Imperatives for attracting investment and technology in the Indian mining sector

In India, the mineral resource inventory and the production of a large number of important minerals have registered significant increases during the last few decades. Yet the country continues to be a net importer of many high value and scarce minerals and metals, like gold, diamond, and several base metals. Exploration and development of the resources of these minerals are technology- and capital-intensive. To bring technology and capital through foreign direct investment (FDI) into the Indian mineral sector, it is imperative to lay stress on: accurate resource estimation and categorization, as well as realistic projection of the true values; rationalization of legislative measures based on R&D studies and reorganization of the implementation machinery; conducive tax structure; notification of acts and rules applicable to offshore mineral resources; time-frames for granting licences and leases; encouragement to labor productivity by rationalizing labor laws; reforms in the monetary system to increase market competitiveness of Indian minerals; and judicial reforms. FDI in the Indian mineral sector is important to firm up the knowledge-base of mineral resources and their optimum exploitation.     

Shortfalls in minerals investments

The international minerals industry continues to have a substantial investment shortfall. The widening exploration and mineral development gaps, not only in the lesser developed countries but also in the developed nations, are sowing the seeds for future mineral supply disruptions and conflicts. Mutuality of interests demands concerted initiatives, individual as well as collective, to reverse the investment trends established by international mineral finance and the multinational corporations in order to pave the way for secure mineral supplies in the future at acceptable prices.     

The value of mineral resources: Perspectives and conflicts

The concept of value is central to mineral economics as it is all branches of economics. In the minerals sphere particular problems are posed for a theory of value by, firstly, the non- renewability of mineral resources, secondly the substantial effort that must be made to convert a mineral into a useful product, and finally the perception of minerals, both economically and symbolically, as peculiarly national forms of wealth. Some thoughts are offered on different approaches to mineral resource valuation and on the frequently conflicting principles of exploitation to which these various approaches give rise.     

青海省矿产资源综合开发利用探析

作为我国有色金属、贵金属、盐类与能源等矿产的主要蕴藏地之一的青海省,在经济发展的四大支柱——石油和天然气、盐湖矿产、有色金属矿产和水电资源产业中,有三项为矿产资源,为推进全省国民经济和社会快速发展提供了强有力的支撑,综合开发利用这些资源对全省经济社会发展具有重要意义.通过对青海省矿产资源综合开发利用的全面分析,找出存在的突出问题及其原因,提出相应的对策和建议.     

METAL RESOURCES OF DEEP SEA NODULES

The deep ocean floor represents the latest frontier of knowledge about global mineral resources. The ocean environment poses unique problems for mineral resource development - problems of resource assessment, adaptation of mining technology, and management of resources common to all of mankind. In the first of three related articles on the mineral resources of the ocean, Mr. Odunton assesses the current state of knowledge about the nature and extent of marigenous minerals. He examines the processes of formation, the composition, and the regional distribution of ferromanganese nodules, which represent the most promising of these minerals at present. Attention is also given to the considerations involved in the location, evaluation and exploitation of nodule deposits. Future articles will review ocean mining technology and the economic and policy issues involved in the development of ocean mineral resources.     

Antartic minerals: A common heritage approach

The potential value of Antarctic mineral resources, including petroleum, has already spurred efforts by the Antarctic Treaty powers to establish a legal and technical regime for minerals. Management and control of Antarctic minerals need not, however, be left to the countries that have staked territorial claims or otherwise been active in Antarctica. Possible mineral regimes include open access (or first-come, first-served) and a variety of multilateral and international approaches. This article suggests that a common heritage approach would be most suitable for Antarctica and, despite opposition to such an approach among the Antarctic Treaty powers, would be a practical solution to the mineral development issue. The time for international organizations to act to establish such a common heritage regime is, however, growing short.     

