Archive for the ‘Coal’ Category
Thursday, October 2nd, 2008
North Korea Uncovered: Version 12
Download it here
About this Project: This map covers North Korea’s agriculture, aviation, cultural locations, markets, manufacturing facilities, energy infrastructure, political facilities, sports venues, military establishments, religious facilities, leisure destinations, national parks, shipping, mining, and railway infrastructure. It is continually expanding and undergoing revisions. This is the 12th version.
Additions include: Tongch’ang-dong launch facility overlay (thanks to Mr. Bermudez), Yongbyon overlay with destroyed cooling tower (thanks to Jung Min Noh), “The Barn” (where the Pueblo crew were kept), Kim Chaek Taehung Fishing Enterprise, Hamhung University of education, Haeju Zoo, Pyongyang: Kim il Sung Institute of Politics, Polish Embassy, Munsu Diplomatic Store, Munsu Gas Station, Munsu Friendship Restaurant, Mongolian Embassy, Nigerian Embassy, UN World Food Program Building, CONCERN House, Czech Republic Embassy, Rungnang Cinema, Pyongyang University of Science and Technology, Pyongyang Number 3 Hospital, Electric Machines Facotry, Bonghuajinlyoso, Second National Academy of Sciences, Central Committee Building, Party Administration Building, Central Statistics Bureau, Willow Capital Food House, Thongounjong Pleasure Ground, Onpho spa, Phipa Resort Hotel, Sunoni Chemical Complex (east coast refinery), Ponghwa Chemical complex (west coast refinery), Songbon Port Revolutionary Monument, Hoeryong People’s Library, Pyongyang Monument to the anti Japanese martyrs, tideland reclamation project on Taegye Island. Additionally the electricity grid was expanded and the thermal power plants have been better organized. Additional thanks to Ryan for his pointers.
I hope this map will increase interest in North Korea. There is still plenty more to learn, and I look forward to receiving your contributions to this project.
Version 12 available: Download it here
Posted in Agriculture, Animation, Architecture, Art, Automobiles, Aviation, Banking, Cell phones, Coal, Communications, Computing/IT, Construction, Copper, Dams/hydro, Education, Electricity, Energy, Environmental protection, Film, Finance, Fiscal & monetary policy, Food, Football (soccer), Foreign direct investment, Forestry, Gambling, Gasoline, General markets (FMR: Farmers Market), Gold, Golf, Google Earth, Health care, Hoteling, Hwanggumphyong and Wihwado Economic Zones (Sinuiju), International trade, Joint Ventures, Kaesong Industrial Complex (KIC), Leisure, Library, Light Industry, Lumber, Manufacturing, Mass games, Military, Mining/Minerals, Mt. Kumgang Tourist Special Zone, Music, Nuclear, Pyongyang Metro, Railways, Rason Economic and Trade Zone (Rajin-Sonbong), Real estate, Religion, Restaurants, Sea shipping, Special Economic Zones (Established before 2013), Sports, Television, Tourism, Transportation, Wind | 1 Comment »
Tuesday, September 30th, 2008
Instutie for Far Easter Studies (IFES)
NK Brief No. 08-9-30-1
9/30/2008
North Korea is accelerating projects to repair and upgrade power plants throughout the country in order to resolve its electrical shortage problems. According to the (North) Korean Central Broadcasting Station on September 25, oil pressure regulators on generators 1 and 2 at the Soopoong Power Plant on the Yalu River were replaced with more efficient digital regulators in order to increase power production capabilities. The broadcasters also announced on the 22nd that the Number 3 Boiler at the East Pyongyang Steam Power Plant, which supplies electricity to the Pyongyang area, is undergoing a major overhaul, just as its Number 1 Boiler did in July.
A ‘February 17 Shock Troop’ of scientists and technicians from Kim Il Sung University, Kim Chaek University of Technology, Pyongyang Machinery College, Han Duk Su Pyongyang Technical College, Pyongyang Computer College, and the Ham Heung Su College of Locomotive Power has been dispatched to the East Pyongyang plant and are working on overhauling and updating the equipment there.
