MINEX Forum

Website: Kazakhstan.com

  • Kazakhstan to study lithium potential near Caspian and Aral seas from 2027

    Kazakhstan to study lithium potential near Caspian and Aral seas from 2027

    Kazakhstan plans to launch large-scale geological studies between 2027 and 2029 to assess the potential for industrial lithium extraction in several regions of the country, the Ministry of Industry and Construction of Kazakhstan said in response to an inquiry from LS.

    The programme will focus on mineralized brines, saline lake waters and salt flats located near the Caspian Sea and the Aral Sea, as well as subsurface resources in the Bayankol ore district. The aim is to determine whether these areas are suitable for commercial lithium production. The work will be carried out under the state geological exploration programme, with 600 million tenge allocated from the national budget.

    In parallel, geological assessment continues in Central Kalba. By 2027, specialists are expected to complete studies of areas prospective for lithium, as well as rare and rare earth metals within the Kalba–Narym zone.

    According to the ministry, there is a high probability of discovering new rare metal deposits in several regions, including northern Kazakhstan’s Kokshetau rare-metal province, western Kazakhstan’s Mugodzhar province with lithium-fluorine type granites, and the southeastern part of the Chingiz–Tarbagatai rare earth metallogenic zone in eastern Kazakhstan.

    The ministry also noted that lithium occurrences have already been confirmed in salt flats in the Aral Sea region and in Betpak-Dala, indicating tangible exploration potential in southern parts of the country.

  • Kazakhstan’s mining majors step up decarbonization with renewables and waste recycling projects

    Kazakhstan’s mining majors step up decarbonization with renewables and waste recycling projects

    In 2025, Kazakhstan’s leading mining and metals companies continued to expand environmental programmes focused on emissions reduction, waste processing and biodiversity protection, while also completing several major renewable energy projects.

    In December, Solidcore Resources announced the completion of a solar power plant at its Varvarinskoye gold mine. The facility has an installed capacity of 22.6 MW and is expected to generate around 28.5 million kWh of electricity annually. The project, which includes more than 36,000 solar panels and a supplementary gas piston power plant to cover periods of low solar output, required investments of about 29 billion tenge. Solidcore estimates that switching Varvarinskoye to renewable energy will cut indirect greenhouse gas emissions by approximately 50%.

    Another major producer, Eurasian Resources Group (ERG), reported in September that all 24 wind turbines had been installed near its Donskoy Mining and Processing Plant. Once operating at full capacity, the wind farm is expected to generate more than 500 million kWh of electricity per year. The project will allow ERG to save over 300,000 tonnes of coal annually and reduce emissions by up to 440,000 tonnes.

    Alongside renewable energy investments, ERG also launched processing of accumulated tailings at the Donskoy plant. Chromium is now being recovered from technogenic mineral raw materials using flotation technology, supporting both waste reduction and resource efficiency.

    Another notable initiative is the gasification of the Qarmet metallurgical plant. In July, the company began pressure testing and commissioning a new gas pipeline. Partial replacement of fuel oil and coke with natural gas is expected to significantly reduce atmospheric emissions from steel production.

    Together, these projects highlight a broader shift by Kazakhstan’s mining and metals sector toward cleaner energy, circular resource use and lower environmental impact.

  • Mercuria lends $1.2 billion to finance Kazakhmys buyout, strengthening its push into global copper markets

    Mercuria lends $1.2 billion to finance Kazakhmys buyout, strengthening its push into global copper markets

    Commodity trading house Mercuria Energy Group has agreed to lend $1.2 billion to help fund the buyout of major Kazakh copper producer Kazakhmys, marking one of the largest metals pre-financing deals ever concluded. The transaction underscores Mercuria’s rapid expansion in metals trading and financing, a space long dominated by rivals Glencore and Trafigura Group.

    The Kazakhmys deal is the biggest among more than $3.5 billion in metals financing and prepayment agreements Mercuria has signed in just over a year, following its strategic push into metals under the leadership of Kostas Bintas, the former co-head of metals at Trafigura. Bintas has been a long-time bull on copper and has capitalized on supply chain disruptions, rising geopolitical risks and the threat of US import tariffs that have helped push copper prices above $13,000 per tonne.

    Under the terms of the agreement, Mercuria will provide financing over an eight-year period. In return, it will receive 200,000 tonnes of copper cathodes annually during the first four years, followed by a percentage of production thereafter. Bintas described the transaction as one of the largest pre-financing deals of his career and noted that such long-tenor, large-scale arrangements were historically more common in energy markets than in metals.

