Shao Xu: We must forge a path of reform and development for the geological exploration team that is uniquely tailored to its characteristics.
Release time:
2015-05-20
Source:
2015 The year is to be fully completed. “ The 12th Five-Year Plan ” The year marking the conclusion of the planning period is also the first year for China to comprehensively deepen reform. Industry insiders said, 2014 Since the beginning of this year, the situation facing the reform and development of China’s geological exploration teams has not only failed to improve significantly but has also encountered challenges that can be described as unprecedented. In response to the new normal in geological exploration and the various phenomena emerging from it, how should geological exploration units confront and resolve these contradictions, adapt to the new situation, and achieve sustainable development? Recently, a reporter from China Mining News interviewed Shao Xu, Director of the Fujian Provincial Bureau of Geology and Mineral Resources, to explore these questions.
“ Under the new normal, the geological exploration teams face an even more challenging situation. ” Shao Xu believes that this is primarily reflected in the following three aspects: First, the mining industry’s economic development remains in a downturn, and investment in mineral exploration continues to cool down. Since the outbreak of the global financial crisis, the global economic situation has become increasingly complex and volatile. Developed countries have experienced a slow economic recovery, emerging developed countries face growing developmental pressures, and China’s economy has come under increasing downward pressure. As a result, the economy has entered a “new normal,” leading to changes in the supply-demand relationship for mineral products. Prices of bulk minerals such as iron ore have entered a downward trend, and the mining economy... “ Golden Age ” No longer. We’re entering a period of adjustment. Due to the sluggish mining economy, investors are becoming more cautious about investing in mineral exploration—especially when it comes to minerals that are already oversupplied on the market. Not only have domestic prices for iron ore and copper nearly reached cost levels, but gold prices have also been steadily declining. As a result, many gold producers, both domestically and internationally, are experiencing shrinking profits or even losses. Well-known gold companies such as Yamana Gold, Kinross, Canadian Gold, and Barrick are all feeling the impact. 2014 Annual losses are all... 85 Over 100 million yuan, with gold giant Barrick posting losses nearing that amount. 180 Hundred million yuan. Mining industry “ Cold winter ” This has led to a significant reduction in investment in mineral exploration. Last year, global geological exploration investments decreased compared to... 2012 With a nearly 50% year-on-year reduction, China’s investment in geological exploration has declined. 15% According to statistics from the relevant authorities, Fujian Province has seen an even more pronounced decline in social capital investment in mineral exploration. 2014 Annual funding for socio-geological surveys has declined to 49.9% , than 2013 Year-on-year decline 14 percentage point.
Second, the ongoing advancement of ecological civilization construction has placed higher demands on geological work. Ecological civilization construction has been incorporated into... “ Five-in-one ” From the national to the local level, emphasis has been further placed on ecological civilization construction. Fujian Province was among the first to launch the construction of an ecological province. 2004 Year 11 The “Overall Planning Outline for the Construction of Fujian Ecological Province” was released that month, marking the full-scale launch of ecological province construction. 2014 Year 4 In the month, the State Council issued the “Several Opinions on Supporting Fujian Province in Deeply Implementing the Ecological Province Strategy and Accelerating the Construction of a Pilot Demonstration Zone for Ecological Civilization.” The policy measures concerning resources and the environment that were introduced set forth specific requirements for geological exploration units across the province engaged in the exploration and development of mineral resources. “ Threshold ” The standards are becoming increasingly stringent. The "Opinions" issued by the State Council explicitly state: delineate ecological protection redlines, strengthen effective protection of key ecological function zones, ecologically sensitive areas, and ecologically fragile regions, and specifically include the Wuyi Mountains. - The ecological functional zone centered on the Daimao Mountain Range has been designated as a key national ecological functional zone subject to strict restrictions on development. The vast majority of the above-mentioned areas under development restrictions or outright prohibition overlap with Fujian Province’s major mineralization belts, making geological exploration and mineral prospecting in these regions increasingly challenging in the future. With the intensified construction of an ecological civilization, the approval process for exploration and mining rights has become even more stringent, and environmental protection oversight has been tightened further. As a result, apart from continuing focused exploration efforts in already identified key mining areas, geological work can now only involve basic activities such as regional geological surveys and mineral resource assessments.
Third, competition in the geological exploration industry is intensifying, and geological exploration teams are facing survival and development challenges. Precisely because of these two factors, the geological exploration business has recently experienced a significant contraction, leading to a severe oversupply of geological prospecting personnel. In the central and eastern regions, ecological and environmental constraints have limited the scope for mineral exploration; in the western provinces—major mining regions—ecological conditions and social stability have significantly slowed down exploration efforts, leaving more than half of the nation’s geological survey teams with severely insufficient exploration assignments. For example... 2014 Year 5 Moon Xinjiang 46 District-level and mine surveying projects are open for public bidding nationwide. 148 The geological exploration unit participates in the bidding (submits a bid). 405 portion), from other provinces 125 The domestic geological exploration unit was the sole bidder. 13 The intensity of competition for this project is evident.
