MINEX Forum

Tag: Uzbekistan

  • Navoi Mining Secures ESG Rating, Reinforcing Sustainability Commitment

    Navoi Mining Secures ESG Rating, Reinforcing Sustainability Commitment

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

    The rating reflects an in-depth evaluation of NMMC’s sustainability initiatives, corporate governance standards, and environmental and social performance. The company’s environmental and social metrics earned a rating of ‘3,’ acknowledging strong internal policies on emissions and water management, an absence of major environmental incidents, and a low gender pay gap. Its corporate governance received a rating of ‘2,’ highlighting adherence to international financial reporting standards, robust internal audits, and a structured risk management framework.

    NMMC’s ESG rating aligns with global mining industry standards, considering the sector’s environmental footprint, high resource consumption, and waste generation. Notably, NMMC is the first mining company in Uzbekistan to secure a public ESG rating, reinforcing its leadership in sustainability and transparency.

    Eugene Antonov, First Deputy CEO and Head of Transformation at NMMC, emphasized the company’s commitment to ESG principles as part of its ongoing transformation program. He also noted that Uzbekistan’s designation of 2025 as the “Year of Environmental Protection and the Green Economy” aligns with NMMC’s sustainability goals under the national “Uzbekistan-2030” strategy.

    Boris Samoylenko, Head of ESG at NMMC, stated that the rating validates the company’s efforts to integrate sustainable practices while setting a benchmark for future improvements in ESG performance.

  • Uzbekistan’s Uranium Resources A Significant Asset for the Future

    Uzbekistan’s Uranium Resources A Significant Asset for the Future

    Uzbekistan’s Uranium Resources: A Significant Asset for the Future

    Uzbekistan is making strides in expanding its uranium resources through modernisation, digitalisation and strategic international partnerships. Recent geological explorations and research have revealed promising prospects for new deposits, positioning the nation as a key player in the global nuclear energy market.

    Domestic Exploration and Development

    The state-owned enterprise “Navoiuran” is spearheading the effort to boost the country’s uranium reserves. Through its dedicated geological exploration expeditions – “Bukantau”, “Nurota”, and “Zirabulok” – the company is actively surveying and drilling across the northern, central, and southern regions of Uzbekistan.These expeditions are focused on identifying new uranium deposits and enhancing the resource base. Exploration work involves detailed geological studies, geophysical surveys, and core sampling to assess the concentration of valuable elements such as Uranium, Molybdenum, and Selenium.

    International Collaboration

    Recognising the importance of global collaboration, Uzbekistan is actively partnering with foreign entities to accelerate uranium exploration and development. Notably, joint research initiatives with Japanese companies JOGMEC and Itochu have fostered financial and technological advancements. These collaborations have led to the successful implementation of international standards in research and geological services at the Jasaga deposit.

    Key Objectives and Future Prospects

    Uzbekistan has set an ambitious goal of expanding its uranium mineral resource base to 100,000 tonnes by 2030. To achieve this, “Navoiuran” is committed to:

    • Continued exploration and development activities
    • Implementing advanced technologies and digitalisation
    • Investing in training programs for young professionals
    • Attracting foreign investment through international partnerships

    By focusing on these key objectives, Uzbekistan aims to solidify its position as a major uranium producer, enhance its influence in the global energy sector, and strengthen its international standing.

  • Navoiuran State Enterprise: Perspective Plans Discussed with Itochu Corporation

    Navoiuran State Enterprise: Perspective Plans Discussed with Itochu Corporation

    A high-level meeting took place in Uzbekistan at the state enterprise ‘Navoiuran’ with a delegation from the Japanese corporation Itochu Corporation, led by Daisuke Inoue, Executive Director and Chief Operating Officer of the Metals and Mineral Resources Department.

    The Japanese delegation was warmly received by the enterprise’s management, headed by Director General J. Faizullaev. During the discussions, the enterprise’s leadership emphasised the long-standing cooperation with Itochu Corporation, highlighting the relationship’s foundation of mutual trust and friendship.

    While the specific details of the perspective plans were not fully elaborated in the initial report, the meeting signals continued collaborative efforts between Navoiuran State Enterprise and the prominent Japanese corporation.

    The engagement underscores the ongoing international business relationships and strategic partnerships in the metals and mineral resources sector.

