State-owned Madhyapara Granite Mining Company Ltd (MGMCL) will sign a contract on Monday with Germania-Trest Consortium (GTC) to increase its production.
Germania-Trest is a joint-venture company comprising of Bangladesh-based Germania Corporation Limited and Belarus-based JSC Trest Shakhtos Petsstroy.
The MGMCL, a subsidiary of Petrobangla, is the country’s only hard rock company, which has been mining rocks from Madhyapara mine in Dinajpur district since 1998.
MGMCL officials said the GTC will work as contractor to develop and operate the mine. It will increase the mine’s hard rock production to 5,000 metric tons per day from the present 1,000 MT through upgrading its technology and also using modern machinery.
“The GTC will work under a six-year contract of US$171.86 million. They will produce 9.2 million metric tons of hard rock during the contract period,” MGMCL managing director Mohammad Moinuddin told.
Under the contract, production cost of hard rock will be about US$17.23 per ton.
Moinuddin said the GTC has been selected for the project through a tender process with five international companies taking part in the bidding. But only GTC qualified for the project.
He informed that GTC will introduce three working shifts throughout the day in place of only one shift at present. As per the contract, room and pillar and sub-level drift-stopping method will be introduced in the mine to upgrade the production capacity.
The hard rock mine at Madhyapara was discovered by the Geological Survey of Bangladesh (GSB) in 1974 at a depth of 136 metres in the underground at Madhyapara in Parbatipur of Dinajpur district.
Until 2007, North Korean company South South Cooperation Corporation (NAMNAM) worked as contractor of the mine since 1994. After the expiry of its contract, the MGMCL took over the charge and has been producing rocks through its own manpower. Now again, a new contractor will operate the mine through contract.
Hard rocks of the Madhyapara mine are currently used mainly for the construction of highway, road, dam and embankment by the Public Works Department (PWD), Roads and Highways Department, Water Development Board and Bangladesh Railway.