Mineral Resources of Kosova

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Mineral Resources of Kosova www.kosovo-mining.org 1

1. Kosova s Geography 2. Geological-Geotectonic Setting 3. Functioning of Mineral sector in Kosovo 4. Main Minerals in Kosova 5. Geoscientific maps of Kosova 6. Conclusions 2

Kosova s Geography Located at the center of Balkans Surface - 10,887 km 2 Average altitude - 800 m above sea level Continental climate predominates Country's infrastructure is well developed A fully developed road network does exist There are several main roads connecting the large towns of Kosova and its territory with the neighboring countries There are railway tracks to Macedonia and Serbia 3

Geological-Geotectonic Setting Very interesting territory characterized by a variety of geological formations: Rocks age ranges from old crystalline Proterozoic to Quaternary Rocks type: a) sedimentary, b) magmatic, and c) metamorphic 4

Kosova s Tectonic Complexity in regional aspect 5

Functioning of Mineral sector in Kosovo Competent institutions for mineral sector in Kosova are: Ministry of Energy and Mining of Kosova Independent Commission for Mines and Minerals 6

Ministry of Energy and Mining responsibility's are: Prepares policies, strategies and legislative framework for mining and mineral sector development in Kosovo, and organizes work on their implementation; Promotes mineral resources of Kosovo for research and exploitation; Monitor the issuance by the independent mining regulator of licenses and permits for mining activities in Kosovo; Supports creation of a favorable environment for private investment in the mining field. 7

Functions of Independent Commission for Mines and Minerals: Independent Commission for Mines and Minerals is an independent regulatory body responsible for regulating and monitoring the mining industry in Kosovo; The issuing, transfer, suspension and revocation of exploration and exploitation licenses and permits; The issuing, suspension and revocation of permits and licenses related to the use of explosives in mining operations; 8 8

Main Minerals of Kosova Lead, Zinc, Silver, etc. Lignite Nickel and Cobalt Chromium Copper Magnesium Bauxite Iron Manganese Precious Metals, Industrial Minerals Etc. 9

Pejë Gjakovë Prizren Mitrovicë Lead and Zinc The most important lead and zinc mineralisations are found in the northern and eastern part of Kosova Prishtinë Ferizaj Gjilan They belong to the Trepça Belt of lead-zinc mineralisations, which extends linear for over 80 km in northern and northeastern Kosovo and includes numerous mines and occurrences 10

Deposits of Lead-Zinc 11

Pejë Gjakovë Prizren Mitrovicë Lignite Prishtinë Ferizaj Gjilan Three main basins: 1. Kosova 2. Dukagjin 3. Drenica 1. Kosova Lignite Basin is one of the largest in Europe with most favorable mining conditions: Its resources are estimated at more than 10 billion t of lignite, and The average calorific value is 7,800 kj/kg, the average ash content is in the range of 14 17 % and the moisture varies between 42 49 % 12

Lignite Pejë Mitrovicë Prishtinë 2. Dukagjini Lignite Basin is the 2 nd largest deposit in Kosova. It covers an area of 95 km 2. Its resources are estimated around 3 billion t of lignite, and The average calorific value varies between 6,000 and 10,000 kj/kg, the average ash content is around 20% and the moisture varies between 40 50%. Gjakovë Prizren Ferizaj Gjilan 3. Drenica Lignite Basin is divided into two coal plains namely (i) Skenderaj, and (ii) Drenas Its resources are estimated around 90 million t The average heating value is 7300 kj/kg, with an average moisture of 32,46% and an ash content of 25,60% 13

Nickel Mitrovicë Silicate nickel deposits genetically belong to the decay of serpentinites Pejë Prishtinë In Kosova there are two ore deposits: Gjakovë Prizren Ferizaj Gjilan 1. Çikatova (Dushkaja and Suka), and 2. Gllavica Gllavica (A+B+C) of wet ore 6,240,000 t. Ni 1.463%, Co- 0.050% Çikatova (A+B+C1) of wet ore 6,980,000 t. Ni 1.253%, Co- 0.063% 14

