KARACHI, Aug 9: Royalty income from mining in Sindh increased to Rs310 million in 2005-06 from Rs200 million in 2003-04. During 2004-05, the royalty income from mining of 24 minerals in the province stood at Rs300 million.

The major contributor to the income is coal yielding royalty of Rs130 million. Other minerals include granite, limestone, dolomite, celeslite, china clay and marble.

Giving details of exploration and exploitation of minerals in the province, Mines and Minerals director-general Suhail Akbar Shah told Dawn on Wednesday that large quantity of marble was extracted from reserves in Thatta, Johi, and Thana Bola Khan.

There are large granite reserves in Nagarparker in Tharparker district. However, in the absence of a policy mine leases in the past had been granted to the influential people. The directorate cancelled these leases in 1999 and initiated an exploration study to determine the exact quantity as well as variety of granite used in construction. It has shades of different colours. The study carried out by an Italian firm is due to be completed in six months.

For the purpose of granting new leases, which will be given through open auction, reserves will be divided into different blocks. The Italians are also interested in commercial exploitation of granite reserves in Nagarparker.

Mr Suhail pointed out that the mining activity in Thar coal reserves had generated a lot of economic activity, creating employment for the local people. Islamkot, a major town of the district, has been provided with electricity, telephone and water.

Apart from Tharparker coal is mined from large reserves in Lakhra and Meting near Jhimpir.

The directorate has plans during the new financial year to carry out exploration study for new coal reserves in Nara Desert between Sukkur and Khairpur, which are though to be extension of Thar coal deposits. The study will cost Rs30 million. A similar study will be carried out to find more coals reserves in North Lakhra. A study carried out in Badin area discloses presence of coal deposits in the area.

New exploration survey: The directorate has plans to carry out a fresh exploration survey in the entire province to determine the extent of existing deposits and discover new minerals. Bids will be invited from international and national firms and the bidding firms will be pre-qualified before calling bids.

Mr Suhail said the coal reserves in Thar and Lakhra were discovered in surveys carried out before the creation of Pakistan, hence it has become necessary to do a fresh survey and exploration study.

He said in the past the exploration survey for minerals was carried out in the entire country by the Geological Survey of Pakistan in which particulars interests of provinces were not fully protected.

The present government has decided to entrust the job of exploration survey to the provinces so that they could have income from royalty.