The Pyongyang Steam Power Plant, in the Pyongchun neighborhood of Pyongyang, is also undergoing major upgrades in preparation for winter, with boilers Number 2 and 7 overhauled and back on-line and Number 4 Boiler’s overhaul in its final stage. Electrical facilities on the Boojeon River, Jangja River, Daedong River, and Nam River, as well as the Taechun, Seodusu, and Samsu Power Plants, are all undergoing upgrades on power generation equipment and water flow systems.
North Korea is also pushing forward with the building of new power production facilities at the Yesung River Power Plant, Wonsan Centennial Power Plant, Urang Power Plant, Youngwon Power Plant, Geumya River Power Plant, Baekdu Mountain Military-first Centennial Power Plant, and the Geumjin River Guchang Power Plant. Cabinet officials from the government’s construction bureau have been dispatched to each location in order to ensure the early completion, while legislation supporting the construction of small and mid-sized power plants is also being pushed.
As North Korea celebrates the 60th anniversary of its founding, it is emphasizing economic development, and to this end, has completed construction of the Number 1 Generator at the Yesung River Centennial Power Plant, the Sungchun Power Plant, and the first stage of construction at the Wonsan Centennial Power Plant. In the 2008 New Year’s Joint Editorial, the government promoted the construction of large-scale hydroelectric facilities as well as small and mid-size power plants, along with modernization of existing power production equipment, in order to increase electrical production.
Posted in Coal, Dams/hydro, Electricity, Energy, Oil | Comments Closed
Thursday, August 14th, 2008
The most authoritative map of North Korea on Google Earth
Download it here
This map covers North Korea’s agriculture, aviation, cultural locations, markets, manufacturing facilities, railroad, energy infrastructure, politics, sports venues, military establishments, religious facilities, leisure destinations, and national parks. It is continually expanding and undergoing revisions. This is the eleventh version.
Additions include: Mt. Paegun’s Ryonghung Temple and resort homes, Pyongyang’s Chongryu Restaurant, Swiss Development Agency (former UNDP office), Iranian Embassy, White Tiger Art Studio, KITC Store, Kumgangsan Store, Pyongyang Fried Chicken Restaurant, Kilju’s Pulp Factory (Paper), Kim Chaek Steel Mill, Chongjin Munitions Factory, Poogin Coal Mine, Ryongwun-ri cooperative farm, Thonggun Pavilion (Uiju), Chinju Temple (Yongbyon), Kim il Sung Revolutionary Museum (Pyongsong), Hamhung Zoo, Rajin electrified perimeter fence, Pyongsong market (North Korea’s largest), Sakju Recreation Center, Hoeryong Maternity Hospital, Sariwon Suwon reservoir (alleged site of US massacre), Sinpyong Resting Place, 700 Ridges Pavilion, Academy of Science, Hamhung Museum of the Revolutionary Activities of Comrade Kim Il Sung, South Hamgyong House of Culture, Hamhung Royal Villa, Pork Chop Hill, and Pyongyang’s Olympic torch route. Additional thanks go to Martyn Williams for expanding the electricity grid, particularly in Samjiyon, and various others who have contributed time improving this project since its launch.
Disclaimer: I cannot vouch for the authenticity of many locations since I have not seen or been to them, but great efforts have been made to check for authenticity. These efforts include pouring over books, maps, conducting interviews, and keeping up with other peoples’ discoveries. In many cases, I have posted sources, though not for all. This is a thorough compilation of lots of material, but I will leave it up to the reader to make up their own minds as to what they see. I cannot catch everything and I welcome contributions. Additionally, this file is getting large and may take some time to load.
