MINEX Forum

Tag: Mining industry

  • Kazakhstan’s Industry Minister Discusses Subsoil Use Reforms with Mining Chamber

    Kazakhstan’s Industry Minister Discusses Subsoil Use Reforms with Mining Chamber

    Kanat Sharlapaev, the Minister of Industry and Construction of Kazakhstan, held a quarterly meeting with members of the Kazakhstan Mining Chamber Association. The association unites 45 companies, both domestic and foreign investors.

    The Minister emphasized that junior and large international companies entered Kazakhstan after reforms in the subsoil use sector and are making significant contributions to the geological study of the country’s territory.

    He also underscored the importance of private investments and the introduction of advanced technologies in geological exploration.

    During an open dialogue, Kanat Sharlapaev and Chamber members discussed the further development of international reporting standards, taxation issues, and challenges affecting the investment climate.

    The Minister stressed the need to continue the reform process in the subsoil use sector and called for more active cooperation with the Association to develop Kazakhstan’s geological sector.

  • AGMK Receives ESG Rating of 3 from Sustainable Fitch

    AGMK Receives ESG Rating of 3 from Sustainable Fitch

    Sustainable Fitch has assigned JSC Almalyk Mining and Metallurgical Complex (AGMK) an ESG Entity Rating of 3 with an entity score of 56, highlighting both strengths and challenges in the company’s sustainability practices.

    The rating acknowledges AGMK’s sustainable development strategy, governance framework, and environmental policies, despite the inherent ecological impact of its mining and metallurgical operations. The assessment also considers the company’s alignment with global taxonomies, contribution to UN Sustainable Development Goals (SDGs), and integration of ESG principles into business operations.

    As one of Uzbekistan’s largest non-ferrous metals producers, AGMK exports copper, silver, and gold to over 17 countries. Its vertically integrated production covers exploration, mining, processing, and finished product creation. While essential for various industries, these activities result in high energy consumption, greenhouse gas emissions, and significant water and waste usage.

    On the environmental front, AGMK benefits from strong policies and a clean record of major incidents over the past three years, though Scope 3 emissions remain undisclosed. Socially, the company reports low employee turnover, but serious workplace accidents and limited gender diversity remain concerns. Governance-wise, AGMK is strengthened by an independent internal audit function, effective risk management, and a low CEO pay ratio in 2023, although independent directors are a minority on its board.

    Despite challenges, the rating reflects AGMK’s continued commitment to sustainability and corporate responsibility.

  • Ivanhoe Mines and Pallas Resources Launch Major Copper Exploration in Kazakhstan

    Ivanhoe Mines and Pallas Resources Launch Major Copper Exploration in Kazakhstan

    Canadian mining company Ivanhoe Mines and UK-based Pallas Resources have announced a joint venture for geological exploration in the Chu-Sarysu Copper Basin in Kazakhstan, according to Interfax-Kazakhstan.

    The Chu-Sarysu Basin is the third-largest sedimentary-hosted copper basin in the world. Experts predict that this project could lead to one of the biggest copper discoveries in Central Asia in recent decades.

    The companies have secured the largest exploration license package in Kazakhstan, covering 16,000 square kilometers—a scale comparable to Ivanhoe Mines’ past exploration projects in Mongolia and the Democratic Republic of Congo.

    According to Robert Friedland, founder of Ivanhoe Mines, Kazakhstan has the potential to become a global hub for copper production. The U.S. Geological Survey estimates that the Chu-Sarysu Basin holds up to 25 million tons of copper resources.

    While the exact start date for exploration has not been disclosed, the companies plan to invest $18.7 million in the first two years. The project will utilize advanced airborne geophysical technologies and digital data analysis, elevating Kazakhstan’s geological exploration to a new level.

