Mapping Exercise for the Extractive Industries

108
1 REPORT COMPILATION OF THE MAPVISUALIZATION MAP FOR THE EXTRACTIVE INDUSTRIES December, 2015

Transcript of Mapping Exercise for the Extractive Industries

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REPORT

COMPILATION OF THE

MAPVISUALIZATION MAP FOR

THE EXTRACTIVE INDUSTRIES

December, 2015

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TABLE OF CONTENTS

GLOSSARY .............................................................................................................................................. 3

1. EXECUTIVE SUMMARY ......................................................................................................................... 4

2. PROJECT OBJECTIVES ........................................................................................................................... 6

3. SCOPE OF WORK ................................................................................................................................. 8

4. A BRIEF DESCRIPTION OF THE METHODOLOGY ..................................................................................... 9

4.1 EXTRACTIVE INDUSTRY ..................................................................................................................................... 9

5. THE GENERIC INDICATORS RESULTED BY THE COMPANIES REPORTS THAT OPERATE IN THE EXTRACTIVE

INDUSTRY .............................................................................................................................................. 11

5.1 ECONOMIC AND FINANCIAL INDICATORS ................................................................................................................ 12

5.2 BULQIZA MUNICIPALITY ........................................................................................................................................... 33

5.3 PATOS MUNICIPALITY .............................................................................................................................................. 51

5.4 FUSHE-ARREZ MUNICIPALITY ..................................................................................................................................... 58

5.5 HAS MUNICIPALITY .................................................................................................................................................. 60

5.6 PERRENJAS MUNICIPALITY ........................................................................................................................................ 62

5.7 PUKA MUNICIPALITY ................................................................................................................................................ 65

5.8 SELENICA MUNICIPALITY .......................................................................................................................................... 68

5.9 SKRAPAR MUNICIPALITY ........................................................................................................................................... 72

5.10 VAU I DEJES MUNICIPALITY ....................................................................................................................................... 75

5.11 LEGAL FRAMEWORK REFLECTION ............................................................................................................................... 80

6. SPECIFIC INDICATORS OF SOCIO-ECONOMIC IMPACT IN A PARTICULAR REGION .................................. 91

7. VISUALIZATION AND WEB SITE FUNCTIONALITY .................................................................................. 92

7.1 PROTOTYPE (WEB-MODEL)............................................................................................................................. 94

8. CONCLUSIONS .................................................................................................................................... 95

ANNEX 1. REFERENCES ........................................................................................................................... 96

ANNEX 2 – SURVEY FOR MUNICIPALITIES WHICH HAVE INVESTED IN THE MINING SECTOR. ..................... 97

ANNEX 3 – A WEB PAGE MODEL ........................................................................................................... 100

3.1 PAGE MODEL OF MUNICIPALITY ................................................................................................................. 100

3.2 PAGE MODEL – COMPANY ........................................................................................................................... 104

ANNEX 4 – REPORTING COMPANIES FORM ........................................................................................... 105

ANNEX 5 – SUMMARY OF SOURCES OF TABLES ..................................................................................... 106

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GLOSSARY

Abbreviations Explanation

INSTAT Statistical Institute

MEI Ministry of Energy and Industry

MF Ministry of Finance

EITI Albania Albanian EITI Secretariat

MSG Multi Stakeholder Group

AKBN National Agency of Natural Resources

SHGJSH Albanian Geological Service

ERE Energy Regulatory Authority

KESH Albanian Electro energetic Corporation

OSHEE Electricity Distribution Operator

DPT General Directorate of Taxation

DPD General Directorate of Customs

NJQV Local Government

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1. EXECUTIVE SUMMARY

One of the most strategically important sectors for Albanian economic development has been and remains

the sector of extraction and processing of oil, gas and mining, especially Chrome, copper, iron, nickel, etc., as

natural resources that are required ever more in global markets.Industrial and technology development with

higher rates,ongoing urbanization in many countries and regions,increased demand for energy and

industrial products,and the social demographic changes in many industrial and developing countries have

enabled a demand increase for the products of this sector and the need for greater transparency for the

activities and actions that occur in this industry.

The main objective of this report is the data collection and processing needed to build and operate an online

public information to recognize, use, analyze and evaluate data and economic indicators, social and legal of

extractive areas and the achieved objectives in order to initiate measures and concrete actions to further

progress in the areas of extractive industry.

This report is based on a methodology which first has identified the main sources of information from the

main institutionswho are engaged in the process of supervision and management of this sector and secondly

has selected those information products that have a significant role to the public, government, the

community of investors and local communities of the regions where the companies operate under license

for the extraction and processing of oil, gas and minerals.

Ongoing, the project seeks to process and make transparency of various indicators of an economic, financial,

technical, social, demographic and legal character thatthrough a combined methodology includes the data

information based on the central institutionswhich are directly associated with the collection, processing

and information distribution related to mining and hydrocarbon industries.In the report is also enabled a

synthesized presentation and graphic elements in connection with the collected data.

In the structure of these indicators are distinguished static given indicators for a certain period of time, for

example the year 2014 and dynamic data in time series for periods going over several years. Also, are

separated generic sector indicators, which represents the performance of the sector in the country and

specific indicators that show the local situation in particular regions where it is invested in this sector.

The combination of these indicators enables the analysis of variationbetween indicators and different

variables of information and comparability achievement within the sector and between the sector and other

sectors,or the sector in different countries and provides a sector overview to meet the program goals of

transparency for this sector.One of this project findings is the lack of a complete information

formathierarchically, which must have analytical parts suitable to be synthesized in synthetic indicators in a

static formfor a period of time and dynamic time series.

This product information is provided through tables and graphic system that peaks in the creation ofthe

sector information electronic mapping, which will become part of the Internet site of EITI Albania structure.

For each of the municipalities taken in consideration is realized even a general profile including data on

geography, population, data with economic, financial, technical and social character,for those municipalities

where such information can be collected. During the process it was found that the majority of municipalities

had not published data easily accessible and editable.

In order to create an information product, in report form or Web page, this report recommends the

following steps:

Creating a systematic and periodic system for data collection from businesses licensed to industry.

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Identification of all institutions that receive and collect data related to the mineral sector, oil and

hydropower.

Creation of a data processing unit to AlbEITI, which manages the process itself or coordinates the

work with state agencies, companies and licensed and active entities.

Standardization and preparation of generic tables in static and dynamic forms, the aggregate result

of tables generated by cumulative institutions. Preparation of specific maps.

Selection and grouping of aggregate tables by economic indicators, technical, socio-economic and

legislative.

Design and implementation of relevant tasks for building a web application that will enable the start

of the creation process of a site / application that enable the visualization of generic tables and

respective maps, as well as the connection and integration of the site and indicators identified and

analyzed with AlbEITI site.

Creation of a working protocolfor periodic and systematic management of the site and site

promotion in the community.

Continuous enrichment with new qualities, indexes and tables of the following periods for the

information on the Internet site.

The result of this project will be also the web site in which will be presented the Albania map with

interactive elements. On the map, the municipalities taken in consideration will be highlighted and can be

selected by users.The user will have the opportunity that after the municipality selection for which is

interested, to get information and after the election, he will be directed to another page in which will be

presented the main data analyzed for the selected municipality.

Some recommendations

The data identification process is very challenging,especially for data that will be generated by

municipalities, that are related with the impact on the community,efficiency of mineral, hydrocarbon and

hydropower exploitationtransparency of investments and contributions, community benefit from the

income generated from the use of extractive resources in the respective areas and nationally, growth of

municipalities responsibilityand governmental agencies associated with the extractive industry to collect and

process this information etc.

There are several indicators that are still in the process of systematic identification of their generation, such

as social indicators related to unemployment, poverty rate, or economic indicators relating to contributions

and investments, etc.

The process of data collection and information from the companiesshould be implemented through an

information management system,regulated by bylaws and programmed,evidenced and followed with

timelines, and to increase the rate of reporting obligation,obligation to be legally extended to state agencies

and private entities, but that require the combination of local government structures and INSTAT.

Responsible and systematic collection of standardized data, coupled with regulatory obligation and

supported by a management information system, enables the growth of information accuracy and

transparency.

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2. PROJECT OBJECTIVES

The government is fully aware of the transparency importance and good governance through accountability

and publicity indices of these sectors.

The task goals via methodology implementation, is a presentation of collected information and processed by

the contractor, for extractive industry areas, in format similar to that of Wikipedia, which is required to be

implemented. The training map has a dual purpose as follows:

To be recognized and understood the overall actions environmentand supporting data

technical-economic-social-legal inextractive industry areasin order to highlight the current

results and development prospect.It is also important to highlight the existing potential of

these areas or priority areas to intervene and the gaps to be filled in the followingfor

sustainable development.

To benefit from the copperation between state structures, civil society and stakeholders by

identifying opportunities to mobilize actions and taking measures in all areas and sectors to

overcome obstacles and accelerate their success.

The main objective of this service is the collection and necessary data processingto build and

operate an online public information to recognize, use, analyze, discuss, comment and evaluate

economic - social and legal data indicators ofextractive industry areas and the objectives achieved

in order to initiate concrete measures and actions to further progress in the areas of extractive

industry.

We propose the methodology and graphic appearance of data reflection for publication on the

web.

As part of the methodology used for the manner of presentation and publication of data on the

web, it is thought the presentation of data on a map, with a dynamic graphical interface.

On the web site will be presented graphically the Albanian mapin which they will highlight the

areas of interest, areas in which are conducted studiesand measurements of key indicators.Its

mapping operation will largely be explained in the following sections.

Allowing the users to obtain the necessary information through various indicators like population

and its density, qualification level, unemployment level, location and exploitation of minerals, oil

and gas, water resources etc.,active extractive industry entities and their licenses, extractive

reserves, government revenues and local government projects financed by domestic investors and

foreign donors,the contribution of the extractive industry and processing industry in the national

economy and local etc., can be understood and better use the relations between / and extractive

activities, the socio - economic data, legislation, etc.,which on the other side can facilitate

transparency, accountability and impact and help the improvement of the living standards in the

areas of extractive industry.

The process of issuing public information will be built on the basis of:

Collection of different technical, economic, legal and social indicators.

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Legislation in force reflection on extractive industry.

Indicators reflection nationwide and detailed by extractive industry areas.

Reflection of environmental protection problems and their solutions.

Indicators comments for the progress and the identified problems.

The current and future potential of extractive industry areas and the use of natural resources for

sustainable development.

Quality life improvement in the industry areas.

Etc..

As objective part is also the suggestion of publication methods and their use in existing web sites:

http://www.albeiti.org, after the completion of collection process,processing and presentation of

data in word, maps, graphics and other forms of statistical information.

The aim will be to integrate informationfrom various official state sources, civil societies, groups of

interest and communities or different individualsinvolved in broader issues of performance and

development of the extractive industry and communities benefit in these areas through the

ongoing transparency and accountability.

Collection, analysis and comments on this study of techno - economic and social – legal datain

extractive industry areas of current and future values, will be:

For Hydrocarbon areas (Patos Municipality).

For Mineral areas (Bulqizë Municipality, Fushë-Arrëz Municipality, Pukë Municipality, Has

Municipality, Skrapar Municipality, Përrenjas Municipality and Selenicë Municipality).

For hydropower areas (Vau Dejës Municipality).

To reflect a more complete informationfor the achievements recognition so far and ongoing, reflecting the

potential use of these areas. The indicators and achieved results will reflect the progress for a sustainable

development with positive effects on the level of life in the relevant areas and in the Albanian economy.

The purpose of the assignment is to collect, produce and submit for publication various technical data,

economic, legal and social,which will inform the general public, within and outside the country, different

individuals and entities concerned about the trend of indicators and in general for sustainable development

of these areas, reaching the objective of increasing the scope of the Albania EITI reports.

Consultant's report will be submitted to the Albanian EITI Secretariat and MSG becoming publicly available.

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3. SCOPE OF WORK

To Collect, review, analyze and comment on various indicators (nationwide and regional) as:

Technical indicators in years (ie as maps, licenses, the level of reserves, their use, the achieved quality,

location, type and quality of minerals, oil and gas, water resources, mineral and oil control, total investment

by companies and in particular for the production and the environment, for training, etc.).

Economic – financial indicatorsin years (iemacro - and microeconomic, budget, volume, production and

royalty payments collected and distributed in the respective areas, the number of companies in the area,

income tax, VAT, fines or tax penalties,dividends and tax profit, the number of insured at work, payments

made to local and central government by all companies registered in the respective areas,which currently

operate and generate income for the state budget,investments in general and detailed according to

economic branches, the income level of the area as a whole and by economic branches in total state

revenues and PBB or GDP, the level of employment in general and by economic branches, exports and

imports, the mineral price level of selling and process, the level of prices in the international exchange etc.).

Social indicatorsin years (ie:as the number of employees in the extractive industry according to the zones,

the level of unemployment, education, investments by sector in the respective areas,division by gender,

mortality in children, household consumption,the number of institutions of culture, art, sports, the import of

waste, poverty indicators in the area / region, the average salary, family income, an indicator of data or

issues raised by civil society, etc.).

Geographic and demographic indicators in years (ieas population and its density, the age groups of the

population, the number of employees, how many of them are women, how many of them are included in

youth group,births and natural supplements, urban solid waste and aggregates, soil erosion, etc.).

Legal framework reflection that regulates the extractive industry sector, hydropower, procedures, licensing,

registration, operation and activities of the extractive industries, including those in the financial, banking,

tax, customs etc.

Transparency of various indicators such as Mineral reserves, designation of active entities operating in the

area, social - economic indicators etc. through a combined methodology, which includes data information

based on the central institutions as:

Statistical Institute – INSTAT;

Ministry of Energy and Industry – MEI;

Ministry of Finance – MF;

Albanian EITI Secretariat – EITI Albania;

National Agency of Natural Resources – AKBN;

Albanian Geological Service – SHGJSH;

Energy Regulatory Authority – ERE;

Albanian Electroenergetic Corporation – KESH;

Electricity Distribution Operator – OSHEE;

General Directorate of Taxation – DPT;

General Directorate of Customs – DPD;

Local Government (NJQV).

The ultimate objective is to accumulate extensive information and the requested data by various indicators, understandable and comparable making them applicable to an existing Website.

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4. A BRIEF DESCRIPTION OF THE METHODOLOGY

Integrated data of hydrocarbon sectorare the analysis result of the main information sources in Albaniaas

well as global best practices that reflect the standards, principles and interests of the main actors and

company in general for the hydrocarbon sector development. Main sources as AKBN, INSTAT, SHGJSH, ERE,

INSTAT etc.and specific studies by the Authorized Agency are taken in particular into consideration.

The indicators are built on the basis of the format report submitted by the company that is the basic unit of

information and grouped in a regional, product and industry level.

The generic indicators are given in a static format for a reporting period or on a dynamic level or time series

over the years.

The indicators are built on the basis of a report format provided by the company that is the basic unit of

information and that is grouped in a regioal, product and industry level.

4.1 EXTRACTIVE INDUSTRY

Albania is a country rich in oil and mineral resources. Search - discovery, exploitation and processing of

these mineral resources, is an important component of our economy. Extractive industry for a long time has

been an important factor for economic development.

Extractive industry sector in Albania is represented by the oil industrial sector and the mining sector, the

latter mainly concentrated in the production of Chrome, copper, iron, nickel, bituminous and bitumen gravel

and minerals that serve as raw materials in the construction industry.

4.1.1 HYDROCARBON SECTOR, OIL AND NATURAL GAS

Albania has significant reserves of oil and gas on land and at sea, which have encouraged foreign investors

to start digging and searching for undiscovered areas of oil and gas.Hydrocarbon accumulations are

underground unique natural resources, through which Albania has consistently generated significant

financial funds.

The hydrocarbon activity in Albania has its beginnings around 1800, when were performed the first

geological expeditions, and later around 1900, when these operations were further intensified and followed

with the discovery of several oil and gas fields.

The copperation with the international oil industry began in the early 1900s, when were given a number of

concessions to foreign companies, the largest of that time. After 1990 have been developed several

licensing rounds for research, development and hydrocarbons production and have been drafted a number

of agreements with foreign hydrocarbons companies. Oil exploration in Albania started in 1918. Since that

time, were discovered oil-holder areas in 11 land areas including: Drashovicë (1918), Patos (1927), Kuçovë

(1928), Marinzë (1957), Visoka (1963), Gourisht-Koçul (1965), Ballsh-Hekal (1966), Finiq-Krane (1973),

Çakrran-Mollaj (1977), Delvinë (1989) and Sqepur (2001).

The gas exploration in Albania started in 1955. The first gas-holder area was discovered in Divjakë (1963),

followed by Frakulla (1965), Ballaj–Kryevidhi (1983), Povelça (1987), Panaja (1988), and Ad-4 (in the sea –

1994).

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4.1.2 MINING SECTOR

Albania is known for the reserves of Chrome, iron, nickel and copper. Their discovery, exploitation and

processing, is an important activity for the economy.Traditionally, after 1944, the extractive industry and

processing of minerals like Chrome, copper, iron, coal, has provided substantial income.

Albania counts a number of medium and small exploitation companies (underground), an increasing

number of exploitation companies (quarry) and only two or three major mining and industrial

companies.The sector has been completely dominated by state-owned enterprises and in 1994 with the

adoption of the new mining law began to seek private investments.

Our country has a long history in the mining sectorwith large deposits of Chrome, nickel, copper and

limestone.Chrome Reserves are estimated at about 36.9 million tons and copper reserves of about 27

million tons. Reforms in the mining industry present considerable governance challenges.

4.1.3 HYDROPOWER SECTOR

Hydropower is the largest source of renewable energy in our country. Albania ranks in Europe as a country

with significant water resources, with a hydrographic extension distributed almost in the whole territory.

Albania, with its area of 28 748 km2, has a hydrographic extension with an area of about 44,000 km2, or

57% more than the national territory.

Electricity sector and natural gas in our country are regulated by the Law Nr. 9072, dated on 22.05.2003 "On

the Electricity Sector", as amended, and Law no. 9946, dated 30.06.2008 "On Natural Gas Sector", as

amended.

Hydropower production in Albania is dominated by the public sector. In the end of the year 2014, the

Albanian stateowned and administeredAlbanian Power Corporation (KESH), the Transmission System

Operator (OST) and the Electricity Distribution Operator (OSHEE).