The Tucson Mineral Show and the market for collector minerals: The potential for artisanal and small scale miners

Minerals that are sold to collectors are often produced by artisanal and small scale miners in many developing countries. The market for collector minerals is not well understood by most government agencies or NGOs but has a large impact on the artisanal and small miners that have the opportunity to produce these minerals because of the high prices that can be realized. This paper describes the collector mineral market that is held annually in Tucson, Arizona, that analyzes the competitive forces that affect the profitability of the mineral dealers at the show and describes potential methods for artisanal and small scale miners to participate successfully in the show. Most collector minerals produced by artisanal and small-scale miners are valued for their aesthetic qualities instead of mineral content. The 43 shows that operate during the first two weeks in February make up the largest gem and mineral show in the world, the Tucson Show. The Tucson Mineral Show is a subgroup of six shows that specialize primarily in collector minerals.There are several competitive forces at the Tucson Mineral Show that can affect the profit potential of dealers that participate in the show. These forces include potential entrants, suppliers, buyers, substitutes, and rivalry among existing competitors. New entrants face several barriers to entering the market place including the supply side economies of scale, demand side benefits of scale, and capital requirements. Because of these barriers, the cost of doing business and the way that promoters organize and manage the shows, it is difficult for artisanal and small scale miners to enter the show and compete with established dealers. However, with support from entities such as local governments, non-profit organizations, and international organizations the artisanal and small scale miners have the potential to have their minerals sold at the Tucson Shows for prices that would be greater than what can be achieved in the local market. Methods to help the artisanal and small scale miners compete include direct sales or consignments to retail dealers, tailgating, development of sales co-operatives, and the creation of an artisanal/small scale mineral show.     

Soviet non-fuel mineral resources : Surplus or scarcity?

The USSR has long been regarded as a resource-rich country with no need for external sources of non-fuel mineral resources. Increasingly, however, it is beginning to appear that such an assessment of the Soviet non-fuel mineral resource picture is overly optimistic. The Soviet mineral industry is beset by a variety of problems which complicate the extraction and utilization of needed minerals. The USSR remains a resource-rich country, but the difficulties it encounters exploiting its resources are multiplying. This article examines the Soviet aluminium, chromium, cobalt, copper, gold, iron, lead, manganese, platinum, titanium and zinc industries, and offers views of the Soviet resource future in each area.     

Mining and sustainable development: considerations for minerals supply

Sustainable development involves meeting the needs of human societies while maintaining viable biological and physical Earth systems. The needs include minerals: metals, fuels, industrial and construction materials. There will continue to be considerable demand for virgin mineral resources, even if levels of recycling and efficiency of use are optimal, and rates of population growth and globalisation decrease significantly. This article aims to stimulate debate on strategic issues for minerals supply. While the world has considerable stocks of mineral resources overall, international considerations of the environmental and social aspects of sustainable development are beginning to result in limitations on where mining will be conducted and what types of deposits will be mined. Current and emerging trends favour large mines in parts of the world where mining can be conducted within acceptable limits of environmental and social impact. Finding new deposits that meet such criteria will be all the more challenging given a disturbing global decline in the rate of discovery of major economic resources over the last decade, and the decreasing land area available for exploration and mining.
To attract responsible exploration and mining, governments of mining nations will need to provide: regional-scale geo-scientific datasets as required to attract and guide future generations of exploration; resource access through multiple and sequential land use regimes, and frameworks for dealing with indigenous peoples' issues; and arrangements for consideration of mining proposals and regulation of mines that ensure responsible management of environmental and social issues.
The minerals industry will need to continue to pursue advances in technologies for exploration, mining, processing, waste management and rehabilitation, and in public reporting of environmental and social performance.     

Privatizing the minerals sector

The end of the Cold War presents new challenges for the dynamics associated with mineral resources development. Broader approaches are needed to help mineral rich developing countries develop their minerals sector. These countries need to embark upon programmes of policy reform and privatization in order to make their mineral resources industries more efficient and responsive to free market forces (such as supply and demand and price), and to turn mineral sector decision making over to the private sector. This article examines the use of policy reform and privatization strategies to increase mineral resource production in developing countries, thereby contributing to both developing country economic growth and developed country access to mineral supplies .     