Pejë Gjakovë Prizren Mitrovicë Chromium Prishtinë Ferizaj Gjilan The deposits and occurrences of chrome are mainly bound to the ophiolites of the Western Ophiolite Belt. Locations of chromite occurrences are: 1. Deva region (44% Cr 2 O 3 ) 2. Brezovica region (43% Cr 2 O 3 ) 3. Rahoveci region (35-55% Cr 2 O 3 ) 4. Goleshi region 5. Dobrosheci region 15

Pejë Gjakovë Copper Mitrovicë Prishtinë Gjilan Ferizaj Prizren Even though in Kosova there are a lot of occurrences and mineralization of cupper, the scale of exploration is low Copper mineralization have been found in: 1. Suvo Rudishte (0.8%) 2. Banjskë 3. Guri i kuq (Rahovec) (1.20-2.73 % Cu) 4. Rexhance (Hani i Elezit) 5. Brod polymetallic mineralisations 6. Jabllanicë and Struzhë (Prizren) 7. Mushnikovë; 8. Binaq (Karadak) 9. Pashtriku (1% Cu) etc 16

Pejë Gjakovë Prizren Mitrovicë Magnesite Prishtinë Ferizaj Most deposits and occurrences of magnesite appear to be within the Vardar zone Main magnesite deposits and occurences are: Gjilan 1. Golesh-Magurë, (A+B+C1) Minable (C2) 2. Strezovc-Dardanë (Kamenice) (A+B+C1) Minable 3. Dubovc-Vushtrri 4. Dobroshec-Drenas 5. Shterpcë 2,385,457 t 1,148,457 t 2,500,000 t 1.653.683 t 1.488.314 t 17

Bauxite Mitrovicë The most important bauxite deposit is situated at Gremnik mountain, Klina Municipality Pejë Prishtinë The quality of bauxite is: Gjakovë Prizren Ferizaj Gjilan Al 2 O 3 (46-52%), SiO 2 (1,0-4,5%), Fe 2 O (33-38%), 3 TiO 2 (1,8-2,2%), Reserves: (A+B) 2,064,541 t, (C 1 ) 1,000,000 t Potentially 4,000,000 5,000,000 t 18

Pejë Gjakovë Prizren Mitrovicë Iron Prishtinë Gjilan Ferizaj In Kosova are a lot of occurrences and mineralization of Iron but the scale of exploration it was very low Iron ore occurrences and mineralization are discovered in: 1. Carralevë-Petrashticë-Shtime (44%Fe, 2.5% Cr 2 O 3 ) 2. Tërstenik (40%Fe, 3.5% Cr 2 O 3 ) 3. Guri i Kuq (Rahovec) 4. Sedlare (Kamenicë) (40% Fe) 5. Ivajë (40% Fe) 6. Binaç 7. Shatoricë (40% Fe) 8. Dragash 19

Manganese Pejë Mitrovicë Prishtinë Gjilan Manganese occurs frequently of lead and Zinc Mineralization Deposits and occurrences are located in: 1. NW of Vllahi (25%) 2. Artanë 3. Bolevc (40%) Gjakovë Ferizaj Prizren The most important deposit belong to the North area of Artanë The reserves are: (B) 790,836 t (C 1 ) 596,350 t (B + C1) 1,387,186 t (22.21 % Mn) Potentially around 5,000,000 t 20

Precious Metals - Few occurrences of precious metals are known. Small amounts of gold do appear in the mine Artanë and in the adjacent area. Silver is a typical association in lead and zinc mineralization. Platinum-Group Metals (PGM) - Near the border of Albanian territory platinum group metal occurrences have been found. Analyses of these occurrences showed a positive correlation between platinum mineralization and chromites 21

Pejë Gjakovë Prizren Mitrovicë Industrial Minerals Prishtinë Ferizaj Gjilan Kosova is reach in industrial minerals, including: Kaolin Bentonite Halloysite Quartz and Quartzite Diatomite Talc Sepiolite Leucite Garnet Asbestos 22

Technical programs: GeoScientific Maps Explosives Security System Kosova Quarry Plan Geochemical Survey Airborne Geophysical Survey Geographical Information System Website (www.ks-gov.net/mem; www.kosovo-mining.org mining.org) 23 23

GeoScientific Maps A series of 1:200,000 scale maps that show: Geological Map of Kosova. Tectonic Map of Kosova. Map of Minerals of Kosova. Hydrogeological Map of Kosova. Map of Mineral And Thermal water of Kosova. Morpho-Orographical Structure of Kosova. Soil Map of Kosova. Satellite Imagery Map of Kosova. Ministry of Energy and Mining 24 24