  • Uzbekistan’s Mining Sector Prepares $2.1 Billion Eurobond Issuance

    Uzbekistan’s Mining Sector Prepares $2.1 Billion Eurobond Issuance

    Uzbekistan’s mining and metallurgical complexes are gearing up to issue $2.1 billion in eurobonds by 2025, a move aimed at funding expansive projects to boost the nation’s industrial capabilities and global competitiveness. The Almalyk Mining and Metallurgical Complex (AMMC) plans to issue $1 billion in eurobonds, targeting significant expansion initiatives. Navoi Mining and Metallurgical Complex is set to release $500 million worth of eurobonds, while Navoiyuran and Uzmetkombinat will each issue $300 million to finance critical projects.

    These issuances represent Uzbekistan’s broader push to strengthen its industrial sectors and attract global investment. Beyond mining, $700 million will be raised from international markets to develop aviation and infrastructure projects, involving Uzbekistan Airways and Uzbekistan Airports. This aligns with Uzbekistan’s recent success in international markets, notably Navoi Mining’s inaugural $1 billion eurobond offering, which was 5.5 times oversubscribed, demonstrating robust investor confidence.

    These strategic financial moves underscore Uzbekistan’s commitment to advancing its industrial base and integrating into global markets.

  • AGMK to Launch First Phase of New Copper Enrichment Plant in July 2025

    AGMK to Launch First Phase of New Copper Enrichment Plant in July 2025

    The Almalyk Mining and Metallurgical Complex (AGMK) is set to commission the first phase of its third copper processing plant in July 2025.

    This milestone is outlined in Uzbekistan’s 2025 State Program draft, recently published for public discussion.

    According to the document, construction and installation work for the new system utilizing cyclic-flow technology with a transportation capacity of 65 million tons of ore are expected to be completed by May 2025.

    By June, the delivery, installation, and setup of key technological equipment necessary for the plant’s operation will be finalized.

    The first phase of the third copper processing plant will commence operations in July 2025, with a processing capacity of up to 60 million tons of ore annually. This development will significantly boost AGMK’s total ore processing capacity from the current 40 million tons to an impressive 100 million tons per year.

    The ambitious project is being funded through AGMK’s own resources and loans from international banks, with the overall modernization program estimated to cost $4.8 billion. Completion of all related works is anticipated by 2026.

    In addition, AGMK began construction of a fourth copper processing plant in October 2024, marking another step in its strategic expansion.

    This initiative is part of AGMK’s broader efforts to modernize and expand its mining and processing capabilities, reinforcing its role as a key player in the global mining industry.

  • UzKTK Aims to Boost Tungsten Production by 50 Times by 2030

    UzKTK Aims to Boost Tungsten Production by 50 Times by 2030

    Uzbekistan Technological Metals Combinat (UzKTK) has ambitious plans to significantly increase its production of tungsten and molybdenum by 2030. The company aims to boost tungsten production by a staggering 50 times and molybdenum production by 3.4 times in value terms.

    This announcement was made by Ulugbek Ruziyev, Deputy Head of UzKTK. He highlighted the company’s commitment to developing Uzbekistan’s rare metals sector, with 34 projects focused on exploration, extraction, and processing.

    UzKTK’s diverse project portfolio includes:

    • Exploration: 17 projects dedicated to identifying and assessing new deposits of lithium, tungsten, tantalum, niobium, graphite, and other rare earth metals.
    • Technology development: 8 projects focused on developing specialized technologies for processing rare metals.
    • Geological data analysis: 6 projects aimed at consolidating geological mapping, biochemical, and geophysical data.
    • Resource utilization: 3 projects focused on utilizing additional metals and rare elements.

    Established in July 2024 on the foundation of the “Rare Metals and Hard Alloys” scientific and production association, UzKTK is poised to become a key player in Uzbekistan’s burgeoning rare metals industry.

    This ambitious growth strategy aligns with the government’s focus on developing the rare metals sector. President Shavkat Mirziyoyev has called for $500 million in projects for the extraction and processing of rare earth metals, recognizing their growing importance in the global market.

    Uzbekistan has also strengthened international collaborations in this area, signing memorandums of understanding with the European Union and the United States on cooperation in critical raw materials. These partnerships will facilitate the development, financing, and infrastructure needed to support the sustainable supply of these valuable resources.

  • Navoi Mining and Metallurgical Combine Boosts Production by 39% in 2024

    Navoi Mining and Metallurgical Combine Boosts Production by 39% in 2024

    Navoiy Mining and Metallurgical Combinat (NGMK), Uzbekistan’s leading gold mining company, has shared its 2024 performance results. In 2024, NGMK produced goods worth 93.9 trillion sums, representing a 5.3% growth compared to 2023. However, when compared to the 2023 report, the production volume in sum terms increased by 39.1%.

    NGMK paid 57.5 trillion sums in taxes and dividends to the Uzbekistan state budget.

