Mining Investment and Development for Afghanistan Sustainability (MIDAS) Project

OVERVIEW

MIDAS focuses on three primary areas in the Ministry of Mines and Petroleum (MoMP): 1) legal and regulatory reform, 2) technical assistance to the MoMP, and 3) Small and Medium Enterprise (SME) development. The project will develop the MoMP’s ability to implement effective policies and to facilitate international investment in the Afghanistan’s mining sector. It will also build local capacity to plan, design, and implement mining concessions through a transparent tender process in Afghanistan. In addition, it will provide technical support to private sector entities related to extractive industries and energy development with focus on community engagement when developing mining sites and with the goal of generating significant revenues for the government as donor support winds down. 

ACTIVITIES

  • Reform mining policy and regulation (off-budget contract): Provide technical assistance in tender process development, contract negotiations, and contract management. Ensure Afghanistan adopts laws and regulations according to international best practices. 
  • Strengthen capacity at the MoMP (off-budget contract): Provide technical assistance to develop MoMP expertise in geo-science field investigation and drilling activities; data analysis and management to verify the location and quantity of mineral deposits; evaluate and package mineral tenders for bidding by international investors, as well as managing contracts in keeping with international standards to ensure transparency, greater government revenue generation, and local economic development.  
  • Support private sector and mining project development (off-budget contract): Provide technical assistance to improve production or services in activities engaging Afghan SMEs, particularly in geo-science, construction, transportation and consulting work related to the extractives sector. Introduce Afghan SMEs to new market opportunities in the mining value chain. Ensure that local communities benefit from mining activities and are included in the planning process. Facilitate the creation of jobs directly and indirectly from mining sector investments and activities.
  • Research and data collection for tender package development (on-budget): This on-budget program will support comprehensive capacity-building technical assistance, including budgeting, finance, geo-science field investigation, project design, environmental compliance tendering, procurement, contractor oversight, and other areas as needed. The aim is to help MoMP monetize Afghanistan’s mineral assets and generate more revenues for the government. 
PROJECTED ACHIEVEMENTS
  • MoMP Investment Promotion Directorate strengthened to create mineral tenders for large deposits, from project selection to marketing, RFPs, bid evaluations and contract negotiations.
  • Afghanistan Geological Survey trained and provided with field experience to complete early-stage mineral exploration and provide MoMP with "pipeline" of mineral projects for tender. 
  • MoMP Legal Department strengthened to develop investor-friendly regulations and procedures. 
  • Small and medium-sized enterprises empowered to win contracts in the mining value chain with improved access to finance, a local training regime offering the right skills, and a contracting process that mandates the use of local firms.
  • Communities living near mines supported through training and governance support so that they benefit from mining operations.

Last updated: January 28, 2014

Share This Page