MINEX Forum

Tag: mining

  • Tau-Ken Samruk to Commence Lead-Zinc Mining Operations in Shalkiya Deposit

    Tau-Ken Samruk to Commence Lead-Zinc Mining Operations in Shalkiya Deposit

    Tau-Ken Samruk to start production at the Shalkiya lead-zinc deposit in OctoberTau-Ken Samruk plans to start mining at the Shalkiya lead-zinc deposit in October 2024, aiming for 2.2 million tonnes of ore production by the next year. Chairman Bakyt Chirchikbayev revealed these plans at the MINEX Kazakhstan 2024 forum, mentioning plans “of using a third-party facility for ore processing while their processing plant is under construction.”Negotiations and assessments for ore processing at external facilities are in their final stages, with details to be disclosed once agreements are finalized. “I can’t disclose it at this point, but once the agreement is finalized, I’ll reveal the details,” he said. Chirchikbayev provided an update on the construction progress of the mining and processing plant in Shalkiya, emphasizing the procurement of technological equipment. Discussions about the potential sale of the mine are ongoing, with Tau-Ken Samruk open to selling a controlling stake. “Regarding negotiations with potential partners interested in acquiring a controlling stake, we’re open to selling from 51% to 100%. Talks are still ongoing, and it’s premature to disclose our co-founder at this stage,” he said. The Shalkiya lead-zinc deposit is one of the world’s largest. ShalkiyaZinc LTD JSC, a subsidiary of the National Mining Company Tau-Ken Samruk JSC, oversees its development. Construction of a lead-zinc mining and processing plant began in 2018, utilizing the deposit’s resources. It holds around 112.9 million tonnes of ore. The project aims to meet the demand for zinc and lead concentrates in Kazakhstan and globally, with confirmed reserves supporting operations until 2051. The total project cost is $650 million, with $295 million funded by the European Bank for Reconstruction and Development, guaranteed by the Samruk-Kazyna National Welfare Fund. Established in 2009, Tau-Ken Samruk JSC manages the state’s mining assets under the Samruk-Kazyna state fund.

     

  • Serbian Women Stage Blockade to Protest Encroaching Mine

    Serbian Women Stage Blockade to Protest Encroaching Mine

    In a small village in eastern Serbia, a group of women has mounted a blockade on a bridge, protesting against an open-pit copper mine that they argue is polluting their land and water. Led by 78-year-old Vukosava Radivojevic, these women take shifts day and night, determined to halt trucks from entering the mine operated by a subsidiary of China’s Zijin Mining.

    The mine, which dominates the village of Krivelj, has triggered concerns among residents about incessant noise, tremors, and pollution. While Zijin has relocated some villagers, those who remain, mostly Vlachs, seek to move collectively, citing environmental degradation and health risks.

    Despite assurances from Zijin’s subsidiary, Serbia Zijin Copper, about addressing environmental issues inherited from previous operators, residents remain adamant about the adverse effects of mining activities. Since Zijin took over operations in 2018, production has quadrupled, exacerbating pollution concerns and causing visible environmental damage.

    The blockade, established in January, has become a symbol of the community’s resistance. For the women involved, it has evolved into a communal space, equipped with heating and amenities, where they find solidarity and support. Their persistence has yielded some concessions, with Zijin agreeing to halt large truck traffic through the village.

    However, the battle is far from over as residents continue to advocate for their relocation to a safer environment. Discussions revolve around establishing a new village while preserving essential community institutions.

    According to a study commissioned by Zijin, published in December, Krivelj’s environment is heavily polluted with lead, arsenic, and cadmium, posing significant health risks. Despite the company’s investments in mitigating environmental impact, concerns persist among villagers regarding their safety and well-being.

  • Ireland Strategic Investment Fund Backs Irish Minerals Fund with €30m Investment

    Ireland Strategic Investment Fund Backs Irish Minerals Fund with €30m Investment

    The Ireland Strategic Investment Fund (ISIF) has revealed a €30 million investment in an Irish fund dedicated to mining ventures. The recipient of ISIF’s investment is the Irish Minerals Fund, supported by Lionhead Resources, a private equity firm specializing in mining investments. The focus of the fund will be to pursue minority stakes in environmentally sustainable mining projects within the Republic of Ireland.

