MINEX Forum

Region: Kazakhstan

  • Kazakhstan has developed a comprehensive plan for the development of rare earth metals for five years

    Kazakhstan has developed a comprehensive plan for the development of rare earth metals for five years

    The Ministry of Industry and Construction has developed a Comprehensive Plan for the Development of the Rare and Rare Earth Metals Industry of the Republic of Kazakhstan for 2024–2028, Zakon.kz reports .

    The comprehensive plan provides for the expansion of the resource base and the introduction of technologies for the complex extraction of rare metals, the modernization of existing production facilities, the development of standards regulating the industry and the lifting of the secrecy regime for certain metals.

    Rare and rare earth metals are critical raw materials in demand by leading sectors of the world economy. They are necessary for the transition to green energy, the development of digital technologies, defense, aerospace, medical and other high-tech areas.

    The document includes non-ferrous metals as rare and rare-earth metals, with the exception of rare radioactive metals:

    • rare refractory metals (zirconium, hafnium, vanadium, niobium, tantalum, molybdenum, tungsten, titanium), rare light metals (lithium, rubidium, cesium, beryllium), rare trace metals (gallium, indium, thallium, germanium, hafnium, selenium, tellurium, rhenium);
    • rare earth metals (scandium, yttrium, lanthanum and lanthanides).

    The existing problems of the industry are:

    • deterioration of main capacities;
    • lack of access to secret information of existing fields;
    • lack of access to critical extraction and processing technologies;
    • low level of assessment and commercial exploitation of solid mineral waste;
    • outdated industry regulations related to pricing and standards.

    The document contains an analysis of limiting factors and necessary initiatives for the effective development of the industry in the following areas:

    1. Modernization and expansion of existing facilities, development of production of new types of products;
    2. Increasing the resource base, including by attracting investment for the commercial exploitation of deposits, including the processing of technogenic mineral formations;
    3. Reform of the regulatory framework for the industry.

    Main goals of the Comprehensive Plan:

    • expansion of the resource base and introduction of technologies for the complex extraction of rare and rare earth metals;
    • modernization of existing production facilities, mastering the production of new types of RM and REM, as well as products made from them and their alloys;
    • development of standards regulating the industry;
    • lifting the secrecy regime for certain types of RM and REM.

    The document notes that the country has the opportunity to involve in the development of at least 10 deposits of RM and REM. To provide the industry with raw materials, it is necessary to attract investment in the exploration of deposits, in the extraction and enrichment of the most promising types of rare and rare earth metals at deposits and industry facilities.

    It also talks about the advisability of introducing a mandatory requirement for all subsoil users to assess the content of rare and rare earth metals at deposits and facilities.

    The document also indicates the need to attract investment in the modernization of existing and creation of new production facilities, encouraging businesses to comprehensively process their own waste to extract RM and REM, systemic support for research organizations that deal with the problems of ore enrichment and processing, from the research stage to commercialization and scaling the results of scientific work.

    It is planned to introduce at least 3 national standards in the field of RM and REM, to remove rare and rare earth metals from the list of information classified as state secrets.

    Financing of the Comprehensive Plan will be carried out from the state budget, as well as other sources not prohibited by the legislation of the republic. The planned cost of implementing the project is 11.79 billion tenge.

    The document is posted on the Open Legal Regulations website for public discussion until November 13.

    The domestic production of rare and rare earth metals is represented by several enterprises. Among them: Ulba Metallurgical Plant JSC, Ust-Kamenogorsk Titanium-Magnesium Plant JSC, RSE Zhezkazganredmet, Kazzinc LLP, Kazakhmys Smelting LLP, Kazakhmys Progress LLP, Aluminum of Kazakhstan JSC.

    At the end of 2022, the production of RM and REM in Kazakhstan amounted to 134.3 billion tenge. The industry’s share in the manufacturing industry of the Republic of Kazakhstan is 0.6%, in metallurgy – 1.5%.

    The main problem of the industry is its dependence on imported raw materials.

     

  • Kazakhstan may receive uranium enrichment technology from French Orano

    Kazakhstan may receive uranium enrichment technology from French Orano

    “Currently, in accordance with the instructions of the head of state, the possibilities of Kazatomprom’s participation in uranium conversion and enrichment technologies are being considered. The Orano company is one of the world leaders, possessing all the technologies, and the agreement, which was signed at the Kazatomprom level, also involves studying the possibility of Kazatomprom entering and obtaining these technologies,” Mr. Satkaliev said at the briefing.

    The Minister of Energy emphasized that Kazakhstan needs to expand its presence in the full cycle of uranium processing.

