2006 Minerals Yearbook

CAMBODIA
U.S. Department of the Interior
U.S. Geological Survey
July 2007
Cambodia2006 8.
THE MINERAL INDUSTRY OF CAMBODIA
byJohnC.Wu
in2006,Cambodiasmineralresourcesremained,toa
largeextent,unexplored.duringthepast3years,however,
foreigninvestorsfromaustralia,China,theRepublicofKorea,
Thailand,andtheUnitedStatesbegantoexpresstheirinterest
inCambodiasmineralpotentialforoffshoreoilandgasaswell
assuchland-basedmetallicmineralsasbauxite,copper,gold,
andironore,andsuchindustrialmineralsasgemstonesand
limestone.
TheidentifiedmineralresourcesinCambodiawerebauxite,
carbonaterocks,naturalgas,gemstones,gold,manganese,
petroleum,phosphaterock,salt,silica,andzircon.Withthe
exceptionofcarbonaterocksandgemstones,thecountrys
mineralresourceswerelargelyunexploited.Toattractdomestic
andforeignminingcompaniestoinvestintheminingsector,
theLawofmineralsmanagementandminingofCambodia
waspromulgatedbytheGovernmentonJuly3,200(United
Nations,2002).
Theministryofindustry,minesandEnergy(mimE)isthe
mainGovernmentagencythatimplementsthecountrysmineral
lawandpolicy.ThemimEsdepartmentofGeologyandmines
anddepartmentofEnergyareresponsiblefordevelopingthe
countrysmineralresources,providingminingassistancetothe
privatesector,andadministeringmining-relatedregulationsand
inspections.TheCambodiandevelopmentCouncil(CdC)isthe
Governmentagencythatgrantsexplorationlicensestoinvestors.
ifexplorationissuccessful,investorsarerequiredtopresenta
masterprojectplantotheCdCbeforebeinggrantedamining
license.Theamountofinvestmentapprovedforminingprojects
bytheCdCtotaled$8millionin2005(asianJournalof
mining,2000;WorldinvestmentNews,2004;international
monetaryFund,2006a,p.57).
Minerals in the National Economy
Theminingandquarrysectorcontributedonly0.39%ofthe
countrysgrossdomesticproductin2005.Thesectoremployed
anestimated9,000peopleandaccountedforonly0.2%ofthe
countrystotalemploymentin2005(thelatestyearforwhich
datawereavailable)(NationalinstituteofStatistics,Cambodia
2006).
Production
accordingtoofficialstatisticsofthedepartmentofGeology
andmines,theminingactivitiesinCambodiaduringthepast
2yearsinvolvedtheproductionoflateriteblocks(redsoil),
limestoneforcementmanufacturing,sandandgravel,andcrude
stoneforconstructionmaterial(table).otherminerals,such
asgemstonesandgold,reportedlywereminedinthecentral
ProvinceofKampongChamandthenortheasternProvincesof
mondolKiriandRotanoKiri.Productiondataforgemstones,
gold,andlimestone,however,werenotavailable.
Structure of the Mineral Industry
Cambodiasmineralindustrywasstillinitsinfantstage,and
mostminingcompaniesweresmall-scalequarriesthatproduced
suchconstructionmaterialsaslimestone,sandandgravel,and
otherconstructionaggregates.Productioncapacitydatawere
notavailableforeachofthesesmallminers.duringthepast2
years,themimEhadgrantedatotalof9mineralexploration
licensestolocalandforeigncompanies,ofwhichprojects
weretoexploreformetallicminerals;3,forironore;2,for
gold;2,forbauxite;and,forcoal.Since2005,themimEhad
grantedmininglicensestocompanies;fiveofthelicenses
wereforgemstone(zircon)projects,fivewereforlimestone
projects,andonewasforagraniteproject(table3).
Commodity Review
Metals
Gold.inFebruary2006,00%ofLibertymining
internationalPTY.Ltd.,whichhad00%interestintwogold
projectsinthebanLungandtheoyadav(oyadao)/amdong
measareasinRanttanakiri(Rantanakiri)Province,wasacquired
byGreataustralianResourcesLtd.(GaR).during2006,
GaRreportedlyundertookandcompletedanaeromagnetic
surveyofthetwoprojectareasandcarriedoutanextensive
soilgeochemicalsamplingprograminthebanLungareaanda
diamonddrillingprogramintheoyodavarea(Greataustralian
ResourcesLtd.,2006a,b;minebox.com,2006).