Referring to the EITI 2013-2014 report, KESH is the largest producer in the country. With an installed

capacity of 1.448 MW or 80% of the total installed power in the country, built on the Drin river in the north,

KESH generated about 87% of energy production in 2013.This dropped to 72% in 2014, due to an increased

activity of private HPP (Hydro Power Plants) and HPP with concession in this sector.

Cost structure of domestic energy production has changed in the past 5 years, with the increased production

by the private HPP and with concession and is expected to change further in the future,when a large number

of small and medium HPP with concession will enter in the production phase.

The data reported by NANR show that a large number of HPP given in concession have not yet begun the

construction or are still under construction at the date of this report,displaying delays with two or more

years.More specifically, by 502 HPPs given by concession, 308 HPPs with installed capacity of 1.152 MW and

energy provided by 5.359 GWh have not yet started the construction.While 84 HPPs are in the construction

phase.If all HPP would complete the construction within two years from the date of concession and will

produce energy provided in the concession contract, the concession fee would be around 1.78 billion in

2013 and 1.9 billion in 2014.These values are about 10 times more than the income by the concession fees

collected in both years.

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5.THE GENERIC INDICATORS RESULTED BY THE COMPANIES REPORTS THAT OPERATE IN THE

EXTRACTIVE INDUSTRY

The generic indicators are general sector indicators that show the sector progress and performance.These

indicators are based mainly on the report that the company is obliged to submit to NANRfor its operations

as well as data collected by other supervisory institutions like the Ministry of Finance, Customs Directorate,

or information management institutions as INSTAT, etc ..

In the extensive research of the information range that has to be drafted, is required that the information

report by the sector of extractive and processing companies, to better fulfill a series of information requests

in order to answer better to the public interest and to the investor community. The indicators show a

general overview of this sector activity, his role in the Albanian economy, and the perspectivefor more

investments and the production increasementin the context of employment and the regions and country

economic development.

The generic indicators arerecommended tomet and improvein the future on the basis of companies

reporting format that are licensed in the extraction, processing and sale of hydrocarbons and minerals in

Albania.

The basic information unit is the company ratio which is recommended to be completed in full by the

company and that the contains the elements specified in the DCM no. 233, dated on 23-03-2011,or in other

legislative documents.Our practice and best international practices show that the companiesreporting form

include information related to strategic and organizational elements as follows (see Appendix 4 for details):

Company Strategy

Strategic priorities and key issues in short and long term, aimingthe business sustainability and the

fulfillment of international standards of organizational strategy for the success achievement.

The main trends that influence in the company and its priorities.

The main achievements and problems in the reporting period.

Performance in relation to the objectives.

Production, sales, investments, taxes, royalties, employment.

Organizational profile

Name and Company NUIS

Basic Products and Services

Company Location and operations

Legal status and ownership issues

The main national or international local markets

Indicators

The government agreement

Investment plan and financial risks

Pension plan

Environmental protection plan

Indicators derived from the company's report are grouped at regional and national industry product level.

However based on existing reports, the summary information aims the synthetic and integrated

presentation of hydrocarbon sector key indicators, minerals and hydropower grouped into the following

categories:

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Financial and economic indicators of the sector by product, region and industry

socio-economic indicators in the region where the extractiveor processing company operates

Technical indicators

Indicators of regulatory legislation

5.1 ECONOMIC AND FINANCIAL INDICATORS

In this category are included a number of indicators that characterize the performance of the companies

operating in this sector and that provide a rapid assessment on sustainability and the growth cycleand

development of these companies from the financial and economic perspective.

These are the generic indicators, that are built on the basis of information as follows:

Mineral Reserves

Investing

Production

Turnover or annual turnover

Annual Exports

Employment

Contribution in taxes and duties

Contribution in royalties

Profitability

Productivity

The main source of information for these indicators is the material processed by NANR of the subjects

declaration for the year 2014 and similar documents for other years.

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5.1.1 GENERIC INDICATORS OF MINERAL SECTOR FOR THE YEAR 2014 BASED ON THE PRODUCT TYPE

Mineral Production ton or m3 Investment (lek) Income (lek) Royalty (lek) Nr. of Employees

Chrome 683.874 2.430.311.528 2.473.855.415 148.431.325 2.955

Copper 259.138 65.196.025 2.721.194.630 120.658.280 235

Fe Ni-Ni Si 535.128 227.719.178 17.018.686 52.264.137 86

Limestone 3.165.867 167.679.383 13.831.285.171 177.149.052 606

Total 2.890.906.114 19.043.353.902 498.502.794 3.882

Table1- Generic Indicators of Mineral Sector for the year 2014 based on the product type

Source: NANR, ANNUAL REPORT 2014 Volume I

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5.1.2 GOVERNMENT REVENUES BY HYDROCARBON AND MINERAL SECTOR

2013 2014

Payments streams Albpetrol AKBN ERE KESH

National

Budget Total Albpetrol AKBN ERE KESH

National

Budget Total

Share of oil production 4.968 - - - - 4.968 4.354 - - - - 4.354

Bonuses 11 47 - - - 58 12 23 - - - 35

Concession fee - - - 133 - 133 - -

190 - 190

Regulatory payments - - 23 - - 23 - - 72 - - 72

Other - - - - - - - 633 - - - 633

Royalty - - - - 10.037 10.037 - - - - 9.730 9.730

Profit tax - - - - 2.885 2.885 - - - - 2.224 2.224

Dividends - - - - - - - - - - 757 757

Privatization income - - - - 15.439 15.439 - - - - - -

4.979 47 23 133 28.361 33.543 4,366 656 72 190 12.711 17.995

Oil and gas 4.979 47 - - 9.970 14.996 4,979 656 - - 9.904 15.539

Mining - - - - 2.433 2.433 - - - - 2.554 2.554

Hydro-energy - - 23 133 15.959 16.115 - - 72 190 253 515

Table2- Government revenues by hydrocarbon and mineral sector

Source: EITI Report 2014

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5.1.3 PRODUCTION, EMPLOYMENT AND INDUSTRY OF OIL, GAS AND MINERAL EFFICENCY

Period of time 2011 2012

Indicator

Production in mil

lek Employment

Efficiency per

person in mil lek

Production in mil

lek Employment

Efficiency per

person in mil lek

Oil and gas 47.900 4.700 10,2 50.300 3.700 13,5

Mining 22.800 3.800 6 15.500 4.100 3,8

Total 71.600 8.500 8,4 65.800 7.800 8,4

Period of time 2013 2014

Indicator

Production in mil

lek Employment

Efficiency per

person in mil lek

Production in mil

lek Employment

Efficiency per

person in mil lek

58. 300 3.941 14,8 60.390 3.109 19,4

Mining 15.510 3.800 4,1 19.305 4.100 4,7

Total 73.810 7.741 9,5 79.695 7.209 11,1

Table3- production, employment and industry of oil, gas and mineral efficency

Source: EITI – Report 2012 (for the years 2011 and 2012), Report 2014 (for the years 2013 and 2014) - albeiti.org- 1 USD = 110 ALL

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Figure 1. Production of the gas industry, oil and minerals

Figure 2. Gas industry employment, oil and minerals

Figure 3. Efficiency of the gas industry, oil and minerals

0

500

1000

1500

2000

2500

3000

3500

4000

4500

5000

2011 2012 2013 2014

Production

Naftë dhe gaz

Minerale

0

500

1000

1500

2000

2500

3000

3500

4000

4500

5000

2011 2012 2013 2014

Employment

Naftë dhe gaz

Minerale

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2011 2012 2013 2014

Efficiency

Naftë dhe gaz

Minerale

Oil and gas

Minerals

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5.1.4 INDICATORS OF THE MINERAL PERMITS EXPLOITATION FOR 2014 BY REGION

Source: NANR report, 2014 first volume, Table 1

0 20 40 60 80 100 120 140

Bulqiza

Berat

Krujë

Tropojë

Librazhd

Mat

Kukës

Has

Pogradec

Tiranë

Pukë

Korcë Kolonjë dhe Devoll

Lezhë

Skrapar

Shkodër & M. Madhe

Kavajë & Peqin

Gjirokster

Fier & Lushnja

Kurbin

Diber

Durres

Elbasan dhe Gramsh

Permet

Tepelene dhe Mallakastër

Sarande e Delvine

Number of permits

Table 4 / Figure 4.Indicators of the mineral permits exploitation for 2014 by region

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5.1.5 DYNAMIC INDICATORS OF MINERAL PRODUCTION IN YEARS (UNIT 000 TON / NM3)

Mineral 2007 2008 2009 2010 2011 2012 2013 2014

Chrome 202 225 284 328 350 360 521 684

Copper 98 105 114 140 605 480 508 260

Fe Ni-Ni Si 370 353 69 269 364 75 215 535

Limestone 1.716 3.838 3.272 2.363 2.446 2.727 1.811 3.166

Clay 765 649 796 795 973 961 768 810

Gypsum 87 71 77 93 91 112 107

Table5- Dynamic indicators of mineral production in some years (unit 000 tonnes / nm3)

Source: EITI Report 2012 and 2014

5.1.6 ROYALTY COLLECTION IN YEARS (IN BILLION ALL)

2008 2009 2010 2011 2012 2013 2014

Royalty on export 0,77 2,12 3,65 5,85 0,995 0,817

Royalty on internal sales 0,63 0,69 2.00 1,26 1,30 0,74 1,093

Table6–Royalty Collection in years (in billion ALL)

Source: EITI Reports for the years 2012 and 2014

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19

Figure 5. Mining Royalties (export and internal sales) for the year 2008 - 2014

5.1.7 EXPORT OF OIL AND GAS, CHROME AND COPPER IN THE YEARS 2011 UP TO 2014

2011 2012 2013 2014

Oil and Gas 31,7 53,3 69,5 55

Chrome 11,5 9,3 9,6 8,1

Copper 4,2 5,5 4,7 2,5

Table 7 –Export of oil and gas, chrome and copper in billion ALL

Source: EITI Report 2012 and 2014

5.1.8 TECHNICAL INDICATORS OF OIL AND GAS

These indicators reflect the natural features of natural resources location and the mineral quality that is extracted from these natural reserves.

Field Discovery year Reservoir type O/g gravity (API) Sulphur content (%)

Drashovicë 1918 Oligoc-flysch Oil< 10 ° n/i

Patos 1927 Mess-clastics Oil (12-24° API) 2.5-6

Kucovë 1928 Mess-clastics Oil (13-16° API) 4

Marinza 1957 Mess-clastics Oil (12-35° API) 4-6

Visoka 1963 Cret/Eoc.Carb Oil (5-16° API) 5-6

Gotisht 1965 Cret/Eoc.Carb Oil (17° API) 6

Ballsh 1966 Cret/Eoc.Carb Oil (12-24° API) 5.7-8.4

0

1

2

3

4

5

6

7

2008 2009 2010 2011 2012 2013 2014

Royalty (on export and on internal sales)

Renta minerare në eksport

Renta minerare mbi shitjet brenda vendit

Royalty on export

Royalty on internal sales

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Cakran 1977 Cret/Eoc.Carb Oil 14-37 ° AP)IKond, 52 ° API 0.9

Finiq 1973 Cret/Eoc.Carb Oil (<10° API) 3.7-4.3

Delvina 1989 Cret/Eoc.Carb

Oil (31° API)

Cond. 53 ° API 0.7

Divjaka 1963 Tort/clastics Gas & Condensate

n/i

Ballaj 1983 Piloc/clastics Gas n/i

Frakull 1965 Mess-clastics Gas n/i

Povelca 1987 Mess-clastics Gas & Condens n/i

Panaja 1988 Mess-clastics Gas n/i

Adriatik 1994 Mess-clastics Cond. 54.3° API n/i

Sqepuri 2001 Cret/Eoc.Carb Oil (37° API) 2.3

Table 8 - Technical indicators of oil and gas

Source: EITI Report 2012, table 5

5.1.9 TECHNICAL INDICTORS OF SOME MINERALS

(Source for all the tables (9-12): “Sustainable development of mining activities in Albania”- Sokol MATI)

Types of mineralization Quantity in

tons

Copper

content (%)

Quantity

exploited in ton

Remaining

reserves in ton

Reserves of copper in quartz sulphide

mineralization 13.658.465 1154 4.925.501 5.923.037

Copper reserves in mineralization sulphide in

type volcano 50.101.069 1,38 7.558.572 29.076.187

Reserves of copper mineralization volcano-

sedimentary 8.208.820 1,95 6.744.870 1.558.000

Reserves of copper mineralization in other

tectonic zones in Albania 1.031.244 1,56 0 1.031.244

Total 72.999.598 1,48 19.228.943 37.588.468

Table 9 - Copper mineral reserves according to their distribution in the types of mineralization

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Field

Reserves

in ton Fe (%) Ni (%)

Bitinckë 50.200.000 16,38 1,28

Trull-Surroj-Manzë 48.900.000 20,00 0,98

Nome (Kukës) 3.200.000 21,75 1,22

Total 102.300.000 18,28 1,13

Table 10 - Geological reserves of Nickel-Silicate

Region Quantity in ton Fe (%) Ni (%)

Region Krumë-

Kukës-Lurë 30.500.000,00 38,66 0,8-1,1

Region Bitincka 59.193.000,00 38,66 1,074

Region Librazhd

Pogradecit 215.800.000,00 38-44 0,5-1

Other regions 2.100.000,00 20-24 0,2-0,3

Total Fe-Ni 307.593.000,00 20-24 0,2-1,1

Table 11 - Geological reserves of iron-nickel

Field Geological reserves in million tons

Treblovë 140

Kasnicë 45

Visokë 61

Total 246

Table 12 –Geological reserves of bituminous sands in Albania

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5.1.10 EXTRACTIVE INDUSTRY CONTRIBUTION IN THE ALBANIAN ECONOMY (BILLION ALL)

2011 2012 2013 2014

Oil and Gas Production 47,9 50,3 58,3 60,39

Mining Production 22,8 15,5 15,5 19,3

Total Production 70,7 65,8 73,7 79,7

Contribution to GDP 4,3% 5,6% 3,7 % 3,4 %

Table 13- Extractive industry contribution in the Albanian economy (billion ALL)

Source: EITI Report 2012, 2013-2014 Exchange rate 1 USD = 110 ALL

Figure 6. Extractive Industry Production

Figure 7. Contribution to GDP of the Extractive Industry during 2011-2014

0

10

20

30

40

50

60

70

2011 2012 2013 2014

Production of Extractive Industry

Prodhim i naftës dhe gazit

Prodhimi minerar

0.00%

1.00%

2.00%

3.00%

4.00%

5.00%

6.00%

Contribution to GDP

Kontributi në PBBContribution to GDP

Oil and Gas

Production

Mining

Production

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23

Activity 2008 2009 2010 2011 2012 2013 2014 2015

Extractive Industry 11.223 10.117 14.992 22.318 27.390 33.681 40.683 48.174

Manufacturing

Industry 84.006 93.829 113.512 117.498 112.628 114.405 120.650 126.650

Table 14- Gross Domestic Product over the years by activity

Source:Ministry of Finance, Budget General Directorate, project of Midterm Budgeting Program 2015- 2017,

http://www.financa.gov.al/

Activity 2008 2009 2010 2011 2012 2013 2014 2015

Extractive Industry 31,8 -10,0 34,3 42,3 21,0 19,5 17,5 14,3

Manufacturing Industry 6,2 13,4 16,9 -8,9 -4,9 -0,9 2,9 2,7

Table 15- Annual real growth of GDP by economic activity (in %)

Source: Ministry of Finance, Budget General Directorate, project of Midterm Budgeting Program 2015- 2017,

http://www.financa.gov.al/

Table 16- Industry Sectors contribution to real GDP growth (in points %)

Source: Ministry of Finance, Budget General Directorate, project of Midterm Budgeting Program 2015- 2017,

http://www.financa.gov.al/

Activity 2008 2009 2010 2011 2012 2013 2014 2015

Extractive Industry 0,3 -0,1 0,3 0,5 0,4 0,4 0,4 0,4

Manufacturing Industry 0,5 1,0 1,4 -0,8 -0,4 -0,1 0,2 0,2

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5.1.11 ANNUAL CALENDAR STATEMENTS OF THE SUBJECTS IN ALBANIA FOR THE YEAR 2014

Nr Type of mineral

PRODUCTION Investment Incomes Royalty

ton m3 Mining equipment

Machinery and

equipment Total

USD Lek USD Lek

USD Lek USD Lek USD Lek

1 Clay 810.093,6

2.619.460

200.000

4.719.460 7.066.205.414 82.400.801,48

2 Copper 259.137,56 1.754.229,0

0 56.035.217 710000 9.160.808 2.464.229 65.196.025 24.738.133 120.658.280

3 Basalt 3.300.00

900.000 45.000

4 Gravel 138,787.00

886.557

886.557 30.748.880 1.537.444

5 Zhure 535.128,00 111.800,00 150.158.905

77.560.273 111800 227.719.178 4.255.178 17.018.686 52.264.137

6 Fe-Ni & Ni-Si 13.580,78

29.613.772

32.015.391

61.629.163 232.000 191.795.484 2.903.961

7 Marbled

limestone 16.627,40

1.140.072

724.572

1.864.644 67.670 26.935.504,74 1.861.917,75

8 Tile limestone 106.433,40

2.662.600

1.000.000

3.662.600 0 60.335.965 1.907.313,4

9 Gypsum -

Alabaster

3.165.867,1

8

155.396.041,6

12.283.341,64

167.679.383,

3 0 13.831.285.171 177.149.052

10 Limestone

683.874,30 3.543.671,7 1.595.496.228 257.546,7 834.815.299,7 3801218,4 2.430.311.52

8

34.640.615,

9 2.473.855.415 2078437 148.431.324,9

11 Chrome 10.731,00

532.000

282.000

814.000 0 29.483.000 1.474.150

12 Quartz 13.989,88

2.500.000

77.044.000

79.544.000 27914 117.655.973,4 5.956.898

13 Siliceous 116.806,00

39.958.346,4

38.261.139,2

78.219.485,6 0 365.839.754,9 21.950.385,29

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25

sandstone

14 Gravel & tar

sands 2,000.00

110.029.585

1.020.377

111.049.962 0 240.000 452.107

Total 5.409.700,7 2.146.142.227 967.546,7 1.087.153.759 6.377.247,4 3233295985 63961510,9

