An unnamed Afghan businessman is reportedly ready to invest up to $12 million in iron ore mining in Panjshir province, the provincial governor’s spokesman Saifuddin Laton said Sunday.

According to Laton, the businessman has shown interest in investing between $3 and $12 million to mine an area covering 22 square kilometers in Paryan district in Panjshir.

Laton said the contract for this project has been approved by the Economic Directorate of the Prime Minister’s Office of the Islamic Emirate of Afghanistan (IEA).

In addition to extraction, the businessman will also carry out the processing and packaging of the iron ore within the province to create greater added value.

Laton said that in the first phase, the company will launch an exploratory program of the reserves over six months, during which around 500 jobs will be created.

After completing this phase, formal extraction work will begin, he said.

Afghanistan possesses substantial iron ore reserves, estimated at 2.2 billion tonnes, making it a top 10 country for extractable iron.

The largest deposit, Hajigak, is located in Bamiyan province, and contains an estimated 1.7 billion tonnes of high-grade ore.

Sadri Azam Osmani, Deputy Minister of Agriculture, Irrigation and Livestock, on Saturday left Kabul to participate in the 7th International Exhibition of Iran’s Export Capabilities in Tehran.

The expo will be held from April 28 to May 2. According to the organizers, between 2,000 and 3,000 foreign traders from around the world are expected to attend. 

Osmani expressed hope that this trip will pave the way for the growth of trade and attract more investments to Afghanistan.

Pakistan’s Deputy Prime Minister and Foreign Minister Ishaq Dar held a telephone conversation with the Foreign Minister of Uzbekistan, Saidov Bakhtiyor Odilovich, on Thursday to discuss the Trans-Afghan Railway Line Project.

This comes after Dar’s recent visit to Kabul, where he held talks with officials on the planned Uzbekistan-Afghanistan-Pakistan Railway Line Project.

The three neighboring countries signed an agreement in February 2021 to construct a 573-kilometer railway line through Afghanistan, connecting landlocked Central Asia to Pakistan seaports, with an estimated cost of $4.8 billion to enhance regional economic connectivity.

On Thursday, in a post on X, Pakistan’s Foreign Ministry said Dar hoped that the three countries would soon sign the framework agreement for this important regional connectivity project.

The two leaders also discussed strengthening bilateral relations, enhancing economic and trade connectivity, promoting people-to-people ties, and exchanged views on current regional and international issues.