Industrial Minerals
Cement.an$80millionprojecttobuildacementplantin
KampotProvince,whichwasproposedbySiamCementGroup
ofThailand,wasapprovedbytheGovernmentinlate2005.in
January2006,constructionworkonthe800,000metric-ton-per-
yearcementplantwasbegunbyThaiSiamCementindustryin
theToukmesadistrict,KampotProvince.Thecementplant,
whichwaslocated30kilometers(km)southofPhnomPenh,
wasscheduledtobeginproductionduringthesecondquarterof
2007.KampotCementCo.Ltd.andTahiboonRoonCement
Co.Ltd.,whichwerelicensedtoquarrylimestoneintheareasof
TatungandPhnomLaag,wouldsupplylimestonetothecement
plant(associatedPress,2005;ministryofindustry,minesand
Energy,2006,p.3:SiamCementindustryCo.Ltd.,2006).
Mineral Fuels
Natural Gas and Petroleum.Tofurtherunderstandand
expandtheoilresourcesinblocka,whichislocatedabout
30kmoffthewestcoastofCambodia,Chevronoverseas
Petroleum(Cambodia)Ltd.(CoPCL)(anaffiliatedcompany
8.2 U.S.GEoLoGiCaLSURvEYmiNERaLSYEaRbooK2006
ofChevronCorp.oftheUnitedStates)andtheCambodian
Governmentsignedajointstudyagreement(JSa)in2006.
UndertheJSa,CoPCLwasexpectedtodrillfiveoffshore
explorationwellsinCambodiain2006andanadditionalfive
wellsin2007.blocka,whichcoversa6,278-square-kilometer
(km
2
)areaoftheKhmerbasinintheGulfofThailand,was
ownedbyCoPCL(55%),moecoCambodiaLtd.(anaffiliate
companyofJapansmitsuioilexplorationCo.)(30%),andthe
RepublicofKoreasGSCaltexCorp.(5%)(Schlumberger
Ltd.,2006).
inSeptember2006,FrenchTotalSa(ToT)andan
unidentifiedChineseoilcompanyreportedlywerecompeting
fortherightstoexploreforpotentiallyrichoilandgas
reservesinblockb,whichcoversa6,557-km
2
areaoffshore
thesoutheasterncoastofCambodia.accordingtoareport
bylocalpress(theCambodiadaily),officialsfromChinese
NationalPetroleumoffshoreoilCo.(CNooC)metwith
CambodiasprimeministerinJuly2006andexpressedinterest
inblockb.accordingtoanofficialofCambodianNational
Petroleumauthorityspetroleumexplorationdepartment,ToT
wasinterestedintheoffshorefield,butnegotiationswereslow
(Rigzone.com,2006).
Outlook
TheCambodianminingsector,whichwasstillinitsinfant
stage,isexpectedtogrowslowlyduringthenext2to3years
beforethegold,ironore,andothermetallicandnonmetallic
minesaredeveloped.Theminingsectorisexpectedtoremain
smallrelativetoothersectorsoftheCambodianeconomyfor
thenext2to3yearsunlesstheeconomicallyviablereservesof
oilandnaturalgasinblockaaredevelopedbyChevronand
begintoproduceoilandgasby2008.Cambodiaseconomyas
measuredbytheGdPwasforecastedtogrowby6.5%in2007
(internationalmonetaryFund,2006b).
References Cited
asianJournalofmining,2000,Cambodia,inasianminingyearbook(thed):
asianJournalofmining,p.3-4.
associatedPress,2005(June24),Thaicementfirmtobuild
Cambodiaplant:associatedPress.(accessedaugust2,2006,at
http://www.cambodiamusic.com/news/cementfirm.html.)
GreataustralianResourcesLtd.,2006a,banLungproject:Greataustralian
ResourcesLtd.(accessedmarch28,2007,athttp://www.greataustralian.com.au/
index.php?id=24.)
GreataustralianResourcesLtd.,2006b,Projectsoyadaoproject:Greataustralian
ResourcesLtd.(accessedmarch28,2007,athttp://www.greataustralian.com.au/
index.php?id=25.)
internationalmonetaryFund,2006a,CambodiaSelectedissuesandstatistical
appendix:internationalmonetaryFundCountryReportNo.06/265,July,
66p.
internationalmonetaryFund,2006b,Cambodia,inWorldeconomicoutlook
database:internationalmonetaryFund.(accessedmarch22,2007,via
http://www.imf.org/external/pubs/ft/weo/2006/02/data/weoselgr.aspx.)
minebox.com,2006(February6),HeadlinesGaUacquires
Cambodiaprojects:minebox.com.(accessedmarch28,2007,at
http://www.minebox.com/story.asp?articleid=786.)
ministryofindustry,minesandEnergy,2006,miningopportunitiesinthe
Greatermekongsub-regionmineralexplorationandminingprojectsin
Cambodia:ministryofindustry,minesandEnergy,June,3p.
