The contract for the extraction of Bibi Gawhari lead mine in Khakrez district of Kandahar was awarded to a private company.

The acting head of the Kandahar Mines and Petroleum Department said the company will build a 250 km road that connects Kandahar with Uruzgan and that 17% of the revenue of the mining project will be given to the government.

“If they complete processing here, they will give 15% to the Islamic Emirate. If they partially process it, they will give 16% to the Islamic Emirate, and if they transfer the raw material and process it outside the country, they will give 17% to the Islamic Emirate,” said Abdul Hanan Hamed, the acting director of Kandahar Mines and Petroleum Department.

“This mine’s contract and extraction are handled by professional engineers and advanced machinery, and it is processed in the country,” said Obaid Rahman Bahar, the company's CEO.

Analysts said the country will benefit from legal mining extraction by implementing such projects.

“The extraction and processing of mines within the nation can lead to economic growth and create jobs for the people,” Bashir Shabiri, an economist noted.

“If mines are extracted legally, it can provide jobs to the suffering people of Afghanistan in various areas,” said Mohammad Sulaiman Sirat, a mining affairs specialist.

This comes as a few days ago, the contract for Shur Andam cement production project in Kandahar was awarded to a private company.