Posted in Advertising, Agriculture, Architecture, Art, Automobiles, Aviation, Banking, Biotech, Cell phones, Central Broadcasting Station, Coal, Committee for Cultural Relations with Foreign Countries, Communications, Computing/IT, Construction, Dams/hydro, Demographics, Domestic publication, Education, Electricity, Energy, Environmental protection, Film, Finance, Food, Football (soccer), Foreign direct investment, Forestry, Gambling, Gasoline, General markets (FMR: Farmers Market), Golf, Google Earth, Health care, Hoteling, Hwanggumphyong and Wihwado Economic Zones (Sinuiju), Intranet, Joint Ventures, Kaesong Industrial Complex (KIC), Kim Il Sung University, Korean Buddhist Association, Labor conditions/wages, Leisure, Library, Light Industry, Lumber, Mansu Art Studio, Manufacturing, Mass games, Maternity Hospital, Military, Mining/Minerals, Ministry of foreign Affairs, Ministry of Foreign Trade, Ministry of People’s Armed Forces, Ministry of Post and Telecommunications, Ministry of Public Health, Mt. Kumgang Tourist Special Zone, Musan Mine, Nuclear, Oil, Phoenix Commerical Ventures, Pyongyang Embroidery Institute, Pyongyang Film Studio, Pyongyang International Information Center of New Techn, Pyongyang International Trade Fair, Pyongyang Metro, Pyongyang University of Medicine, Radio, Railways, Rason Economic and Trade Zone (Rajin-Sonbong), Real estate, Religion, Restaurants, Sea shipping, Sports, Steel, Supreme Peoples Assembly, Tourism, Transportation, Wind | 6 Comments »
Thursday, June 26th, 2008
Kim Dong-Jin, head of South Korean steel company POSCO‘s China branch, visited Pyongyang Tuesday for talks on purchasing more of the DPRK’s coal, iron ore, and other raw materials.
According to the AFP:
POSCO, the world’s fourth largest steelmaker, has imported 200,000 tons of coal from North Korea every year.
South Korea’s investment in the North’s rich mineral resources has been sluggish due to the standoff over the North’s nuclear programme and mixed views on whether such investment can be profitable.
North Korea has promoted raw material exports as a means of generating much needed hard currency for some time. Unfortunately, this development strategy will bring the fewest benefits to the North Korea people. Look at any oil-exporting country for comparison. Raw materials exports generally enrich the politically connected—and workers, who in North Korea are unable to leave their jobs or negotiate their wages, generally (pun alert) get the shaft.
South Korean firms operating in the North, however, do tend to offer better working conditions than North Korean or Chinese firms. If POSCO launches operations in North Korea, hopefully public pressure and the profit motive will see an increase in productivity, wages, and working conditions for the DPRK’s miners.
South Korea apparently also operates a graphite mine in North Korea. If anyone has any information on this, please send it my way.
Read the full story here:
POSCO eyes NKorea raw materials
AFP
6/25/2008
Posted in Coal, Energy, Foreign direct investment, International trade, Iron Ore, Joint Ventures, Mining/Minerals, POSCO, South Korea, Steel | 2 Comments »
Saturday, May 10th, 2008
From the Nautilus Institute (presentations at bottom):
Background
Energy insecurity is a critical dimension of the North Korean (DPRK) nuclear challenge, both in its making, and in its reversal. One of the Six-Party Talks working groups, the Economy and Energy Working Group, is largely devoted to this topic, and energy assistance will play an important role in the process of denuclearization of the DPRK. Nautilus Institute maintains a unique database and set of quantitative and qualitative analytic tools to evaluate and track the DPRK’s energy economy, and has maintained working relations with North Korean scientists and technical personnel from the energy sector for more than a decade. With this capacity, Nautilus has provided a stream of policy analyses and briefings at their request to US, ROK and other officials on the DPRK’s energy needs, its likely negotiating postures and demands, and possible negotiable options. The need for such expertise in support of the Six-Party Talks is increasing.
This project ensures that the underlying data and technical analysis available at Nautilus is as up-to-date as possible, and that analysis and policy advice are available when needed by US and other officials.
