Coll 28/39(2) ‘Persia. Printed Correspondence, 1937–’ [‎95r] (189/320)

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Copy to : —
India No. 113.
D. 0. T.
Letter from His Majesty’s Minister, Tehran, to the Foreign Office,
London, No. 226/E., dated the 14th June 1938.
I have the honour to transmit to you herewith copies of an interesting
memorandum by Mr. F. A. G. Gray, Acting Commercial Secretary to this
Legation, on the mines which are now being operated at Anarak.
2. I am sending copies of this despatch to the Secretary to the Govern
ment of India in the External Affairs Department, and to the Department
of Overseas Trade.
Anarek Mines.
Anarek is about 150 kilometres NNE of Yezd. Climate is bad, water
supply meagre and agriculturally the countryside is very poor.
The exploitation of mineral deposits was taken up seriously about 3
years ago, when copper and a small amount of gold were found. Exploita
tion for Nickel and Cobalt started in 1936, the ores producing 16 per cent,
of nickel and 4 per cent of cobalt. Smelting was done at Anarek in a small
plant obtained from Krupps, the products being sent to Tehran for refining.
German experts in the employ of the Iranian Government have been
surveying the deposits for some years and the Anarek district has developed
into a rich mining centre producing copper, lead, nickel, antimony, sulphur
and alum. Coal is reported to have been found in the vicinity of Siah Kuh,
and it is said that gold is found in fairly large quantities.
In 1937 a contract was made with Ferrostahl for the completion and
perfection of the work of exploitation at Anarek. In accordance with this
contract the German Company have to extract 1,000 tons of nickel and
4 000 tons of copper within the maximum period of 2 years, and this material
has to be exported. The proceeds realised, on the basis of international
prices will assure the expenses of the exploitation and purchase of new
machinery for an increased output: the surplus after deduction of the ex
penses mentioned will be paid to the Treasury on account of the Govern
ment.
Copper is being extracted from the mines at Sabarz-Baghereg, Talmessi
and Masgani. A smelting foundry is at Talmessi and it is expected that
another will shortly be available at Sabarz. All these places are in the
Anarek vicinity.
Nickel is extracted at Talmessi and at four other sites in the district;
it is smelted at Talmessi.
Antimony is extracted in the mountains called Turkamani, S. E. of
Anarek. Some has been sent to Tehran.
It is expected that a good deal of copper, nickel and antimony will be
exported to Germany this year.
Ten German experts reside at Anarek. A post and telegraph office
and a wireless station have been installed, also a sub-branch of the Banque
Mellie at Yezd. A small “ school of mining has been started. Several
of the mines are completely surrounded by barbed wire.
17 (S) EAD