MINEX Forum

Tag: Kazakhstan

  • Kazakhstan Prepares New Subsoil Use Reform Bill for Parliamentary Review

    Kazakhstan Prepares New Subsoil Use Reform Bill for Parliamentary Review

    Kazakh government agencies have approved a draft law on reforms in geological exploration and subsoil use, Industry and Construction Minister Yersayin Nagaspaev announced at a cabinet meeting. The bill is set to be submitted to Parliament for consideration in September.

    The accompanying Regulatory Policy Advisory Document (KDRP) was endorsed at the 681st meeting of the Interdepartmental Commission on Legislative Activities. The new draft replaces an earlier package of amendments to subsoil use regulations initiated by members of the Mazhilis, which is expected to be withdrawn once the updated version is formally introduced.

    The proposed legislation contains 39 amendments to Kazakhstan’s Code “On Subsoil and Subsoil Use.” President Kassym-Jomart Tokayev underscored the importance of these reforms in his address on September 8, highlighting the need to modernise the legal framework to improve resource efficiency and attract investment.

  • RG Gold Reports Sharp Profit Increase for 2024 as Output and Revenues Surge

    RG Gold Reports Sharp Profit Increase for 2024 as Output and Revenues Surge

    RG Gold, controlled by Cantech S.a.r.l. on behalf of beneficiaries from Bulat Utemuratov’s family, announced a net profit of 80.5 billion tenge in 2024, up sharply from 46 billion tenge in 2023, according to the company’s published financial statements. Revenue rose to 221.8 billion tenge, compared to 167.7 billion tenge a year earlier. Despite higher profits, undistributed earnings fell to 103 billion tenge at the end of 2024, from 120 billion the prior year.

    The company’s performance was driven by strong operations at the North and South Raygorodok deposits in Akmola region, which form the backbone of RG Gold’s resource base. In 2024, almost all sales came from gold doré bars—with gold and silver content of at least 70%—delivered primarily to Kazakh refining companies like KazZinc (68% of sales) and Tau Ken (32%).

    In 2024, RG Gold declared 97.5 billion tenge in dividends, distributing 82.5 billion tenge net of 14.6 billion in taxes. Remuneration to key management personnel reached 739.7 million tenge, up from 660.7 million a year before.

    According to international reporting, the Raygorodok project generated USD 473 million in revenue and USD 202 million in net profit in 2024, underlining its profitability following recent technological upgrades and production expansions.

    RG Gold’s ownership structure links back to Swiss-based Timebrlay S.A. as trust manager and US-based Resource Capital Funds, alongside Utemuratov’s business interests. Bulat Utemuratov currently ranks sixth among Kazakhstan’s wealthiest, with a Forbes-estimated fortune of $3.7 billion.

    The company also continues to invest in exploration, particularly at Kovalevsky deposit, securing future resource growth. Robust market conditions and rising gold prices have underpinned this sharp improvement in financial results

  • Kazatomprom Retains Baa1 Rating Following Moody’s Review

    Kazatomprom Retains Baa1 Rating Following Moody’s Review

    Moody’s Ratings has confirmed JSC National Atomic Company Kazatomprom’s credit rating at ‘Baa1’ with a Stable outlook following a periodic review published on 10 September 2025. The agency underscored the company’s pivotal role in Kazakhstan’s economy, given state oversight via the sovereign wealth fund Samruk-Kazyna.

    Kazatomprom’s rating reflects its robust financial metrics, low production costs, and dominance in uranium supply—accounting for roughly 20% of global output. Moody’s also noted its vast uranium reserves, operational diversification, and long-term client contracts as key strengths.

    The review reiterated Kazatomprom’s alignment with Kazakhstan’s strategic interests, reinforcing investor confidence. For further details, refer to Moody’s press release.

