The issue of mineral deposits plays an important role for steel production. As steel products market demand increases, the price of iron ore and other mining material related to steel production increases. The Islamic Republic of Iran is among the ten leading countries holding the largest mineral deposits with the exploration of 100 million tons of 60 different minerals. Iran presently has over 2,700 mines. Due to industrialization of the mining sector, 90% are being run by the private sector, with only 5% controlled by the state, and the remaining by other foundations and municipalities.
According to estimates, Iran's largest mines are iron ore with deposits of 4.7 billion tons, 0.8% pure copper with 2.6 billion tons, and 2 billion tons of coal stone. Other mining products (i.e., limestone, flourine, etc.) which contribute to the steel production are readily available. Some of the iron ore mines are indicated as below:
As a country with rich mining potentials, Iran has been capable of improving the quality of its mineral production for domestic and export purposes and boosting its share in the world economy through the use of global technology, and its domestic technical and scientific know-how.
One of the best incentive for investment of foreign companies in Iranian steel industries, is the domestic price of the mine related products which are directly used in steel production. These products are much lower than the world standard price quota.