MINEX Forum

Tag: Profit

  • 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

  • Kyrgyzstan’s Kumtor Gold Mine Reports $300 Million Profit in the Last Two Years

    Kyrgyzstan’s Kumtor Gold Mine Reports $300 Million Profit in the Last Two Years

    During a forum in Bishkek, Kyrgyzstan’s Prime Minister Akylbek Japarov announced that the profit from the Kumtor gold deposit over the past two and a half years amounted to $300 million, with dividends totaling $100 million from 1994 to May 2021. Japarov highlighted the significant financial era the nation has entered due to their productive work. Kumtor, one of the largest gold mines in Central Asia, is located in the Issyk-Kul region in northern Kyrgyzstan, approximately 60 km from the Chinese border at an altitude of over 4,000 meters. The mine was previously owned by Canadian Centerra Gold Inc., but Kyrgyzstan took control in May 2021 citing environmental concerns and tax issues. Legal disputes arose, leading to an international arbitration initiated by Centerra, though a settlement was later reached. As of February 2023, Kyrgyzstan’s Cabinet of Ministers ended the temporary management of Kumtor Gold Company, which now operates as a subsidiary of the state-owned Kyrgyzaltyn. Formerly producing 15-17 tons of gold annually up to 2021, the mine yielded 17.3 tons in 2022.

  • Kumtor Gold Company Exceeds Gold Production Targets in 2023, Boosting Revenue and Profit

    Kumtor Gold Company Exceeds Gold Production Targets in 2023, Boosting Revenue and Profit

    Kumtor Gold Company, based in Kyrgyzstan, achieved remarkable milestones in 2023, surpassing its gold production targets and recording significant revenue and profit growth. The company’s production output totaled 15.567 tons of gold, slightly higher than the amount sold, which stood at 15.577 tons, reflecting robust operational efficiency and market demand. With revenue from production activities soaring to $849 million, Kumtor Gold exceeded its planned revenue of $734.2 million, driving a net profit of $302.4 million, well beyond the projected $194 million. Tax contributions to the republican budget further underscored the company’s substantial economic impact, amounting to 17.241 billion soms ($192.787 million).

    In a strategic move to optimize workflow and modernize equipment, Kumtor Gold implemented measures resulting in savings exceeding $30 million, demonstrating its commitment to operational excellence. Despite a reduction in capital investment volume to $111.5 million compared to the previous year, the company’s focus on efficiency enhancements yielded impressive financial outcomes.

    Moreover, Kumtor Gold reaffirmed its commitment to regional development by allocating significant funds to various initiatives. Notably, $8.389 million was directed towards the development of the Issyk-Kul region, while $5.033 million was allocated to the Naryn region development fund. Additionally, contributions to the Regional Development Partnership Fund and the Nature Development Fund further underscored the company’s dedication to environmental sustainability and community welfare.

    Kumtor Gold Company remains a cornerstone of the mining industry in Kyrgyzstan, spearheading the operation of the Kumtor project, the country’s largest gold mining enterprise. With a commitment to excellence, responsible production practices, and community engagement, Kumtor Gold continues to drive economic growth and social development in the region.