2 24.212.299.248 2078437 618.992.771,8

Total investments in the year 2014 = 35.770.84 USD

Income from Mining Royalties for the year 2014 = 7.706.189 USDExchange rate: 1 USD = 110 ALL

Table 17 - Annual calendar statements of the subjects in Albania for the year 2014

Source: NANR, 2014, Volume I – Subjects Declarations for 2014

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5.1.12 GROSS OIL EXPORT BY DESTINATION IN 2013

Gross Oil Export (Ton) Gross Oil Export (000 Lek)

France 60.638 3.432.785

Germany 66.912 3.766.999

Italy 412.144 22.089.645

Malta 295.476 16.471.439

Spain 395.613 22.496.252

Great Britain 20.730 1.186.052

Total 1.251.513 69.443.172 Table 18 –Gross oil export by destination in 2013

Source: International Trade Centre (http://www.intracen.org/itc/market-info-tools/trade-statistics/)

Comments and Analysis: Open Data Albania

Figure 8. Gross oil export

Franca5% Gjermani

5%

Itali33%

Malta23%

Spanja32%

Britania e Madhe

2%

Franca

Gjermani

Itali

Malta

Spanja

Britania e Madhe

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5.1.13 POPULATION BY MINING REGIONS AND HYDROCARBON

Population Density (residents for km2)

Census

2011

Civil

Registry

Surface

(km2)

Census

2011 Civil Registry

Fushë Arrëz 7.405 11.651 540,42 13,70 21,56

Bulqizë 32.210 4.223 678,51 47,47 59,28

Patos 22.959 42.738 82,5 278,29 518,04

Pukë 11.069 16.836 505,53 21,89 33,30

Prrenjas 24.906 33.031 322,95 77,12 102,28

Selenicë 18.476 35.793 561,24 32,92 63,77

Has 16.790 21.247 399,62 42,01 53,17

Skrapar 12.403 19.072 831,44 14,92 22,94

Vau i Dejës 30.438 48.966 499,09 60,99 98,11

Table 19 –Population by mining regions and hydrocarbon

Source: http://zgjedhje2015.reporter.al

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5.1.14 STRUCTURE OF EMPLOYMENT BY GENDER AND ECONOMIC ACTIVITY

Extractive industries, energy, gas and water supply

2013 2014

Total 2,20% 21.795 2,40% 24.889

Male 3,40% 18.747 3,60% 21.084

Female 0,70% 3.048 0,90% 4.062

Table 20 - Structure of employment by gender and economic activity

Source: Labour Force Survey, 2013,2014 INSTAT

5.1.15 AVERAGE WORKING HOURS PER WEEK FOR EMPLOYEES BY GENDER AND ECONOMIC

ACTIVITY

Extractive industries, energy, gas and water supply

2013 2014

Overall average 43,3 42,2

Total 43,1 43,0

Male 43,4 43,3

Female 41,2 41,7

Table 21 - Average working hours per week for employees by gender and economic activity

Source: Labour Force Survey, 2013,2014 INSTAT

5.1.16 AVERAGE MONTHLY GROSS WAGE PER EMPLOYEE, 2014

2014

Average Male Female Gender gap

Overall Average 45.539 47.664 42.852 10%

Extractive Industry 106.314 111.400 62.328 44%

Manufacturing Industry 29.091 36.214 24.772 32%

Table 22 - The average monthly gross salary per employee in salary by economic activity and gender, 2014

Source: INSTAT calculation based on the General Directorate of Taxes data

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5.1.17 ENTITIES ANNUAL CALENDAR STATEMENTS IN ALBANIA FOR THE YEAR 2014 FOR

EMPLOYMENT

Nr Type of mineral Nr. of

employees

1 Clay 49

2 Copper 235

3 Basalt 8

4 Gravel 18

5 Zhure 86

6 Fe-Ni & Ni-Si 31

7 Marbled limestone 35

8 Tile limestone 34

9 Gypsum - Alabaster 606

10 Limestone 2.955

11 Chrome 4

12 Quartz 61

13 Siliceous sandstone 134

14 Gravel & tar sands 10

4.266

Table 23 - Entities annual calendar statements in Albania for the year 2014 for employment

Source: NANR 2014

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Figure 9. Annual declarations on employment

Source: NANR 2014

5.1.18 SOCIAL ECONOMIC INDICATORS OF MINING REGIONS FOR REGIONS (CENSUS 2011)

Region The working age

population

Unemployment

(%)

Unemployment

for women (%)

Unemployment among

young people 15-29 (%)

Bulqiza 23.085 38,5 37,4 58,76

Fier dhe Lushnje 227.372 24,0 27,0 39,67

Has 11.971 63,1 61,1 78,54

Librazhd 43.664 23,9 21,5 40,61

Puke 13.981 44,1 40,0 67,15

Shkoder e Madhe 154.847 39,0 40,8 55,85

Skrapar 13.580 18,8 20,7 29,23

Vlore e Himare 102.222 27,0 31,9 43,13

Table 24 –Social economic indicators of mining regions for regions (census 2011)

Source of the information: INSTAT,http://instatgis.gov.al

0

500

1000

1500

2000

2500

3000

3500

Annual declarations on employment

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5.1.19 UNCONDITIONAL AND SPECIFIC TRANSFER TO MUNICIPALITIES FOR THE YEAR 2016 (IN 000/ALL)

NR. MUNICIPAL

ITIES

Unconditional

transfer

2016

Specific transfers to finance functions

Total Pre-

university

dormitories

Preschool

Education

Pre-

University

Education

Fire

protection

Social

protection

Forest

manage

ment

Routes

Irrigation

and

Drainage

Investm

ent fund

1 Bulqizë 196.658 0 48.370 0 8.269 0 2.453 27.453 5.227 0

288.42

9

2 Fushë Arrëz

66.272 0 23.408

3.714 0 0 3.679 12.866 2.198 0

112.13

7

3 Has

108.340 6.481 25.385 2.321

8.962 0 3.066 1.527 2.198 0

158.28

0

4 Patos

95.542 0 38.441 2.786 8.764 0 0 1.728 2.814 0

150.07

5

5 Prrenjas

117.256 0 29.137 2.321 0 0 2.453 17.581 2.198 0

170.94

6

6 Pukë

82.123 13.174 30.674 5.571 11.512 0 3.679 6.159 2.198 0

155.09

0

7 Selenicë

129.843 0 18.544 4.178 0 0 613 2.620 5.227 0

161.02

5

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8 Skrapar

104.520 10.673 38.683 3.714 7.846 0 1.226 12.054 2.198 0

180.91

4

9 Vau i Dejës

154.016 8.400 21..893 1.857 0 0 1.840 5.440 4.046 0

197.49

3

Table 25 –unconditional and specific transfer to municipalities for the year 2016 (in 000/all)

Source: Ministry of Finance, http://www.financa.gov.al/

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5.2 BULQIZA MUNICIPALITY

5.2.1 SHORT DESCRIPTION

Bulqiza district extends in the eastern part

of the Republic of Albania and is bordered

on the east by Dibra e Madhe (in

Macedonia), in the north with Dibra

District, in the west with Mat District and

Tirana District and in the south part with

Librazhd District. The district

administrative center is the city of Bulqiza.

Generally the landscape is rugged

mountainous with altitudes ranging from

420 m to 2101 m. In this territory extends

Bulqiza Valleyextending from west to east

with a length of 25 km and width up to 1 km that begins in the west with Qafa e Buallitup to 842 m, where it

crosses the motorway that connects Burrel with Bulqiza, Peshkopine and Dibra e Madhe. This valley is

crossed by Zalli i Bulqizes that flows on Black Drin. In this district is also found Okshtuni Valley crossed by

Zalli i Okshtunit until it joins Zalli i Bulqizes in Çerenec; Zogjes Valley; Martanesh Valley; Golloborda Plateaus;

Gjorica Field; Homeshit Field; Vajkalit Field; Klenja FieldandBallenja Field. Most fertile agricultural lands are

recognized the fields of Gjorica and Homesh. Agricultural is backward, due to the lack of mechanism

worksand advanced forms of land useeven in rugged terrain where is foundthe majority of the arable land.

In Bulqiza District Territory are also found malesia e Martaneshit and Golloborda that have the appearance

of a a corrugated plateau surrounded by high mountains.The highest is in the south of Allamani Mountains,

Maja e Kreshtes (2101m) and in Lopes Mountains, Maja e Dhokzit (2020m) and maja e Kaptinës (1873m).

In Bulqiza and in Krasta are found the largest deposits in Albania of chrome mineral, that together with 36

thousand hectares with pine forests of beech,that constitute the main basis of the district economic

development.

The climate in all Bulqiza District isContinental, cold in winter and dry in summer. Bulqiza Valley being open

from the east, is permeated from the wind. The average annual temperature reaches the value 10 ° Cand

the maximum temperature was recorded to 35 ° C in summer and the minimum -18 ° C in winter. The

average amount of rainfall in a year reaches 980 mm.

Historically Bulqiza District consists of an indigenous population located in six regions: Bulqiza, Gryka e

Madhe, Gryka e Vogel, Okshtuni, Martaneshi and Golloborda.

5.2.2 POPULATION

According to 2011 Census has a population of 32.210 inhabitants.While according to the Civil Registry, the

municipality counts 40.223 inhabitants. The new municipality extends over an area of 678.51 km2 with a

density of 59.28 inhabitants / km2 according to the Civil Registry and 47.47 inhabitants / km2 according to

the 2011 Census.

Bulqiza municipality is composed on 8 Administrative Units, which are: Bulqiza, Martanesh, Fushe-Bulqize,

Zerqan, Shupenze, Gjorice, Ostren and Trebisht. All administrative units are currently part of Bulqiza district

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34

and Dibra county. The new municipality has under her administration two cities (Bulqiza and Krasta) and 63

villages.

5.2.3 CIVIL SOCIETY

The civil society activity is covered by organizations with national or regional character.

5.2.4 ADMINISTRATIVE UNITS

Bulqiza Municipality

Administrative

Unit Cities and villages in their composition

Bulqiza "Bulqiza City, Villages: Vajkal no 1, Vajkal no 2".

Martanesh "Krasta City, Villages: Gjon, Lene, Peshk, Val, Stavec, Melcu, Nderfushas".

Fushe-Bulqize "Villages: Fushe - Bulqize, Dushaj, Dragua, Koçaj".

Zerqan "Villages: Zerqan, Krajke, Peladhi, Smollik, Sofraçan, Sopot, Strikçan, Ternove e Madhe,

Ternove e Vogel, Valikardhe, Zall-Sopot, Zall-Strikçan, Godvi".

Shupenza "Villages: Shupenza, Vlashaj, Boçeva, Homesh, Okshatina, Kovashica, Zogjaj, Shtushaj,

Topojan, Mazhica, Gjuras, Bllaca".

Gjorica "Villages: Gjorice e Siperme, Gjorice e Poshtme, Çerenec i Siperm, Çerenec i Poshtem,

Viçisht, Lubalesh".

Ostren "Villages: Ostren i Madh, Radovesh, Kojavec, Lejçan, Orzhanove, Okshtun i Madh,

Oreshnje, Okshtun i Vogel, Ostren i Vogel, Tuçep, Lladomerice, Pasinke, Terbaç".

Trebisht "Villages: Klenje, Gjinovec, Trebisht- Balaj, Trebisht- Çelebi, Trebisht- Mucine, Vernice".

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35

5.2.5 SOCIAL – DEMOGRAPHIC STATISTICS OF THE REGION

Population Density (resident per km2)

Census 2011 Civil Registry Surface Census 2011 Civil Registry

Bulqize 31.210 40.223 678,51 46,00 59,28

Table 26 –Social – demographic statistics of the region

Source: http://zgjedhje2015.reporter.al

5.2.6 GENERIC INDICATORS OF MINERAL SECTOR IN BULQIZA REGION IN 2014

Region Mining Reserves (Ton)

Investment

(Lek)

Production

(Ton) Turnover (Lek) Employment

Contribution of royalty

(Lek)

Bulqizë

2.005.850,2

1.296.815.755

435,615

1.642.556.422

2.276

114.226.936

Table 27 –Generic indicators of mineral sector in Bulqiza Region in 2014

Source: NANR Report 2014

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36

5.2.7 LIST OF COMPANIES THAT OPERATE IN BULQIZA REGION

Nr. Nr. of

permit Date Subject Name Location

Type of

Mineral Administrator

5 253 01.04.1996 Xhiretone Bulqize Chrome Enton Zajmi

11 308 17.07.1996 Diani Bulqize Chrome Genc Çuka

22 469 02.08.1999 Tadri Bulqize Chrome Tahir Gjoka

23 475 02.08.1999 Albanisa Krypi Bulqize Chrome

Pellumb Perkola

& Flamur Krypi

24 476 02.08.1999 Koka Bulqize Chrome Rakip Koka

25 477 02.08.1999 Besa Bulqize Chrome Besim Plloci

26 478 02.08.1999 Bledi Bulqize Chrome Petrit Kenga

27 479 02.08.1999 Xhiretone Bulqize Chrome Asim Zajmi

28 480 02.08.1999 Dervishi Bulqize Chrome Ndriçim Dervishi

29 481 02.08.1999 Alb - Canaj Bulqize Chrome Urim Canaj

30 483 02.08.1999 Zguri Bulqize Chrome Rexhep Zguri

31 484 02.08.1999 Ylberi Bulqize Chrome Ylber Doda

32 486 02.08.1999 Ral Bulqize Chrome Ramazan Rrushi

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37

33 487 02.08.1999 Vileda Bulqize Chrome Vera Stafa

34 488 02.08.1999 Klosi Bulqize Chrome Nazif Klosi

35 489 02.08.2009 Ervini Bulqize Chrome Sulejman Kurti

36 492 02.08.1999 Herbi Bulqize Chrome Bajram Lleshi

37 493 04.08.1999 Dialba Bulqize Chrome Gani Hoxha

38 494 04.08.1999 Geri-Trevi Bulqize Chrome Agim Cuka

43 506 04.08.1999 Diani Bulqize Chrome Genc Çuka

44 507 04.08.1999 Ylberi Bulqize Chrome Ylber Çupi

45 516 08.09.1999 Krasta Bulqize Chrome Abdyl Demiri

46 523 05.10.1999 Min-Ex Bulqize Chrome Veli Meçaj

47 531 21.12.2009 Ra-Krom Tirana Bulqize Chrome Gani Hoxha

48 536 05.01.2000 Kurti Bulqize Chrome Gezim Porja

49 539 17.02.2000 Teodori Bulqize Chrome Faik Teodori

50 545 03.04.2000 Kurti Bulqize Chrome Gezim Porja

58 579 01.11.2000 Eternal Security Bulqize Chrome Lahim Gjika

62 583 14.11.2000 Lita Brother Construction Bulqize Chrome Gazmend Lita

63 584 07.12.2000 Koxherri Bulqize Chrome Fatos Doda

65 589 26.12.2000 Shkembi Bulqize Chrome Veli Losha

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69 607 15.03.2001 Cani-1 Bulqize Chrome Sokol Lika

72 611 16.03.2001 Ivno 1100 Bulqize Chrome Gentian Keta

87 677 16.09.2002 AlbChrome Bulqize Chrome Edmond Xhafa

88 677/1 16.09.2002 Marei Bulqize Chrome Zeqir Çali

98 718/1 20.08.2003 Rakipi Fier Sandstone Mynyr Rexhepaj

107 755 14.03.2004 11 Heronjte Bater Bulqize Chrome Dhurim Kurti

116 775 02.07.2004 Koka Bulqize Chrome Rakip Koka

117 777 21.07.2004 Kejsi Bulqize Chrome Shefki Beta

119 787 06.08.2004 Ral Bulqize Chrome Ramazan Rrushi

127 809 01.10.2004 Teodori Bulqize Chrome Faik Teodori

128 810 04.10.2004 Dushi Bulqize Chrome Admir Koka

139 858 11.05.2005 Krasta Bulqize Chrome Abdyl Demiri

144 869 17.06.2005 Arkev Bulqize Chrome Ali Merkuri

149 880 24.06.2005 Fab. E Pasurimit te Cr. Bulqize Bulqize Chrome Bukurosh Koçi

152 885 07.07.2005 Fab. E Pasurimit te Cr. Bulqize Bulqize Chrome Bukurosh Koçi

153 886 07.07.2005 Fab. E Pasurimit te Cr. Bulqize Bulqize Chrome Bukurosh Koçi

157 892 27.07.2005

Fabrika e Pasurimit te Kromir

Bulqize Bulqize Chrome Bukurosh Koçi

158 893 27.07.2005 Neli Bulqize Chrome Isuf Neli

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173 934 13.04.2006 Gentari Bulqize Chrome Gentian Keta

178 946 17.07.2006 Dushi Bulqize Chrome Admir Koka

179 949 18.07.2006 Lena - 1 Bulqize Chrome Qazim Lena

183 957 28.08.2006 Beni - 06 Bulqize Chrome Artur Bruci

191 975 10.10.2006 Erim Bulqize Chrome Ismail Shyti

195 982 20.12.2006 Algej Bulqize Chrome Shyqyri Kenga

207 1030 03.07.2007 Algri Bulqize Chrome Kujtim Alstafa

208 1032 03.07.2007 Kuinxhiu Bulqize Chrome Veli Kuinxhiu

222 1069 28.08.2007 Bimi Bulqize Chrome Ibrahim Bami

226 1082 06.11.2007 Pakti Bulqize Chrome Oltjan Kala

228 1088 19.11.2007 Egi -K Bulqize Chrome Eduart Keta

238 1121/1 16.05.2012 Kujtim & Lena Bulqize Chrome Kujtim Lena

243 1140 28.01.2008 Ylberi Bulqize Chrome Ylber Doda

245 1155 03.03.2008 Egi -K Bulqize Chrome Eduart Keta

247 1163/1 20.07.2012 Klervi - Bris Bulqize Chrome Adrian Hida

252 1076/1 04.04.2013 Nag-3 Bulqize Chrome Albert Koxheri

254 1181 15.04.2008 Geri's 2002 Bulqize Chrome Ilger Qose

258 1197 01.07.2008 Durici Bulqize Chrome Hysen Duriçi

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265 1214 21.07.2008 Isaku Bulqize Chrome Edmond Isaku