The Second DPRK Energy Experts’ Working Group (2008) served to provide information and views from key experts in the field to inform the Nautilus DPRK energy sector analysis update. Experts in attendance at the meeting provided both pertinent, recent data and special insights that are being used to help to make the database as reflective as possible of actual conditions in the DPRK. This in turn provides crucial input to the analysis needed to help to inform the parties to the 6-Party talks regarding possible approaches to DPRK energy sector redevelopment.
In addition, the DPRK Energy Experts Study Group Meeting served, as did the first Meeting, as an opportunity for experts on the DPRK to exchange views on the appropriate “next steps” in DPRK energy sector redevelopment. Key outcomes of this discussion are being reflected in the updated DPRK Energy Sector Analysis. In the process of discussions, the experts in attendance helped to further develop and elaborate-as well as providing input on the prospects for-the activities and means by which the various parties concerned with Korean peninsula affairs might engage and work with the DPRK to help resolve both the DPRK’s energy problems, and, in so doing, begin to address and ameliorate the regional and global insecurities of which the DPRK’s energy problems are a key part. In particular, through the focus of the second day of the meeting on Building Energy Efficiency, progress was made on consideration of possible benefits from and approaches to improving the effectiveness of energy use in the crucial DPRK buildings sector.
The Second DPRK Energy Experts Study Group Meeting convened by Nautilus and its partners will was attended by experts in a variety of areas related to energy supply and demand in the DPRK-including electricity, coal and other minerals, the DPRK economy as a whole, trade into and from the DPRK, and the DPRK’s rural household and agricultural sectors, and energy use in buildings in general in the DPRK and elsewhere (the primary topic of the second day of the Meeting)-to review and discuss the results of existing and newly-commissioned research, and to provide insights from their own experience and their own research. A total of approximately 15 experts on the DPRK and on matters related to DPRK issues attended the Meeting, not including an additional 15 experts, representatives from the organizations partnering to fund and organize the meeting (Nautilus, Tsinghua University, USDOE), including observers from bilateral aid agencies associated with a number of countries, from international organizations, from the business sector, and others, who also lent their expertise to the workshop. On the second day of the workshop, supported by funding from a private foundation, a five-member delegation from the DPRK also attended the meeting, providing presentations and insights of their own on energy use in DPRK buildings, and on related energy sector problems and plans in the DPRK.
Presentations:
Presentation: North Korea’s Mineral Resources and Inter-Korean Cooperation
By Woo-jin Chung
Presentation: Nautilus Institute’s Analysis of the DPRK Energy Sector and DPRK Energy Paths: Update
By David von Hippel
Presentation: Analysis on DPRK Power Sector Data & Interconnection Option
By Yoon Jae-young
Presentation: DPRK Energy and Energy-Related Trade with China: Trends Since 2005
By Nate Aden
Posted in Coal, Copper, Dams/hydro, Electricity, Energy, Environmental protection, Forestry, Gasoline, Gold, Graphite, Iron Ore, Lumber, Mining/Minerals, Natural Gas, Nuclear, Oil, Wind | Comments Closed
Wednesday, April 16th, 2008
UPDATE: Yonhap reports that the food shortage was also discussed at the cabinet meeting:
North Korea has recently convened a Cabinet meeting to discuss food shortages, China’s Xinhua News Agency said Sunday, as international concerns grow over the North’s economic woes.
The North’s Cabinet recently held an enlarged session and decided to address the chronic shortages of food and consumer goods, the news agency said, citing a recent edition of the cabinet daily Minju Joson.
DPRK budget expenditures grow 2.5% this year
Institute for Far Eastern Studies (IFES)
NK Brief No. 08-4-16-1
4/16/2008
On May 9, the sixth round of North Korea’s 11th Supreme People’s Assembly opened, at which this year’s budget expenditures were announced to be 2.5% greater than last year. It was also reported at the assembly that the Cabinet would pursue a new 5-year plan to develop the nation’s science and technology sector by 2012.
