MINEX Forum

Website: Kazakhstan.com

  • Central Asia Metals Ranked Among Top 10 AIM-Listed Companies for Dividend Yield

    Central Asia Metals Ranked Among Top 10 AIM-Listed Companies for Dividend Yield

    Central Asia Metals plc (AIM: CAML), a leading mining company listed on the AIM market, has been recognised as one of the top 10 AIM-quoted companies with the highest dividend yield percentage as of February 2025. This achievement underscores the company’s commitment to delivering strong returns to its shareholders.

    For the fiscal year 2023, CAML declared a total dividend of 18 pence per ordinary share, reflecting its robust financial performance and shareholder-focused strategy. Additionally, for the first half of 2024, the company maintained its interim dividend at 9 pence per ordinary share, consistent with the same period in the previous year.

    CAML’s current dividend yield stands at an impressive 11.66%, placing it well above both the industry average of 4.6% and the top quartile of UK market dividend payers at 5.93%. This high yield highlights CAML’s attractiveness to income-focused investors, despite its high payout ratio of over 100%, which indicates dividends are not fully covered by earnings but are supported by strong cash flow coverage.

    The company operates key mining assets, including copper production facilities in Kazakhstan and zinc and lead operations in North Macedonia. Its consistent dividend payments over the years have made it a standout performer on AIM, a market known for its growth-oriented smaller companies.

  • East Hope Group to Build Major Industrial Park in Kazakhstan, Investing Over $12 Billion

    East Hope Group to Build Major Industrial Park in Kazakhstan, Investing Over $12 Billion

    Chinese conglomerate East Hope Group (EHG) has announced plans to construct a large-scale industrial park in Kazakhstan, focusing on non-ferrous metallurgy and advanced mineral processing technologies. The project was revealed by the press service of Kazakh Invest, the national investment company that facilitated negotiations between EHG and Kazakh authorities.

    A tripartite agreement has already been signed between the Chinese investor, Kazakhstan’s Ministry of Foreign Affairs, and the Ministry of Industry and Construction. EHG is set to invest over $12 billion to establish metallurgical production facilities in the country. The company has registered a subsidiary in Kazakhstan and is currently evaluating potential sites for construction across various regions.

    The project is expected to create up to 10,000 new jobs at different stages of its development. While specific details about the products to be manufactured in the industrial park remain undisclosed, EHG is a prominent player in the global market for aluminum and other non-ferrous metals. The goods produced in Kazakhstan are planned to be exported to Europe, Central Asia, and China.

    According to Yerzhan Yelekeev, Chairman of the Board of Kazakh Invest, the project will help localize production, introduce cutting-edge processing technologies, and strengthen Kazakhstan’s position as a leading exporter of non-ferrous metals.

  • Kazakhstan Sees Significant Growth in Coal Production and Industry Revenue in January

    Kazakhstan Sees Significant Growth in Coal Production and Industry Revenue in January

    Kazakhstan’s mining sector experienced a notable surge in January, with mineral extraction reaching 10.08 million tons, marking a 12.9% increase compared to the same period last year. According to the Bureau of National Statistics of Kazakhstan, coal production accounted for 9.7 million tons, reflecting a 14.7% year-on-year growth, while lignite extraction declined to 380,700 tons, an 18.8% dropfrom January 2023.

    The production of coal concentrate also showed positive trends, with 292,700 tons processed in the country’s enrichment plants during the first month of the year, a 4.7% increase compared to the previous year. In monetary terms, the industry’s output rose to 52.29 billion tenge, representing a 16.7% growth from 2023. This growth has significantly contributed to Kazakhstan’s industrial production index, which stood at 101.3% compared to January 2023.

    During a February meeting of the Ministry of Industry and Construction, industry stakeholders reviewed last year’s performance, outlined plans for 2025, and discussed preparations for the heating season. The domestic market currently requires 7.9 million tons of solid fuel, with 7.53 million tons already supplied. Additionally, coal reserves at storage facilities have increased to 476,000 tons.