  • Central Asia Metals Delivers Strong Financial Performance and Targets Sustainable Growth

    Central Asia Metals Delivers Strong Financial Performance and Targets Sustainable Growth

    Central Asia Metals PLC, during its recent ShareSoc Seminar investor presentation, outlined a solid financial and operational performance for 2024, underpinned by exceptional profitability from its primary mining assets in Kazakhstan (Kunrad) and North Macedonia (Sasa). The company reported EBITDA margins of 47%, notably higher than industry averages, with Kunrad achieving margins as high as 73% owing to its unique low-cost copper recovery process. CAML closed the year with $67.6 million in cash and generated nearly $66 million of free cash flow, positioning itself firmly as a low-debt, cash-strong operator.

    Shareholders have benefited from a consistent dividend policy, with payouts between 30% and 50% of free cash flow, although the latest 18p annual dividend actually represented a payout of 63% of cash flow, reflecting the board’s commitment to return surplus capital to investors. Since its 2010 IPO, CAML’s dividend returns have exceeded funds raised, exemplifying its prudent capital management.

    Operationally, the Kunrad copper operation stands out for its innovative in-situ leaching method, extracting copper from historic waste dumps without traditional mining, resulting in first-quartile cost performance and a reliable output profile. Sasa, in North Macedonia, remains a stable but higher-cost asset due to conventional underground mining, recent capital investment in new mining methods and infrastructure, and inflationary pressures closer to Europe.

    CAML’s growth strategy pivots on selective expansion of its asset base. In 2024, the management evaluated 37 potential acquisitions, focusing on base metal properties in familiar jurisdictions such as Kazakhstan, the wider European time zone, and parts of Africa. The criteria for new investment emphasise accretive deals that bolster shareholder earnings and leverage CAML’s strong borrowing ability. The company also maintains minority stakes in exploration ventures such as the Arthra project in Scotland and the Camel X JV in Kazakhstan, aiming for scalable, affordable copper projects to support future production.

    Sustainability and community engagement remain core to CAML’s ethos, with significant investments in solar energy reducing greenhouse gas emissions and philanthropic initiatives supporting local health, education, and disaster relief. Both Kunrad and Sasa have active programmes to minimise environmental footprint, including innovative tailings management and local entrepreneurship support.

    Looking ahead to 2025 and beyond, CAML expects continued steady production, further asset optimisation, and sustained shareholder returns, maintaining its reputation as a defensive stock with a strong balance sheet. The company continues to operate debt-free, with ongoing efforts to extend mine life and pursue disciplined expansion in base metals.

  • ERG Opens Pioneering Solar-Powered School in Kazakhstan as Part of KZT15 Billion Education Drive

    ERG Opens Pioneering Solar-Powered School in Kazakhstan as Part of KZT15 Billion Education Drive

    The KZT7.8 billion (£13.7 million) school, which can accommodate 1,200 students, is part of ERG’s “ERG mektep” (“ERG for Schools”) programme. This initiative has channelled over KZT15 billion into education in Kazakhstan in recent years.

    The new building, spanning over 19,590 square meters, is one of the largest constructed under the state-led Keleshek Mektepteri (“Schools of the Future”) initiative. It incorporates modern features focusing on ergonomics, inclusivity, and energy efficiency. The school also features advanced security systems integrated with artificial intelligence.

    Shukhrat Ibragimov, Chairman of the Board of Directors and CEO of ERG, expressed pride in the project’s inclusion in the national initiative. He quoted Kanysh Satbayev, a prominent Kazakh scientist, stating, “The future belongs to young people. But in order to be prepared for this future, they need to be equipped with knowledge.”

    The school boasts 60 classrooms, four computer labs, a STEM laboratory, a robotics room, and language labs. It also includes hydroponic systems for biology and ecology studies and a media centre with a podcast studio. Digital assistants will assist teachers, providing tailored learning tasks for students.

    A key feature of the design is its focus on inclusivity, with accessible classrooms and special elevators to accommodate students with special educational needs. The Akim of the Kostanay Region, Mr Kumar Aksakalov, praised the collaboration between government and business, stating the school “meets all modern requirements” and will “become a solid foundation for fostering honesty, hard work, patriotism and civic responsibility among the younger generation.”

