PESHAWAR: Khyber Pakhtunkhwa Governor Faisal Karim Kundi has ordered an immediate suspension of gold mining operations throughout the province and announced the cancellation of all existing mining leases, alleging large-scale illegal extraction, links between operators and militant groups, and substantial financial losses to the national exchequer.
Speaking at a press conference on Saturday about gold mining regulations and action against illegal activities, Kundi said around 90 kilogrammes of gold were being extracted every month from two mining blocks in Kohat.
He estimated that illegal mining was generating between Rs4.2 billion and Rs4.92 billion monthly, claiming that nearly 80 per cent of the extracted gold was being smuggled into Afghanistan.
The governor said the provincial government would take control of mineral resources through a transparent legal framework and warned that those involved in unauthorised mining would face strict action.
Gold mining operations halted across KP
Announcing the immediate suspension, Kundi said all existing gold mining leases in the province would be cancelled and directed contractors to remove their heavy machinery from mining sites within seven days.
He warned that machinery left behind after the deadline would not be returned once enforcement operations commenced.
The governor said a comprehensive regulatory framework would be developed within two to three weeks, after which mining activities could resume under a properly monitored system.
Highlighting the scale of mining operations in Kohat, he said thousands of heavy vehicles and machines were being used across two blocks.
Figures presented by the governor showed that the operations involved 8,350 tractors, 3,660 excavators and 1,600 dumpers.
He added that between 49,000 and 51,000 workers were engaged in mining activities in the area, while illegal extraction was generating approximately Rs4.92 billion every month.
Kundi further alleged that around 80 per cent of the proceeds from illegal mining were reaching Afghanistan.
He claimed that members of Fitna al-Khawarij were collecting weekly extortion payments from mining operators, with local contractors allegedly paying up to Rs800,000 and non-local operators as much as Rs4 million.
The governor also disclosed that militants had attacked police personnel during enforcement operations against illegal mining.
Kundi announced the establishment of a special task force named after martyred DSP Haider Zaman to crack down on illegal mining. The proposed force will comprise officials from relevant institutions, the Mines and Minerals Department and district administrations.
He also revealed that a judicial commission, headed by a serving High Court judge, would be constituted next week to investigate illegal mining and determine responsibility for irregularities.
The commission will examine the issuance of mining licences, with the governor alleging that several permits had been granted without proper scrutiny.
He warned that those found involved in unauthorised extraction would face legal proceedings and said cases would be registered against individuals operating without valid leases.
Criticising the existing enforcement measures, Kundi said magistrates had been imposing fines of only Rs28,000 to Rs30,000 on illegal miners. He said penalties would now be increased to hundreds of thousands of rupees.
Governor alleges political figures’ involvement in illegal mining
During the briefing, the governor also identified several political figures whom he accused of being involved in or supporting illegal mining operations.
Those named included PTI leaders Aftab Alam, Shehryar Afridi, Khurram Zeeshan and Sajid Iqbal.
He also mentioned Ehsan, Amjad Afridi, JUI-F’s Seth Gohar Saifullah and Naseer Afridi, as well as Naveed, brother of former chief minister Sohail Afridi.
Other individuals named included Azhar Bukhari, Nazir Afridi, Nasir Qureshi, Naeem and Faheem, along with people allegedly associated with the Zarmeen Khan group.
Kundi further alleged that illegal mining operators maintained links with militant organisations, reiterating that attacks on police personnel would not be tolerated.
Questioning the terms of mining agreements, he asked how a 10-year lease involving gold reserves worth billions of rupees could be awarded for Rs4.92 billion, describing the arrangement as a serious loss to the country’s mineral wealth.