    Investment programs were implemented with a total value of $790 million, creating 715 new jobs. As part of the localization program, NGMK produced goods worth 916 billion sums and procured products worth 6.2 trillion sums through inter-industry industrial cooperation.

    By implementing a set of measures to optimise costs, NGMK managed to reduce the production cost by 3.7 trillion sums.

    In October 2024, NGMK issued its first Eurobonds worth $1 billion on the London Stock Exchange (LSE). The bonds consist of two tranches: one worth $500 million with a four-year maturity and a 6.7% annual coupon rate, and another worth $500 million with a seven-year maturity and a 6.95% annual coupon rate.

    The total demand for the Eurobonds reached $5.5 billion, the highest for Uzbekistan issuers since the first sovereign bond issuance in 2019. NGMK plans to issue another $500 million worth of Eurobonds in 2025.

  • Navoi Mining and Metallurgical Company Debuts $1 Billion Eurobonds, Signifying Uzbekistan’s Economic Transformation

    Navoi Mining and Metallurgical Company Debuts $1 Billion Eurobonds, Signifying Uzbekistan’s Economic Transformation

    Navoi Mining and Metallurgical Company (NMMC), Uzbekistan’s largest gold producer, successfully issued its debut $1 billion Eurobonds, marking a breakthrough for both the company and the country in global markets. The issuance aligns with Uzbekistan’s modernization goals, reflecting NMMC’s internationalization and commitment to sustainable, transparent practices. According to Eugene Antonov, NMMC’s deputy CEO, the funds will drive operational improvements, corporate governance, and environmental sustainability, bolstering NMMC’s role in Uzbekistan’s economy and solidifying its position among global gold producers.

  • UK Export Finance Supports First Deal in Uzbekistan with €12.6 Million Loan Guarantee for Almalyk Mining

    UK Export Finance Supports First Deal in Uzbekistan with €12.6 Million Loan Guarantee for Almalyk Mining

    UK Export Finance (UKEF) has secured its first deal in Uzbekistan, providing a €12.6 million loan guarantee to Almalyk Mining and Metallurgical Complex (AMMC), one of Central Asia’s largest copper producers. The loan will support the refinancing of AMMC’s purchase of advanced automated machinery from Weir, a subsidiary of the Scottish multinational. This order, placed in 2022, helps Almalyk in enhancing its copper production capabilities.

    The UKEF guarantee, issued through an international bank, is aimed at promoting UK exports and strengthening economic ties between the UK and Uzbekistan. Total UK-Uzbekistan trade amounted to £381 million in 2023, with specialized machinery ranking as the fourth most traded commodity. The machinery supplied by Weir will be instrumental for AMMC, as copper plays a crucial role in sectors such as construction, renewable energy, and electric vehicles.

    UKEF has earmarked up to £4 billion to support future projects in Uzbekistan, with a focus on clean and sustainable technologies. Tim Reid, UKEF CEO, expressed optimism for further strengthening trade relations between the two nations. The recent appointment of Sevara Madgazieva as UKEF’s representative in Tashkent highlights the agency’s commitment to backing projects that contribute to Uzbekistan’s economic diversification.

  • United States and Uzbekistan Sign MOU to Strengthen Cooperation on Critical Minerals

    United States and Uzbekistan Sign MOU to Strengthen Cooperation on Critical Minerals

    Ambassador Jonathan Henick and First Deputy Minister of Geology Omonullo Nasritdinxodjaev signed a Memorandum of Understanding (MOU) today to enhance cooperation between the United States and Uzbekistan in the area of critical minerals. The signing took place just before Uzbekistan’s participation in MINExpo INTERNATIONAL, the world’s largest mining industry event, set for September 24-26, 2024, in Las Vegas, Nevada.

    This agreement follows the announcement made during the September 2023 Presidential Summit in New York, where President Biden, President Mirziyoyev, and the presidents of Kazakhstan, Kyrgyz Republic, Tajikistan, and Turkmenistan agreed to launch a Critical Minerals Dialogue. The MOU aims to promote economic cooperation, drive investment in clean energy initiatives, and safeguard Central Asia’s ecosystems.

    Critical minerals and rare earth elements are vital to clean energy technologies and are becoming increasingly important in global economies. The United States is actively encouraging private sector investment in Uzbekistan’s mining sector. The MOU underscores both nations’ commitment to maintaining high environmental, labor, and governance standards in the global mining sector.

    Ambassador Henick stated, “The United States and Uzbekistan must cooperate to establish resilient and secure supply chains that can support the future energy landscape. This memorandum reflects our shared goal to diversify global mineral supply chains and expand our Strategic Partnership with Uzbekistan.”