  • Ferrexpo Shares Plunge Amid $3.8 Billion Civil Claim in Ukraine

    Ferrexpo Shares Plunge Amid $3.8 Billion Civil Claim in Ukraine

    Shares of Ferrexpo PLC, a London-listed iron ore producer, dropped as much as 51% following the announcement of a $3.8 billion civil claim filed against its Ukrainian subsidiary, Ferrexpo Poltava Mining. The claim, issued by Ukrainian authorities, accuses the company of illegal mining and environmental damage.

    After experiencing its largest intraday decline on record, Ferrexpo pared its losses to a 23% drop. The company issued a statement denying the allegations, noting that the current accusations have “transformed” from prior claims of illegal waste product sales. Ferrexpo confirmed that its Ukrainian subsidiary intends to vigorously defend its position in court.

    In January, the company addressed earlier accusations made by Ukraine’s Prosecutor General’s Office against four senior managers concerning the sale of waste products. Ferrexpo argued that these materials were not a separate mineral resource and had been sold for years under state inspections until September 2021.

    Ferrexpo’s Poltava mine, located in central Ukraine, is its largest operation and critical to its business. Before the Russian invasion in 2022, Ferrexpo ranked as the world’s third-largest exporter of iron ore pellets.

    The legal battle in Ukraine, coupled with the ongoing war, presents significant challenges for Ferrexpo as it works to defend its largest subsidiary and stabilize investor confidence.

  • Metinvest Announces 2024 Operational Results: Steel and Mining Performance Highlights

    Metinvest Announces 2024 Operational Results: Steel and Mining Performance Highlights

    Metinvest B.V., the parent company of a leading international vertically integrated group of steel and mining companies, has released its operational results for the fourth quarter and the full year ending 31 December 2024.

    In the fourth quarter of 2024, the Group produced 489 thousand tons (kt) of crude steel, reflecting a 14% decrease compared to the previous quarter’s output of 568 kt. Despite this quarterly decline, the annual crude steel production for 2024 reached 2,099 kt, marking a 4% increase from the 2,025 ktproduced in 2023.

    The Group’s iron ore concentrate production showed a positive trend, with 3,493 kt produced in the fourth quarter, a 4% rise from the third quarter’s 3,347 kt. For the full year, iron ore concentrate output surged to 15,733 kt, a significant 42% increase compared to 11,092 kt in 2023.

    However, coking coal concentrate production experienced a decline, with 1,057 kt produced in the fourth quarter, down 7% from the previous quarter’s 1,135 kt. Annually, coking coal concentrate output fell to 4,277 kt, a 22% decrease from 5,455 kt in 2023.

    These results highlight the Group’s resilience in iron ore production despite challenges in steel and coking coal output. Metinvest continues to play a pivotal role in the global steel and mining sectors, adapting to market dynamics and maintaining a strong operational presence.

  • BGV Group Management Forges International Partnerships in Critical Raw Materials Sector

    BGV Group Management Forges International Partnerships in Critical Raw Materials Sector

    In early 2025, BGV Group Management, led by Gennadii Butkevych, signed cooperation agreements with three international partners during Ukrainian Week 2025 in Washington, USA. These agreements lay the groundwork for future collaboration in the critical raw materials (CRM)sector, with a focus on advancing joint initiatives. The parties have committed to further refining the terms of cooperation and accelerating the implementation of these projects.

    For nearly a decade, BGV Group Management has been a key player in the extraction and processing of graphite and beryllium. Since 2015, the company has invested approximately $100 million in the mining sector, primarily targeting greenfield projects within the CRM industry.

    Gennadii Butkevych, founder and investor of BGV Group Management, emphasized the significance of these agreements, stating, “The signing of these documents marks a pivotal step in establishing international partnerships and expanding our global presence. With global attention on the CRM industry, our company has been building expertise and executing projects in this field for years.”

    The company’s flagship project, BGV Graphite, is being developed at the Balakhivske deposit in Ukraine’s Kirovohrad region. By early 2025, BGV completed the preliminary feasibility study (PFS)and pilot technological tests for the final product. In collaboration with Finland’s Metso, the company is working on basic engineering for an enrichment plant, with construction slated to begin in the first quarter of 2026.