    In a joint programme with the Teach for Qazaqstan foundation, four specialist STEM teachers will join the new school to strengthen technical education. ERG has a history of supporting educational infrastructure in the country, having previously funded similar projects in the Pavlodar Region and modernisations in Aksu and Khromtau.

  • Kazakhstan and DR Congo Sign Mining and Geology Cooperation Agreements

    Kazakhstan and DR Congo Sign Mining and Geology Cooperation Agreements

    Kazakhstan’s President Kassym-Jomart Tokayev and Democratic Republic of Congo (DRC) President Félix Tshisekedi have held talks, according to Kapital.kz citing the Akorda press service. The two leaders oversaw the signing of interagency agreements covering diplomatic consultations as well as cooperation in mining and geology.

    Both nations hold vast natural resources and see potential in becoming reliable partners for mutually beneficial projects. The DRC plays a central role in global supply chains of critical minerals, accounting for approximately 76% of the world’s cobalt production, 14% of copper, 8.3% of tin, 42% of tantalum, and 40% of coltan, alongside deposits of other strategic metals essential to high-tech industries.

    Kazakhstan’s Eurasian Resources Group (ERG) already operates successfully in the DRC with the support of Congolese authorities. The new agreements are expected to accelerate the development of bilateral ties in the resource sector.

    In addition, the two presidents agreed to hold regular consultations and maintain close working contacts between their foreign ministries to ensure steady progress in cooperation.

  • Kazakhstan to Open Internationally Accredited Rare-Earth Laboratory

    Kazakhstan to Open Internationally Accredited Rare-Earth Laboratory

    Kazakhstan is set to establish an internationally accredited geo-analytical laboratory in Astana to support its growing role in global supply chains for rare-earth metals (REEs).

    Minister of Industry and Construction Yersayin Nagaspayev confirmed that agreements have been reached with global laboratory brands RCI Inspection and PARAGON to certify the new geo-analytical center, which is scheduled to open by mid-2026 under the National Geological Service. The laboratory will house core storage and archival repositories, providing transparent and reliable data to researchers and potential investors.

    The initiative follows President Tokayev’s 8 September address to Parliament, in which he stressed the strategic significance of rare-earth elements for Kazakhstan’s long-term economic future. He directed the government to launch at least three high-tech production facilities for rare-earth metals within the next three years, underscoring their growing importance in global technology and trade.

    The government’s plan outlines four strategic priorities for domestic processing: producing battery materials, recycling, manufacturing heat-resistant alloys for jet turbines, and producing semiconductor materials. To achieve these goals, Kazakhstan is actively forging partnerships with the European Union, the United States, Japan, South Korea, and China.

    Planned projects include a gallium plant, the production of high-purity manganese sulfate and graphite for batteries, and the manufacturing of nickel-based superalloys. Additionally, pilot programs for recycling permanent magnets are set to begin next year, in collaboration with European partners, marking a concrete step towards a more sustainable and value-added rare-earth industry.

  • Kazakhstan to Launch Electronic Geological Mapping in 2026

    Kazakhstan to Launch Electronic Geological Mapping in 2026

    Kazakhstan will begin creating an electronic geological map of the country in 2026, following a directive from the president. The project will utilise satellite imagery analysis, along with data from aerogeophysics, geochemistry, and other subsurface research methods, enabling a new level of assessment of the nation’s mineral potential.

    Earlier this year, the government allocated funding from its reserve to develop project documentation for second-generation geological surveys at a 1:50,000 scale. This initiative is part of Kazakhstan’s wider effort to digitise geological information.

    According to the National Geological Exploration Service (NGS), more than 2.6 million units of primary geological data—about 60% of the total—had already been converted into digital format by early 2025. Full digitalisation of the country’s geological data is expected to be completed by 2028.

