The Geology and Mining department have reported existence of some mineral deposits in and around Udhampur District. These are coal, bauxite, magnesite, gyps and lime-stone etc. Coal and bauxite deposits occur in Jangalgali and Sukhalgati areas, Magnesite deposits are located at Katra-Panthal area while Gulabgarh area is rich in good quality gypsum. Palaeozi clay are found in Lain Thakkursui, Tikri, Sundrani and around Kud.