    The Irish Minerals Fund’s investment strategy will prioritize projects with established mineral deposits, particularly those centered around zinc extraction. Nick Ashmore, ISIF’s director, emphasized the significance of the investment in promoting responsible mineral extraction, highlighting its potential to bolster indigenous businesses and create skilled jobs, particularly in rural areas.

    Finance Minister Michael McGrath echoed these sentiments, noting the historical significance of the mining sector in Ireland and the potential for job creation in regional areas.

    Lionhead Resources, based in London and South Africa, specializes in investments that support the transition to a low-carbon economy and the needs of a rapidly urbanizing global population.

    The investment coincides with the European Union’s recent approval of the Critical Raw Materials Act (CRMA), aimed at reducing dependence on Chinese dominance in critical mineral supply chains, particularly for technologies essential to energy transition such as electric vehicles and renewable energy.

  • Mining Company Plans Zinc and Lead Extraction at Shalkiya Deposit

    Mining Company Plans Zinc and Lead Extraction at Shalkiya Deposit

    In a recent announcement, “Tau-Ken Samruk,” a mining company affiliated with “Samruk-Kazyna,” revealed its intentions to commence zinc and lead extraction operations at the Shalkiya deposit in the Kyzylorda region by October of this year. The company aims to reach a production volume of 2.2 million tons of ore by 2025, as stated by the chairman of the company’s board, Bakyt Chirchikbayev, during the MINEX-2024 forum. Chirchikbayev further disclosed plans for potential tolling arrangements for ore processing while the company’s own factory is under construction. Negotiations with potential partners for the purchase of a controlling stake are underway, with details expected to be finalized post-discussions.

    Additionally, Chirchikbayev mentioned the positive outcome of the state expertise regarding the technical and economic feasibility of the North Katpar and Upper Kayrakty tungsten projects. The company received favorable feedback on the project’s feasibility study, which has been circulated among interested partners. Currently, the project is under review by several potential collaborators, with further steps aligned with project privatization regulations.

    The financing of the Shalkiya project involves the European Bank for Reconstruction and Development (EBRD), with agreements dating back to June 2017. Updates to the credit agreement were made in September 2021, extending credit lines up to $175 million. Recent disbursements from the EBRD, including a second tranche of $40.5 million in October 2022, demonstrate ongoing financial support for the project. “Samruk-Kazyna” has provided full guarantees for “Shalkiya Zinc’s” obligations to the EBRD, ensuring financial security for the venture.

  • Irkaz Metal Corporation Plans Expansion of Copper Smelting Plant in Kazakhstan

    Irkaz Metal Corporation Plans Expansion of Copper Smelting Plant in Kazakhstan

    Irkaz Metal Corporation, an Iranian copper producer, is looking to construct the third phase of its copper smelting plant at the Borly deposit in the Karaganda region. The new facility will cover an area of 100 hectares, with construction set to commence in July 2024. This information was revealed on the AGMP portal. The hydro-metallurgical complex is expected to process 2.5 million cubic meters (approximately 4.6 million tons) of copper ore annually through heap leaching, enabling the company to produce 5,000 tons of cathode copper per year. The plant will require over 137,000 tons of sulfuric acid annually for processing. The Borly site currently hosts a shift camp for employees, who work in two 12-hour shifts year-round. Notably, the plant has a two-story fire station on-site. Irkaz Metal Corporation inaugurated the plant in November two years ago, with an initial project investment exceeding 9 billion tenge. Currently, the facility employs 140 individuals, with the copper smelting plant’s capacity standing at 5,000 tons.

  • Reforming Efforts Underway in Kazakhstan’s Geological and Mining Committee

    Reforming Efforts Underway in Kazakhstan’s Geological and Mining Committee

    The Committee of Geological, Mining, Coal Mining, and Metallurgical Industry (CGMCMI) of the Presidium of the National Chamber of Entrepreneurs of the Republic of Kazakhstan “Atameken” is currently undergoing a phase of restructuring. These changes not only affect the organizational structure but also aim to enhance the overall efficiency of its operations. Highlighting the committee’s proactive approach, Atameken’s Presidium Chairman Raimbek Batalov emphasized the necessity for adaptation, citing the evolving landscape of strategic issues within the mining and metallurgy sector, requiring innovative approaches and swift community consolidation.