25

Kosova Quarry Plan A series of 1:50,000 scale maps that show: Base Map of the captured Construction Raw Materials. Map of Non-Blocked Construction Raw Materials. Map of Deposit Mineability. Map of Deposit Licence Status. Map of Deposit Protection Value. 26 26

Geochemical Survey Stream sediment sampling for analyzing 53 elements, including: Base Metals of Zinc, Lead, Copper. Precious Metals of Gold, Silver. Indicator elements for mineralization. 27 27

Airborne Geophysical Survey Survey across Kosova to measure: Magnetics (Earth( Earth s s magnetic field) Four-frequency Electro-Magnetics Radiometrics (Potassium, Thorium, Uranium) Ministry of Energy and Mining 28 28

Magnetic Survey Ministry of Energy and Mining 29 29

Electro-Magnetic Survey 30 30

Radiometric Survey 31 31

REPUBLIC OF KOSOVO 32

Why to invest in Kosovo Kosova is reach in mineral resources, particularly lead, zink, lignite, ferronickel, bauxites, chromate, etc.; Existing mining industry represents great potential for private investment. Mining industry is one of our traditions; Kosova is open to further explore its mineral resources; Kosova has a very Investor Friendly Mining Regulation; Low tax regime Customs duty on imports 10% - a reduced rate of 0% applies to imports of capital goods and agricultural production inputs VAT rate is 15%, 0% taxes on exports Personal income tax rates vary from 0-20% 0 0% VAT and customs duty on exports Corporate income tax 20% 33

Stimulating business environment Free access to the market of the European Union and the markets of neighbouring countries; Simple and quick business registration procedure Modern and EU compatible legal framework; The Euro is the official currency, eliminating Euro zone currency y risk Law on foreign investments National treatment investment regime guarantees unrestricted use of income. Prohibition of favouritism and discrimination. Protection against expropriation. 99-year land lease (UN guarantee) Population and labour market Young and motivated population - 2 million population, 70% under the age of 35. Official languages: Albanian and Serbian. Other European languages mainly English, Italian, German, Swedish, French and Turkish. Highly flexible labour force, Average monthly wage 218 Euro, Low income tax - 5%. Mandatory contributions for individual pension saving accounts 10% 34

Mining Legislation UNMIK Regulation 2005/2 created the Independent Commission for Mines and Minerals (ICMM) in Kosovo. After declaration of independence Kosovo Parliament approved the law on Amending UNMIK Regulation 2005/2 on the Independent Commission for Mines and Minerals (ICMM) in Kosovo. This body regulates the mining sector and implements and enforces the Mining Law; handles exploration and exploitation licence applications; approves applications for, and controls the transport and handling of, commercial explosives; provides mines inspectorate services; terminates illegal mining activities; and collects royalties. 35

LICENCE TYPES ARE: EXPLORATION LICENCE Construction minerals: : Valid for two years and may be extended for an additional two years. There is a maximum area of 250 ha per individual licence. All other minerals: Valid for two years and may be extended up to three times at two years per extension, accompanied by a 50% reduction in licence area. There is a maximum area of 100 km2 per individual licence. RETENTION LICENCE Construction minerals: A maximum of one year from expiry of the exploration licence. Any other materials: A maximum of five years from expiry of the exploration licence. 36

EXPLOITATION LICENCE Construction minerals: This includes existing tailings exploitation, ion, and must have an initial term of no more than 25 years, extendable for f terms of up to 25 years. Any other minerals: This includes existing ing tailings exploitation, lasts for not more than 40 years and can not be extended. SPECIAL OPERATIONS PERMIT The term and scope of each special operations permit shall reasonably be established by the ICMM. ARTISANAL MINING LICENCE Construction minerals: Valid for two years and may be extended for f a further two years. A maximum exploitation is permitted of 12,000m3 in any calendar year. An artisanal mining licence may be issued only y to a municipality. Other permits issued by the ICMM include a crushing g and milling permit, a processing plant permit (asphalt or concrete), a transport permit, an explosives import permit, a blasting permit and an explosives storage facility permit. 37

THANK YOU 38