    The financing highlights Mercuria’s growing footprint in Kazakhstan, a market traditionally dominated by Glencore in metals and Vitol Group in oil. The deal comes amid a broader reshaping of ownership across Kazakhstan’s resource sector, as economic influence shifts away from elites linked to former president Nursultan Nazarbayev toward a new business class under President Kassym-Jomart Tokayev.

    Kazakhmys, once part of one of the London Stock Exchange’s largest listed copper producers, was recently acquired by construction magnate Nurlan Artykbayev through his company Qazaq Acquisition Corp. The purchase price was not disclosed. Mercuria has also previously struck a prepayment deal with Eurasian Resources Group, another major Kazakh miner facing potential ownership changes.

    Mercuria’s aggressive expansion mirrors a broader trend of trading houses stepping in as financiers to miners, providing upfront capital in exchange for long-term commodity flows. With copper prices remaining elevated, Bintas said Mercuria expects metals financing activity to increase further in 2026, even as high prices have temporarily dampened physical buying in China, the world’s largest copper consumer.

  • Kazakh MP questions state support for KazZinc and Glencore over exporter financing

    Kazakh MP questions state support for KazZinc and Glencore over exporter financing

    A debate over the allocation of state export financing has flared up in Kazakhstan’s parliament, after MP Erlan Sairov sharply criticized the national holding Baiterek and Swiss commodities giant Glencore, which owns around 70% of KazZinc.

    Speaking at a Mazhilis session on business support measures, Sairov said that about 35% of nearly 1 trillion tenge allocated under the exporter financing program went to KazZinc. He questioned why a company exporting semi-finished metal products and operating largely on a prepayment basis required state-backed loans. According to the MP, export support should primarily help domestic high-tech products enter international markets, not finance a multinational corporation.

    Sairov argued that during Glencore’s two decades of presence in Kazakhstan, the company had failed to create high-value, high-tech domestic production, raising concerns about the use of public funds to support foreign-controlled enterprises. His remarks were directed at Baiterek chief executive Rustam Karagoishin.

    In response, Karagoishin stressed that KazZinc is legally registered in Kazakhstan and therefore qualifies as a domestic client for Baiterek. He said the holding is obliged to assess and approve financing applications that meet its criteria, noting that exports remain a key source of foreign currency inflows and budget revenues. While acknowledging the priority given to high-tech sectors, Karagoishin said traditional exporters still play a crucial role, particularly as Kazakhstan’s metallurgical sector faces growing challenges on global markets.

    The discussion comes amid renewed uncertainty around KazZinc’s ownership. Bloomberg reported in mid-2024 that Glencore was considering selling its stake in the company, including the Vasilkovskoye gold asset, before later shelving the plan. Talks reportedly resumed in 2025, with Bloomberg sources naming businessman Shakhmurat Mutalip as a potential buyer. Mutalip is also said by the Financial Times to be pursuing a major stake in Eurasian Resources Group, despite not appearing on Kazakhstan’s Forbes rich list.

  • Kazakhstan tightens rules for subsoil use and mineral rights

    Kazakhstan tightens rules for subsoil use and mineral rights

    Kazakhstan has introduced stricter requirements for obtaining and retaining subsoil use rights after Kassym-Jomart Tokayev signed amendments to the Code “On Subsoil and Subsoil Use,” LS reports.

    Under the new rules, winners of subsoil auctions must pay signature bonuses before a license is issued. Companies that refuse to make the payment will be barred for five years from obtaining new subsoil rights or acquiring them from third parties.

    The amendments also prohibit concealed extraction of solid minerals under the guise of pilot or test production. Any such violations will result in the immediate revocation of exploration licenses.

    To prevent the emergence of inactive or stalled projects, higher investment requirements have been introduced. Investors must now confirm the availability of financing with supporting documentation before receiving rights to develop mineral resources.

    The changes were previously presented in the Mazhilis and are aimed at strengthening discipline among investors and ensuring more effective and transparent development of Kazakhstan’s mineral base.

  • Kazakhstan to explore new areas for lithium extraction with state-funded geological studies

    Kazakhstan to explore new areas for lithium extraction with state-funded geological studies

    Kazakhstan plans to expand its search for lithium resources by launching new geological studies across several regions of the country, the Ministry of Industry and Construction of Kazakhstan told LS Media.

