Sector Analysis

“Invest in Mining” – this is the title of a new project of the Ministry of Environment, Protection and Natural Resources of Georgia which envisages the use and reclamation of natural resources of the country. For this purpose a Special Information Center was established in the Ministry of Environment Protection and Natural Resources of Georgia.

There are up to 1,550 various types of minerals studied and discovered on the territory of Georgia. Among them – manganese ore for industrial use, charcoal, non-ferrous and rare metals, different raw materials for mining, construction and facing stones, mineral, thermal, fresh water and other types of well-known deposits.

Industrial reserves of copper and iron-zinc, barite, diatomite are thought to exist. There are large deposits of raw materials for producing cement, as well as facing materials, marble, and metallic sulfur.

The Chiatura manganese deposits have reserves reaching 215 million tons. The manganese deposit located in Chiatura has an annual output of 850-970 tons of high-quality manganese used in the metallurgic industry. This production, however, comprises only 5-6 percent of potential output.  

Georgia lacks the financial resources to introduce modern mining and processing technologies, and therefore extraction levels do not reflect full operational capacity.

For information on fossil fuel extraction see the Energy sector analysis.  

Other mineral deposits include the following:

• The Kvaisa zinc deposits in the Java district has the capacity of 100,000 tons of zinc per year. The Luchumi arsenic deposit, located in the Ambrolauri district, is exploited seasonally and output reaches 2,000 tons annually.

• The Marneuli deposit of cement-clay, reserves of which estimate 22.3 million tons. Clay from Marneuli deposit together with limestones is a basic raw material from cement production.
• The Askana bentonitic clay deposit in Ozurgeti has output of 60,000 tons per year and is used for the production of the bentonite powder.
• An andesite deposit is located in the Borjomi district. Its yearly output is 75,000 tons and is used for producing acid-proof powder and andesite tiles.
• The Kisatibi diatomite deposit is located in the Akhaltsikhe district where, apart from diatomite, technical agate is also extracted, which is used as a construction material. Yearly capacity totals 120,000 tons. Diatomite reserves in the Akhaltsikhe district represents 10.3 million tons.

• Chobareti marble deposit, Akhalkalaki district, total reserves estimate of 26.6 million cubic meters. Chobareti marble has never been processed-it might be used only as a facing slab, output of block from mining mass 18.5%.

• Chuberi marble deposit, Mestia district, 5.4 million tons. Cheburi marble is not processed, may be used as a facing stone, output of block from mining mass 21.9 %.

• There are two more deposits of technical agate at Pamachi and Shurdo deposits.

For additional information regarding natural resources of Georgia please visit: www.moe.gov.ge

AmCham and/or EUGBC Members

 Anadarko Georgia
Tel: +995 (32) 251 156
Website: http://www.anadarko.com
Oil and gas exploration in the Georgian Black Sea. Office established in July 2000.

Askana LLC
Tel: +995 (396) 64 553
In 1998 Silver & Baryte Ores Mining Company purchased from the Ministry of State Property Management of Georgia (Ozurgeti Department) 97.7% of ASKANA LLC, a limited liability company registered in Ozurgeti District since 1997. The company's principal business is extraction, process and sale of bentonite clays.

 BP Exploration Georgia
Tel: +995 (32) 593 400
Website: http://www.bp.com
BP Georgia, as part of the BP family of companies, coordinates local operations for BP. It is heavily involved in regional energy projects particularly in the Caspian basin and has expanded its activities into Georgia with the onset of major pipeline construction.

 Frontera Resources
Tel: +995 (32) 252 412
Website: http://www.fronteraresources.com
Oil extraction and exploration in Eastern Georgia.

 JKX Navtobi
Tel: +995 (32) 222 210
Website: www.jkx.co.uk/operations_gr.cfm
Since 1993 JKX has explored and farmed out a number of offshore and onshore blocks in western and central Georgia.

Others:

 Wenaas Caspian Ltd.
Tel: +995 (32) 311 204
Website: http://www.wenaas.az
As BP contractors, Wenaas Caspian Ltd. has been operating in Georgia since BTC opened its offices in Tbilisi. Prior to BTC the company supplied Western Route and continues to do so now. Wenaas Caspian Ltd. has been integral with setting high safety standards and supply of quality oil field equipment not only to BP, but to all international contractors and local Georgian constructor companies involved in the BTC pipeline project.