The future markets for minerals: Some causes of uncertainty

This paper argues that the major uncertainties surrounding the future markets for minerals derive from three serious lacunae in mineral intelligence – first, the altered investment climate for minerals, the undetermined magnitude and geography of its effects, and its prospective impact upon supply; second, the paucity of macroeconomic, medium-term forecasts for the OECD economies, a deficiency that has seriously undermined the possibility of generating useful resource demand forecasts; and third, the indeterminate speed at which changes in the geography of mineral processing activities and metal manufacture are likely to occur.     

A mineral commodity life-cycle?: Relationships between production,price and economic resources

The production, price and economic resources profiles of a number of mineral commodities are examined and consideration is given to the theory that such profiles can be related to one another within the framework of a life-cycle model of development. While the behaviour of some of the commodities examined appears to lend support to the theory, that of others reveals fundamental problems with its underlying assumptions. It is concluded that, while the demand for a mineral commodity in specific uses may indeed manifest cyclical tendencies, as a general behavioural theory and as a basis for resource estimation the life-cycle model applied to minerals is of little value.     

The forgotten resource curse: South Africa's poor experience with mineral extraction

Studies of the resource curse as it affects African states abound, yet few deal specifically with the experiences of South Africa. The inability of countries to convert natural resource wealth into income and improved development measures remains highly pertinent and is especially apparent in Africa's largest economy. This paper takes a unique approach to study the resource curse by comparing South Africa's political economy with the existing resource curse literature. Using data from international organisations, studies of poverty and qualitative evidence this paper examines South Africa's experience with mineral extraction. It is found that South Africa has experienced many of the symptoms outlined in the resource curse literature including relatively slow GDP growth, gross inequalities, entrenched poverty and the creation of a rentier state. Overall, it is concluded that South Africa has failed to benefit from natural resource wealth and can be classified as a resource cursed state. Not only has mineral wealth failed to benefit much of South Africa's population, sections of society have actually been harmed through the process of mineral extraction. This paper is the first to examine South Africa in light of the current resource curse literature and to conclude that the state far more closely resembles its sub-Saharan African neighbours than its upper-middle income peers.     

Potentially recoverable resources: How recoverable?

There are a number of factors which are likely to limit the proportion of potentially recoverable resources that will actually be recovered. The most important of these concern the way minerals are distributed within the crust and trends in energy costs associated with mineral production. This article offers a pessimistic view of the prospects for mineral supplies early in the 21st century. The resource situation is even less hopeful when the possibility of extending the material living standards of the developed countries to everyone likely to be living on earth late next century is considered.     

International mining taxation issues and comparisons

This paper presents the quantitative results of recent research on Canada's minerals and metals industry, and its international competitiveness for mineral investment. The information and analysis presented are derived from the work of a Canadian government-industry task force that was created in 1991, under the auspices of the Intergovernmental Working Group on the Mineral Industry (IGWG). Much of this work deals with mining taxation in several Canadian provinces. More importantly, an attempt is made to evaluate the total tax burden that the mining industry must bear, on a project basis, at all levels from exploration through refining operations in many important competitor countries. While the focus of the paper is on an international comparison of mining taxation, some non-tax issues relating to Canada's competitiveness for mineral investment are addressed .     