Despite officially holding a seat on the Assembly, General Secretary Kim Jong Il did not attend this year’s assembly meeting. In addition, there was no mention during the assembly of inter-Korean, U.S.-DPRK or other foreign relations.
Cabinet Deputy Prime Minister Roh Doo-chul announced this year’s budget, stating that “this year, in order to strengthen national defense, and while building strength, to decisively advance the people’s economy and existing industry as well as improve the lives of the people, the national budget expenditure plan will be expanded to 102.5% of last year.”
According to this statement, this year’s budget is estimated to be 451.5 trillion won (3.2 billion USD). An estimated 15.8%, or 71.3 billion won (510 million USD), is slated for national defense. Last year’s national defense budget was 15.7%, or 69.2 billion won (490 million USD), of the national budget.
North Korea has also decided to increase budget allocations for energy, coal, and metal industries as well as the railway sector by 49.8% as compared to 2007, and will focus investments on staple industries. In the past, the North had stressed the importance of the ‘four main sectors’ of improvement in the people’s economy, including energy, but this year the government will actually focus investment on these sectors.
Cabinet Prime Minister Kim Young-il stated, “From this year until 2012, we will proceed forward with a new 5-year plan for the development of national science and technology…As we systematically increase national investment in this sector, we will raise the sense of responsibility and the role of technicians and raise the level of science and technology development as quickly as possible.”
In 2012, North Korea will celebrate the 100th anniversary of the birth of national founder Kim Il-sung, and has set a goal of constructing an economically powerful nation by that year.
Read the Yonhap story here:
N.K. discusses food shortage in Cabinet meeting
Yonhap
4/20/2008
Posted in 2012 Strong and Prosperous Nation (Kangsong Taeguk), Cabinet, Coal, Energy, Fiscal & monetary policy, Military, Railways, Supreme Peoples Assembly | Comments Closed
Monday, April 14th, 2008
From Yonhap:
A North Korea-registered cargo ship carrying coal arrived in South Korea’s port city of Ulsan Sunday amid increased cross-border tensions, according to maritime police.
The 2,496-ton freighter Changseong carrying a 29-member crew docked at the port, South Gyeongsang province, around 10:20 a.m. earlier in the day.
The ship carried 4,000 tons of coal, the first batch of 12,000 tons to be delivered by April 25, the police said.
And how much are they paying? IFES has the answer…
North Korea, in keeping with rising international coal prices, appears to have hiked up the export price of heating briquettes twice in the last three months. A North Korea insider in Shenyang, China recently reported, “North Korea’s Trade Bureau Price Control Division raised export prices at least twice as this month came around, so the export price soared up to 50 USD per ton,” and, “As the rising international coal price trend continues, there is a high probability that North Korean heating briquette prices will also rise further.”
Last year, North Korean heating briquettes were exported at 30 USD per ton, but as 2008 rolled around and international prices suddenly shot up, DPRK coal prices rose by over 50 percent, putting a significant burden on Chinese importers. However, Chinese importers still prefer DPRK briquettes as shipping costs from alternatives such as Vietnam or Indonesia still make North Korean imports relatively inexpensive.
It has been reported that the DPRK Trade Bureau has approved the export of briquettes to China at below-official prices of 44~45 USD per ton in cases in which there is Chinese capital or equipment has been invested in the coal mine. These charcoal briquettes are North Korea’s largest export item, with China importing 170 million USD-worth in 2007 alone.
So if South Korea was lucky enough to get China’s price (an assumption that might not be the case): 12,000 tons (by April 25) x USD$50/ton= $600,000
Read the full articles here:
N. Korean cargo ship visits Ulsan
Yonhap
4/13/2008
DPRK coal briquet export prices jump this year
Institute for Far Eastern Studies (IFES)
(NK Brief No. 08-4-10-1)
2008-04-10
Posted in Coal, Energy, Institute for Far Eastern Studies, International trade, South Korea | 1 Comment »
Monday, March 3rd, 2008
Institute for Far Eastern Studies (IFES)
NK Brief No. 08-3-3-1
3/3/2008
In the latest issue (February 3rd) of the DPRK Cabinet bulletin, “Democratic Chosun”, it was reported that the first extended cabinet meeting of the year opened in the beginning of February, with Premier Kim Young-il presiding. The bulletin stated that the issue of accomplishing this year’s economic plans was discussed.