270 1231 15.08.2008 Bledi Bulqize Chrome Petrit Kenga

282 1259/2 21.05.2014 Alb - Soni Bulqize Ni-Si, Chrome Tahir Osmani

283 1265/2 10.03.2014 Zeneli Bulqize Chrome Besmir Sula

284 1269 30.10.2008 Kurti - A Bulqize Chrome Arben Kurti

287 1279 17.12.2008 Gerda Bulqize Chrome Lulzim Veçishta

288 1281 17.12.2008 Gentari Bulqize Chrome Gentian Keta

289 1282/1 18.12.2008 Drini Bulqize Bulqize Chrome Ilir Cami

290 1283 18.12.2009 Klervi - Bris Bulqize Chrome Ardian Hida

294 1294 19.12.2008 Tollja Bulqize Chrome Ardit Tollja

295 1295 26.12.2008 Ylberi Bulqize Chrome Ylber Doda

296 1296 30.12.2008 Ardas Bulqize Chrome Xhafer Ndreu

297 1297 30.12.2008 Aki-Leo Bulqize Chrome Veli Meçaj

304 1326 21.02.2009 Gjoni Bulqize Chrome Jashar Gjoni

305 1328 17.03.2009 Buna-Mat Bulqize Chrome Agim Hysa

326 1362 09.06.2009 Kaprolla Bulqize Chrome Qamil Hidri

327 1365 04.06.2009 Comercir Fier Sandstone Apostol Qirko

347 1409 01.09.2009 Naim & Mealdi Bulqize Chrome Naim Kenga

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351 1419 11.09.2009 Alb Ieaa Internacional Bulqize Chrome Lefter Alla

353 1423 11.09.2009 Ervini Bulqize Chrome Sulejman Kurti

358 1442 21.10.2009 Mara 2011 Bulqize Chrome Bruno Mara

359 1443 21.10.2009 Mara 2011 Bulqize Chrome Bruno Mara

366 1459 03.03.2010 Egi -K Bulqize Chrome Eduart Keta

367 1460 03.03.2010 Egi -K Bulqize Chrome Eduart Keta

368 1461 03.03.2010 Egi -K Bulqize Chrome Eduart Keta

370 1465 16.04.2010 Aris Bulqize Chrome Adrian Rama

371 1466 16.04.2010 Rami Bulqize Chrome Genti Keta

382 1482 20.07.2010 Zasha Bulqize Chrome Adrian Rama

383 1483 21.07.2010 Kevger Bulqize Chrome Eltjon Deda

384 1485 28.07.2010 Geri's 2002 Bulqize Chrome Ilger Qose

387 1489 02.08.2010 Brisel Bulqize Chrome Rrahim Dedja

388 1490 17.08.2010 Ardas Bulqize Chrome Xhafer Ndreu

396 1497 10.09.2010 Global Interprise group Bulqize Chrome Ashim Doma

400 1503 13.09.2010 Brother's Funds & Investments Bulqize Chrome Bledar Hasa

413 1531 11.01.2011 Krasta Bulqize Chrome Abdyl Demiri

424 1544 13.04.2011 Çupi Group Bulqize Chrome Arben Çupi

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436 1567 22.06.2012 Valteri Grand Bulqize Chrome Besim Valteri

437 1569 26.06.2012 Brunes Krom Bulqize Chrome Perparim Koci

439 1575 06.08.2012 Albtani -08 Konstruksin Bulqize Chrome Adrian Haslika

447 1590 16.11.2013 Erli-D Bulqize Chrome Egert Disha

457 1611 23.01.2013 Ternova Chrome Resources Bulqize Chrome Perparim Kuqi

496 1670 06.09.2013 Ra-Krom Tirana Bulqize Chrome Gani Hoxha

497 1671 06.09.2013

Fabrika e Pasurimit te Kromir

Bulqize Bulqize Chrome Bukurosh Koçi

524 1715 17.06.2014 Ballenja Bulqize Chrome Xhafer Kunxhiu

Table 28 - List of companies that operate in Bulqiza region

Source: NANR Report 2014

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5.2.8 ECONOMIC DATA ON COMPANIES THAT OPERATE IN BULQIZA AREA

Subject Name Type of

mineral Reserves

Nr. of

employees

Production

2014

Income

from sale

Warranty for

rehabilitation

Warranty

for

Investment

Royalty

Xhiretone Chrome 4727 3 260 92030

Diani Chrome 1250 2 1200 147250 935000

Tadri Chrome 10171 5 1210 105529 720000

Albanisa Krypi Chrome 8800 15 3500 438067

Koka Chrome 6457 6 8042 994568 6234729

Besa Chrome 8654 5 970 211332 1288500

Bledi Chrome 18376 9 1530 36906800

Xhiretone Chrome 134879 39 5261 47017

Dervishi Chrome 11 1280 223304 103252 151776 13398$

Alb - Canaj Chrome 62 10200 1644606 103252 9867634

Zguri Chrome 9500 10 1200

Ylberi Chrome 7

Ral Chrome 21852 11 1375 20782987 154787 1248000

Vileda Chrome 3 520

Klosi Chrome 44 8698 909816

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Ervini Chrome 10596 6 820 214954 1400000

Herbi Chrome 105170 54 12450

13318200

0 102000 7880000

Dialba Chrome 38050 27 3380,1 10507000 51626 3997720

Geri-Trevi Chrome 19179 9 2310 199918 742000

Diani Chrome 10825 5 1790 273610 1727414

Ylberi Chrome 7 1623 51686 800252

Krasta Chrome 27223 2 1800 89654 547368

Min-Ex Chrome 5 600 60000

Ra-Krom Tirana Chrome 50 7850

10693538

5

Kurti Chrome 79000 9 3000

26250000

0

Teodori Chrome 4 400

Kurti Chrome 35200 27 8700 26110000

Eternal Security Chrome 8 630

Lita Brother Construction Chrome 3900 36 4930 30562746 120461 16580 1793672

Koxherri Chrome 138471 5 1800 107000 41980

Shkembi Chrome 63882 6 1600 104160 57000 634200

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Cani-1 Chrome 5 708 131017

Ivno 1100 Chrome 17 800

AlbChrome Chrome 605 67655

Marei Chrome 25913 27466

Rakipi Sandstone 2

11 Heronjte Bater Chrome 16440 40 9300 537204 63058 3646613

Koka Chrome 7548 3 6497 903000 3215970

Kejsi Chrome 4400 7 430 31770 20000

Ral Chrome 26711 3 850 1218960 29792 73138

Teodori Chrome 3 400

Dushi Chrome 18300 3 200

Krasta Chrome 59759 7 6950 193561 1184725

Arkev Chrome 13240 4 1550 12400

Fab. E Pasurimit te Cr. Bulqize Chrome 214152 5 1725 10194000

Fab. E Pasurimit te Cr. Bulqize Chrome 59476 5 2320 10079000

Fab. E Pasurimit te Cr. Bulqize Chrome 9557 5 2180 30535000

Fabrika e Pasurimit te Kromir

Bulqize Chrome 2 213,3

25532700

0

1950400

0

Neli Chrome 17 51340

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Gentari Chrome 15 5700 546000

Dushi Chrome 18600 4 300

Lena - 1 Chrome 28761 5 1050 250000 7900

Beni - 06 Chrome 4 1000 134420 27080000 8800000

Erim Chrome 4 210

Algej Chrome 17060 9 1200

Algri Chrome 4 400

Kuinxhiu Chrome 5150 5 200 600000

Bimi Chrome 23995 5 600

Pakti Chrome 37 6656

16976492

0

Egi -K Chrome 1597 2 875 343427 80373 20605$

Kujtim & Lena Chrome 12500 8 600

Ylberi Chrome 10 1350 92720000

Egi -K Chrome 6724 20 4764 958141 24295 57489$

Klervi - Bris Chrome 23 8791,5

13922100

0

Nag-3 Chrome 5508 4 560

Geri's 2002 Chrome 44500 16 820

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Durici Chrome 11995,2 5 150000

Isaku Chrome 27330 65 10043 105340 36000000 4200000 6320400

Bledi Chrome 15600 5 508

Alb - Soni

Ni-Si,

Chrome

Zeneli Chrome 4

Kurti - A Chrome 11 560 2592406

Gerda Chrome 7250 31 1520 162000 18256 265000

Gentari Chrome 400

Drini Bulqize Chrome 4711 90743962

Klervi - Bris Chrome 16 1800 800000

Tollja Chrome 9 3000 60286473

Ylberi Chrome 10 1200 22800000

Ardas Chrome 6600 4 300 1233921

Aki-Leo Chrome 11 3050 2315978

Gjoni Chrome 10095 14 6280 1296498 8424544

Buna-Mat Chrome 300

Kaprolla Chrome 21418 2520 496747 26000 3212400

Comercir Sandstone 2 31997 17411100

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Naim & Mealdi Chrome 22500 6 600

Alb Ieaa Internacional Chrome 19992 66 7857

1597275,7

2 32499 5000$

Ervini Chrome 12884 2

Mara 2011 Chrome 11110 10 1894 396900

Mara 2011 Chrome 17000 13 2686 564060

Egi -K Chrome 722 2 199 37554

Egi -K Chrome 66740 47 7783 851267 21737 51076$

Egi -K Chrome 1597 3 875 343427 80373 20605$

Aris Chrome 90340 62 7000 1209203 43332 7461000

Rami Chrome 4200 350

Zasha Chrome 41554 72 11468 1435928 43474

1025167

9

Kevger Chrome 57 5346 94277459

Geri's 2002 Chrome 25784 16 5090 436447

Brisel Chrome 28257 155 18534 3109000

Ardas Chrome 6600 12 3000 32600 600000

Global Interprise group Chrome 9785 86200 100000

Brother's Funds & Investments Chrome 5

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Krasta Chrome 98804 3 200 23700 1387000

Çupi Group Chrome 35 14420 1915000

Valteri Grand Chrome 3 410 8017276

Brunes Krom Chrome 7 570

Albtani -08 Konstruksin Chrome 81425 6 600

Erli-D Chrome 5 1000

Ternova Chrome Resources Chrome 5 4000

Ra-Krom Tirana Chrome 2400000 41300 846000

Fabrika e Pasurimit te Kromir

Bulqize Chrome 4 420 75000

Ballenja Chrome 3 89

Table 29 –Economic data on companies that operate in Bulqiza area

Source: NANR Report 2014

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5.2.9 CHROME MINERAL RESERVESOF BATER BULQIZA MASSIFS

Field Reserves in ton

Zona D 54.160

Qafë Buall 1.504.000

Batër 730.264

Theken 652.320

Fushë Lopë 108.866

Liqeni i Sopeve 31.069

Maja e Lugut 277.097

Lugu i Gjatë + 10 Korriku 133.850

Krastë + Lugu i Thellë 2.564.137

TOTAL 10.080.507

Table 30- Chrome Mineral Reserves of Bater Bulqiza Massifs

Source: “Sustainable development of mining activities in Albania”- Sokol MATI

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5.3 PATOS MUNICIPALITY

5.3.1 DESCRIPTION

The new Patos Municipality is bounded in north and west with the Fier Municipality, in south with Mallakaster Municipality and in east with Roskovec Municipality. The municipality capital is Patos city.

Patos City is included in Fier District. He is the second largest cityafter Fier, based on the number of residents in the Fier District. Patos City is located in the south-east of Fier City, on the national road Fier-Tepelene. An industrial city established around the year 1949 to accommodate the

workers and engineers employed in the so called "Patos-Marinez Area" (one of the most oil richest area in Albania). Patos is the capital of the oil extraction industry in Albania.

5.3.1.1 GEOGRAPHY

Patos is located 7 km southwest of Fier City lying along the hilly chain which separatesMyzeqe field by the valley of Gjanica River. This hilly chain continues in an arch shape along Fier – Patos street, like a natural amphitheater.He is part of Mallakastra hillswhich continue to the South up to Vjosa river. The area is 82.55 km2.

Their average height is about 200-300 m which comes on decrease toward Patos while dives in Myzeqe field. The highest point of the region is located in the Margellici hillwith quota 320 m above sea level.Before the city to the north and northwest lies Muzeqe field while to the north-east Roskoveci area.

The surface by relief is divided into: Field 718 ha and Hilly 1488 ha. Near the city is Fier – Gjirokaster and Fier – Berat road, which have affected to the region expansion and development.The climate is typically

Mediterranean, with mild winter and hot humid and dry summer.This situation is influenced by marine air masses due to the relatively short distance from the Adriatic Sea (25 km).

On the south and east, the mountainous impede the penetration of cold continental climate.The average annual temperature ranges at 14-15 ° C while January temperatures around 5 ° C. Rainfall occurs mainly in the form of rain and snow is a rare occurrence.During the summer falls just 1/10 of annual rainfallswhich raises the need for

irrigation of the agricultural land.For this reason some artificial lakes were built as a reservoir of Zharrzes, Lalari, Rrozhdies etc.

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5.3.1.2 CULTURE AND SPORTS

The city soccer team is called “Albpetrol”, that has her best achievement in the Albanian final with

“Partizani” team in the season 93'- 94', as well as the participation in the European season 94'- 95 '.

5.3.1.3 ECONOMY

City town began in the year 1949 to accommodate the workers and oil engineers.Oil-bearing basin known as

"Patos-Marinza" is historically the most abundant oil in Albania and today continues to produce vast

majority of crude oil in our country.But despite this, the number of employees in the oil industry of this area

today is lower than before.

For many years the main economic source has been the oil field sector, but after the foreign companies they

have started the operation in the oil marketthe level of employment in this sector has changed, bringing a

greater focus on agronomy and agriculture. According to the existed data, except to the former Zharres

Commune, other areas as Patos and Ruzhdia have as their main economic source the olive cultivation and

trade of its derivatives,which are favored by the hilly landscape on this area.

Further is the private service sector that provides the revenues for the urban area and in recent years they

have started the activity in this local unit and even in the fassone bussiness. Due to the mountainous

landscape in this municipality exists remote areas with the municipal center, their population is significantly

reduced due to the displacement towards urban centers of the country or to neighboring countries.In recent

years, the road infrastructure of the urban area and surrounding villages has been significantly improved,

but of course there is still much work to be done in order to ensure easy transportation of the remote

mountainous areas to the center of the municipality.

Patos Geographical extent and local unit extension makes bigger the local government – municipality

challenges, by combining the needs to meet the Ballsh city problems and those of its rural areas.One of the

main problems frequently identifiedby local residents relates with the Municipality support based on the

conditions for trading their products,mainly olive and olive oil. The promotion of these products that are

characteristic for this area, will certainly grow the planted areas and economy.

One of the most important challenges faced by local government is the cleaning and rehabilitation of many

oil fields abandoned areas and the measures to prevent pollution from existing wells.In this context, the

residents of this municipality have identified as a challenge even the best role of the relations between local

government and the concessionary company that uses oil fields.

Also, another challenge which the local government - municipality will face is the disbursement by central

governmentand well-administration of mineral royalty by oil extraction in this area, and well-administration

of mineral royalty

One of the other challenges identified by the community of this area is related to the establishment and

infrastructure improvement of educational buildings in the area,kindergarten and schools, which will help to

improve the quality of education in the area.

Another aspect that requires local government attention is the increased number of homeless families in

recent years, in support of which must be provided and build social houses.

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5.3.2 POPULATION

According to Census of year 2011, the new Patos Municipality has a number of 22.959 inhabitantswhile in

the civil registry results 42 738 inhabitants.The territory of the new municipality is only 82.5 km2. According

to the civil registry data the population density is 518 people per km2 and based on census population

density is 278.3 inhabitants per km2.

5.3.3 ADMINISTRATIVE UNITS

The municipality consists on 3 administrative units, which are: Patos, Zharez and Ruzhdie. All administrative

units are currently part of Fier Districts and Fier County. The new Municipality has under its administration a

city and 18 villages.

Patos Municipality

Administrative Units Cities and villages in their composition

Patos "Patos City, Villages: Kuqar, Dukas, Reres, Margelliç, Rusinje, Griz, Banaj"

Zharez "Villages: Zharez, Fshat i Ri, Frasher, Verbas, Sheqishte, Beline"

Ruzhdie "Villages: Ruzhdie, Siqece, Gjynaqare, Drenie, Kasnice"

5.3.4 CIVIL SOCIETY

Civil Society activity is covered byorganizations with national or regional character.

5.3.5 SOCIAL – DEMOGRAPHIC STATISTIC OF PATOS REGION AND PATOS MAP

Population Density (resident per km2)

Census 2011 Civil Registry Surface Census 2011 CivilRegistry

Patos 22.959 42.738 82,5 278,29 518,04

Table 31 –Social – Demographic statistic of Patos Region and Patos map

Source: http://zgjedhje2015.reporter.al

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5.3.6 LIST OF COMPANIES THAT OPERATE IN PATOS REGION

Shareholders Licensee Date of

Petroleum Agreements

Area of operations

Website

Albanian

Government Albpetrol August 1993

Patos-

Marinza,

Kucova

Ballsh

Karbunare

www.albpetrol.al

Bankers

Petroleum Ltd.

Bankers

Petroleum

Albania Ltd

July 2004 Patos-

Marinza, www.bankerspetroleum.com

Sherwood

International

Petroleum Ltd

September

2007 Kuçova

Stream Oil &

Gas Ltd.