“ Taking Fujian Province as an example, geological exploration teams have already—and will continue to—achieve a transformation in development mode and structural adjustment by accurately grasping the new normal, proactively adapting to it, and actively leading the way forward. This will enable them to forge a path of reform and development for geological exploration teams that is uniquely characteristic of Fujian. ” Shao Xu stated that China's economic development has entered a new normal, prompting profound changes in geological work—and other industries—that serve as the foundational and leading sectors for national economic and social development, and these changes are having far-reaching impacts.
Shao Xu introduced that, under the new normal, the Fujian Bureau of Geology and Mineral Resources is exploring new approaches to the reform and development of its geological exploration teams in the following three areas.
First, we must shift from emphasizing diversified operations to focusing more on our core business. In line with the new normal of China’s economic development, the structure of the geological and mining industry needs to strike a balance between the development of our core geological business and that of our supporting industries. Currently, the Fujian Provincial Bureau of Geology and Mining has a diverse portfolio of businesses, including mineral geology, broad-spectrum geology (including surveying, mapping, and remote sensing), mining development, engineering investigation, engineering construction, and diversified operations. Throughout the development of the geological and mining economy, we have experienced... “ Highlight the core business, return to the core business, and strengthen the core business. ”、 “ Expand the core business, innovate the core business, and enhance the core business. ” In the course of this process, the core geological business has been strengthened and expanded, giving rise to three major core businesses: mineral geology, marine geology, and broad-spectrum geology. However, in actual development, these three core businesses have largely coexisted alongside other industries, with some sectors even overshadowing the core businesses themselves. “ Windward ” From the perspective of the provincial government’s mandate to the Fujian Provincial Bureau of Geology and Mineral Resources to fulfill its public-service functions and responsibilities, we must place even greater emphasis on broad-spectrum geology, marine geology, and mineral geology in the context of multi-sectoral joint development. This is because broad-spectrum geology represents the only viable path—both for survival and for future growth—for the Fujian Provincial Bureau of Geology and Mineral Resources, both now and in the years ahead; marine geology constitutes a new emerging growth engine and holds significant potential for the Bureau’s future development; and mineral geology is the very foundation upon which the Bureau was established. “ Ballast stone ” These three major... “ Geological Core Business ” It embodies the primary functions and responsibilities of the Fujian Provincial Bureau of Geology and Mineral Resources, and its position is irreplaceable by other industries. Only by further highlighting the three major components within the geology and mineral resources industrial structure can its role be more effectively emphasized. “ Geological Core Business ” Only then can we provide effective geological services and technical support for Fujian Province’s scientific and leapfrog development, and only then can we play a more proactive and prominent role in building a new Fujian that boasts vibrant institutions, superior industries, prosperous people, and a beautiful ecological environment. “ Geological auxiliary industry ” (Engineering surveying, remote sensing and mapping, mining development) and “ Other ancillary businesses ” Then play and perform well. “ Supporting role ” , supports the three major “ Geological Core Business ” To forge a distinctive path of mutually reinforcing and healthy development for the geological and mining industries, the Fujian Provincial Bureau of Geology and Mineral Resources will pool the collective wisdom and strength of the entire bureau and focus on broad-spectrum geology, marine geology, and mineral geology.
Second, we must shift our focus from emphasizing economic benefits to placing greater importance on social benefits and public welfare outcomes. In the past, geological exploration teams, in their quest for survival and development, pursued maximum economic gains by engaging in commercial geological and mining activities, engineering surveys and construction, and diversified operations. This approach effectively strengthened the financial foundations of geological exploration units, enhanced their overall strength, and boosted their development potential. However, relatively speaking, they paid less attention to social benefits and public welfare outcomes. With the implementation of the institutional classification reform, whether it’s a first-category public welfare institution or a second-category public welfare institution, the geological and mineral work undertaken must be consistent with their status as public welfare institutions. In other words, when carrying out geological and mineral work, the primary consideration should no longer be whether the project is economically profitable, but rather whether it can effectively fulfill its functional role and provide better geological services and technical support for Fujian Province’s economic and social development as well as ecological civilization building. When the economic benefits of a particular project or task conflict with its social benefits and public welfare outcomes, we must prioritize social benefits and public welfare outcomes above all else. The successful assistance provided by the Fujian Provincial Bureau of Geology and Mineral Resources to Shouning serves as a prime example. Moving forward, the Fujian Provincial Bureau of Geology and Mineral Resources will place even greater emphasis on public welfare outcomes and social benefits in the broad fields of general geology, marine geology, and mineral geology.
Third, we must shift our focus from emphasizing growth rate to placing greater importance on the quality of development. In adapting to the new normal of economic development, it is essential for the geological and mining economy to strike a proper balance between growth rate and development quality. Maintaining a steady growth rate—avoiding sharp ups and downs—and sustaining a momentum of stable development are critical requirements for the sustainable development of the geological and mining sector. At present, the geological and mining economy faces a complex and intricate external environment. Given the current state of geological and mining economic development and considering that the Fujian Provincial Government does not impose specific economic performance targets on the Fujian Provincial Bureau of Geology and Mining, the development of the geological and mining economy should, while adjusting its speed rather than its direction, accelerate the transformation of its development model, place even greater emphasis on the quality of development, further adjust and optimize the industrial structure of the geological and mining economy, enhance the geological and technical support capacity of the core geological business in serving economic and social development, strengthen the innovation capabilities, core competitiveness, and ability to support the core business of auxiliary industries, and improve the overall capacity for sustainable development of the geological and mining economy, thereby ensuring its continued, healthy, and robust growth.
