A large-scale mineral exploration agreement was signed Monday in Yangon between the China Hainan Jiayi Machine Import and Export Co.(CHJMIEC) and Myanmar's Department of Geological Survey and Mineral Exploration.

CHJMIEC President Zhang Sheng Can said at the signing ceremony that his company is the first Chinese company from the Hainan Province of China to invest in the Myanmar's mining sector.

Under the agreement, the Chinese company has mineral exploration right for copper and other minerals in some areas in Kachin state and Sagaing division, which are well known of geologically favorable areas with occurrence of gold, silver, copper, lead and zinc.

Myanmar Minister of Mines Brigadier-General Ohn Myint and Chinese Ambassador to Myanmar Li Jinjun attended the signing ceremony and delivered their speeches, saying that the Sino-

Myanmar cooperation in mineral sector will contribute to the development of trade and economic relations between the two countries.

A Memorandum of Understanding (MoU) concerning cooperation in geological and mineral resources between the Ministry of Land and Resources of China and the Ministry of Mines of Myanmar was signed in July 2001. The MoU was extended for additional 2 years in 2003.

In March 2004, Notes of Exchange were dispatched for making an on-the-spot investigation in Myanmar on the proposed Geological Survey and Mineral Exploration Project along Myanmar-China border areas.

A MoU for Economic and Technical Cooperation was also signed in March, 2004 between the two governments. The MoU covers the cooperation in exploitation of mineral resources including copper, nickel and iron and taking practical measures to promote cooperation between relevant enterprises on copper and nickel deposits.