    Additionally, BGV has made significant strides in producing battery-quality graphite. In 2024, the company, in partnership with Germany’s ANZAPLAN, successfully conducted tests to achieve 99.99% purity and produce spherical graphite (SPG), a key component in lithium-ion batteries. Design work for the SPG production plant is expected to commence in 2025.

    Another major initiative is the BGV Beryllium project, which includes verification drilling and extensive studies to explore the potential for extracting zinc and rare earth elements. The company aims to complete the PFS for this project by 2025, adhering to international standards.

  • Metinvest’s Northern Mining Boosts Production with Second Roasting Machine

    Metinvest’s Northern Mining Boosts Production with Second Roasting Machine

    Metinvest Group’s Northern Mining and Processing Plant (Northern Mining) has launched a second roasting machine to meet increased demand from European partners, according to Metinvest.Media. Now, both LURGI 552 A and LURGI 552 B are operational, enhancing pellet production.

    The decision was preceded by extensive preparations and repairs. Last autumn, both units underwent comprehensive maintenance, with LURGI 552 B receiving quarterly repairs and an equipment inspection to boost reliability. LURGI 552 A also had similar improvements, including an overhaul of the rotary intake system to ensure efficient product shipment.

    To fulfill European contracts on time, the company decided to operate both machines simultaneously. This required additional workforce efforts, with employees at Pelletizing Shop No. 2 (PSM-2) working weekends and night shifts. The launch process took a full week, involving detailed inspections of all mechanisms and equipment.

    Currently, both machines are operating at a capacity of 460-463 tonnes of pellets per hour, ensuring timely deliveriesand stable exports to European customers.

    “The market sets its own rules, and we must maintain the company’s reputation and competitive edge. This brings new challenges for Northern Mining’s teams, especially at the Central Processing Plant-2, where specialists will need to periodically operate the second roasting machine to meet production goals. However, our employees are rising to the challenge, demonstrating dedication and responsibility. More production means higher revenue, increased tax contributions, and more funds for wartime needs,” said Dmytro Malykh, Director of Production and Planning at Metinvest’s Mining Division.

    Earlier, GMK Center reported that 2024 marked a turning point for Northern Mining due to the reopening of Odesa ports, which enabled the resumption of iron ore exports by sea. This development helped stabilize production and increase capacity. Additionally, operations at the Gannivsky open pit resumed during the summer, reaching nearly full capacity by the end of the year.

  • NMMC Receives ESG Rating from Sustainable Fitch, Reinforcing Industry Leadership

    NMMC Receives ESG Rating from Sustainable Fitch, Reinforcing Industry Leadership

    Navoi Mining & Metallurgical Company (NMMC), the world’s fourth-largest gold producer, has received its first Environmental, Social, and Governance (ESG) rating from Sustainable Fitch. The company was assigned a rating of ‘3’ on a 1 to 5 scale (where 1 represents low risk and 5 represents high risk) and an overall ESG score of 51 out of 100.

    The rating reflects a detailed assessment of NMMC’s sustainability initiatives, corporate governance, environmental performance, and social responsibility programs. The company’s environmental and social performance received a ‘3’ rating, acknowledging strong policies on emissions and water management, absence of major environmental incidents, and a low gender pay gap. Meanwhile, its corporate governance scored a ‘2’, recognizing adherence to international financial reporting standards, systematic internal audits, and structured risk management.

    NMMC’s ESG rating is consistent with global mining industry peers, reflecting the sector’s inherent environmental challenges, including high energy and water consumption, greenhouse gas emissions, and industrial waste generation. Importantly, NMMC is the first company in Uzbekistan’s mining sector to receive a public ESG rating, highlighting its commitment to transparency and sustainability leadership.

