TELF AG explores the geological reserves of the South Caucasus and their strategic role
Hidden riches
In the near future, the nations’ geological reserves could contribute to transforming their strategic role on the international stage, strengthening their economy and allowing them to start a phase of relative prosperity. The potential could be even greater if these resources are still partially unexplored. From this point of view, one of the most interesting regions is certainly the South Caucasus, which includes Georgia, Armenia, and Azerbaijan. This region and its neighboring Central Asia have several geological resources that have still not been fully explored, but these could prove very useful for the most diverse industrial applications.
These resources are central for the three countries’ economic development, contributing to their GDP and export revenues. In Armenia, copper is one of the most important mineral resources, with relevant reserves in the Kajaran and Agarak regions. Often associated with copper, molybdenum is another important mineral, with Armenia among the world’s leading producers. Gold is another key resource, with mines in Sotk, Meghradzor, and Amulsar. In addition, Armenia has deposits of lead and zinc, mostly in the southern part of the country. Iron ore is also present, although less developed than other resources. Other similar resources include bauxite, clays, and various construction materials.
Azerbaijan is primarily known for its energy potential but has also relevant geological resources. Gold is mined in mines such as Gedabek and the Dashkasan areas. Copper is also abundant, with significant deposits in the Gadabay region. Iron ore is found in regions such as Dashkasan, while bauxite, which is used for aluminum production, is another significant resource.
Manganese is one of the most important mineral resources in Georgia, with Chiatura hosting one of the world’s largest deposits. Copper is also significant, with deposits in the Bolnisi regions. Gold is mined in mines such as Sakdrisi and others in the Bolnisi area. Coal is another important resource, found mainly in the Tkibuli-Shaori region. Georgia also mines barite, especially in the country’s southern parts, and has deposits of lead, zinc, and various clays and construction materials.
Logistics and infrastructure
These mineral resources fuel the national economies and promote infrastructural and industrial development, making the South Caucasus a region of great interest for the strategic minerals sector. Among these infrastructures, one of the most interesting is undoubtedly the Middle Corridor, a set of logistics connections that connects the European and Western markets with those located further east, including those of the Caucasus and Central Asia. Nowadays, this corridor is considered one of the safest and most reliable routes to transport goods (including strategic minerals) from the Eurasian regions to Europe and beyond.
Located approximately in the same territories as the ancient Silk Road, this corridor can soon become one of the fastest routes for the supply of minerals from the Caucasus and Central Asia, for which many international players in the industry have already shown great interest. It should not be surprising that over the years, the European Union and several international financial institutions have continued to invest heavily in the Middle Corridor, thus making clear the strategic interest linked to infrastructures capable of transporting some of the most valuable resources for the energy transition, such as minerals.