    During the latest committee session chaired by CGMCMI Director Nikolay Radostovets, discussions revolved around topics such as research and development funding amounting to 1% of extraction expenses, reforming commodity exchange legislation, procurement of goods by subsoil users, agreement on the roadmap for mining and metallurgy development, supply of metals to processing industry enterprises, and the establishment of a Working Group to incentivize waste processing. Deputy Chairperson of Atameken’s Presidium, Gulnara Bizhanova, also participated in the committee session.

    Among the deliberations was the initiative from government bodies and parliamentarians to amend the funding procedure for research and development, setting it at 1% of extraction expenses. Within the Working Group discussing the science and technology policy bill, proposals were made to channel all allocated funds for research and development through the Science Fund via the national and local budgets.

    According to Atameken’s expert, Erlan Smailov, centralizing research funding through the Science Fund could diminish the economy’s innovation capacity and pose financial burdens. He argued against interfering with a system that has demonstrated growth, presenting statistics indicating a 42% increase in research and development expenditure in the science and education sector in 2023 compared to the previous year.

    Deputy Executive Director of the CGMCMI, Erbol Zakariyanov, reminded of similar discussions held three years ago when legislative amendments were proposed to ensure non-tax revenues to the national budget through subsoil user funds allocated for research and development. These proposals failed to gain government support.

    Zakariyanov stressed the significant role of subsoil users in advancing industry science, conducting research in their own research centers and laboratories, partly financed through contractual obligations. He emphasized the need for a funding mechanism that prevents adverse impacts on subsoil users, maintains conditions for their research activities, and only centralizes unused funds.

    The agenda also included discussions on the roadmap for mining and metallurgy development. Deputy Chairperson of Atameken’s Presidium, Gulnara Bizhanova, highlighted the industry’s lack of strategy and accumulated issues. As a result, a comprehensive set of proposals addressing key industry challenges was formulated within the roadmap. Two roadmaps were developed, one requiring decisions from the authorized body and the other involving the government with other state agencies. Both documents were endorsed during the session and will be submitted for government approval.

    Attention was also given to ensuring domestic raw material supply to processing industry enterprises based on relevant agreements. Domestic raw materials refer to goods listed in the domestic raw material products list approved by the Ministry of Industry and Infrastructure Development. Export of domestic raw materials listed in the list is allowed based on licenses issued by the authorized body. The licensing mechanism will be enforced six months after the law comes into effect.

     

  • BGV Group Management Promotes British-Ukrainian Mining Partnership in London

    BGV Group Management Promotes British-Ukrainian Mining Partnership in London

    On March 26, BGV Group Management, one of Ukraine’s largest investment companies, showcased cooperation opportunities with Ukraine in the mining sector at a prestigious event in London. Founder Gennadii Butkevych and the management team were invited to join British parliamentarians, members of the House of Lords, and state ministers at the Houses of Parliament to discuss investment prospects in Ukraine. The focus was on fostering British-Ukrainian collaboration in critical minerals mining to facilitate the UK’s advancement in technology and its transition to clean energy.

    The event witnessed the participation of Lord Martin Callanan, Under Secretary for Energy Efficiency and Green Investment at the Department for Energy Security and Net Zero, and Bob Seely MP, alongside representatives from Ukrainian business entities.

    During their address, the BGV team outlined three key areas for bilateral development:

    1. Exploration of Ukraine’s Mining Potential: Highlighting Ukraine’s abundance of critical minerals essential for advanced technologies and clean energy transition. With over 117 mineral types discovered, including 22 out of 30 critical resources identified by the EU, Ukraine possesses substantial reserves of minerals like beryllium, zirconium, titanium, rare earths, and graphite, strategically located with favorable logistics.
    2. Risk Mitigation: Emphasizing the necessity of war risk insurance to safeguard foreign investments in Ukraine. The Multilateral Investment Guarantee Agency (MIGA) and other international entities offer insurance mechanisms to support investments in Ukrainian projects.
    3. Investment Opportunities: Encouraging increased British investment in Ukrainian mining. BGV Group, with over $100 million invested in Ukrainian mining projects, expressed readiness to collaborate with British investors. Projects such as the Balakhiv graphite production complex and the Perzhansk beryllium deposit were presented as potential areas for investment.

    The BGV team stressed that collaboration in critical minerals could provide Britain with a robust resource base for various industries, including medicine, automotive, technology, aerospace, while reducing European dependence on Chinese minerals.