    “We have unique competencies in mining and primary processing; we are number one in the world in uranium supply and uranium export. We have operating research reactors. That is, the missing link in this cycle is the conversion and enrichment of uranium, and now the Kazatomprom company, in accordance with the instructions of the head of state, is studying the possibility of covering this cycle,” added the head of the Ministry of Energy.

    He did not specify where the final products will be sent, noting that “it depends on world market conditions.”

    Earlier it was reported that the management of the Samruk-Kazyna state fund discussed with the chief operating officer of the Orano group, Nicolas Maes, the expansion of cooperation on the Kazakh-French uranium enterprise Katko LLP. The French side voiced a proposal to expand areas of cooperation, including the implementation of joint strategic projects outside of Kazakhstan.

    Kazakh-French joint venture Katko LLP was founded in 1996, its participants are Kazatomprom and Orano Mining – the Kazakh division of the French Orano Mining, which, in turn, is part of Orano SA. Katko mines uranium using the in-situ leaching method in the northern part of the N1 (South) section and in the N2 (Tortkuduk) section of the Moyynkum deposit in the Turkestan region of Kazakhstan.

    In December 2022, Kazatomprom and Orano Mining signed a memorandum of cooperation in the nuclear industry, in particular, on the further development of the Katko joint venture as part of the official visit of the President of Kazakhstan Kassym-Jomart Tokayev to France.

    Kazatomprom, controlled by the state, is engaged in the mining of uranium, processing of rare metals, production and marketing of beryllium and tantalum products. Kazatomprom estimates its share in the global natural uranium mining market at 22% by the end of 2022. Kazakhstan annually supplies more than 45% of the world nuclear energy needs for uranium products.

  • Kazakhstan proposed creating a Council of Turkic “green” finance – Tokayev

    Kazakhstan proposed creating a Council of Turkic “green” finance – Tokayev

    Kazakhstan has proposed creating a Council of Turkic “green” finance.

    As Trend reports on Friday , President of Kazakhstan Kassym-Jomart Tokayev said this while delivering the main report at the 10th summit of the Organization of Turkic States (OTS).

    “It is necessary to expand interregional trade and focus on investing in the economy. The Turkic Investment Fund plays a special role in this matter. To strengthen economic ties, it is necessary to develop the green finance market. As you know, Kazakhstan proposed creating a Council of Turkic Green Finance. To implement this “A lot of work has been done on the proposal. The corresponding document will be signed today,” he noted.

    Tokayev emphasized that the initiative to assign Astana the status of the Financial Center of the Turkic World was supported.

     

    “I sincerely thank you for this decision,” he added.

  • Kazakh Government to Finalize Nationalization Deal on ArcelorMittal This Month

    Kazakh Government to Finalize Nationalization Deal on ArcelorMittal This Month

    ASTANA – The Kazakh government has no plans to consider foreign investors following the transfer of ownership of ArcelorMittal Temirtau to Kazakhstan, said Kazakh Minister of Industry and Construction Kanat Sharlapaev at a press briefing on Oct. 31.

    “The government is not considering any foreign investors following the transfer of ownership rights to Kazakhstan. All current conditions at the enterprise, including those based on collective agreements with trade unions, wages, and the number of employees, will remain unchanged,” said Sharlapaev.

  • Kazakhstan has developed a comprehensive plan for the development of rare and rare earth metals for five years

    Kazakhstan has developed a comprehensive plan for the development of rare and rare earth metals for five years

    The Ministry of Industry and Construction has developed a Comprehensive Plan for the Development of the Rare and Rare Earth Metals Industry of the Republic of Kazakhstan for 2024–2028, Zakon.kz reports.

    The comprehensive plan provides for the expansion of the resource base and the introduction of technologies for the complex extraction of rare metals, the modernization of existing production facilities, the development of standards regulating the industry and the lifting of the secrecy regime for certain metals.

    Rare and rare earth metals are critical raw materials in demand by leading sectors of the world economy. They are necessary for the transition to green energy, the development of digital technologies, defense, aerospace, medical and other high-tech areas.

  • Kazakhstan proposes to deduct expenses for unsuccessful geological exploration for tax purposes

    Kazakhstan proposes to deduct expenses for unsuccessful geological exploration for tax purposes

    It was proposed by the First Deputy Executive Director of the Republican Association of Mining and Metallurgical Enterprises (AGMP) Maxim Kononov to deduct the costs of unsuccessful geological exploration in Kazakhstan from the income of the taxpayer company.

    “We propose to introduce a procedure where, in the event of termination of an exploration contract in which there is no commercial discovery, exploration costs would be deducted from the taxpayer’s total income in the tax period when the exploration contract was terminated,” Kononov said, speaking at the government hour in Senate on Friday.

    According to him, there are a number of problems in the field of geological exploration, including those related to taxation.