Albanian Branch

of Stream Oil &

Gas Ltd

(Now

Transatlantic

Petroleum Ltd)

August 2007

Gorisht-

Kocul,

Cakran-

Mollaj,

Ballsh-Hekalit

Delvina

www.streamoilandgas.com;

www.transatlanticpetroleum.co

m

Transoilgroup

AG

Transoil Group -

Dega ne Shqiperi February 2012 Visoka www.transoilgroup.com

Isuf Berberi –

55%

Naim Kasa –

25%

Frank Jurgen

Weise - 20%

PHOENIX

PETROLEUM GAS

Sh.a

August 2013

Amonicë,

Pekish-

Murriz,

Frakullë Gaz,

Panaja,

Povelce,

Divjakë,

Ballaj-

Kryevidh,

Finiq-Karne,

and

Drashovicë

n/a

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55

Name of Subject Nr of permit Date Location Type of mineral

Bejleri Alfa 1748 15.04.2015 Patos Fshat, Fier Sandstone

RAKIPI shpk 718 20.08.2003 Kasnicë, Komuna Ruzhdie, Fier (Njoftim

revokimi.Prot. MEI 4698, dt. 04.08.2014)

Sandstone

Comercir

1356

04.06.2009 Fier, Kasnice Patos Sandstone

Asab

1736

23.12.2014 Patos Zharrez, Fier Conglomerate

Table 32 –List of Companies that operate in Patos Region

Source: EITI Report 2012, 2014 and NANR 2014, Volume II

5.3.7 INVESTMENTS PROJECTS IN PATOS AND FIER COMMUNITY (IN USD)

Region 2012 2013 2014

Fier 150.000 123.193 57.407

Patos 15.850 158.200 62.579

Roskovec 20.000 178.000 39.460

Mbrostar 20.361 264.022 116.627

Portëz 27.000 141.000 68.919

Qendër 75.000 77.555

Zharëz 193.000 129.306

Kuman 55.500 158.000 92.000

Bubullimë 93.000

Topojë-Seman 14.000

Total 288.711 1.397.415 643.853

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Table 33 –Investments projects in Patos and Fier Community (in USD)

Source: Bankers – Project Company Bankers for Communes 2012-2014

5.3.8 PATOS COMMUNITY SUPPORT BY BANKERS

Year Name of the project (community support by Bankers) Amount Total

2012 Reconstruction of the park in the neighborhood "29 May" $15.850 $15.850

2013 Reconstruction of the Pensioners Park in Patos $13.500

2013 Buying water pumps for water supply Patos $3.700

2013 Interlocal General plan $93.000

2013 Partial reconstruction of the stadium in Patos $48.000

$158.200

2014

Reconstruction of the park and school of sport "Hekuran

Maneku" $62.579 $62.579

Table 34 – Patos Community Support by Bankers

Source: Bankers Company

5.3.9 CENTRAL LOCAL UNIT BUDGET

Region 2012 2013 2014 2015

Patos 80.312.000 71.477.000 84.876.000 89.119.000

Table 35 –Central local Unit Budget

Source: Ministry of Finance, DPD

Figure 10. State Budget for the Patos Municipality

0

1000

2000

3000

4000

5000

6000

20122013

20142015

State Budget for the Patos Municipality in mln. Leke

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57

5.3.10 GEOLOGICL RESERVES AND USED, BASED ON THE STUDIES 1985 – 1990 AND ACCUMULATED PRODUCTION UP TO THE YEAR 2014

Oil Field Formation

Reserves in ‘000 ton

Recovery ratio

Cumulative

production

up to 2014

in ‘000 ton

Recovered reserves at 31 December 2014

in ‘000 ton

Geological Recovered

Patos-Marineza Sand Stone 258.394 31.120 12% 25.436 5.684

Table 36 - Geological reserves and used, based on the studies 1985 – 1990 and accumulated production up to the year 2014

Source: EITI Report 2013-2014

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5.4 FUSHE-ARREZ MUNICIPALITY

5.4.1 GENERAL DESCRIPTION

Geographic area: Fushe – Arrez is bounded on the north

with Tropoja Municipality, in the west with Vau i Dejes

Municipality and south-west with Puka and Mirdita

Municipality. On the east is bounded with Kukes

Municipality. The center of this municipality is Fushe

Arres city.

The new Municipality is composed on 5 Administrative

Units: Fushe-Arrez, Fierze, Blerim, Qafe-Mali and Iballe.

All Administrative Units are actually part of Puke District and Shkoder County. The new Municipality has

under its administration a city and 35 villages.

Fushe – Arrez Municipality

Administrative Units

Cities and villages in their composition

Fushe-Arrez "City Fushe-Arrez, Villages: Fushë-Arrez, Miçaj, Lumeardhe"

Fierze "Villages: Fierze, Porav, Bugjon, Kokdode, Arst, Miliska, Mezi, Aprip-Guri"

Blerim "Villages: Flet, Xeth, Kulumri, Trun, Blerim, Dardhe, Qebik"

Qafe-Mali "Villages: Qafe-Mali, Armiraj, Srriqe, Mollkuqe, Lajthize, Lumbardhe, Tuç, Kryezi, Orosh"

Iballe "Villages: Iballe, Sapaç, Levosh, Berishe e Vogel, Berishe Vendi, Berishe e Siperme, Shopel, Mertur"

Source: http://zgjedhje2015.reporter.al

Fushe – Arrez Municipality lies in a mountainous area, with a significant forest area, which for years has

been damaged by people mainly for trade. Forests protection requires emergency intervention.

Fushe – Arrez Municipalityis one of the poorest municipalities in Albania, due to the mountainous terrain

very rugged, bad roads and employment lack.

Natural resources of Fushe Arrez, mostly undergroundexpressed in major mineral reserves are

abundant,while minings are provided with various concessions to Turkish firms for minerals

exploitationswhich did not bring any development in this area.The road infrastructure in this area is poor,

since most of it is amortizednot only in rural axes, but also in national ones.While specific to this area is the

fact that during the winter months most of the municipalities are isolated by snow.

In addition to EU migration, many residents of the mountainous areas of Fushe Arrez have largely moved

towards the capital.

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5.4.2 POPULATION

Based on Census of year 2011, the Municipalityhas a population of 7405 inhabitants.While according to the

Civil Registry, the municipality counts 11 651 inhabitants. The new Municipalitycovers an area of 540.42

km2, with a density of 21.55 inhabitants / km2 according to the Civil Registry and 13,70 inhabitants / km2

according to the 2011 Census.

5.4.3 SOCIAL - DEMOGRAPHIC STATISTICS OF THE REGION

Population Density (resident per km2)

Census 2011 Civil registry Surface Census 2011 Civil Registry

Fushë- Arrëz 7.405 11.651 540,42 13,70 21,55

Table 37 – Population and population density for Fushe Arrez according to the 2011 Census and the Civil Registry

Source: http://zgjedhje2015.reporter.al

5.4.4 LIST OF COMPANIES THAT OPERATE IN FUSHE ARREZ REGION

Nr Name of Subject Nr of

permit

Date Location Type of mineral

1 Beralb Sh.a 1686 07.02.2014 Miniera e Bakrit - Fushë-Arrës

Copper

2 Tirex Explor. 1601 04.01.2013 Fushë-Arrës Copper

3 JAB RESOURCES, shpk

1701 23.05.2014

Komuna Iballe,Rrethi Pukë, Fushë-Arrës

Copper

4 EDLA , Shpk 1720 19.06.2014 Iballë, Rrethi Pukë, Fushë-Arrës

Chrome

Table 38 – List of companies that operate in Fushe Arrezregion

Source:NANR 2014, Volume III

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5.5 HAS MUNICIPALITY

5.5.1 GENERAL DESCRIPTION

Geographic area: Hasi is bounded on the north and west with

Tropoja Municipality, in the south with Kukes Municipality

and on east with Republic of Kosovo.The center of this

municipality is the city of Krume, which was declared as a city

in 1994.

Population: According to Census of year 2011, Hasihas a

population of 16 790 inhabitants. While according to the civil

registry has 21 247 inhabitants. The new Municipality covers

an area of 399.62 km2 with a density of 53.16 inhabitants / km2 according to the Civil Registry and 42.01

inhabitants / km2 according to the 2011 Census.

The municipality consists on 4 administrative units, which are: Kruma, Fajza, Gjinaj and Golaj. All

administrative units are currently part of the Has district and Kukes County. The new municipality has under

its administration a city and 29 villages.

Has Municipality

Administrative Units

Cities and villages in their composition

Krume "Krume City, Villages: Krume, Gajrep, Cahan, Mujaj-Dajç, Zahrisht,"

Fajza "Villages: Fajza, Vranisht, Tregtan, Likeni i Kuq, Metaliaj, Brenoge"

Gjinaj "Villages: Gjinaj, Pusi i Thate, Myç-Has, Domaj, Pogaj, Kishaj"

Golaj "Villages: Golaj, Nikoliq, Bardhaj, Perollaj, Vlahen, Letaj, Peraj, Dobrune, Zgjeç, Qarr, Helshan, Kosturr"

5.5.2 MUNICIPALITY PROFILE

Hasi is an area that survives thanks to the revenuescoming from immigration and agriculture, despite It

possesses considerable mineral resources.

Underground resources of this region have begun to be used in the '30s by the Italians.Until the mid-90s

have operated the minesand copper enrichment factory in Golaj, 6 kilometers from the city of Krume and

several smaller mines, which were employed over 3,000 workers.Not only the residents, but also the

specialists says that the underground part is not yet affected. For copper mineral are distinguishedNikoliq

Golaj area, Krume and Zahrisht in Has District.

Has is a border area, where some residents cross the border regularly for employment or education in the

area of Gjakova in Kosovo,where are found the province cultural, historical and economy connections.The

landscape of the area lies about 300 meters above sea level to high mountains of Gajrepit, Pashtrikut and

Maja e Kunores, that are located at heights of 1400-1900 meters above sea level.

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Hasi is also found in the mountain resort path Theth-Valbone-Kukesand rural or mountain tourism can be a

good economic prospects for the area. Hasiis known as ethnographic provincewith a long craft traditionin

wool products worked with taste and for the bakters.Agricultural land available for residents of the area was

significantly reduced after the construction of Fierza hydropower, which flooded several valleys and villages.

5.5.3 EXPLOITATION MINING PERMITS OF HAS DISTRICT

Mining permits according to the mineral type of Has District:

Mineral Type Permitions Number

Copper 1 Fe-Ni & Ni-Si 2 Chrome 21 Limestone 1

Total 25

Source: NANR 2014, Volume III

5.5.4LIST OF COMPANIES THAT OPERATE IN HAS REGION

Nr Name of Subject

Nr of permit Date Location Type of mineral

1 234 29.12.1995 BLEDI shpk Qafe Prushit, Nr.3( Ndryshuar administratori me Urdhër Nr.456, dt31.03.2012)

Chrome

2 290 01.07.1996 AG.CAHANI shpk Gajrep (Proces Revokimi Prot. MEI 6065/1, dt 13.11.2014)

Chrome

3 291 01.07.1996 NEZA shpk Perollaj (Proces Revokimi Prot. MEI 6044/1, dt 13.11.2014)

Chrome

4 413 27.05.1998 FLORIDA shpk Qafe Prush 5 Chrome

5 645 27.08.2001 VLLAZËRIA MINERAL ALBANIA, Shpk

Qafa e Perrollajt(Ndryshuar emri me A. Mirat.1615, dt 25.02.2013)

Chrome

6 687/1 22.05.2013 VELLAZERIA shpk Obj Krume, rrethi Has, qarku Kukes.

Limestone

7 769 28.06.2004 NEZA - 2004 shpk Miniera Vllahen, profili XXV-XXV deri XLII-XLII, Horizonti +650, +700dhe +730

Chrome

8 1340 11.05.2009 INFO METAL PLAST -AL, shpk Bregu i Skatines - dalja1 Chrome

9 1346 20.05.2009 ELIDON 06, shpk Vllahna Lindore Chrome

10 1347 20.05.2009 AFRIMI, shpk Gajrep Chrome

11 1405 31.08.2009 EMMA CHROM 2011, shpk Vllahna Veriore, rrethi Has(Trasferuar me Akt-Miratim Nr 1581, Dt.12.10.2012)

Chrome

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12 1452 22.02.2010 INFO METAL PLAST -AL, shpk Gjinaj- Domaj Fe-Ni

13 1468 29.04.2010 CAHANI, shpk Objekti Gajrep Chrome

14 1492 25.08.2010 VLLAZËRIA MINERALS ALBANIA , shpk

" Livadhi i Kokës ".(Trasferuar me Akt-Miratim Nr. 1614, dt 25.02.2013)

Chrome

15 1534 23.02.2011 AFRIMI K, shpk Objekti Cahan, Vendoset ne afersi te rruges automobilistike Krume-Cahan

Ni-Si

16 1584/1 31.12.2013 BLERIMI KOSTURR-2010 , sh. P. k.

Objekti Zylfaj, Has Copper

17 1610 23.01.2013 VELLAZERIA shpk Objekti Gajrep, krume, Has Chrome

18 1622 03.04.2013 EMMA CHROM 2011, shpk Objekti kromit "Vlahna" komuna Golaj, rrethi Has, qarku kukes

Chrome

19 1629 30.05.2013 BLERIMI KOSTUR 2010;Sh.p.k

Macaj - Perrollaj, rrethi Has Chrome

20 1636 20.06.2013 BLERIMI KOSTUR 2010;Sh.p.k

Kosturr, has Chrome

21 1649 30.07.2013 ILLYRIA MINERALS INDUSTRY, Sh.a

Miniera Vlahën (Proces Revokimi Shkres e MEI, Nr Prot.3281/2, dt.23.07.2014)

Chrome

22 1668 06.09.2013 CAHANI, Sh.p.k Vlahna, Komuna Golaj Chrome

23 1705 23.05.2014 BLERIMI KOSTUR 2010;Sh.p.k

Vlahnë Chrome

24 1721 19.06.2014 BLERIMI KOSTURR 2010, Shpk

Gezhimë, Rrethi Has Chrome

25 1725 10.09.2014 MINING FERRO NIKEL, Sh.p.k Qafa e Gomurit, Has Chrome

Table 39 – List of Companies that operate in Has Region

Source: NANR 2014, Volume III

5.6 PERRENJAS MUNICIPALITY

5.6.1 GENERAL DESCRIPTION

Geographic area: Perrenjas is bounded in the north with

Librazhd Municipality, in the east with the Republic of

Macedonia, in the south with Pogradec Municipality and in

the west with Elbasan Municipality. Municipality's capital is

Perrenjas city.

According to Census of year 2011, Perrenjas has a population

of 24.906 inhabitants. While according to the Civil Registry,

the municipality has 33 031 inhabitants.The new municipality

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covers an area of 322.95 km2. According to the census, the population density is 77 inhabitants / km2 and

according to civil registry density is 102.279 inhabitants / km2.

This Municipality consists on 4 administrative units, which are: Perrenjas, Qukes, Rrajce and Stravaj. All

administrative units are actually part of Librazhd District and Elbasan County. The new Municipality has

under its administration a city and 25 villages.

Prrenjas Municipality

Administrative

Units Cities and villages in their composition

Prrenjas "Prrenjas City, Villages: Prrenjas-Fshat, Rrashtan"

Qukes "Villages: Qukes Shkumbin, Qukes Skënderbej, Skroske, Menik, Gurre, Berzeshte, Fanje,

Karkavec, Dritaj, Pishkash, Pishkash Veri"

Rrajce "Villages: Rrajce, Sutaj, Skenderbej, Bardhaj, Katjel, Kotodesh, Urake"

Stravaj "Villages: Stravaj, Stranik, Farret, Shqiponjë, Sopot"

5.6.2 MUNICIPALITY PROFILE

The new Perrenjas Municipality includes numerous forest area and abundant hydropower resources and a

fertile field. Subsoil is rich in chrome, while this mineral is currently exploited in two of the new municipality

villages.

Areas of Rrajca, Qukes and Stravajt have the largest area of forest in this area.However, inapproproate

utilization during the past two decades has damaged the forests on a large scale.

The new Perrenjas Municipality has a favorable geographical position, because it is situated near two

customs places very close to Macedonia.But this advantage has not been used so far for entrepreneurship

promotion and working positions increasment.During the transition period, in this area have missed the

development strategies.However, immigration in Perrenjas area was not higher.This has happened because

many local residents have chosen seasonal employment in Macedonia,with the revenues of which a good

part of the population has survived.

In the whole new Municipality have been registered 234 businesses, which carry out their activities mainly in

services. A small part of the business deal with the cultivation of trout.

Perrenjas Municipality has unused potentialsfor nature tourism. With the rich history of Rrajca area, where

the rock Skanderbeg is located and the legend about his Sofra, the areacould return into a destination for

domestic and foreign visitors.

Rich etnography with the characteristics songs and dances will help for this purpose, but the lack of road

infrastructure makes these resources inaccessible for the tourists.

5.6.2.1 FLORA

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1857 spontaneous species, vascular, which represent 58% of the Albanian flora or 16% of European Flora

align Librazhd in one of the richest regions of the country with different plant species. All kind of plants are

founds and they occupies about 72% of the Librazhd District territory.

5.6.2.2 ECONOMY

Perrenjas City has a lot of mineral assets and they have constructed mines for their processinglike that of

iron – nickel in Perrenjas - Village,Nickel – Silicate Mines in Pishkash, and the mining sector in Bushtrica and

Skroska.In the early 90s has been developed even the private sector which has a great importance in small

businesses mainly in the service sector, farming, agriculture and also in forests use.

5.6.3 LIST OF COMPANIES THAT OPERATE IN PRRENJAS REGION

Table 40 – List of Companies that operate in Prrenjas region

Source: NANR 2014, Volume III

5.6.2.2 SPORT

Football is the widespread sport in Perrenjas city. The club of this city and the football teams of different age

groups are named Domosdova.

Nr Name of Subject

Nr of Permit

Date Location Type of mineral

1 Kurum International sha

1307

28.01.2009 Librazhd Perrenjas (Proces revokimi prot. MEI, Nr.7007, dt.27.11.2014)

Fe-Ni

2 Miniera e Kromit Katjel

1335 15.04.2009 Librazhd, Katjel, Prrenjas Chrome

3 O.L.I.A 1614/1

25.04.2014 Librazhd Ligata e Merise & Gjashtelise, Rajce, Prrenjas

Chrome

4 Victoria Invest Internacional

1673

06.09.2013 Elbasan Katjel, Bashkia Prrenjas, Librazhd

Chrome

5 "MINING FERRO NICKEL KATJEL" Sh.p.k

711 10.07.2003 Komuna Rajcë, Prrenjas, Librazhd

Ni - Si

6 “KROMOLLARI” Sh.p.k

771/1 03.12.2014 Komuna Rajcë, Prrenjas Limestone

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5.7 PUKA MUNICIPALITY

5.7.1 GENERAL DATA

Puka Municipalityis the administrative center of Puka District in Shkoder County, which lies in a rugged mountainous terrain at an altitude of 780-850m above sea level.

