Right now, every mining company CEO in the world has one thing on the mind: Afghanistan.
Yesterday, the
Pentagon announced
that American geologists have discovered an estimated $1 trillion worth
of untapped geological resources there, including vast reserves of rare
earth metals and lithium, which are becoming increasingly sought-after
for high-tech manufacturing. The cache is large enough to have profound
geopolitical implications. But judging by the state of play at another
remote, developing-world mineral stash—the lithium deposits of
Bolivia’s Salar de Uyuni, which I recently visited—it’s not easy to go
from desolation to natural-resource riches.
Updated.
It's truly a bonanza: Those
rare earth metals
essential for building motors for hybrid and electric cars that China
thought they had cornered? Afghanistan may be sitting on $7.4 billion
worth. That’s not counting niobium, another rare and essential
metal--the war-torn, deeply impoverished country may have $81.2 billion
of the stuff. As for lithium, the essential battery-building mineral
that has led so many to suggest that lithium-rich Bolivia may be the
center of the world in
an age of electric cars—there’s
a chance that Afghanistan may have even more. (We have yet to find much
detail about what kind of lithium resources we’re looking at—the
geologists we’ve contacted haven’t yet responded—but according to the
New York Times, an internal Pentagon document said that Afghanistan
could become the “Saudi Arabia of Lithium,” a nickname that’s also been
applied to Bolivia and Chile in the past couple of years.) Then there’s
the big money, the meat-and-potatoes. $420.9 billion worth of iron.
$274 billion in copper. $50.8 billion in cobalt.
According to the New York Times,
the Afghan treasure hunt began in 2004, when American geologists
working on the reconstruction effort found geological charts that the
Soviets had assembled in the 1980s, when they occupied the country.
Soon they began conducting flyover surveys of 70 percent of the
country, using “advanced gravity and measuring equipment” to collect
preliminary data. In 2007 they conducted even more detailed aerial
measurements, and the numbers were “astonishing.” In October 2007 the
USGS published a preliminary assessment of the country’s mineral
resources that claimed there were “abundant” resources present. Two and
a half years later, those preliminary measures became today’s bombshell
news. “There is stunning potential here,” Gen. David H. Petraeus ,
commander of the United States Central Command, told the Times. “There
are a lot of ifs, of course, but I think potentially it is hugely
significant.“