  • Kazakhstan’s President Emphasizes Potential of Rare Earth Minerals Mining

    Kazakhstan’s President Emphasizes Potential of Rare Earth Minerals Mining

    President Kassym-Jomart Tokayev of Kazakhstan views the extraction of critical raw materials as a promising area for cooperation, as reported by the state leader’s press service.

    “Rare earth metals have become a crucial component for a wide range of technologies. They are essential for achieving net-zero emissions and are vital in strategic sectors such as industry, digital technologies, space, and defense. We continue to work with international partners on the most effective ways to develop our large deposits of uranium, lithium, titanium, and other rare earth elements,” quoted the press service Tokayev’s remarks on Thursday at the plenary session of the Boao Asian Forum (BAF).

    Earlier, it was reported that exploration work on the potential of lithium was planned to commence in three regions of Kazakhstan. In particular, during the partnership forum between the European Union and Kazakhstan in Belgium, Erlan Galiev, Chairman of the Board of JSC “National Geological Survey,” stated that “as part of state geological exploration, work is planned to begin on studying the potential of lithium in three regions of Kazakhstan.”

    “If indigenous lithium deposits are projected in the eastern and southeastern parts, then the mineralized brines of the Aral sedimentary basin, according to preliminary data, are very favorable for lithium. Its geological conditions are similar to the Salar de Atacama salt flat in Chile, which holds about 30% of the world’s lithium reserves,” Galiev said.

    According to the Chairman of the Board, as of 2023, six deposits where lithium may be present are listed on the state balance sheet in Kazakhstan: Jubilee, Verkhne-Baimurzinskoye, Bakenoye, Akhmetkino, Medvedka, and Akhmirovskoye.

    “Significant lithium and REM (rare earth metals) reserves are concentrated in the tailings and ‘tail sand’ of beneficiation plants and deposits in central and southern Kazakhstan, as well as rare metal deposits in eastern Kazakhstan,” he said.

    Galiev assured that JSC “National Geological Survey” is ready to partner with foreign companies and invited interested parties to familiarize themselves with the projects, promising to take all necessary measures to ensure favorable conditions for investors.

    Later, it became known that German companies Knauf Gruppe, GP Gunter Papenburg AG, Roxtec, and the German Lithium Institute (ITEL) formed a consortium for the development and production of lithium, using Kazakhstan’s deposits as a basis.

  • Central Asia Metals Releases Full-Year Results for 2023, Despite Economic Challenges

    Central Asia Metals Releases Full-Year Results for 2023, Despite Economic Challenges

    Central Asia Metals Limited (CAML), a London-based mining company with operations in Kazakhstan and North Macedonia, disclosed its full-year results for 2023, ending on December 31st, earlier this week on March 25th. Despite facing global economic headwinds, CAML continued its investment initiatives, particularly focusing on the development of its mining projects in North Macedonia and Kazakhstan. Nigel Robinson, CAML’s CEO, highlighted the company’s commitment to enhancing operations at the Sasa and Kounrad mines, including the transition to paste fill mining at Sasa and the completion of a solar power project at Kounrad. Despite challenges posed by a sluggish global economy and declining metal prices, CAML managed to meet its production targets, emphasizing its low-cost operations and robust financial position.

  • Conference Explores Business Opportunities in Armenia’s Mining Sector

    Conference Explores Business Opportunities in Armenia’s Mining Sector

    In a recent conference titled “Exploring Business Opportunities,” stakeholders gathered to discuss the pivotal role of “Environment, Social Sphere, and Management” in Armenia’s business sector. The event served as a significant platform for deliberating issues, proposed solutions, and the exploration of international practices. Armen Stepanyan, the Director of Sustainable Development at the Zangezur Copper-Molybdenum Combine, highlighted the importance of such gatherings, emphasizing their role in addressing existing challenges through active engagement and knowledge sharing. Stepanyan reiterated the company’s commitment to tackling various challenges in the mining industry, stressing their incremental progress towards sustainable solutions. Despite the perception of mining as an environmental burden, Stepanyan assured that both the Zangezur Combine and other mining enterprises in Armenia are capable of managing environmental impacts effectively. He acknowledged the multitude of challenges but affirmed the company’s proactive approach in identifying and resolving them systematically. Stepanyan concluded by expressing the Zangezur Combine’s dedication to meeting international standards in the coming years.