Geographic area: Puka is bounded in the north and west with Vau Deja Municipality, in the east with Fushe Arrez Municipality and in the south with the Mirdita and Lezha Municipality. The center of this municipality is the city of Puka.

Population: According to the Census of year 2011, Puka Municipality has 11.069 inhabitants. While according to the Civil Registry in this municipality are 16,836 inhabitants.It has an area of 505.53 km2 with a density of 33.30 inhabitants / km2 according to the Civil Registry and 21.89 inhabitants / km2 according to the 2011 Census.

This municipality consists on 5 administrative units, which are: Puka, Gjegjani, Rrape, Qelez and Qerret. All administrative units are currently part of Puka and Shkodra District. The new municipality has under its administration a city and 41 villages. The full list of cities and villages in this municipality is given as follows:

Puka Municipality

Administrative

Unit Cities and villages in their composition

Puke "Puka City, Villages: Puke, Lajthize"

Gjegjan "Villages: Dom, Gjegjan, Gojan i Vogël, Rras, Kuzhnen, Gojan i Madh, Shkoze, Kimez,

Kalivare, Mesul"

Rrape "Villages: Breg, Rrapë, Kabash, Buhot, Bicaj, Blinisht, Lumzi, Meçe"

Qelez "Villages: Qelez, Bushat, Dushneze, Midhe, Buzhale, Dedaj, Levrushk, Ukth, Qerret i

Vogel"

Qerret "Villages: Qerret, Luf, Dush, Karme, Kçire, Luf-Plan, Korthpule, Kaftall, Tejkoder,

Gomsiqe, Vrith, Plet"

5.7.2 MUNICIPALITY PROFILE

Puka municipality is one of the richest mining areas in the country, which also possesses a significant forest

area. However, forest Inappropriate cutting has caused not a few problems for this area.

The mining closure or their giving in concession has increased the number of unemployed in Puka, turning

the poverty in an acute problem for local residents.Because of it, a good part of the population has migrated

to the Middle Albania or abroad. Revenues from emigration are an important subsistence source for the

municipality.For years, in this area have missed significant investments, while Durres-Kukes road has further

isolated Puka Municipality.

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Puka mountainous terrain is very suitable for development of mountain tourism; besides assets and natural

resources with great economic value located within Puka territory, natural forests, medicinal plants, mining

underground resources.

Over recent years, a small number of tourists have returned to Puka due to the opening of a ski place and

construction of several guesthouses. However, their number remains low.

A problem for Puka Municipality remains the winter season, where blocking roads from snowisolates a good

part of the area and creates difficulties for the residents life.

Private mining activity, in Puka District has started in the year 1995 and now, there are active and registered

18 subjects, of which 8 license operate in the exploitation of copper mineral,

6 licenses are for the chrome use, 1 license for kaolin mineral, 1 license for volcano construction materials, 1

permission for tractolities and a license for limestone.

In the former copper mines Tuç, Qafe Bari, Paluce, Lak Rrosh and Fushe – Arrez, are given mining permits for

the copper mineral exploitation for the company “Beralb” JSC.

5.5.4 EXPLOITATION MINING PERMITS OF PUKA DISTRICT

Mining permits according to the mineral type of Puka District:

Mineral Type Permitions Number

Copper 8 Kaolin 1 Chrome 6 Limestone 1 Volcano Construction

1

Troctolite 1

Total 18

Source: NANR 2014, Volume III

5.7.3 LIST OF COMPANIES THAT OPERATE IN PUKA REGION

Nr Name of Subject Nr of Permit Date Location Type of mineral

1 OSKEOLA, shpk. 223 18.12.1995 Vrrith, Pukë(Transferimi I lejes me Akt- Miratimin Nr.1638, dt 20.06.2013)

Chrome

2 FAB. PAS. KROMIT BULQIZE, sh.p.k

411 21.05.1998 Kotece Chrome

3 BERALBA sh.a 642 27.08.2001 Lak Roshi (Ndryshuar sipërfaqia me Urdh. Ministr. Nr

Copper

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203/23.05.2014)

4 BERALBA sh.a 643 27.08.2001 Munelle (Ndryshuar sipërfaqia me Urdh. Ministr. Nr. 202/23.05.2014)

Copper

5 VLLAZNIMI DEDA IMP- EKSP, sh.p.k

1116 13.12.2007 Fusha e Madhe - Mali i Terbunit

Chrome

6 OSKEOLA , shpk 1312 02.02.2009 Shtraze1 dhe Shtraze2 (Ndryshuar Administr.mr shkr MEI Prot. 1286/1, dt 19.03.2014)

Chrome

7 GRANITI, shpk 1420 11.09.2009 Fushe Laje Tractolities

8 DONAJ, shpk 1481 14.07.2010 Korthpulë, Pukë Kaolin

9 BERALB, sh.a 1555 22.02.2012 Karma 2, rrethi Puke, qarku Shkoder

Copper

10 BERALB, Sh.a 1684 07.02.2014 Miniera e Bakrit Qaf Bari Copper

11 BERALB, Sh.a 1685 07.02.2014 Miniera e Bakrit Tuç Copper

13 BERALB, sh.a 1687 07.02.2014 Miniera e Bakrit Palucë Copper

14 BERALB, Sh a 1689 13.03.2014 Objekti Munellë Tectonic

16 KOKA, shpk 1716 09.06.2014 Objekti "Race",Rrethi Puke,Qarku Shkoder

Chrome

17 DRINI-1, shpk 1717 09.06.2014 Qerret,Pukë Limestone

Table 41-List of Companies that operate in Puka District

Source: NANR 2014, Volume III

5.7.4INVESTMENT PROJECTS IN PUKA MUNICIPALITY

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Year Investment Description Amount Investor

2011 Improvement of the road

pavement sidewalks and

greenery on the Museum

Quarter "Migjeni"

5.700.000 lek DLDP program with financial support from the

Swiss Government

2011 Improvement of street paving

sidewalks and greenery after 5-

storey neighborhood

70.000 USD Program UNDP / ART GOLD 2 with financial

support from the Italian Government

2011 Investment in planting acacia

forests, chestnut and nuts

8.839.313 lek Investments from State Budget

2012 Reconstruction of the main road

Puke City with pavement

lighting asphalt, gardens etc

83.596.363 lek Invested by the State Budget Regional

Development Fund

2012-

2013

Purchase of Urban waste

container and organization of

inter-clearance scheme

100.000 euro DLDP program with financial support from the Swiss Government

2012 Rehabilitation of the field of

waste management in the field

of Qarri

2.376.156 lek DLDP program with financial support from the

Swiss Government

2012 Reconstruction of the road of

Lajthiza

2.485.197 lek Municipality Puke

2012 Reconstruction of the school “Migjeni: 12 260 911 leke

The state budget- Regions Development Fund

2013 The rehabilitation of the former field of urban waste at Stadium

300.000 lek ABC Foundation

2013 Reconstruction of the neighborhood to the former station

3.370.538 lek Municipality Puke

2013 Reconstruction of the martyrs cemetery 800.000 lek

Municipality Puke

2013 Construction of the new Children's Nursery 60.000 dollars

Ms.Marjana Graf

Table 42 – Investment projects in Puka Municipality

Source: http://zgjedhje2015.reporter.al

5.8 SELENICA MUNICIPALITY

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5.8.1 GENERAL DESCRIPTION

Geographic area: Selenica Municipality is bounded in the north with Fier Municipality, in the east with Mallakaster Municipality, Tepelena and Memaliaj, and in the south with Himara Municipality and in the west with Vlora Municipality. The capital of the municipality is the city of Selenica.

Population:According to the Census of year 2011, the area of the new municipality Selenica has a population of 18 476 inhabitants, while in the Civil Registry results in 35 793 inhabitants.The big difference between the numbers

of civil registry and census indicates a high degree of migration. The new Municipality has an area of 561, 24 km2.According to census data, the new municipality has a density of 32 inhabitants per square kilometer 9 and according to civil registry, the density is 63, 77 inhabitants / km2.

This Municipality consists on 6 administrative units, which are: Selenica, Armen, Vllahina, Kote, Sevaster and Brataj. All administrative units are currently part of Vlora District and the Vlora region. The new municipality has under its administration a city and 47 villages.

Selenica Municipality

Administrative

Units Cities and villages in their composition

Selenica Selenica City

Armen "Villages: Armen, Karbunare, Rromes, Treblove, Lubonje, Picar, Mesarak"

Vllahine "Villages: Vllahine, Kocul, Mertiraj, Rexhepaj, Haderaj, Mallkeq, Gernec, Pete, Kropisht,

Vezhdanisht, Peshkopi, Penkove"

Kote "Villages: Kote, Gumenice, Hysoverdhe, Lapardha, Mavrove, Mazhar, Vajze, Vodice,

Shkalle Mavrove, Drashovice"

Sevaster "Villages: Sevaster, Golimbas, Dushkarak, Shkoze, Mazhar, Ploçe, Lezhan, Amonice"

Brataj "Villages: Brataj, Lepenice, Gjorm, Velçe, Ramice, Mesaplik, Matogjin, Bashaj, Vermik,

Malas"

5.8.2 MUNICIPALITY PROFILE

The new municipality of Selenica lies in a hilly area on the left coast of Vjosa River and along Shushica River.

The new municipality has on its territory the historical mine of bitumen in Selenica, where are hired even

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the residents of nearby villages, as well as the area's oil of Vllahina where oil is toward the exhaustion,

leaving behind a large contaminated area.

The new municipality consists on several municipalities that do not have organic links with Selenica city, and

are not directly related to the road of this city, making difficult in this way the communication between

them.

Agriculture and farming is the main economic activity of the new municipality, the population of which is

based exclusively on remittances from emigration to ensure its incomes.

As agricultural area, the new municipality is closely linked with the city of Vlora, as an important market for

its products.

5.8.2.1 DATA ON SELENICA MINERALS

Geologically Selenica mine and oil and gas of this area are related by study and research for oil and gas

retention, the initial geological descriptions by L.Madalena (Sulla geologia di Petroli Albanesi” dating since

from 1868, with Coquand author which describes the mining of bitumen Selenica, the gas signs that appear

around the area and around the mine.

Exploitation beginning of bitumen sources in Selenica is premature, more than 2000 years before, but its

exploitation in an organized manner, starting in 1870, when for the first time it was given in concession to a

British Company. In August 1886 the concession passed to the Ottoman Bank in Kostandinopoja. In

September 1891 the concession passed to the FRENCH bitumen Company, with headquarter in Paris. During

the period 1914 – 1916, exploitation works in the mine were suspended because of the war. During the

period 1916 – 1920 the mine was controlled by the Italian army that has also used it.

In the year 1920 the concession passed to the Italian company S.I.M.S.A. Starting from June 1945 and up to

October 1996, the mine was exploited by the Albanian State. In October 1996, the main part of shares (70%)

of the company "Bitumi" JSC were privatized by the Company VEFA ltd and in February 2001, the company

shares of “Bitumi” JSC were 100% privatized by the French Company K.L.P. Industries that established in

Albania according the Albanian right the Company “SELENICË BITUMI" JSC which currently develops mineral

extracting and processing activities in the bitumen place in Selenica.

So, the mine of Selenica bitumen, over the years has provided a valuable contribution to the development of

the mining industry in Albania and the country's economic development. With her history, it reflects

precious historical value, the value of developing market economy (capitalism), strike movement values and

big economic values.

From February 2001 and ongoing, the main part of the oilfield where is part the existing mines (vertical well)

is used by the company "Selenica Bitumi" JSCwhich owns 100% of the assets of the former company

"Bitumi" JSC (bitumen mine in Selenica) which is equipped with exploitation permit for extraction of natural

bitumen reserves and bituminous gravel in an area of 1.7 km2 and vertical from the surface to the depth of

the source and from the other French Company"

Mineral Bitumen" ltd equipped with exploitation permit for quarry extraction of natural bitumen reserves

and bituminous gravel (Technological losses) on areas previously used with underground workings.

For the use of the mineral deposit, are given even some other exploitation permits with limited surfaces for

extraction of the mineral reserves in areas previously used with underground workings located on the

southern border of the oilf field, close to the surface.

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In Albania, the bitumen mine in Selencia or the trade Company "Bitumi" JSCis the only one that has included

in her shares the mining assets (Mineral capital works, underground and surface technology, enrichment

factories, buildings, warehouses, offices, factories and all the other infrastructure.

5.8.3 LIST OF COMPANIES THAT OPERATE IN SELENICA REGION

Nr Name of Subject Nr of Permit Date Location Type of mineral

1 B$AD Construction 1753 15.05.2015 Selenicë, Vlorë

Bituminous gravel + Bitumen

2 Beat Generation 1754 21.05.2015 Selenicë, Vlorë

Bituminous gravel + Bitumen

3 SELENICE BITUMI , shpk 355 17.06.1997 Selenicë Bituminous gravel

4 TILI INERT Sh p k 1115 12.12.2007 Resulaj, Selenice

Bituminous gravel

5 NACIONAL, shpk 594/1 26.01.2012 Drashovicë, Vlorë

Limestone

6 ALBITOIL shpk 641 16.08.2001 Treblove, Bituminous gravel + Bitumen

7 HEAVY INDUSTRIES, shpk 1496/2 10.07.2013 Treblove, Romes, Vlorë (Shnderrim nga Leje K-Z me Akt- Mirat 1496/2 dt 10.07.2013)

Bituminous sands

8 HEAVY INDUSTRIES, shpk 1496/3 20.11.2014 Treblove, Romes, Vlorë (Shnderrim nga Leje K-Z me Akt- Mirat 1496/2 dt 10.07.2013)

Bituminous sands

9 ALB- INDUSTRI, shpk 1644 02.07.2013 Selenicë Bituminous gravel

10 “ MINERAL BITUMI ” Sh.p.k

1371 22.06.2009 Selenicë Bituminous gravel + Bitumen

Table 43 – List of Companies that operate in Selenica Region

Source: NANR 2014, Volume III and EITI 2013-2014

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5.9 SKRAPAR MUNICIPALITY

5.9.1 GENERAL DATA

Geographic area: Skrapar is bounded in the north with Gramsh Municipality, in the west with Berat and Poliçan Muncipality, in the south-west with Kelcyre Municipality and in the south with Permet Municipality and in the east with Maliq and Korca Municipality. The municipality capital is the city of Corovoda.

Population: According to the Census of the year 2011, this municipality counts 12,403 inhabitants, while according to the Civil

Registry it counts a population of 19 072 inhabitants.The new municipality has a considerable area of 831, 44 km2. According to the census, the population density is 15 inhabitants / km2 and according to civil registry density is 22, 93 inhabitants / km2.

This municipality consists on 8 administrative units, which are: Çorovoda, Qender Skrapar, Bogova, Vendreshe, Çepan, Potom, Leshnje, Gjerbes and Zhepa.All administrative units are currently part of Skrapar district and part of Berat County. The new municipality has under its administration a city and 106 villages.

Skrapar Municipality

Administrative

Units Cities and villages in their composition

Çorovode Çorovode City

Skrapar center

"Villages: Zogas, Kalanjas, Dhores, Veseshte, Polene, Osoje, Grepcke, Liqeth, Rehovice,

Orizaj, Cerove, Veleshnje, Nishice, Sharove, Çerenisht, Buzuq, Munushtir, Radesh, Korite,

Mollas, Gradec, Vërzhezhe, Slatinje, Strore"

Bogove "Villages: Bogove, Kakruke, Dobrushe, Perparim, Bargullas, Novaj, Nishove, Jaupas, Selan"

Vëndreshe "Villages: Lavdar, Spathare, Therepel, Vale, Vendreshe e Madhe 1, Vendreshë e Vogël 2,

Vëndreshe e Malit 3, Ibro"

Çepan "Villages: Çepan, Muzhake, Rog, Zaberzan i Ri, Zaberzan, Blezencke, Malind, Muzhencke,

Sevran i madh, Sevran i Vogël, Qeshibes, Strenec, Kakos, Prishte"

Potom "Villages: Potom, Gjergjove, Koprencke, Germenj, Visocke, Qafe, Helmes, Backe, Melske,

Nikollare, Dyrmish, Staravecke"

Leshnje "Villages: Turbohove, Kapinove, Kraste, Krushove, Faqekuq, Gostencke, Leshnje, Vlushe,

Bersake"

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Skrapar Municipality

Administrative

Units Cities and villages in their composition

Gjerbes "Villages Melove, Zaloshnje, Gjerbes, Ujanik, Gradec, Straficke, Vishanj, Barçi 1, Barçi 2,

Kuç, Rehove, Gramsh, Gjogovice, Floq"

Zhepe "Villages: Greve, Posten, Kovaçanj, Gurazez, Çorrotat, Cerice, Zhepe, Leskove, Trebel,

Duncke, Rromas, Terrovë, Dobrenj, Buranj, Luadh, Shpatanj"

5.9.2 MUNICIPALITY PROFILE

The new municipality of Skrapar has a rugged mountainous relief, which has a very wide area and low

population. The population of the area has decreased significantly over the last decade by the residents’

departures to big cities in Albania or in emigration. Çorovoda city lost more than 40 percent of the

population between 2001 and 2011, while many communes have lost over half of the population.

Lack of perspective, namely the job places, has made possible for the city residents to settle to the big cities

for a better future for their children, and residents of remote areas have left toward Çorovoda city as a

result of the lack of roads and doctors in their villages. The main problem for Çorovoda residents has been

the difficult situation of the national highway Skrapar-Berat.

Skrapar as the main source has her incomes that come from farming and agriculture, highly-regarded

products in domestic markets, among the best known as the cheese and Skrapar raki. Recently, to the

Skrapar city is added the hope for the tourism development. Skrapar canyons are attracting more and more

the attention of foreign and domestic visitors.

Over 20 thousand visitors are thought to have affected this natural beauty in the last four years. Religious

tourism is another resource of this area. Thousands of visitors visit Skrapar every year during the Bektashi

holiday and during the pilgrimage days of August. But, this tourism resource is prevented by the road poor

condition ne Gjerba Village, where the visitors must travel to the holy Mount of Tomor.