    Officials say the move will make geological information more reliable and accessible, while also enabling the use of artificial intelligence and automated solutions for data processing.

  • Mining & Metals Analytical Report Highlights Kazakhstan’s Potential as a Mineral Investment Hub

    Mining & Metals Analytical Report Highlights Kazakhstan’s Potential as a Mineral Investment Hub

    A new analytical report produced by AIFC highlights Kazakhstan’s significant potential to become a leading hub for mineral investment, positioning the country as a crucial player in the global energy transition. The report, which includes what is believed to be the first-ever comparative benchmark of Kazakhstan against major mining jurisdictions like Canada, Chile, Australia, and Indonesia, concludes that while the nation has vast untapped potential, it must take specific steps to fully capitalize on it.

    The report identifies several key actions necessary to support this ambition. These include a strategic focus on active investment in junior mining companies, which are vital for early-stage exploration. The country also needs to provide a stable legal and regulatory framework to attract and retain foreign investment. Finally, Kazakhstan must align its development strategy with its mineral strengths and global trends, focusing on the materials most in demand for clean energy technologies.

    The report’s findings are underpinned by compelling data points that showcase Kazakhstan’s existing role and future prospects in the mining and metals sector. In 2024, the industry attracted $3 billion in gross foreign direct investment, accounting for 17% of the national total. Mining and metals also made up a substantial 12.1% of the country’s GDP last year. Despite its established importance, a staggering 65% of Kazakhstan’s geological area remains unexplored, presenting a monumental opportunity for new discoveries. These domestic figures are set against the backdrop of a global context where an estimated $2.1 trillion in mining investment will be needed by 2050 to meet the demands of a net-zero world.

  • Kazatomprom Expands Exploration and Seeks International Ventures

    Kazatomprom Expands Exploration and Seeks International Ventures

    Kazatomprom, the world’s largest uranium producer, has announced plans to significantly increase its exploration activities both in Kazakhstan and internationally, as the company seeks to capitalise on growing global demand for uranium. The state-controlled giant revealed that it will triple its exploration efforts in Kazakhstan while also pursuing new ventures abroad, following recent agreements with Jordan and Mongolia.

    Currently, Kazatomprom produces all of its uranium domestically, but last week the company signed a landmark agreement with Jordan to develop the country’s uranium assets. Meirzhan Yussupov, the company’s CEO, addressed the World Nuclear Symposium in London, highlighting the company’s reputation in mining and its growing interest in international expansion. “We are acknowledged for our ability to do mining, and that’s why … we are also looking at opportunities abroad,” Yussupov said.

    Kazatomprom has also made strides beyond Kazakhstan’s borders in recent years. Last year, the company signed a cooperation agreement with Mongolia’s state nuclear company, Mon-Atom, and Yussupov hinted that further international opportunities are being explored, although he did not provide specific details.

    “We are trying to diversify our operations on a global scale geographically,” Yussupov explained, reinforcing the company’s strategy of global expansion.

    The push for greater international expansion comes amid rising demand for uranium. The World Nuclear Association’s report, released on Friday, warned that global uranium demand for nuclear reactors is expected to more than double by 2040, necessitating the development of new mining operations. To meet this demand, Kazatomprom has launched an ambitious exploration programme in Kazakhstan, increasing its exploration capacity threefold.

    The company, which supplies about 20% of the world’s primary uranium, has already seen growth in its output. In the first half of 2025, Kazatomprom boosted production by 13% and confirmed its production guidance for 2025. However, it also noted that it plans to scale back its output expansion in 2026 due to market conditions.

    Uranium prices have been on the rise, more than doubling over the past five years to $76 per pound. However, prices are still well below the February 2024 peak of $106 per pound, which was the highest level seen since November 2007.

    With increased exploration efforts and an eye on global diversification, Kazatomprom appears poised to strengthen its position as a key player in the uranium market, aligning with the long-term outlook of rising nuclear energy demand worldwide.