    It is worth noting that industry players have previously expressed opposition to transitioning under the management of the Ministry of Energy.

  • China Export Curbs Push European Bismuth Prices to Highest Since 2008

    China Export Curbs Push European Bismuth Prices to Highest Since 2008

    European bismuth prices have surged to their highest levels since 2008, driven by concerns over impending export restrictions from China. The move, viewed as a retaliatory measure amidst escalating global trade tensions, has sparked fears of a significant supply crunch for the metal, which is crucial in pharmaceuticals, cosmetics, and nuclear research.

    Earlier this month, China announced its intention to impose export controls on five key metals: tungsten, tellurium, molybdenum, bismuth, and indium. This decision comes in response to recently implemented tariffs by the United States.

    The immediate impact on the European spot market has been dramatic. Bismuth prices, previously stable at around $6 per pound, have soared to between $12 and $18 this week. Market traders anticipate further price increases in the coming weeks.

    China’s dominance in the bismuth market is substantial. According to the United States Geological Survey (USGS), the nation accounted for over 80% of global bismuth production last year, producing approximately 13,000 tonnes. While other countries, including Japan, South Korea, and Laos, contribute to the remaining supply, traders highlight the limited availability of bismuth from these sources compared to China.

    “We have been inundated with enquiries from both our EU and US clients,” stated a European-based trader, emphasising the growing concern. They further noted that US consumers would be particularly vulnerable should the trade dispute between China and the US escalate.

    With global trade tensions on the rise, it is expected that China may further utilise its control over critical minerals as a strategic tool. The recent price surge in Europe signals the potential for significant market volatility and supply chain disruptions.

  • Kazatomprom Expands Global Presence with Swiss and Jordanian Partnerships

    Kazatomprom Expands Global Presence with Swiss and Jordanian Partnerships

    Kazakhstan’s national atomic company is strengthening its international partnerships by signing new agreements with Swiss and Jordanian enterprises. These contracts will allow Kazatomprom to expand its global market presence, according to official reports.

    The first agreement was signed with Axpo Power AG and Kernkraftwerk Leibstadt AG, a nuclear power plant in Switzerland. Under this deal, Kazatomprom will supply uranium to Western Europe’s nuclear reactors. Additionally, another Swiss nuclear power plant will start purchasing Kazakh uranium fuel.

    The second contract was signed with JUMCO, a Jordanian uranium mining company. The two sides plan to conduct joint geological exploration in Jordan, leveraging Kazakhstan’s expertise as a global uranium industry leader.

    Beyond exploration, the partners may collaborate on metal extraction, resource assessment, and optimizing the in-situ leaching technology. JUMCO emphasizes the need to prioritize environmental protection and industrial safety in their operations.

    Earlier this year, Kazatomprom expanded its exploration portfolio within Kazakhstan, securing a new license for a uranium deposit at the Inkai site.

  • NMMC Accelerates Green Transition with Major Renewable Energy Expansion

    NMMC Accelerates Green Transition with Major Renewable Energy Expansion

    As part of its ambitious strategy to reduce its environmental footprint, NMMC has made significant strides in expanding its renewable energy capacity. By the close of 2024, the company’s solar photovoltaic installations at its production facilities reached 7,250 kW—a fivefold increase from previous levels. In a notable achievement, all administrative buildings now operate entirely on solar power during the summer months (April to October).

    Looking ahead to the first quarter of 2025, NMMC aims to further boost its solar capacity to 9,550 kW, which is expected to generate approximately 17.5 million kWh annually.

    In addition to its solar advancements, NMMC is harnessing wind energy to power its operations. A 500 MW wind farm in Tamdy is currently supplying 12.6% of the company’s electricity needs, significantly contributing to emission reduction efforts. The region’s renewable portfolio is set to expand further with the upcoming launch of a 500 MW solar plant, projected to produce around 1 billion kWh of energy annually, accounting for 21% of the company’s energy demand.