Tomori National Park is another very important resource of the area, still not in the service of mountain

tourism, as a result of infrastructure and services lack. The Municipal Union Bogova with Skrapar, gives to

the new municipality another option for the tourism development. The water that flows from the heart of

the mountain, lovely hills, favorable climate and delicious food, give to the area very positive elements for

the nature tourism development. Unlike the rest of the district, from Bogova there were no large population

movements. The whole village lives with family tourism revenues. Part of this municipality is Novaj village,

known for her decorative stone.

Private mining activity in the district of Skrapar, started in 2001 and up to December 2014 have been active

25 mineral exploitation permits.

In the district of Skrapar, the mining activity is developed in two areas, namely; in Novaj where it is worked

to extract limestone slabs and Milova area in the extraction of massive limestone.

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5.9.3 EXPLOITATION MINING PERMITS, SKRAPAR DISTRICT

Type of mineral Permit Number

Marbled limestone 7

Massive limestone 2

Calcareous slab 9

Limestone 6

Sandy slab 1

Total 25

Source: NANR 2014, Volume III

5.9.4LIST OF COMPANIES THAT OPERATE IN SKRAPAR REGION

Nr. Nr i lejes Data e marrjes së lejes

Emri i subjektit

Rrethi Emertimi i vendburimit

Lloji i Mineralit

1 656/1 19.06.2014 GOREZI, shpk,

Skrapar Novaj Limestone

2 705/1 03.04.2013 KLERAJDI, shpk

Skrapar Mali I Tomorrit, Rrasa e Novajt

Limestone

3 766/1 29.10.2014 ALION, shpk

Skrapar Novaj, Mali I Tomorrit

Limestone

4 801 22.09.2004 GERI - 01, shpk

Skrapar Novaj Limestone

5 862/1 26.05.2005 STONE PRODUCTION, shpk

Skrapar Melove, Marbled limestone

6 938 18.04.2006 GURI I BARDHE, shpk

Skrapar Novaj Limestone

7 970 06.09.2006 FLORI, shpk Skrapar Milove Limestone

8 1017 11.05.2007 Qato-01, shpk

Skrapar Novaj Limestone

9 1035 04.07.2007 Zotaj - Z, shpk

Skrapar Novaj (gelqeror pllakor)

Limestone

10 1052 03.08.2007 Pietra, shpk

Skrapar Novaj (gelqeror Pllakor)

Limestone

11 1059 03.08.2007 Malendi, shpk

Skrapar Novaj (gelqeror pllakor)

Limestone

12 1062 03.08.2007 Frali, shpk Skrapar Novaj (Gelqeror Pllakor)

Limestone

13 1233/1 16.09.2008 Asmida, Skrapar Kapinovë Limestone

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shpk

14 1293 19.12.2008 Emiliano, shpk

Skrapar Pylli i Races-Novaj

Limestone

15 1367 18.06.2009 Xhuljano 08, shpk

Skrapar Novaj Limestone

16 1428 11.09.2009 Igli 07, shpk

Skrapar Novaj, Skrapar Limestone

17 1437 16,09,2009 D.K.S Group, shpk

Skrapar Vala (Ustia), Polican

Sandy slab

18 1449 25.01.2010 Melove, shpk

Skrapar Melova Marbled limestone

19 1548 27.06.2011 TOPI EKI, shpk

Skrapar Afer fshatit milove dhe Zaloshnje

Marbled limestone

20 1573 25.07.2013 LED- BJON, Sh.p.k

Skrapar Novaj Limestone

21 1617 19.03.2013 Zaloshnja Fiorentino, shpk

Skrapar Fshati Zaloshnje, komuna Gjerbes,

Marbled limestone

22 1652 07.08.2013 WHITE STONE, Sh.p.k

Skrapar Milove, Rrethi Skrapar

Marbled limestone

23 1656 16.08.2013 Vellezerit Hazisllari, Sh.p.k

Skrapar Melove Marbled limestone

24 1661/1 06.11.2014 Topi- Eki Shpk

Skrapar Objekti Mëlovë Massive Limestone

25 1719 12.06.2014 Dobrushi 2010, Sh.p.k

Skrapar Dorez, Skrapar Sandy slab

Table 44 –List of Companies that operate in Skrapar Region

Source: NANR 2014, Volume III

5.10 VAU I DEJES MUNICIPALITY

5.10.1 GENERAL DESCRIPTION

Geographic area: Vau I Dejes Municipality is

bounded in the north and west with Shkodra

Municipality, in the east with Fushe Arrez

Municipality and in the south with Puka and Lezha

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Municipality. The capital of this Municipality is Vau I Dejes City.

Population:According to the Census of year 2011 has a population of 30 438 inhabitants. While according to

the Civil Registry, the municipality counts 48 966 inhabitants. The new municipality has an area of 499, 09

km2 with a density of 98, 11 inhabitants / km2.

This municipality consists on 6 administrative units, which are: Vau Dejes, Bushat, Vig-Mnele, Hajmel, Temal,

Shllak. All administrative units are currently part of the Shkodra district and part of the same county. The

new municipality has under its administration a town and 47 villages.

Vau – Dejes Municipality

Administrative

Units Cities and villages in their composition

Vau-Dejes "Vau Dejes City, Villages: Mjede, Spathare, Shelqet, Kaç, Naraç, Dush, Karmë, Gomsiqe"

Bushat "Villages: Bushat, Shkjezë, Plezhe, Kosmaç, Stajke, Ashte, Rranxa, Fshat i Ri, Mali i Jushit,

Plepan-Konaj, Melgush, Barbullush, Kukel, Hoten"

Vig-Mnele "Villages: Mnele e Madhe, Mnele e Vogel, Vig"

Hajmel "Villages: Hajmel, Dheu i Lehtë, Pistull, Paçram, Nenshate"

Temal "Villages: Koman, Qerret, Arre, Vile, Telum, Kllogjen, Malagji-Kajvall, Toplane, Serme,

Gushte"

Shllak "Villages: Vukjakaj-Gegaj, Palaj-Gushaj, Bene, Kroni i Madh, Barcolle, Vukaj, Uk-Bibaj"

5.10.2 MUNICIPALITY PROFILE

Vau Dejes Municipality expands with 5 Communes, which deals mainly with agriculture, while the area has considerable water resources. There is located Vau Dejes Hydropower and HPP Ashta 1 and Ashta 2, built with private concession in recent years.

Bushat Commune, which is added to the new municipality is an area known for its agricultural products and has not a small activity in the export of vegetables. On the other hand, Shllak and Temal Communes are located on the other side of Vau DejaLakeand with no historical connection with the new municipality.These two municipalities are particularly poor with land, because a considerable part of them is flooded by the Vau Deja Lake.

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Before the 90s, most of the residents in Vau Deja They worked in hydro plants, in the copper factory as well as agricultural copperatives.While the current economic development relies mainly on small service businesses, which are located mainly in the city of Vau Deja.

The unemployment rate is high, so a large part of the population is found in emigration, mainly in the states of Italy and Greece.Unique for this municipality is the existence of significant surface water, where dominates Vau Deja Hydropower lake, Drin river that continues in his old bed since the obstacles of Hydropower dam and Gjader river which is disconnected from the first river, about 1 km southeast of Vau Deja city.The great water wealth makes the area impacted by the floods.

Natural tourism development is a growth opportunity in this area, as in Vau Deja Lake are found the castles and the oldest church in the Balkans, which still today bear the historical and archaeological value.

Vau Deja Lakecan also turn in an important tourist resource, it the transport is returned for tourist purposes from Vau Deja to Koman.

5.10.3 VAU DEJES HYDROPOWER

Vau Deja is the first hydropower built over Drin River and located in the northwest part of Albania, downstream the Drin river, in Vau Deja Gorge, about 18 km from the city of Shkodra. Given that Vau Deja is the lowest hydropower with dam and lake on the Drin cascade,its importance apart from the electricity production, related also with the impact that Vau Deja Lake has in the lowland of Shkodra.Water discharges from the lakehave major impact in the floods that occur in the lowlands of Lezha and Shkodra.The works for its construction began in 1967.This plant is put into operation in two phases: Ag. 1, 2 and 3 in 1970, while Ag. 4 & 5 in 1975.

5.10.3.1 TECHNICAL INDICATORS

The works for its construction began in 1967. The plant was put into operation in two phases: Ag. 1, 2 and 3

in 1970, while Ag. 4 & 5 in 1975. Vau Deja HPP is the type with dam and lake. To create the Vau Deja lake are

constructed 3 particular dams:

Qyrsaqi Dam, with height 46.4m and length 440m is the type of;partially gravitational of concrete and

partially filled with limestone material. In the Dam concrete part are set 4 surface dumpers with radial gates,

and the receipt work with two gates and segments from where arise 5 water flow pipelines in the plant

aggregates. A maximum discharge capacity is 3500 m3 / s and water processing capacity in aggregate is 4 X

113 m3 / s.

Zadeja Dam, with 60m height and 390m length, is the type of partially filled with limestone material. In this

dam is located a discharge with with tunnel and port with segments that has a capacity of 3200 m3 / s.

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Rragami Dam, with 34 m height and 320 m length. This dam is the filled type with limestone formation and

flysch. In this dam do not exist hydro works, it only serves as a barrier for water retention.

The maximum volume of Vau Deja lake is 580 million m3, its surface is 25 km2 and it climbs out of Vau Deja

gorge about 27km in Drin River valley, close to the Koman hydropower. The maximum permissible water in

the lake is 76m and the minimum operating level is 61m. The Active lake volume is 263 million m3 water.

Vau Deja HPP as part of Drin cascade is provided as a first class act in terms of the risk level. The maximum

flow rate, certainly, 1 time in 10000 years is estimated 10000 m3 / sec. The total discharge capacity Vau Deja

HPP in the quota of 76 m is about 7500 m3 / sec.

5.10.3.2 EXPLOITATION INDICATORS

Plant aggregates have vertical “Francis” turbines with capacity of 50 MW each, synchronous generator 3 -

Phase and lifting transformers for the substation connection. The total power of the power plant is 250 MW.

In the building Plant are also mounted auxiliary devices, and of the control and monitoring. Hydropower has

a drop of 54m and average flow of 113 m3 / sec for each unit. Average annual production is around 1000

GWh. Hydropower Plant was built with Chinese technology, equipment and materials, but during 2003-2007

was carried out the comprehensive rehabilitation of hydropower from Andritz for mechanical devices and

Alstom for electric plants and control. The substation with transmission equipments, control and

protection, enables the connection with the Power System through the lines 220kV (Vau i Dejës-Tirana, Vau i

Dejës-Koman, Vau i Dejës-Elbasan).

Technical parameters of Vau Deja exploitation HEC Installed capacity (4 Ag.) 250 MW Nominal Generators Power 50 MW Nominal Decline 52 m Nominal water consumption 113 m³/s

The average annual production Since the operation 901.180 MWh Average (1994-2014) 973.300 MWh Average (2004-2014) 982.970 MWh Minimal (1990) 610.540 MWh Maximum (2010) 1.511.200 MWh

The average annual flow Since the operation 257 m³/s Average (1994-2014) 276 m³/s Average (2004-2014) 294 m³/s

The annual average rate Minimal level (February1999) 67,91 m Maximum level (September 2005) 75,33 m

Technical data for Vau Dejes hydropower, presented in EITI 2013-2014 report, are as following:

Utilization start year 1971

Number of aggregates 5

Installed power per aggregate 50MW

Installed power 250MW

Type of turbines Francis

Total volume capacity in the lake 560 million m3

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Maximum height of the lake 76 m

Nominal falling 52 m

Average annual output 1,000 GWh

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5.11 LEGAL FRAMEWORK REFLECTION

In the following table is given an overview of the mining legislation adopted in the Republic of Albania.

Type of legal

act

No. and date of the legal act Object of legal act

Law Law No. 10 304, date 15.7.2010 “For the Mining Sector in the Republic of Albania” with the changes of Law No. 9/2013 and Law No. 134/2014 “For some

changes and additions in the Law No. 10304 date 15.7.2014, “ For the Mining Sector in the Republic of Albania”, changed.

Law No. 10 304, date 15.7.2010 “For the Mining Sector in the Republic of Albania”

Law No. 9975, date 28.07.2008 “For National Taxes, as amended”

Appendix no. 2 of Law 9975,

date 28.07.2008. “For National Taxes, as amended”

DCM DCM no.7 date 04.01.2012 “For procedures and necessary documentation determination for the collection of mining royalty tax”

DCM no. 201 date 21.03.2012 “For some changes in DCM No. 7, date 01.01.2012 “For procedures and necessary documentation determination for the

collection of mining royalty tax”

DCM No. 218, date 11.03.2015 “On the determination of criteria, procedures and exploitation rules, on the surface and underground, of the area that is

adjacent to existing licenses and coordinates change for mining permits defined in space with three coordinates ".

DCM No. 248, date 2.05.2012 “For some additions and changes in the Decision No. 347, date 29.04.2011 of the Council of Ministers “On approval of the 3-

year action program for the adoption of the mining strategy.”

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DCM No. 479, date 29.06.2011 “On approval of the Mining Strategy of the Republic of Albania”.

DCM No. 436, date 16.06.2011 “For some changes in the Decision No. 538, date 26.05.2009 of the Council of Ministers “For the licenses and permits that are

treated from of through National Licensing Center (NLC) and several other legal common arrangements, changed”.

DCM No. 440, date 16.06.2011 “For the approval form, return conditions and the calculation method of the financial guarantees for the environmental

rehabilitation, for the realization of minimal work program and investment realization".

DCM No. 441, date 16.06.2011 “To determine the certification conditions of licensing, the supporting documents, the terms of validity and requirements

review procedures, for licensing of the study-design activity in the mining activities.

DCM No. 442, date 16.06.2011 “For the conditions approval, the supporting documents, of the terms of validity and requests review procedures, for the

trading authorization of the precious and semi-precious minerals”.

DCM No. 364, date 04.05.2011 “To determine the criteria, of the surface value of the minimum mining allowed surface and the minimum investment value

and production for a mining permit

DCM No. 347, date 29.04.2011 “On approval of the 3-year action program for the implementation of the mining strategy”.

DCM No. 362, date 29.04.2011 “For the criteria approval and transfer rules,method of application for the deadline postponement and mining permits

transformation”.

DCM No. 320, date 21.4.2011 “On approval of procedures and competition criteria and deadlines to review requests for mining permits in the competitive

areas”.

DCM No. 232, date 23.03.2011 “On approval of the functions of the responsible structures in the mining sector of the Republic of Albania”.

DCM No. 233, date 23.03.2011 “On approval of the final reports, the manner of data publication for the payments of national and local taxes in the mining

sector of the Republic of Albania, and the level of confidentiality within the initiative for transparency in the extractive

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industry”.

DCM No. 942, date 17.11.2010 “On approval of procedures and documentation for obtaining mining permits in open areas”.

Order of

Minister Order No. 302, date 12.04.2011 “On approval of the basic principles for the draft of the environmental rehabilitation plan, closure activity plan in the mining

activity, the manner of determining the dangerous zone of a mining right and the management plan of mining waste”.

Order No. 304, date 13.04.2011 “On approval of the form and content of the project development of the mining activity”.

Order No. 305, date 13.04.2011 “On procedures and drafting form of the action program for the implementation of the mining strategy

Order No. 306, date 13.04.2011 “On procedures and drafting form ofthe annual mining plan”.

Order No. 307, date 13.04.2011 “On approval of the quarterly information form, annual, final and the content of the annual work plan by the holders of

thesearch - discovery mining permits for the group of metal minerals, non-metallic, coal and bitumen”.

Order No. 308, date 13.04.2011 “On approval of the quarterly information form, annual, final and the content of the annual work plan by the holders of

thesearch - discovery mining permits for the group of metal minerals, non-metallic, coal and bitumen”.

Order No. 309, date 13.04.2011 “On approval of the quarterly information form, annual, final and the content of the annual work plan by the holders of

thesearch - discovery mining permits for the group of construction minerals”.

Order No. 310, date 13.04.2011 “On approval of the quarterly information form, annual, final and the content of the annual work plan by the holders of the

search - discovery mining permits for the group of construction minerals”.

Order No. 311, date 13.04.2011 “On approval of the quarterly information form, annual, final and the content of the annual work plan by the holders of

thesearch - discovery mining permits for the group ofprecious and semi-precious minerals.”

Order No. 312, date 13.04.2011 “On approval of the form and mandatory information content prepared by the permits holder”.

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Order No. 382, date 20.05.2011 “On approval of the form, content and withdrawal procedure of theascertainment actfor administrative offenses in

implementation of the mining permits”.

Order No. 383, date 20.05.2011 “On approval of the form and plan activities content for the closure of a mining activity”.

Order No. 384, date 20.05.2011 “On approval of the registration and documentation procedures that are registered in the mining cadaster and registry

mining, and reporting forms and procedures of this documentation by the holders of mining permits”.

Order No. 386, date 20.05.2011 “On approval of rules for the use of mining data of a mining permit”

Order No. 387, date 20.05.2011 “On approval of the form and content of the mine conservationproject”.

Order No. 388, date 20.05.2011 “On approval of the form and content of the post – mining monitoring plan.”

Order No. 414, date 03.06.2011 “On approval of the form and content of the management plan and information held by the holder of a mining permit for the

work performed, storage, treatment of mining waste and their analysis.

Order No. 477, date 27.06.2011 “On approval of the form, content and act approval drafting procedures and the refusal act for the mining permits

application”.

Order No. 478, date 27.06.2011

“On approval of the form, decisions content of the institutions technical advice the AGS and NANR for mining permits

applications for extension of mining permits and conversion of search - discovery mining permitsin mineral exploitation

permits

Order No. 615, date 02.09.2011

“For the determination of the drafting documentation unit for the determination of competitive procedures the bid

evaluation committeeand eligibility criteria and evaluation of bids for the right to apply for a mining license in the competitive

areas”.

Instructions Instruction of Minister of

Energy and Industry No. 718, “On the evaluation manner of the mining permit Financial guarantees”.

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date 03.10.2011

Instruction of Minister of Energy

and Industry No. 10, date

26.01.2015 “For theRules and review procedures of the administrative appeals of mining licensed entities”.