At the meeting, Vice Premier Kwak Bum-ki stressed that accomplishing this year’s economic goals was “essential for opening the doors to a breakthrough for building an economically strong nation,” and that it was the “fundamental task laid out before the Cabinet.” He went on to reveal the tasks and directives needed to revitalize all realms of socialist construction, which he stated was necessary to create a powerful and prosperous nation by 2012, the centennial anniversary of the birth of the late Kim Il Sung.
In particular, he called for the production of the “lifeline of socialist construction”, and specifically, electricity, coal, metal, and railways, which he referred to as the “four lines for the advance of the people’s economy.”
Accordingly, the goal of carrying out overwhelming repairs to power generation facilities, and at the same time constructing new power plants in order to increase electrical production capabilities by several hundred thousand kilowatts, was proposed.
The meeting also stressed the need for concentrating efforts on geological exploration and exploitation industries in order to reasonably development and use natural resources, for a change in production of goods necessary for daily life, and for a resolution to the people’s ‘eating problem’ alluded to in the recent New Year’s Joint Editorial.
The bulletin also reported that there was discussion on creating a new five-year plan for the development of science and technology, going as far as to say, ”the role of science and technology in the building of an economically powerful nation is decidedly large, and in order to answer the very real calls for development, [the issue of] strengthening international economic projects” was brought up.
Premier Kim Young-il, Vice-Premier Kwak Bum-ki, Chairman Kim Kwang-rin, of the Committee on National Planning, Park Nam-jil, of the Power Supply Industry Bureau, and Kim Yong-sam, from the Railways Bureau, were among cabinet ministers present.
Posted in 2012 Strong and Prosperous Nation (Kangsong Taeguk), Cabinet, Coal, Domestic publication, Electricity, Energy, Light Industry, Manufacturing, Mining/Minerals, Political economy, Railways, Songun | Comments Closed
Friday, December 14th, 2007
The most authoritative map of North Korea on Google Earth
North Korea Uncovered v.7
Download it here
This map covers North Korea’s agriculture, aviation, cultural locations, manufacturing facilities, railroad, energy infrastructure, politics, sports venues, military establishments, religious facilities, leisure destinations, and national parks. It is continually expanding and undergoing revisions. This is the sixth version.
Additions to the latest version of “North Korea Uncovered” include: A Korean War folder featuring overlays of US attacks on the Sui Ho Dam, Yalu Bridge, and Nakwon Munitians Plant (before/after), plus other locations such as the Hoeryong Revolutionary Site, Ponghwa Revolutionary Site, Taechon reactor (overlay), Pyongyang Railway Museum, Kwangmyong Salt Works, Woljong Temple, Sansong Revolutionary Site, Jongbansan Fort and park, Jangsan Cape, Yongbyon House of Culture, Chongsokjong, Lake Yonpung, Nortern Limit Line (NLL), Sinuiju Old Fort Walls, Pyongyang open air market, and confirmed Pyongyang Intranet nodes.
Disclaimer: I cannot vouch for the authenticity of many locations since I have not seen or been to them, but great efforts have been made to check for authenticity. These efforts include pouring over books, maps, conducting interviews, and keeping up with other peoples’ discoveries. In many cases, I have posted sources, though not for all. This is a thorough compilation of lots of material, but I will leave it up to the reader to make up their own minds as to what they see. I cannot catch everything and I welcome contributions.
