation to markets in Central Asia and Persian Gulf countries, as follows:

  • Regular plaster Panels
  • Waterproof plaster panels
  • Anti-insulation plaster panels

    Composite plastic panels, being resistant to X-rays, are used inhospitals, also as dry walls, acoustic,and false ceilings, together with decorative applications.


    Regarding the new technologies available for the extraction of magnesium from dolomite, also rich dolomite mines in the Province and neighboring provinces, given its low price compared to other magnesium minerals,it can provide a good opportunity for investment in this sector,so as to build a plant with foreign investment and technology for processing and extraction of magnesium from dolomite.


Regarding Zanjan as the only Province with boron mines, as well as, with respect to existing potentials, no effective action has been taken in this section yet. Thus one of the most important opportunities in the mining sector of the Province is investment in exploration, extraction and processing of boron ore, considering its high added value.


   ZanjanProvince has two alunite mines located in the city of Tarom. The high capacity of these mines has provided a suitable opportunity for investment in the production of aluminum from alunite.


   ZanjanProvince has two perlitemines used in agriculture and the production of light bricks.

 Precious metal ores

   One of the most important infrastructures of the Provincefor becoming the country’s hub of electric, electronic and IT is the existence of precious metal ores, such as, copper, gold, molybdenum, and … used to build electronic components.To this end, an effort has been made to develop this link of the chain in the mining industry and bycreating mining industries in this area, an important step to be taken in the high-tech industries, mentioned before. The existence of gold and copper mines, as well as, precious elements in the Province, and along with these elements, the extraction of byproducts, can activate the mines in the chain,which is also quite important. Investment to exploremines and providing suitable solutions to solve environmental problems for the construction of gold processing units, can be performed. Construction of copper processing units in the mine localityis considered as the missing link for this mineral in the Province.

Newly discovered reserves of phosphate

The number of mines and the volume of mineralsin the Province has provided suitable grounds for investment in the processing and concentration of this mineral.

Existence of suitable grounds for investment in:

  • Creation of units such as full recycle of heavy metals from wastes ofZinc, ferroalloy, carboniums(raw material and final product), developmentand completion of steel industries, with regard tothe potentials of iron orein the Province, and creation of automotive industry
  • Industries for the processing of minerals, such as, silica, feldspat, plaster, lime and decorative stones
  • Processing of decorative and building stones,using current technologies
  • Construction of magnesium processing unit by putting dolomite mines in the Province into operation
  • Establishment of industries related to the processing of some minerals, in fact, with the entering of investors into the subject of the production of raw material industry for upstream industries in the Province and reduction of the external costs, such as, transport and …
  • Exportation of decorative stones
  • Potentials for investment in the mineral exploration sector
  • Complementary and detailed exploration of mining areas and the creation of downstream industries to supplementthe processing chains
  • Exploration of copper and polymetal, phosphate, nickel, raw material for aluminum production


Views : 79 Last Modify Date : 13 Apr 2017 - 8:23

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