Instruction of Minister of

Energy and Industry No. 17,

date 28.01.2015 “On criteria determination for subcontracting approval of the mining permit right for search – discovery, exploitation or for

search – discovery – exploitation”.

Minister of Finance Guidance

no. 26 date 04.09.2008 “For National Taxes, as amended ”

Regulations report for various

minerals Regulations on various minerals

Minister of Finance Guidance

no. 2, date 17.1.2014 For some changes and additions in the Order No. 26 date 4.9.2008 “for national taxes” as amended

Minister of Finance Guidance

No. 2 /1, date 12.03.2014 In relation to the mining Royalty

Guidance of the General

Director of Customs No. 2, date

18.02.2014

On the practical implementation of the Guidance No 2/1

Ad- Hoc Commission

DecisionNo. 10469 date For the mining Royalty

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25.04.2014

Decision no.123, date 11.2.2015 “For an additional in the Decision No.7, date 4.1.2012, of the Council of Ministers, “On determining the procedures and

documentation necessary for the collection of mining royalty tax”, changed”.

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Table 45- The legal framework of extractive industry

Source: http://www.gsa.gov.al/alb/services/Mineralet/Legjislacioni.html- www.dogana.gov.al

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6. SPECIFIC INDICATORS OF SOCIO-ECONOMIC IMPACT IN A PARTICULAR REGION

Specific indicators are based on the best practices in the world where the companies that operate in the

oil, gas and mineral industry have provided a social - economic contribution even in theinfrastructure for

the region and community. To implement some of these indicators was built a questionnaire, to be

completed from the municipalities that administer mineral bearing regions or oilfields. Below is given an

explanation for the key and specific indicators of the investment socio-economic impact in the mineral

industry for a particular region. The questionnaire is found in the Appendix 2 of the document.

The following indicators will have to belong to the Year 2015, based on the assumption that most

municipalities do not have these data, and will need to collect them starting from the next year in favor

of the year 2015.

Impact indicators are as follows:

Direct value realized and distributed.

Financial implications, risks and opportunities arising from climate change.

Financial assistance received from the government.

Development and investments impact in infrastructure.

Indirect impact and extent of this impact.

The percentage of procurement expenditures carried out by local companies.

The total investment in utilities to protect the environment.

The report should show the value realized and distributed including basic components of the company

activity as follows.

During the report preparation, this questionnaire was sent to hydrocarbons and mineral municipal

areas. The questionnaire proved to be very valuable, but difficult to be completed; therefore it makes

necessary for the municipalities to begin to collect this information from the companies and to process

it, in order to see the impact results in consumers of hydrocarbons and mining companies.

Besides the delivery by mail, was enabled a meeting in one of the important Municipalities, like Patos

Municipality, which resulted in partial information.

Details about these indicators are presented in Annex 5 of the document.

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7. VISUALIZATION AND WEB SITE FUNCTIONALITY

As part of the methodology used for the presentation manner and data publication on the web, is meant

the data presentation on a map, with a dynamic graphical interface.To illustrate the graphical model of

the collected information, is used Google Map. At a later stage, when preparing the terms of reference

will be required the use of a more advanced module,which enables more complete presentation in all

extractive industry areas in Albania, in combination with Google Maps.

http://ilab.dmcs-online.com/maps/

On the web site will be presented graphically the map of Albania where will be highlighted the areas of

interest, areas in which these studies were conducted and the measurements of key indicators.

Figure 11. Map of Albania and extractive industry areas

Each of the extractive industry areas, highlighted on the map, will be clickable.Once a user will click on

one of the areas that require information, will be shown a table, which reflects in a concise and

processed manner the economic - social and legal processed data for the clicked area.

Part of the web page, associated with the map will be a dynamic legend.In legend, will appear some

main categories in the extractive industries (minerals, hydrocarbons, etc.) that can be selected by the

users.The user will be able to select one of the categories for which it is interested to get information

and after choosing a category, on the map will appear analyzed key data for the selected category in the

area.

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The table inclusion with information on the indicators, in this project phase is carried out

manually.Meanwhile, in a second moment will be a dynamic system which will enable data collection

input in tables set for each of the areas.Depending on the economic income and economic investment,

it will build a dynamic map that will take data from the database, that will be updated in real time.

Figure 12. Regions selection from the map

From the technical infrastructure, the system will use an API (Application Programming Interface) called

AM Map, which allows graphical display of data, depending on the community investment.For each

municipality will be given data on investments made from extractive industry companies and that

depens on the amounts invested in the community, the map will reflect these data allowing

comparisons between investments in different areas.

Will be built a database which will collect information over the years and then this information will serve

to populate the map with comparative data between municipalities.To illustrate the differences

between the values invested in the community we will use the colord with different contrast, which vary

based on investment function.Through this presentation method,on the map will be easy to identify the

municipalities with the largest investment in the community and those with less investment.

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7.1 PROTOTYPE (WEB-MODEL)

The system will enable the data presentation in a grouped form, in order that their identity will be

easier and faster.

The grouping will be implemented under the main categories of indicators, which are: Socio-Economic,

Legal, Technical and Social.In the first visual appearance that will be shown to the user, will be visible

only these main groups of indicators.

Each of the groups will be clickable even if the user will click one of them, will show other indicators

which constitute the main indicator.The user will then be able to click on the indicator for which has

interest to get information.

Figure 13. Tables overview based on indicators

Shortly thereafter, the system will display an organized table in such a way that for each municipality

will appear the values of indicators in different years. The user will be able to see the data that he

wants, for the area of interest and the year for which he is interested.

The system will be connected to a database, in which the data will be updated automatically. The

database will collect information over the years and then this information will serve to populate the

tables of indicators with data for various municipalities.Through this mode of presentation where the

information will be grouped according to the extractive industries and areas over the years, it will be

very easy to realize comparisons of the values of indicators during or between different areas.

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8. CONCLUSIONS

The process of information reflection and transparency in connection with the oil and mining

industryis an important step in the development of the business community relations, central

and local government and local communities where licensed enterprises operate for the

exploitation and products commercialization in this industry.

This process requires a systematic pursuit of the operational tasks and a well-organized

structureof all institutions engaged in this process.

Supervisory institutions should create a more interactive relationship with the licensed company

to enable timely and quality reporting of information under the relevant obligations.

It is necessary to increase the application range for the information type and structure from the

company, in order to adapt the potential and current investors request with market needs.In

this report, we have demonstrated an information profile that should be taken in the future by

the licensed company, hoping that it will become part of the agreement for the companies’

license which exploit natural resources.

Local government is an important actor and is required to be more committed and to raise

statistical and analytical capacities of information processingrelated to the investments and the

impact of these investments in this industry.

For the purpose of obtaining accurate data and for their transparent reflection even on the

website page, is required to be followed the methodology of data collection based on years, so

it meansdata collection according to the indicators for a year,and then is transferred to the

following year and so on. This completes the systematic information gap.

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ANNEX 1. REFERENCES

1. Reports and publications. www.albeiti.org

2. Indicators of the hydrocarbon sector. www.instat.gov.al

3. Global reporting initiative, oil and gas. https://www.globalreporting.org/resourcelibrary/GRI-G4-Oil-and-Gas-Sector-Disclosures.pdf

4. Extractive industries transparency initiatives. https://eiti.org/files/English_EITI_STANDARD.pdf

5. Mining in America. https://eiti.org/files/English_EITI_STANDARD.pdf

6. http://www.instat.gov.al/al/themes/llogarit%C3%AB-kombetare/publications/books/2014/vlera-e-shtuar-bruto,-tremujori-iii-2014.aspx

7. http://www.instat.gov.al/media/280637/tbp_2009-2011.pdf

8. http://www.instat.gov.al/media/251599/manual_metodologjik.pdf

9. http://www.instat.gov.al/al/themes/energjia.aspx

10. http://www.instat.gov.al/al/themes/llogarit%C3%AB-kombetare.aspx

11. http://www.ere.gov.al/doc/Raporti_Vjetor_ERE_2014.pdf

12. http://www.gsa.gov.al/PDF/Legjislacioni%20Minerar%20i%20Miratuar/3%20VKM%20nr.233_date_23.3.2011_eiti.pdf

13. http://www.albeiti.org/wp-content/uploads/2015/01/EITI-Report-2012_Albanian_15_1_2015-1.pdf

14. http://www.gsa.gov.al/PDF/Legjislacioni%20Minerar%20i%20Miratuar/3%20VKM%20nr.233_date_23.3.2011_eiti.pdf

15. http://www.gsa.gov.al/PDF/Legjislacioni%20Minerar%20i%20Miratuar/3%20VKM%20nr.233_date_23.3.2011_eiti.pdf

16. http://www.gsa.gov.al/alb/services/Mineralet/Legjislacioni.html#pjesa II

17. http://www.instat.gov.al/al/themes/niveli-i-jetes%C3%ABs.aspx

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ANNEX 2 - SURVEY FOR MUNICIPALITIES WHICH HAVE INVESTED IN THE MINING SECTOR.

Purpose: Evaluation of the impact of social, economic and environmental investments in the mining sector to areas administered by municipalities of our country.

A. Community investments by licensedcompanies not related to the business operations

Here are included company costs for infrastructure that are not related to company business operations,

the donations given to NGOs (non-governmental organizations) and various associations with ethical

motives, funds, information on community needs, health, education etc.

1. Do you have information about the above investments by companies that operate in the mining sector?

Yes

No

2. If yes, what are these investment areas?

Education

Health

Road infrastructure

Community Development

Agriculture/Farming

Others

3. What is the value of these investments reported by these companies?

Education _________________________

Health _______________________

Road Infrastructure ______________

Community Development ________________

Others __________________________

4. Do you have information about financial support given by the government for these companies?

Yes

No

5. If you have information about this financial support, in what areas it is and how much is the relevant value?

Fiscal and tax facilities______________________________________________

Subsidies ____________________________________________________________

Investment grants, research and development and other types of grants______________

Prices ________________________________________________________________

Facilities in liabilities for property use____________________________________

Financial assistance from export agencies___________________________________

Financial incentives______________________________________________________

Others ________________________________________________________________

6. Do you have information on the impact of investments in the mining sector in your region?

Yes

No

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7. If yes,what indicators you have for the followings.

Employment growth (%)

The growth of start up businesses (%)

Increasement of Schoold Number (%)

Increasementof health centers number (%)

Increasement of professional qualification centers (%)

8. Do you have information on indirect impact and impact scale on investments in the mining sector in your region

Yes

No

9. If yes, how much is this scale impact based on the information and research you have conducted?

Companies’ productivity change that operate in your region (%)________________

Economic development in areas with high poverty (%)_________________________________

The economic impact in improvement or deterioration of social and environmental conditions (%)_____

Availability of products and services for people in need (%) ____________________

Incensement in capacity and knowledge in local communities (%)____________________________

Open jobs that have a relationto the hydrocarbon sector (%) _______________________

Stimulation of foreign investment (%)____________________________________________

The economic impact of the products use or company services (%)__________

Cooperation between local governments and private companies(%) ______________________

10. Do you have information regarding the percentage of procurement costscarried out by local companies

Yes

No

11. If yes, how much is this percentage?

The percentage of procurement budget with local companies against the total procurement budget

(%)_________________________

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12. Do you have information about the total investment in the utilities to protect the environment by companies that have invested in the mining sector?

Yes

No

13. If yes, which areand how much are these investments?

Materials__________________________________________________

Energy ___________________________________________________

Water ______________________________________________________

Ecosystem services that includes biodiversity _______________

Emission _________________________________________________

Waste ___________________________________________________

Products and services ______________________________________

Transport _________________________________________________

Evaluation of environmental services providers ____________________

Disagreements environmental issues ________________________

14. Other general data related to your municipality:

Population, No. of Men's, No.of Women,% unemployment, annual budget, the main industry, the

main Schools (high school or university), surface, number of civil society organizations in the area,

Other: ________________________________________________________________

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ANNEX 3 – A PAGE MODEL

Visualization or online display mode will be based on the model created pages for categories and

according to the following hierarchy levels: national; municipality; company

This serves as an orientation information and demonstrative for thesite construction, for the draft of the

extractive industry potential map, the final draft of which will be subject to a more detailed assessment.

3.1 WEB PAGE MODEL OF MUNICIPALITY

Some of the data that will be displayed can be organized according to to the following areas:

(Logo, Description, Population, Administrative Unit, Civil Society, Statistics, Photos, Activities etc.)

A municipality web-page must be organized in such a way that the information can be structured into

three main groups:

1. General Data, including geographical aspects, population, administrative units, etc.

2. Indicators will be another structure which will contain information about various fields’

indicators: economic, social, etc.

3. Companiesthat operate in the selected area.This group will display information (indicator,

images, etc.) related to companies in the area that the user is interested.

The user, by clicking the company name from which wants to receive information and has to be

directed to the company's profile

Despite the organization and association, the main challenge is the completion with data and

information from municipalities, which in many cases are missing to be structured, and easily-

generating.

Web page sample at figure 14 is a performance variant.

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Figure 14. Page model for Patos Municipality – General Information

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Figure 15. Page model for Patos Municipality – Indicators

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Figure 16. Page model for Patos Municipality - Companies

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3.2 PAGE MODEL – COMPANY

This page includes fields like: Logo, name of subject,NUISand other information that enable a full

description of the licensed subjects.

Figure 17. Page model for a licensed subject

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ANNEX 4 – REPORTING COMPANIES FORM

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ANNEX 5 – SUMMARY OF SOURCES OF TABLES

Table Source

Table 1 - Generic Indicators of Mineral Sector for the year 2014 based on the product type

NANR, ANNUAL REPORT 2014 Volume I

Table 2- Government revenues by hydrocarbon and mineral sector

EITI Report 2014

Table 3- Production, employment and industry of oil, gas and mineral efficiency

EITI – Report 2012 (for the years 2011 and 2012), Report 2014 (for the years 2013 and 2014) - albeiti.org

Table 4 / Figure 4. Indicators of the mineral permits exploitation for 2014 by region

NANR report, 2014 first volume, Table 1

Table 5- Dynamic indicators of mineral production in some years (unit 000 tones / nm3)

EITI Report 2012 and 2014

Table 6 – Royalty Collection in years (in billion ALL) EITI Reports for the years 2012 and 2014

Table 7 – Export of oil and gas, chrome and copper in billion ALL

EITI Report 2012 and 2014

Table 8 - Technical indicators of oil and gas

EITI Report 2012, table 5

Tables 9-12 “Sustainable development of mining activities in Albania”- Sokol MATI

Table 13- Extractive industry contribution in the Albanian economy (billion ALL)

EITI Report 2012, 2013-2014

Table 14- Gross Domestic Product over the years by activity

Ministry of Finance, Budget General Directorate, project of Midterm Budgeting Program 2015- 2017, http://www.financa.gov.al/

Table 15- Annual real growth of GDP by economic activity (in %)

Ministry of Finance, Budget General Directorate, project of Midterm Budgeting Program 2015- 2017, http://www.financa.gov.al/

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Table 16- Industry Sectors contribution to real GDP growth (in points %)

Ministry of Finance, Budget General Directorate, project of Midterm Budgeting Program 2015- 2017, http://www.financa.gov.al/

Table 17 - Annual calendar statements of the subjects in Albania for the year 2014

NANR, 2014, Volume I – Subjects Declarations for 2014

Table 18 – Gross oil export by destination in 2013

Open Data Albaniahttp://open.data.al/

Table 19 – Population by mining regions and hydrocarbon http://zgjedhje2015.reporter.al

Table 20 - Structure of employment by gender and economic activity

Labour Force Survey, 2013, 2014 INSTAT

Table 21 - Average working hours per week for employees by gender and economic activity

Labour Force Survey, 2013, 2014 INSTAT

Table 22 - The average monthly gross salary per employee in salary by economic activity and gender, 2014

INSTAT calculation based on the General Directorate of Taxes data

Table 23 - Entities annual calendar statements in Albania for the year 2014 for employment

NANR 2014

Table 24 – Social economic indicators of mining regions for regions (census 2011)

INSTAT http://instatgis.gov.al

Table 25 –Unconditional and specific transfer to municipalities for the year 2016 (in 000/all)

Ministry of Finance http://www.financa.gov.al/

Table 26 – Social – demographic statistics of the region http://zgjedhje2015.reporter.al

Table 27 – Generic indicators of mineral sector in Bulqiza Region in 2014

NANR Report 2014

Table 28 - List of companies that operate in Bulqiza region

NANR Report 2014

Table 29 – Economic data on companies that operate in Bulqiza area

NANR Report 2014

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Table 30- Chrome Mineral Reserves of Bater Bulqiza Massifs “Sustainable development of mining activities in Albania”- Sokol MATI

Table 31 – Social – Demographic statistic of Patos Region and Patos map

http://zgjedhje2015.reporter.al

Table 32 – List of Companies that operate in Patos Region EITI Report 2012, 2014 and NANR 2014, Volume II

Table 33 – Investments projects in Patos and Fier Community (in USD)

Bankers – Project Company Bankers for Communes 2012-2014

Table 34 – Patos Community Support by Bankers Bankers Company

Table 35 – Central local Unit Budget Ministry of Finance, DPD

Table 36 - Geological reserves and used, based on the studies 1985 – 1990 and accumulated production up to the year 2014

EITI Report 2013-2014 table 2

Table 37 – Population and population density for Fushe Arrez according to the 2011 Census and the Civil Registry

http://zgjedhje2015.reporter.al

Table 38 – List of companies that operate in Fushe Arrez region

http://zgjedhje2015.reporter.al

Table 39 – List of Companies that operate in Has Region NANR Report 2014

Table 40 – List of Companies that operate in Prrenjas region NANR Report 2014

Table 41- List of Companies that operate in Puka District NANR Report 2014

Table 42 – Investment projects in Puka Municipality http://www.bashkiapuke.gov.al/projekte/investime-te-perfunduar-ne-qytetin-e-pukes/

Table 43 – List of Companies that operate in Selenica Region NANR Report 2014 and EITI 2013-2014

Table 44 –List of Companies that operate in Skrapar Region NANR Report 2014

Table 45- The legal framework of extractive industry

http://www.gsa.gov.al/alb/services/Mineralet/Legjislacioni.html www.dogana.gov.al