MINEX Forum

Tag: energy strategy

  • Uzbekistan Announces Plans for Second Nuclear Power Plant to Boost Energy Supply

    Uzbekistan Announces Plans for Second Nuclear Power Plant to Boost Energy Supply

    Uzbekistan is set to construct its second nuclear power plant, as President Shavkat Mirziyoyev emphasised the necessity of stable electricity supply to attract foreign investment. The announcement was made during a ceremony for investment projects in the Khorezm region on August 17, 2026. Although details regarding the location, capacity, and timeline for the new plant are yet to be disclosed, Mirziyoyev highlighted the importance of reliable electricity and predictable energy prices for potential investors. He stated, ‘Why do investors come here? What is their first question? ‘I will bring my investment, but what will the price of electricity be? What guarantees will there be?” This underscores the government’s commitment to implementing its energy strategy through 2030, aiming to ensure dependable power supplies and reduce production costs.

    Uzbekistan’s long-term energy strategy includes a significant expansion of nuclear power, with plans to increase nuclear generation capacity from 0.3 GW by 2030 to 4 GW by 2040. This expansion would position nuclear energy as a dominant source of electricity, surpassing coal. The head of Uzatom, Azim Akhmedkhazhayev, noted that the site of the first nuclear power project has the potential for up to four large reactors, although no decisions have been made regarding such an expansion.

    The first nuclear power complex is currently under construction near Lake Tuzkan in the Farish district of Jizzakh region, with Russian state nuclear corporation Rosatom involved in the project. The facility will feature two small RITM-200N reactor units and two larger VVER-1000 units, with a total generating capacity of approximately 2.1 GW. These reactors are expected to commence operations between 2029 and 2035, contributing significantly to Uzbekistan’s electricity supply.

    Uzbekistan’s nuclear energy ambitions have sparked public debate, with proponents arguing that nuclear power will enhance reliability and support industrial growth, while critics express concerns over environmental safety and project costs. Public hearings regarding the first nuclear power plant were conducted in December 2025, with Uzatom reporting satisfactory outcomes. As preparations for the second plant commence, nuclear energy is poised to play a crucial role in meeting Uzbekistan’s rising electricity demand and fostering future investment.

  • President Tokayev Outlines Kazakhstan’s Energy Strategy at Turkic States Summit

    President Tokayev Outlines Kazakhstan’s Energy Strategy at Turkic States Summit

    Kazakhstan’s President Kassym-Jomart Tokayev outlined the foundations of his country’s energy strategy during his address at the 12th Summit of the Organization of Turkic States (OTS), emphasizing the central role of the energy sector in Kazakhstan’s economic and strategic development.

    Tokayev highlighted that energy remains “the backbone of the economy and a vital element of our strategic partnerships,” stressing the need for greater regional cooperation on infrastructure and transport routes for energy resources.

    “We are implementing joint infrastructure projects and forming secure and efficient routes for the transportation of energy resources,” he said. “A great example of fruitful cooperation in this area is the Green Energy Corridor project, being developed by Kazakhstan, Azerbaijan, and Uzbekistan.”

    The president called for a stronger focus on renewable energy, particularly solar power, proposing the establishment of a Council of Best Practices on Energy Efficiency under the framework of the OTS.

    At the same time, Tokayev reaffirmed that the development and efficient use of oil, gas, uranium, coal, and rare earth minerals remain the cornerstone of Kazakhstan’s long-term energy policy.

    The initiative reflects Kazakhstan’s broader efforts to balance traditional resource extraction with a gradual transition to clean energy.

    Earlier, President Tokayev arrived in Gabala to take part in the OTS summit, where he was welcomed by Azerbaijani President Ilham Aliyev.

  • US-Ukraine Mineral Extraction Deal Faces Serious Setbacks

    US-Ukraine Mineral Extraction Deal Faces Serious Setbacks

    The much-publicized US-Ukraine mineral extraction agreement, once hailed as a breakthrough in strategic partnership, is now facing significant hurdles due to outdated geological data, geopolitical risks from the ongoing war, and weaker-than-expected rare earth reserves, according to industry experts cited by the Washington Post on May 3.

    US President Donald Trump has been urging Ukraine to initiate negotiations with Russia amid the ongoing conflict. He also advocated for an initial version of the mineral deal that would have granted the US exclusive control over profits, imposed a 4% interest rate, and retroactively converted past US aid into debt. While Ukraine signed what is reportedly a more balanced version, the final documents remain unpublished and still require parliamentary approval.

    The agreement includes US rights to extract Ukraine’s mineral, oil, and gas resources as part of a broader strategy to repay future US military aid to Kyiv and support the country’s reconstruction. However, analysts suggest that shipments of crucial materials such as titanium, lithium, and graphite are unlikely to begin for at least another decade.

    “This absolutely is not a solution to these immediate problems,” stated Reed Blakemore of the Atlantic Council Global Energy Center, highlighting the US’s continued dependence on China for metals crucial to weapons, electronics, and battery production.

    Ukraine’s mining sector has seen minimal investment over the past few decades, with most geological data still based on Soviet-era surveys. CDM Engineering Ukraine teams have only recently begun conducting groundwater testing at sites like the Polokhivske lithium deposit in Kirovohrad Oblast.

    Despite Trump-era claims estimating Ukraine’s rare earth value at $500 billion, experts have called these figures largely unfounded. Moreover, the country lacks confirmed reserves of the 17 rare earth metals vital to defense and electronics. Key oil and gas fields remain in conflict zones, while significant infrastructure damage continues to pose logistical challenges and deter investors.

    Former Biden administration official Zumwalt-Forbes and SAFE minerals expert Abigail Hunter both emphasized that even Ukraine’s confirmed lithium reserves are modest and predominantly located in Russian-occupied territories. Hunter added that infrastructure damage further undermines potential investor returns.

    Despite these substantial setbacks, some analysts maintain that the deal holds political value. “It signals that the US is engaged in Ukraine’s economy as a strategic partner,” said Jay Truesdale of TD International, acknowledging the possibility of long-term investment benefits.