    “Sustainability is a key pillar of our business strategy and crucial for long-term growth and investor confidence,” stated Eugene Antonov, First Deputy CEO and Head of Transformation at NMMC. He emphasized that the company’s ESG principles are central to its transformation program, aligning with Uzbekistan’s 2025 ‘Year of Environmental Protection and the Green Economy’ initiative and the national ‘Uzbekistan-2030’ strategy.

    Boris Samoylenko, Head of ESG at NMMC, reinforced that the rating validates NMMC’s ongoing sustainability efforts and serves as a benchmark for further improvements in line with global best practices.

  • NMMC Receives First-Ever ESG Rating, Reinforcing Sustainability Commitment

    NMMC Receives First-Ever ESG Rating, Reinforcing Sustainability Commitment

    Navoi Mining & Metallurgical Company (NMMC), the world’s fourth-largest gold producer, has received its debut ESG Entity rating from Sustainable Fitch, marking a significant milestone in its sustainability journey. The company was assigned an ESG rating of ‘3’ (on a scale from 1 to 5, where 1 represents low risk and 5 represents high risk) and an overall entity score of 51 out of 100.

    The rating was based on a comprehensive assessment of NMMC’s sustainability strategy, corporate governance, environmental impact, and social responsibility programs. The company’s environmental and social performancereceived a favorable ‘3’ rating, highlighting strong internal policies on emissions and water management, the absence of major environmental incidents, and a low gender pay gap. Additionally, corporate governance was rated at ‘2’, recognizing adherence to international financial reporting standards, systematic internal audits, and structured risk management.

    NMMC’s ESG rating aligns with global mining industry standards, acknowledging the sector’s inherent environmental challenges, such as high energy and water consumption, greenhouse gas emissions, and industrial waste generation. Notably, NMMC is the first company in Uzbekistan’s mining sector to receive a public ESG rating, reinforcing its industry leadership and commitment to international sustainability principles.

    The company’s ESG efforts are part of a large-scale transformation program, in line with Uzbekistan’s national strategy “Uzbekistan-2030”. With 2025 declared the “Year of Environmental Protection and the Green Economy”in Uzbekistan, NMMC aims to further enhance its sustainability practices and strengthen investor confidence.

  • Ukraine’s Critical Materials Sector: Challenges and Investment Potential

    Ukraine’s Critical Materials Sector: Challenges and Investment Potential

    Ukraine’s critical materials sector was the focus of the “Strategic Resources of Ukraine” Conference, held within the framework of the Economic Growth Strategy until 2040. The event, developed by Boston Consulting Group in partnership with the We Build Ukraine think tank, assessed investment prospects and key challenges in the industry.

    The metals and mining industry remains a cornerstone of Ukraine’s economy, contributing 6.1% to GDP and 30% of total exports (as of 2021). Despite the country’s vast reserves and historically low-cost structure, the industry faces asset losses, infrastructure damage, and labor shortages due to the ongoing war. Ferrous metals mining, concentrated in the Kryvyi Rih basin, remains largely under Ukrainian control, while non-ferrous materials, including precious metals and rare earth elements, are crucial for sectoral growth. However, the war has shifted export dynamics, increasing dependence on raw ore exports and leading to profitability declines and logistical challenges.

    Globally, the demand for critical raw materials is intensifying, driven by their essential role in industrial production, technological development, and renewable energy. However, supply chains face high geographic concentration, long project development timelines, declining resource quality, environmental concerns, and climate risks.

    Investment in Ukraine’s mining sector is hindered by multiple barriers:

    • State policy gaps, including the lack of an updated critical materials strategy and an outdated mineral classification system.
    • Institutional shortcomings, such as fragmented geological data, secrecy in resource information, and complex land acquisition procedures.
    • Limited state support, with no fiscal incentives, war risk insurance, or export assistance for mineral companies.

    Despite these obstacles, Ukraine has significant potential to attract international investment in critical raw materials extraction, processing, and exports. The country must develop a long-term strategy to leverage its mineral wealth, strengthen economic independence, and accelerate green energy transition.