    According to the ministry, state-funded exploration works are scheduled for 2027–2029 and will focus on mineralized brines, saline lake waters and salt flats in the Caspian and Aral Sea regions, as well as hard-rock formations in the Bayankol ore district. The objective is to determine whether these areas are suitable for commercial lithium extraction. The studies will be carried out as part of the national geological exploration program, with funding of 600 million tenge allocated from the state budget.

    In parallel, authorities expect to complete an assessment of Central Kalba in 2026. The work there is aimed at identifying areas prospective for lithium-bearing mineralization, as well as complex rare-metal and rare-earth mineralization within the Kalba–Narym zone.

    The ministry also highlighted significant potential for discovering new rare-earth deposits hosted in rare-metal granites and pegmatites. Promising targets include northern Kazakhstan near the Kokshetau rare-metal province, western Kazakhstan within the Mugodzhar rare-metal province, and eastern Kazakhstan at the southeastern end of the Chingiz–Tarbagatai rare-earth metallogenic zone.

    In addition, lithium occurrences have already been identified in salt flats across the Aral Sea region, Betpak-Dala and other parts of southern Kazakhstan, reinforcing expectations that the country could expand its role in the supply of critical battery minerals.

  • Kazakhstani university wins first-ever Horizon Europe project and joins EU critical minerals initiative

    Kazakhstani university wins first-ever Horizon Europe project and joins EU critical minerals initiative

    Kazakhstan’s higher education and research sector has reached a landmark milestone after a domestic university secured its first victory in a competitive call under Horizon Europe, the European Union’s flagship research and innovation programme. East Kazakhstan Technical University (EKTU) has become a full partner in the international TiBeRIUM project, marking an unprecedented step for Kazakhstani universities in EU-funded research cooperation.

    TiBeRIUM (Titanium and Beryllium for European Resilience and Innovative Utilization of Minerals) is coordinated by TU Bergakademie Freiberg in Germany and brings together a consortium of 25 partners from 12 countries, including Germany, Greece, Cyprus, the United Kingdom, Norway, Spain, Poland, Belgium, Bulgaria, Finland, Kazakhstan, and Uzbekistan. The project focuses on building sustainable supply chains for critical raw materials and advancing environmentally friendly technologies for the processing of titanium and beryllium. Its total budget is estimated at around €8 million.

    Kazakhstan is represented in the project by EKTU, Tenir Group LLP, and Ulba Metallurgical Plant JSC. According to the university, EKTU’s participation is the result of long-term, systematic efforts by its research teams. During the proposal preparation phase between May and September 2025, EKTU specialists held 18 formal coordination meetings, alongside dozens of technical sessions covering scientific pathways, industrial case studies, environmental impact, and data management. The process also included extensive consultations with industrial partners and in-person international meetings in Germany and Uzbekistan.

    As a result, EKTU joined TiBeRIUM as a full-fledged partner, with responsibilities considered strategically important for achieving the project’s objectives. University representatives noted that this outcome reflects the strength of EKTU’s research infrastructure, scientific management, and professional expertise.

    The achievement was also attributed to sustained support from the Ministry of Science and Higher Education of the Republic of Kazakhstan, which has been investing in the development of national research capacity. Project participants emphasized that participation in Horizon Europe is not an endpoint, but the beginning of a new phase in which Kazakhstani science and engineering aim to play a more active role in developing technologies, strengthening human capital, and contributing to global value chains in critical minerals.

  • RG Gold enters new growth phase after Zijin Mining acquisition and outlines major expansion plans

    RG Gold enters new growth phase after Zijin Mining acquisition and outlines major expansion plans

    Kazakhstan’s gold miner RG Gold has described 2025 as a turning point in its development following the acquisition of the Raygorodok deposit in Akmola region by global mining major Zijin Mining Group. The deal, valued at more than $1 billion, transferred 100% ownership of the asset to Zijin and marked one of the largest transactions in the country’s mining sector in recent years.

    According to the company, the entry of a new shareholder has provided access to international technologies, management standards and long-term strategic capital, while significantly raising the scale of future ambitions. RG Gold plans to invest around $500 million in the construction of a new processing plant, which would increase ore processing capacity by an additional 10 million tonnes per year. This would lift total annual throughput to more than 16 million tonnes.

    In 2025, RG Gold delivered record operating results, processing 6.5 million tonnes of ore and producing nearly 6.5 tonnes of gold. Metallurgical recovery at the processing plant exceeded 87%. The company emphasized that these results were achieved while maintaining high safety standards and protecting employee health.

