Attracting foreign investment in geological exploration
KazGeology JSC is the only national exploration company focused on the solid minerals market. In practice, foreign investors give preference to projects engaging state-owned organization as a partner.
Within this direction, KazGeology JSC provides full support to investors starting from the process of selecting sections geological exploration and obtaining the right of subsurface use.
To implement the development strategy for 2016-2025, as well as to attract investment in the geological industry, KazGeology JSC successfully cooperates with major mining companies such as Rio Tinto (Australian-British Concern), Ulmus Fund B.V. (Germany), Yildirim Holding A.S. (Turkey) and Polymetal JSC (Russia).
Under a strategic partnership with the above-mentioned foreign companies, KazGeology JSC is implementing 19 investment exploration projects in the Republic of Kazakhstan. The total amount of attracted investments at the exploration stage under these projects will be about KZT 36 bln. To date, over KZT 11 bln. of investments has been attracted. The Company plans to increase the amount of foreign investments in geological exploration up to USD 100 mln. by 2025 To this end, cooperation with potential investors is being negotiated.
KazGeology JSC concluded a series of agreements and memorandums with companies such as VALE S.A. (Brazil), Forbes&Manhattan Resources Inc. (Canada), Rosgeologia JSC (Russia), FMG International Exploration PTE.Ltd (Australia), Freeport- McMoran Exploration Corporation (USA), ScandiVanadium Ltd (Australia), Xianyang Qirui Agricultural Development Co., Ltd. (China), Heilongjiang Baoquanlingdi (China). Work on joint partnership with these companies continues and is at the stage of discussing the terms of cooperation.
In addition, the interest of investors in joint implementation of investment projects with KazGeology JSC was confirmed at the international conference PDAC-2020, held in Toronto (Canada). Representatives of KazGeology JSC negotiated with Kinross (Canada), Anglo-American (UK), Freeport – McMoRan (USA), etc. To date, the issue of further cooperation is at the stage of conclusion of relevant agreements and will be resumed once the restrictions associated with the coronavirus pandemic COVID-19 due to the worldwide suspension of companies is completed.
In the current situation KazGeology JSC continues working with potential investors – correspondence and negotiations by electronic communication with Yildizlar, VALE, Esan, Codelco, Altair Resources, Fortescue, Tumad Madencilik, Koç Holding and others.