    NMMC’s commitment to sustainability extends beyond electricity generation. The installation of 4,993 solar water heaters across its facilities now produces 724,000 liters of hot water daily, saving 1.7 million cubic meters of natural gas each year. This initiative alone is anticipated to cut CO₂ emissions by approximately 3,242 tons annually, underscoring NMMC’s proactive approach to reducing its environmental impact.

    As Uzbekistan embraces a greener future, NMMC positions itself at the forefront of the mining sector’s sustainability revolution. By integrating renewable energy solutions across its operations, the company is not only reducing its own carbon footprint but also setting a new benchmark for environmental responsibility in the industry.

    With these transformative steps, NMMC is powering its own future while significantly contributing to Uzbekistan’s broader environmental goals—a testament to what can be achieved when visionary leadership meets decisive action.

  • Fincraft Group Pivots to Green Energy and Critical Minerals in Kazakhstan

    Fincraft Group Pivots to Green Energy and Critical Minerals in Kazakhstan

    As the world transitions to cleaner energy sources, Kazakhstan is emerging as a key player in the global energy market. Fincraft Group’s President, Kenges Rakishev, joins Proactive to discuss the country’s promising region for energy and resource investments.

    Kazakhstan, strategically located between China, Europe, and Russia, boasts a rich hydrocarbon industry, but is also emerging as a significant supplier of critical minerals essential for the energy transition. The country is investing in the renewable sector, particularly wind and solar power, to complement its oil and gas sector and strengthen long-term energy security.

    Diversified Investments Shape the Local Energy Sector

    Fincraft’s strategic approach and diversified investments have helped shape the local energy sector. The company balances traditional energy, oil, and gas with next-generation resources like nickel, cobalt, and renewable energy, ensuring long-term resilience. Fincraft’s investments in infrastructure and technology to reduce emissions and increase efficiency are also key to Kazakhstan’s success.

    Investments and Strategies

    Rakishev highlights the company’s investments in Equus Petroleum and Tethys Petroleum as part of its energy transition strategy. Focusing on cleaner extraction and refining technology is essential to meet the growing global demand for locally produced carbon-hydrocarbon. Gas is a significant component of Fincraft’s strategy, with a major project under way to construct and finish a gas plant.

    The company has divested from ARK Petroleum and Nomad Oil and redirected capital to projects that align with global trends in critical minerals, low-carbon energy, and sustainable extraction.

    Global Resources Portfolio and Energy Security

    Fincraft’s resource portfolio includes lithium, nickel, and cobalt, essential for the renewable energy sector. The company plans to create a holding for oil and gas as well as resources like lithium, nickel, and cobalt. The development of Beineu Petroleum contributes to boosting both economic growth and energy security in Kazakhstan by securing domestic oil and gas supply while integrating with new energy infrastructure.

    Positioning Kazakhstan for Success

    Kazakhstan’s partnership with major players like China and the US will enable it to remain competitive and secure in the energy market. The country’s unique position allows it to bridge east and west, while maintaining energy independence. By investing in critical minerals and renewables, Kazakhstan is positioning itself as a future leader in the green energy supply chain.

    Future Opportunities and Trends

    As Kazakhstan embarks on a new step in the energy transition, carbon capture and low emission oil production will become priorities. The country will also focus on strengthening its pipeline energy export network to Europe and China as demand for stable non-Russia energy sources increases. Growing investment in critical minerals, rare earth materials, and grid storage will drive Kazakhstan’s development as a key player in the global shift towards electrification.