    The Raygorodok deposit, first explored in the mid-1990s, remains one of Kazakhstan’s largest gold mining projects. Despite relatively low gold grades, the ore is considered easily recoverable, ensuring economic sustainability. Investments in exploration have significantly expanded reserves, while the launch of a CIP-based processing plant in 2022 boosted production efficiency. The mine’s operating life is currently projected to extend to at least 2040, even with higher processing volumes.

    Looking ahead, 2026 is expected to become a key investment year, with construction of the new processing facility forming the core project. RG Gold estimates that the expansion will create more than 1,000 new jobs and deliver broader socio-economic benefits for the region.

    Environmental management and workplace safety remain central to the company’s strategy. In 2025, RG Gold completed preparatory work for ISO 14001 certification, invested in environmental training, launched biodiversity research projects and carried out large-scale land restoration, including planting 100,000 pine seedlings. Safety initiatives introduced during the year contributed to a 38% reduction in workplace incidents.

    Company executives said that integration into Zijin Mining Group opens new opportunities for staff development, knowledge exchange and the adoption of global best practices. Over the next three to five years, RG Gold’s strategy will focus on efficiency improvements, production growth, resource base development and strengthened ESG performance, positioning the company as a benchmark for sustainable gold mining in Kazakhstan.

  • Kazakhstan outlines major mining and metallurgical projects planned for the coming year

    Kazakhstan outlines major mining and metallurgical projects planned for the coming year

    After reviewing the mining and metallurgical facilities launched across the country last year, Kazakhstan is now turning its attention to key sector development plans for the year ahead. Several large-scale projects are set to move forward, spanning titanium, zirconium, polymetals and copper production.

    In 2026, the Obukhov Mining and Processing Plant in the North Kazakhstan region is scheduled to be relaunched at the Obukhov titanium-zirconium deposit. Rare Metals Kazakhstan plans to mine up to 800,000 tonnes of ore annually and produce around 30,000 tonnes of rutile-zirconium concentrate and ilmenite. Most of the output will be exported to China, which dominates global production and consumption of rare and rare-earth metals.

    Another project involving the resumption of mining is underway in the Kyzylorda region, where development of the Shalkiya polymetallic deposit will continue. The asset belongs to a subsidiary of Tau-Ken Samruk. The concentrator is designed to process up to 4 million tonnes of ore per year, with total investments in the non-ferrous metals project estimated at 323 billion tenge.

    In addition, a hydrometallurgical plant is expected to open in the Pavlodar region next year. Fonet Er-Tai Mining plans to produce cathode copper using raw materials from the Kodzhanchad group of deposits. The facility will have an annual capacity of 5,000 tonnes, with investments totaling 9.4 billion tenge.

    Another major development is the launch of a mining and processing plant at the Koksai deposit in the Zhetysu region. Construction is being carried out by the Consolidated Construction Mining Company, a subsidiary of Kazakhmys. The project предусматривает annual production of up to 50 million tonnes of copper ore. In addition to copper, the deposit contains silver and gold, with total ore reserves exceeding 823 million tonnes. Total capital expenditures for the project reached 976 billion tenge.

  • Unexpected bid intensifies battle for control of Eurasian Resources Group

    Unexpected bid intensifies battle for control of Eurasian Resources Group

    A new twist has emerged in Kazakhstan’s mining sector after businessman Shahmurat Mutalip put forward an offer to acquire a 40% stake in Eurasian Resources Group (ERG), entering a prolonged shareholder dispute and challenging the position of the company’s chief executive, Shukhrat Ibragimov. According to the Financial Times, Mutalip has reached a preliminary agreement with the families of ERG co-founders Patokh Shodiev and the late Alexander Mashkevich to purchase their combined holdings for $1.4 billion, subject to the Ibrahimov family waiving its right of first refusal.

    ERG was founded in the 1990s on the basis of former state-owned mining assets and later became one of the most prominent post-Soviet companies to list in London. Today, ownership is split between the three founding families, each holding about 20%, and the government of Kazakhstan, which controls the remaining 40%. The talks are taking place amid rising international competition for metals critical to clean energy, artificial intelligence and industrial infrastructure, increasing the strategic value of ERG’s assets.

    Mutalip’s move has surprised the market, given his limited background in mining and his career roots in construction. His recent interest in large-scale resource assets, including a reported bid for a controlling stake in Kazzinc, has raised questions about financing and long-term strategy. At the same time, ERG continues to face financial pressure due to its reliance on loans from Russian state banks under Western sanctions, adding further uncertainty to the outcome of the ownership battle.