Because of many dramatic orogenic movement in the past, large folds and fault have been formed in Yunnan. The unique geological condition has resulted in superb mineralization here, making it a treasure house of mineral resources in China.

Altogether 168 kinds of ores had been discovered in China by the end of 1994, 142 of which were found in Yunnan and the reserves of 92 kinds were proven. Mineral resources here have three features: firstly, large reserves. By the end of 1995, Yunan was one of the ten top provinces in terms of 54 kinds of deposits, of which the reserves of 25 kinds were among the three top provinces. Yunnan is especially rich in nonferrous metal deposits. The reserves of lead, zinc and tin rank firt in China, and copper and nickel, third. Therefore, Yunnan is reputed as “the Kingdom of Nonferrous Metals”. High—grade iron and manganese ore deposits also rank first in China. As for noble metal deposits, Yunnan is the richest province in China in terms if indium and cadmium, and the second in terms of silver, germanium and platinum. Among non—metal deposits, the richest reserve is phosphorus ore. Three billion tons of phosphorus ore reserve have benn proven and the prospective reserve takes the first place in China, so does the prospective reserve of salt. As phosphorus and salt ores are manily distributed in central Yunnan, a location which makes them easy to be exploited and as phosphorus reserve in Kunyang are epigence deposits and especially suitable for open mining, Yunnan has become an important phosphorus chemical base. Secondly, Yunnan is rich in associated minerals and they are of high economic value. For instance, Jinding Mountain Deposit in Lanping Town is the world’s third largest lead—zinc mine. As lead—zinc deposits are associated with rich germanium, silver and cadmium, the value of these ores is half of that of the host ores if they are comprehensively exploited and utilized. Thirdly, mineral deposits are widely distributed and large ore deposits are relatively concentrated. This contributes to mining easily at different—levels, national and local, and can give full play to the advantages of deposits resources.