  • Hungary’s MOL Expands Oil and Gas Operations in Kazakhstan, Eyes Broader Energy Partnership

    Hungary’s MOL Expands Oil and Gas Operations in Kazakhstan, Eyes Broader Energy Partnership

    Hungarian energy company MOL has secured approval to expand its oil and gas extraction operations in western Kazakhstan, following a new agreement with the Kazakh government. To date, MOL has invested 80 billion forints in the region, producing 300 million cubic meters of gas from a field where it operates five wells. The agreement supports MOL’s participation in developing additional oil and gas fields, leveraging its advanced extraction technologies to tackle challenging reserves.

    Hungarian Foreign Minister Péter Szijjártó announced the deal at a press conference, highlighting the emergence of a broader Kazakh-Chinese-Hungarian strategic partnership. This collaboration could enable MOL to participate in the development of a large, technologically complex field, further boosting energy production.

    The partnership also opens doors for cooperation in nuclear energy. Szijjártó revealed that dry cooling technology, developed by Hungarian company MVM, is being considered for cooling future nuclear power plants in Kazakhstan. This follows a recent referendum in Kazakhstan approving the construction of such facilities.

    In addition, Hungarian firm Globalia has been approved to build solar power plants in several regions of Kazakhstan. Key initiatives under the partnership include the construction of a multimodal cargo terminal in Budapest, increased supplies of Kazakh oil to Hungary, and the transport of uranium and critical minerals.

    To support these projects, a joint investment fund will be established, strengthening energy and infrastructure ties between the two nations.

  • China’s East Hope Group to Invest $12 Billion in Kazakhstan’s Non-Ferrous Metals Sector

    China’s East Hope Group to Invest $12 Billion in Kazakhstan’s Non-Ferrous Metals Sector

    China’s East Hope Group (EHG) has announced plans to build a vertically integrated non-ferrous metals production facility in Kazakhstan. The project, which includes an industrial park, a mining and processing plant, an electrolysis plant, and a power plant, is expected to attract over $12 billionin investment. The announcement was made during a meeting on February 17 between Kazakh First Deputy Prime Minister Roman Sklyar and EHG’s General Director Changjun Meng.

    According to the Prime Minister’s press service, the initiative will create approximately 10,000 jobs and focus on export-oriented production. EHG, which has previously developed a similar 20-square-kilometer project in China, discussed plans to finalize an investment agreement with Kazakh officials.

    On February 18, EHG signed an agreement to implement the project, which will establish new production facilities in two regions of Kazakhstan. The project will incorporate advanced metallurgical technologies, boost exports to international markets such as the European Union, Central Asia, and China, and include the construction of new electrical capacities. Both parties also agreed to finalize an investment agreement outlining specific cooperation terms, government support measures, and mutual obligations.

    EHG, a global leader in non-ferrous metals, semiconductor technologies, and industrial innovations, is known for its investments in low-carbon industrial complexes and international projects.

  • Glencore Considers Selling Its Assets in Kazakhstan

    Glencore Considers Selling Its Assets in Kazakhstan

    Glencore, the Swiss multinational with a 70% stake in Kazakhstan’s Kazzinc, is again exploring options to sell its assets in the country, according to Bizmedia.kz.

    The Financial Times reported that Glencore has held informal talks with potential buyers in recent weeks regarding the future of its assets in Kazakhstan.

    This news comes after a series of reports in June 2024 by Bloomberg that Glencore was planning to sell its stake in Kazzinc to Chinese investors, as well as considering the sale of the Vasilkovskoye gold mine, which is operated by Kazzinc. However, in July 2024, Bloomberg reported that the company had abandoned the deal.

    It remains to be seen whether Glencore will be able to reach an agreement this time. The company has not commented publicly on the reports.

    If Glencore does sell its assets in Kazakhstan, it would be a major shake-up for the country’s mining industry. Kazzinc is one of the largest zinc producers in the world, and the Vasilkovskoye gold mine is a significant gold producer. A sale of these assets would likely lead to significant changes in the ownership and operation of these mines.

    Glencore has been under pressure from investors to streamline its operations and focus on its core business. The sale of its assets in Kazakhstan would be in line with this strategy.