  • The government is not considering the involvement of foreign investors in AMT after nationalization

    The government is not considering the involvement of foreign investors in AMT after nationalization

    Minister of Industry and Construction Kanat Sharlapayev responded to queries from journalists regarding potential ownership of the coal plant following its transfer from Lakshmi Mittal’s ArcelorMittal.

    He clarified the government is not contemplating any foreign investors after rights transfer to the Republic of Kazakhstan. Additionally, all existing conditions such as union agreements, wages and staffing levels will remain unchanged during transition.

    When asked if businessman Serik Akhmetov could become the new investor, the Minister stated no specific investor has been discussed as they do not plan to attract foreign ownership. ArcelorMittal Temirtau retains operational capability as an ongoing concern generating over $3 million revenue in 2022.

    Sharlapayev explained it would be incorrect to assume budgetary funding is needed as the enterprise sustains itself financially. Negotiations with ArcelorMittal had been ongoing for some time, with preliminary sale documents signed October 22nd preceding the mine tragedy. Therefore, characterising the deal as hastily conducted would be erroneous.

    Legal measures are being taken to safeguard Kazakhstan from further litigation once this investor exits. The plant name may change owing to loss of ArcelorMittal branding rights. Staff opinion will factor in any new name decision.

    Disclosure of acquisition conditions was declined due to the seller’s public listing, though budget funds will not be utilised for the asset purchase. Legally binding contracts remain pending signature with the listed company.

  • Tokaev instructed to terminate cooperation with “ArcelorMittal Temirtau”

    Tokaev instructed to terminate cooperation with “ArcelorMittal Temirtau”

    Kazakhstani President Kassym-Jomart Tokayev expressed his sincere condolences to the families and loved ones of the miners who lost their lives in the fire at the Kostenko Mine in the Karaganda region. The head of state instructed the Government to provide all necessary assistance to the families of the miners. A government commission has been established to investigate the circumstances of the incident.

    The government has been instructed to terminate investment cooperation with the company “ArcelorMittal Temirtau.”

    The emergency occurred during the night.

    It is worth noting that just two months ago, a tragedy occurred at the “Kazakhstanskaya” mine (also owned by “ArcelorMittal Temirtau”).

    It has recently become known that the management is entirely responsible for the tragedy that led to the deaths of miners following the fire at the “Kazakhstanskaya” mine.

    The staggering statistics of fatal accidents at AMT facilities have caused outrage and angry comments not only from internet users but also from officials, starting with the head of state. The rumors about a possible “divorce” with a foreign investor have gone beyond kitchen table discussions and have taken concrete shape in parliamentary inquiries. To understand what is happening, the correspondent of Ulysmedia.kz analyzed, remembered, and reviewed personal archives.

    On April 23, it became known that Irina Em, a lawyer at “ArcelorMittal Temirtau,” was killed. Her body, showing signs of violent death, was discovered by firefighters from the city of Shakhtinsk who responded to a call. The most significant question actively discussed on social media is whether the woman’s murder is related to her professional activities. The Ulysmedia.kz correspondent investigated why deaths at “AMT” are associated with production.

  • Tragedy at the “Kostenko” Mine: the names of the miners who will be buried on October 31 have become known

    Tragedy at the “Kostenko” Mine: the names of the miners who will be buried on October 31 have become known

    Mourning continues in the Karaganda region for the miners lost in the Kostenko Mine accident. Funerals have commenced, with 14 workers interred on October 30th both in Karaganda city and surrounding towns. Many of the deceased had previously served at other company facilities.

    Further farewells are scheduled over the next two days, with the bulk planned for this coming Tuesday. Through social networks, eight additional memorial services have been noted already set for October 31st honouring Marat Fazlov, Olzhas Kamiev, Askhat Sapargaliev, Vladimir Kataman, Damir Kalimullin, Ivan Menikov, Akynzhan Orakbayev and Yuri Polovinka.

    The local administration and ArcelorMittal Temirtau are aiding the families in funeral arrangements. It remains that an explosion inferred to have resulted from a methane blast transpired on October 28th, with 45 bodies recovered and one miner still searched for. The first names released bring some solace amidst this tragedy which the President strongly condemned. A criminal inquiry has rightly commenced as the ownership transfer process continues.

  • Death toll rises to 45 in ArcelorMittal Kazakh coal mine fire

    Death toll rises to 45 in ArcelorMittal Kazakh coal mine fire

    The death toll from a fire at a coal mine in Kazakhstan owned by ArcelorMittal rose to 45 on Sunday, with emergency teams engaged in an operation to find one remaining miner believed to have been underground, emergency service officials were quoted as saying.

    On Saturday, operator ArcelorMittal Temirtau, the local unit of Luxembourg-based steelmaker ArcelorMittal, said 206 of 252 people at the Kostenko mine had been evacuated after what appeared to be a methane blast.