“ Fujian Provincial Bureau of Geology and Mineral Resources from 2014 Starting from the second half of the year, we gradually explored and developed... ‘ Strengthen and expand the core business, regulate auxiliary businesses in accordance with the law, and focus on strengthening Party building. ’ the overall working approach, and conduct top-level design for mineral geology, marine geology, broad-spectrum geology, and ancillary business development, so as to better promote the sustained development of Fujian’s geological and mining sector under the new normal. ” Shao Xu introduced that this year, the Fujian Provincial Bureau of Geology and Mineral Resources has once again rolled out measures aimed at enhancing the core geological functions, improving the competence of performing duties, strengthening the competitiveness of supporting industries, and perfecting various management and support systems, thereby promoting the reform and development of geological and mineral work under the new normal.
First, we will innovate and expand the scope of geology in a broad sense, and build a support system for comprehensive geological services. The Fujian Provincial Bureau of Geology and Mineral Resources adheres to the principle of... “ Visible, usable, and scalable ” In response to these requirements, we will proactively engage with local governments as well as departments such as land and resources, agriculture, and environmental protection. We will leverage the province’s special fiscal funds for broad-scope geology to guide new demands in broad-scope geology, explore new areas and content for broad-scope geological services, and extend the service chain for broad-scope geology. This year, several key initiatives include: advancing ecological geochemical assessments of land quality and ensuring high-quality land management. “ Medical examination ” Work to achieve province-wide coverage; promote geological surveys in large and medium-sized cities, and ensure high-quality urban development. “CT” Work to promote geological exploration and development, accelerate the preparation of a special provincial plan for geothermal resource development, strengthen the investigation and evaluation of mid-to-deep geothermal resources, and assist in the exploration of enhanced geothermal systems (EGS) in Zhangzhou. Speed up the construction of Fujian Province’s Key Laboratory for Geological Hazard Prevention and Control, and strive to obtain accreditation from the Ministry of Natural Resources in the first half of the year. Implement effectively the investigation and evaluation of groundwater resources on water-scarce islands and high-quality mineral spring sources in key ecological function zones; carry out thorough surveys of mine ecological environments and important geological heritage sites across the province. Relying on currently ongoing projects, make every effort to generate new projects, large-scale projects, and follow-up projects, establishing a rolling development mechanism and building a comprehensive geological service system that supports natural resource management.
Second, we should support and foster the growth potential of marine geology and cultivate new drivers of economic growth. We must seize the opportunity presented by Fujian Province’s implementation of... “ Maritime Power Province Strategy ” Supporting Fujian Province’s development with the Ministry of Natural Resources and the China Geological Survey. “ Blue Ocean Economic Experimental Zone ” seize the opportunity and, through various forms of cooperation with relevant institutes, bureaus, research centers, and universities affiliated with the China Geological Survey, continue to advance basic marine geological work. Strive to secure greater allocation of special funds for marine geology from Fujian Province specifically for the exploration and development of marine mineral resources, enhance the capacity of related geological survey units to undertake marine geological tasks, and turn marine geology into a new pathway for the Fujian Provincial Bureau of Geology and Mineral Resources to support economic and social development, thereby fostering it as a new engine for economic growth. This year, we will focus on advancing... 1 ∶ 25 Conduct comprehensive geological surveys of the Wanhai area and successfully implement the Pinghai project in Fujian. - Environmental and Geological Survey and Assessment of the Nanri Island Sea Area, etc. 5 An oceanographic geological project, striving to launch. 1 ∶ 5 Comprehensive Geological Survey Project for Coastal Zones and Islands.
Third, we will consolidate and enhance the geological exploration space for mineral resources, and develop an upgraded version of geological prospecting. We will make good use of Fujian Province’s policies supporting public-interest and foundational geological work as well as the strategic initiative to achieve breakthroughs in mineral exploration. Leveraging the cooperation agreement between the Ministry and the province, and the platform provided by the China Geological Survey’s Taiwan Strait Geological Research Center, we will strive to secure more projects in both basic and mineral geology. We will also proactively forge alliances and collaborate with private enterprises and major corporations within the province to carry out commercial mineral exploration activities. “ Go out. ” Pave a new path for mineral geology with distinctive features. This year, we will focus on the successful implementation of key geological exploration projects, identifying and submitting two large-scale mineral deposits and a batch of medium-sized ones. Among these, the gold deposit in the Hebaoshan mining area of Taining is expected to secure gold resources exceeding... 30 Ton; prioritize the exploration of steatite (Shoushan stone) deposits for carving, and strive to achieve a number of significant findings; actively seek the establishment of a new integrated exploration area for the Dongyang Gold Mine in Dehua, and advance Fujian Province’s second-phase strategic action for breakthroughs in mineral exploration.