NationalinstituteofStatistics,Cambodia,2006,NationalaccountsofCambodia
2003-2005Grossdomesticproduct(GdP)byeconomicactivityatconstant
prices:NationalinstituteofStatistics,Cambodia.(accessedmarch22,2006,
athttp://www.nis.gov.kh/PERiodiC/Na/Table3.htm.)
Rigzone.com,2006(September),French,Chineseoilcompaniesbattle
forCambodiareserves:Rigzon.com.(accessedoctober4,2006,at
http://www.rigzone.com/news/article.asp?a_id=36687.)
SchlumbergerLtd.,2006(July7),Chevronunittodrill0moreoil,gas
wellsinCambodia:SchlumbergerLtd.(accessedJuly7,2006,at
http://realtimenews.slb.com/news/story.cfm?storyid=63472.)
SiamCementindustryCo.Ltd.,2006,SiamcementplantinCambodia:
bangkok,Thailand,SiamCementindustryCo.Ltd.,June,22p.
UnitedNations,2002,miningregulatoryregimesinCambodia,inPartii,
mineralResources,assessment,developmentandmanagementSeries
No.2225,v.8.(accessedJune2,2005,athttp://www.natural-resources.org/
minerals/cd/docs/regional/unescap/ch09Cambodia.pdf.)
WorldinvestmentNews,2004(February3),Energy,inTopreporton
Cambodia:WorldinvestmentNewsLtd.,267p.(accessedmarch29,2005,
athttp://www.winne.com/asia/cambodia/2004/Cambodia_pdf.php.)
Cambodia2006 8.3
TABLE 1
CAMBODIA: PRODUCTION OF MINERAL COMMODITIES
1
(Metric tons unless otherwise specified)
Commodity
2
2002 2003 2004 2005 2006
e
Gravel 9,800 13,800 -- 22,500
r
23,000
Laterite, blocks 381,400 240,700 118,400 62,400
r
65,000
Phosphate fertilizer 115 -- -- -- --
Quartz sand -- 1,000 -- --
r
--
Salt 72,500 36,000 40,000 --
r
--
Sand, construction material 505,960 248,400 363,700
r
763,900
r
765,000
Stones, crude construction material 642,500 786,100 501,600 1,079,400
r
1,100,000
e
Estimated; estimated data are rounded to no more than three significant digits.
r
Revised. -- Zero.
1
Table includes data available through May 8, 2007.
2
In addtion to the commodities listed, clay, gemstones, gold, iron ore, and lime are presumably produced, but available information is
inadequate to make reliable estimates of output.
Source: Cambodia's Ministry of Industry, Mines and Energy; U.S. Geological Survey Minerals Questionnaires for Cambodia 2002-05.
TABLE 2
CAMBODIA: STRUCTURE OF THE MINERAL INDUSTRY IN 2006
(Thousand metric tons unless otherwise specified)
Major operating companies and Annual
Commodity major equity owners Location of main facilities capacity
e
Cement Kampot Cement Co. Ltd.
1
Touk Meas District, Kampot Province 800
(an affiliate of Siam Cement Industry Co.
Ltd. of Thailand)
Gemstone carat Jirech International Cambodia Construction Anlong Krapeu-Preak Bey, Samlot District, NA
and Import-Export Co. Ltd. Battambang Province
Do. Seoul Digem Cambodia Co. Ltd. Loamphat District, Ratanakiri Province NA
Do. Sonuba Cahm Industries Co. Ltd. Phnom Trop, Pailin City NA
Do. Ultra Marine Kiri (Cambodia) Ltd. Pating Thom Village, Ting Chak Commune, NA
Borkeo District, Ratanakiri Province
Do. do. Sen Chauv, Samlot District, Battambang Province NA
Granite TTY-RITHYMEXICO Svay Chreas District, Kratie Province NA
Limestone Kampot Cement Co. Ltd. Tatung, Kampot Province NA
Do. Thai Boon Roon Cement Co. Ltd. Phnom Laang Laan Commune, Donghtung NA
District, Kampot Province
Do. United International (Cambodia) Foreign East Touk Meas, Banteay Meas District, Kampot NA
Investment Group Company Ltd. Province
e
Estimated. NA Not available.
