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Government’s ‘dream project’ Dhaubadi iron ore mine, businessmen excited

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२०८१ माघ २९, मंगलवार १४:१६
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Nawalpur. Local residents, public representatives and industrialists are excited after the government started preparations to take forward the Dhauwadi iron mine in Hupsekot, Bulingtar and Bouddhakalika rural municipalities of Nawalpur as a ‘dream project’.

They have urged the speedy implementation of this project, saying that if the iron mine is operated, it will make a great contribution to the country’s economy.

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Hupsekot rural municipality chairperson Laxmi Pandey demanded that this mine be operated as much as possible as it is most connected to the lives of the people of Hupsekot.

Stating that coordination between all three levels of government as well as the private sector is necessary in the operation of the Dhaubadi iron mine, he said, ‘The rural municipality will have the support and assistance to solve the problems encountered at the local level in the operation of the mine and to provide other necessary assistance.’

Former MP from Nawalpur Constituency No. 2 Tilak Mahat said that the public has a similar and positive opinion on the issue of the iron mine excavation, and the government should bring the mine into operation at a fast pace as it has the full support, cooperation and cooperation of the people of Nawalpur.

He said that if the excavation work of the mine starts, at least five thousand people will get employment and this project will reduce the country’s trade deficit.

‘This project is a project of pride for Nepal, it will not only bring a radical change in the country’s economy, it will discourage the import of iron from foreign countries worth billions, this is a matter of happiness not only for us, the people of Nawalpur, but also for the country,’ he said.

The iron mine has a history of operation since the time of King Rudrasen. After it was discovered that there is iron in 41 square kilometers of the Hupsekot, Bulingtar and Bouddhakalika rural municipalities in eastern Nawalparasi of Gandaki Province, a detailed study has been carried out for excavation.

The mine area is located at the midpoint of the East-West Highway. Constituent Assembly member and former Minister of Gandaki Province and current Provincial Assembly member Roshan Gaha said that the mining of Dhauwadi iron ore is a current need for the progress of Nepal.

He said, ‘The mining of Dhauwadi iron ore is not only a necessity for the country, but also a project of pride for the prosperity of the people. The technical study has been completed. Since it is in the center of the country, it is a suitable place. The iron ore here is also good. This iron ore also generates good income for the country.’

He said that since this iron ore is a project in the interest of the entire country and the people, it should be operated at a fast pace. Provincial Assembly member Gaha emphasized that the settlement of the iron ore mining area, which is inhabited by the Magar community, should be systematically built up and controlled by systematically embanking and controlling the rivers including Kerange, Boulaha, Pattar, Jharai.

He informed that this proud project can be operated with minimal damage as it requires very little settlement and use of cultivable land compared to other projects and projects across the country.

He said that the operation of this mine, which is in the Mahabharata series, can displace the import of iron in the country.

After Prime Minister KP Sharma Oli expressed special interest in making Nepal self-reliant in iron, the Ministry of Industry, Commerce and Supplies has taken the initiative to advance the Dhaubadi iron mine as the government’s ‘dream project’.

The government has taken the initiative to operate the iron ore mine at a fast pace after it took at least 5 years to excavate the mine through the government’s own means. Industry Minister Damodar Bhandari has initiated consultations on various options for operating the mine at a fast pace and has also taken the initiative to move forward with the work.

Minister Bhandari informed that the government has given special importance to Dhaubadi and has started the process to move forward with the work. ‘The Honorable Prime Minister has taken this project with special importance, he has a special determination to excavate Dhaubadi and other iron ore mines in the country to replace iron imports, why the work of Dhaubadi iron ore mine could not proceed and what are the solutions to solve its complications, we need to find a solution,’ he said.

He informed that the government is trying to change the nature of the Dhaubadi iron ore mining to move the work forward at a faster pace.

Minister Bhandari said, ‘After the government established Dhaubadi as an industry, after arranging 55 percent government and 45 percent private sector shares, it could not increase its attractiveness. It is not possible with the government’s own investment, so the government has taken the initiative to specifically attract the private sector to mine this mine.’

He said that since it would take years to move the work forward at the current pace, the government is looking for an alternative to speed it up and that the issue will be resolved soon.

Informing that a few days ago, opinions and suggestions were sought from experts and stakeholders from India and Nepal related to iron ore mining on the issue of fast-tracking the Dhaubadi iron ore industry, Minister Bhandari said that a suggestion was received to take this mine to a public-private partnership ‘model’ for mining.

According to him, the government has already called on the private sector to mine the mine and the Ministry of Industry has taken the initiative to increase the private sector’s share.

‘There are complications in some laws, including the Public Procurement Act, to attract the private sector. Work is being done to increase the attractiveness of the private sector by amending those laws. We will increase the private sector’s share and reduce the government’s share, and we will move this forward soon,’ Minister Bhandari said.

According to him, according to the current government estimate, the excavation of Dhaubadi requires a budget of 52 billion.

He said that the government will look for alternatives without waiting for the upcoming budget to move forward the process of excavation of Dhaubadi. He informed that this issue will be passed soon from the Council of Ministers meeting to speed up the process of excavation of Dhaubadi.

He said that since the process of excavation of the mine through the government process will be prolonged, the work will be started soon through the private sector. In addition, Minister Bhandari had inspected the Dhaubadi iron ore mine a few days ago along with local stakeholders and public representatives.

Kush Kumar Joshi, former president of the Federation of Nepalese Chambers of Commerce and Industry, said that it is positive that the state’s resources have been identified and mobilized.

He emphasized that since the government has invested a lot in setting up the Dhaubadi iron mine as a company, it is necessary to involve the private sector in its marketing and introduce new technology and move forward with the work.

‘There should be no delay in the operation of the Dhaubadi iron mine, trillions of rupees of the state are being spent every year on iron alone, its commercialization is necessary, this project is a bigger project than the hydropower company, there is no alternative but to mobilize resources together by the government, community and private sector and operate the mine as soon as possible,’ Joshi said.

Nawalpur Chamber of Commerce and Industry President Vaikuntha Prasad Aryal said that the industrialists and businessmen here have the same opinion on the speedy operation of the Dhaubadi iron mine.

He said, ‘We have repeatedly requested the government to operate the Dhaubadi iron mine as much as possible, we are ready to provide the necessary support to the government, this is also the same opinion of the people here.’

He said that if the iron mine is operational, the entire Nawalpur will develop, as well as the income and employment opportunities of the locals will increase.

The company’s Chief Executive Officer, Dr. Janak Bahadur Chand, said that it is economically and technically possible to produce iron and steel, that there is a ‘zero waste’ concept, foreign exchange will be accumulated, the import of iron and iron products will be reduced by one-fourth, and green steel will be produced using hydrogen in the future.

According to him, with the establishment of the industry, 2,000 to 2,500 people will get direct employment and 20 to 25,000 people will get indirect employment.

The study has projected the capital cost of the project to be Rs 51.25 billion. Out of 99 million tons of iron in the area, only 96 million tons can be mined, Dr. Chand said that about 70 megawatts of electricity will be generated from the DRI (Direct Reduced Iron) plant of the industry during iron/steel production, and if iron is produced in the area, the trade deficit can be replaced.

Company Director and Geologist Shailesh Kumar Thapa informed that the company has completed its detailed feasibility study and submitted the mining plan to the Department of Mines and Geology for approval.

According to him, the risk assessment work and additional ‘core drilling’ indicated by the feasibility study are in the contract stage and the environmental study and detailed project report have been prepared with the aim of commercial production of mining, processing and construction of an iron/steel factory.

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