Posted in Architecture, Art, Automobiles, Aviation, Cell phones, Civil society, Coal, Committee for Cultural Relations with Foreign Countries, Communications, Computing/IT, Construction, Dams/hydro, Department Store No. 1, Education, Electricity, Email, Energy, Film, Finance, Football (soccer), Forestry, Gambling, General markets (FMR: Farmers Market), Golf, Google Earth, Hana Electronics Company, Health care, Hoteling, Hwanggumphyong and Wihwado Economic Zones (Sinuiju), Hyesan Youth Cooper Mine, International Aid, Internet, Intranet, Juche, Kaesong Industrial Complex (KIC), Kim Chaek University of Technology, Kim Il Sung University, Korea Computer Center (KCC), Korean Buddhist Association, Korean People's Army, Light Industry, Lumber, Mansudae creative Company (art studio), Manufacturing, Mass games, Maternity Hospital, Military, Mining/Minerals, Ministry of foreign Affairs, Ministry of Foreign Trade, Mt. Kumgang Tourist Special Zone, Musan Mine, Nuclear, Pyongyang Embroidery Institute, Pyongyang Film Studio, Pyongyang Informatics Center (PIC), Pyongyang International Information Center of New Techn, Pyongyang International Trade Fair, Pyongyang Metro, Pyongyang University of Medicine, Radio, Railways, Rason Economic and Trade Zone (Rajin-Sonbong), Real estate, Religion, Restaurants, Sea shipping, Sports, Television, Transportation, Wind | Comments Closed
Monday, November 26th, 2007
Daily NK
Lee Sung Jin
11/26/2007
An insider North Korean source said in a phone conversation on the 22nd, “With long-term suspension of exports for the break in China’s investment in North Korea’s iron ore production, the lives of citizens and the Musan Mine laborers have become extremely difficult. There have been talks that this might be the 2nd March of Tribulation (Mass starvation period in the 1990s).”
The South Korean Chamber of Commerce and Industry released a report, the “North Korean Underground Resource Joint Development Strategy” on the 21th saying that China has cleared with a clean stroke North Korean minerals, Musan Mines being a representative example.
The report introduced the contract which gave 50-years-mining rights to the Musan Mine in North Hamkyung, which is North Korea’s best iron ore, for 70 hundred million Yuan (approximately DSD950 million) to China, which can take 10 million tons of iron ores from Musan every year for 50 years.
However, investment in Musan Mine, which was considered the China’s representative investment in North Korean underground resources, was ruptured due to the fact that opinions surrounding on the retrieval ways of shares and investment funds could not be narrowed down. Accordingly, Musan Mine laborers going through difficulty with the operation of the mine have fallen into a severe hardship in living.
The South Korean intelligence authorities confirmed the veracity of the breakdown in investment negotiation early June of this year.
North Hamkyung Province’s Musan Mine is a strip mine containing 30 hundred million tons of coal reserves, 13 hundred million tons of coals capable of digging and several hundred tons of steel concentrate, has offered these materials to the Kim Chaek and Sungjin Steel Mills, but with the unreliable operation of these mills, mining came to a halt in early 2000.
In 2005, the North Korean government closed an investment contract with the Chinese Tonghua Steel Group Consortium and China’s investment in Musan Mine began the fall of that year. As the exports of iron ore started, the North Korean authorities resumed the provision system to mine laborers and their families.
With the influx of many goods including food, gasoline, and construction materials as a reward for exporting iron ore to China, the lives of citizens in Musan have stabilized in these last two years.
However, the volume of production was known to have rapidly decreased with the cease in iron goods export to China and the rupture in joint investment with China.
The source said, “With the cease in iron ore exports to China, provision to the miners have ceased, which has incurred significant damage. We are in the ‘March of Tribulation’ again. When we are barely able to get by, something else occurs.”
The source introduced the current situation of withdrawal for Musan Mine laborers, “With only 500 thousand won (approximately USD 152), a person can get out of mining. It takes 100,000 won at the mina labor department and another 100,000 won to receive a diagnosis at mine hospitals and about 300,000 won to receive approval from the Safety Agency and the county labor department leaders as bribes. The despair of people are so heavy that people hope to come out of mining, even with the granting of provisions.”
Posted in China, Coal, International trade, Mining/Minerals | Comments Closed