1
Cement plant was scheduled to begin production in the second quarter of 2007 with a designed capacity of 3,000 metric tons per day.
8.4 U.S.GEoLoGiCaLSURvEYmiNERaLSYEaRbooK2006
F
a
TABLE 3
MINERAL EXPLORATION AND MINING PROJECTS IN CAMBODIA AS OF JUNE 2006
Type of Year
Commodity Activity Company company
1
Location license granted
Bauxite Exploration AZ Distribution Co. Ltd. L Tou Poy, O Raing District, Mondulkiri Province 2005.
Do. do. Sonuba Paul Cham Co. Ltd. L O Raing District, Mondulkiri Province 2004.
Coal do. Rantanak Stone Cambodia Development JV Pharv, Anglong Veng-Trapaing Prasath District, April 2006.
Co. Ltd. Oudor Mean Chey Province
Gemstone Mining Jirech International Cambodia Construction JV Anlong Krapeu-Preak Bey, Samlot District, 2005.
and Import-Export Co. Ltd. Battambang Province
Do. do. Seoul Digem Cambodia Co. Ltd. JV Lomphat District, Ratanakiri Province Mid-2005.
Do. do. Sonuba Cham Industries Co. Ltd. L Phnom Trop, Pailin City 2005.
Do. do. Ultra Marine Kiri (Cambodia) Ltd. JV Pating Thom Village, Ting Chak Commune Mid-2005.
Borkeo District, Ratanakiri Province
Do. do. do. JV Sen Chauv, Samlot District, Battambang Province Early 2006.
Gold Exploration Decom Cambodia Co. Ltd. JV Phnom Dek, Rovieng District, Preheah Province 1994.
Do. do. Vannimex Co. Ltd. JV Phnom Chi, Sandan District, Kampong Thom 2000.
Province
Gold and other do. Angkor Wat Cement Co. Ltd. JV Andong Bor area-2, Ampil District Oudor, 2001.
metallic minerals Meanchey Province
Granite Mining TTY-RITHYMEXICO F Svay Chreas District, Kratie Province 2006.
Iron ore do. Ratanak Stone Cambodia Development JV Phnom Koh Keo, Rovieng District, Preh Vihear 2004.
Co. Ltd. Province
Do do. do. JV Phnom Thmar, Rovieng District, Preh Vihear 2005.
Province
Do. do. Try Pheap Co. Ltd. L Thalaborivath, Stung Treng Province 2005.
Limestone Mining Kampot Cement JV Tatung, Kampot Province 2006.
Do. easibility study Khou Chuly Development Co. Ltd. & L West Touk Meas, Banteay Meas District, Kampot 2006.
Tong Yang Province
Do. do. Pheapimex Co. Ltd. L Kampong Trabek, Kampot Province 2006.
Do. Mining Thai Boon Roon Cement Co. Ltd. F Phnom Laang Laan Commune, Dongtung District, 2006.
Kampot Province
Do. do. United International (Cambodia) Foreign F East Touk Meas, Banteay Meas District, Kampot 2006.
Investment Group Company Ltd. Province
Metallic minerals Exploration Anquing (Cambodia) Invest Company Ltd. JV Phnom Kus and Keo Seima, Mondulkiri Province 2005.
Do. do. China Forwin International Investment F Phnom Rohal, Keo Seima District, Mondulkiri 2005.
Phnom Penh Mining Co. Ltd. Province
Do. do. Chhung Kor Chean Pean Co. Ltd. L Koh Khnge, Sambo District, Kratie Province 2001.
Do. do. Liberty Mining International PTY Ltd. F Ban Lung District, Ratanakiri Province 2005.
Do. do. do. F Oyadav District, Ratanakiri Province Mid-2006.
Do. do. Mom Good Luck Mining Co. Ltd. L Thalabarivat, Stung Treng Province 2006.
Do. do. Oksan Cambodia Ltd. F Antrong, Keo Seima District, Modulkiri Province 2003.
Do. do. Oxiana Cambodia Ltd. F Okhvao and Ochhung, Koe Seima District, Late 2006.
Mondulkiri Province
Do. do. Zhong Xin Industrial Investment (Cambodi F Me Som, Mondulkiri Province 2004.
Co. Ltd.
Do. do. do. F O Click, Kratie Province 2004.
1
Type of company, L--local, F--foreign, JV--joint venture
Source: Ministry of Industry, Mines and Energy, Kingdom of Cambodia, June 2006.