Mineral sequestration of carbon dioxide in basalt: A pre-injection overview of the CarbFix project

In this paper we describe the thermodynamic and kinetic basis for mineral storage of carbon dioxide in basaltic rock, and how this storage can be optimized. Mineral storage is facilitated by the dissolution of CO₂ into the aqueous phase. The amount of water required for this dissolution decreases with decreased temperature, decreased salinity, and increased pressure. Experimental and field evidence suggest that the factor limiting the rate of mineral fixation of carbon in silicate rocks is the release rate of divalent cations from silicate minerals and glasses. Ultramafic rocks and basalts, in glassy state, are the most promising rock types for the mineral sequestration of CO₂ because of their relatively fast dissolution rate, high concentration of divalent cations, and abundance at the Earth's surface. Admixture of flue gases, such as SO₂ and HF, will enhance the dissolution rates of silicate minerals and glasses. Elevated temperature increases dissolution rates but porosity of reactive rock formations decreases rapidly with increasing temperature. Reduced conditions enhance mineral carbonation as reduced iron can precipitate in carbonate minerals. Elevated CO₂ partial pressure increases the relative amount of carbonate minerals over other secondary minerals formed. The feasibility to fix CO₂ by carbonation in basaltic rocks will be tested in the CarbFix project by: (1) injection of CO₂ charged waters into basaltic rocks in SW Iceland, (2) laboratory experiments, (3) studies of natural analogues, and (4) geochemical modelling.     

World mineral production and consumption in 1978

This article is an abridged version of a report on the status of world mineral production and consumption in 1978. Various indexes are used to assess the position in 1978 in comparison with that of earlier periods (1950 and 1973). The data given in this article are based on the calculation of mining production in terms of value. 51 major minerals are dealt with — six fuel materials, 22 metal materials, and 23 non-metal materials.     

The role of the Australian minerals industry in world mineral supplies

Australia is one of the world's main producers and exporters of both fuel and non-fuel minerals. Among the main commodities produced for export are bauxite/alumina, iron ore, and nickel—Australia is also an increasingly important source of supply of black coal, especially for Japan, and is a significant producer and exporter of a number of base metals. Resources are adequate to support a substantial expansion of both non-oil fuels and other minerals. The potential for growth, both in terms of specific commodities and in the overall role of Australia in the world mineral industry, will depend to a very large extent on the cost competitiveness of Australian mining and on continuing inflow of capital.     

US nonfuels minerals policy

Nonfuels minerals policy in the USA flows from the differential and unique reactions of these industries to general economic policies in the areas of taxation, land use, environment, and international trade. To search for nonfuels minerals policy as direct statements by the US government on nonfuels minerals is futile. Nevertheless, the industries are unique in many characteristics, and the application of these general policies to the minerals industries creates unique situations. This uniqueness has been recognized by a virtually constant policy review over the past 10 years. The current effort is just beginning, and to prejudge now the outcome of this discussion is premature. However, it is not premature to argue that because of the uniqueness of these industries, it may be expected that their problems will be receiving public attention for many years to come.     

The National Heritage Resource Act (1999): Can legislation protect South Africa's rare geoheritage resources?

In South Africa, rare geological specimens are protected by the National Heritage Resource Act (1999). These portable geoheritage objects are neither defined nor described in this Act making their geoheritage status questionable. Thirteen categories and criteria for establishing a geological specimen's rarity status are discussed and include (1) rarity as defined by abundance per se; (2) rarity of a particular habit (external shape or form) of a mineral; (3) rare pseudomorphs; (4) rarity of a particular variety of a mineral; (5) rarity of a particular colour of a common mineral; (6) rarity defined by size; (7) rarity defined by quality; (8) a common species, but rare for a particular locality; (9) rarity of associations of minerals; (10) rarity determined by source being depleted, exhausted or mined out; (11) rare inclusions in minerals; (12) previously rare, now common specimens and (13) miscellaneous criteria that produce rare specimens. Geological specimens (resources) are complex objects when defining their rarity status and multiple rarity factors can apply to single specimens. A lack of clear criteria for defining rare geological specimens appears to place the National Heritage Resource Act (1999) in direct conflict with the more recent Mineral and Petroleum Resources Development Act (2002) which legitimizes the legal exploitation of any mineral resource.