Central Communications Service held a press conference «Development Prospects of Mining and Metallurgical Industry of Kazakhstan»

CEO of Management Board of JSC «Tau-Ken Samruk»started the Press Conference (video) with the opening speech. In his speech, the CEO spoke about the present situation of the mining and metallurgical complex in Kazakhstan, the factors that influence the development of the industry, as well as the Company’s major projects.

Currently, the mining and metallurgical complex is one of the most competitive and dynamic sectors of Kazakhstan’s economy. The current 2015 and the last 2014 years were characterized by the development of the global crisis. Trends in the development of world and Kazakhstan’s mining and metallurgical industry were determined by a slowdown in the global economy, the crisis in the eurozone, the decline in China and USA, downward trend in prices for non-ferrous and ferrous metals on the world market.

Despite the negative trends in the global and domestic economy, JSC «Tau-Ken Samruk»made every effort to implement the planned actions of the Development Strategy of the Company. During this difficult period JSC «Tau-Ken Samruk» have continued implementation of the existing geological, mining and metallurgical projects. The Company pays considerable attention to recruitment and the introduction of new innovative technologies.

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The state anti-crisis program presented by President’s Address last year (New Economic Policy of Kazakhstan) «Nurly Zhol» will contribute to the Company’s projects. In particular, infrastructure projects of «Nurly Zhol» program is transport and logistics projects for the construction of roads: «Western China – Western Europe», «Astana – Almaty», «Karagandy – Zhezkazgan – Kyzylorda» passing in the vicinity of Masalsky, Shalkiya and Alaigyr deposits and metallurgical silicon production plant in Karagandy that have a significant impact on the successful implementation of the projects of JSC «Tau-Ken Samruk». It should be noted that in order to increase the competitiveness of the silicon plant and implementing the President’s instructions announced in the New Economic Policy «Nurly Zhol» to provide the Free Economic Zone with real projects, metallurgical silicon production plant is included in Karagandy Free Economic Zone.

The following projects are among the main projects that contribute to the formation and development of the Company:

  • Project for the development of Masalsky titanium and magnetite ores deposits and construction of a metallurgical complex with a full cycle;
  • Project for the development of the world’s largest polymetallic ores deposits Shalkiya with the construction of a processing plant and metal zinc and lead production plant;
  • Project for the development of Alaigyr lead deposit with the release of lead concentrate;
  • Project for the development of Northern Katpar rare metal deposit with construction of rare metal production plant;
  • Project for the production of refined gold and silver in Astana Refinery;
  • Project for the production of metallurgical silicon in Karagandy.

All these projects are developed with the participation of foreign partners, including European partners. The special attention is paid to cooperation with the major innovation oriented companies such as Outotec, ThyssenKrupp, Siemens, Shen Wu, CNTIC and others.

For example, JSC «Tau-Ken Samruk» cooperates with companies like Outotec (subsidiary in Germany), JSC «Uralmekhanobr» (Russia), Shen Wu (PRC) for conducting research on enrichment and reprocessing of Masalsky ore deposit. The project envisages the construction of mining and beneficiation plant near the open pit mining and processing more than 10 mln tons of ore and metallurgical complex with the release of up to 1 mln tons of high quality grades steel per annum. This project will create more than 2000 jobs and ensure the construction and engineering industries of high-grade steel.

«Shalkiya» deposit is the largest known zinc deposit in Kazakhstan consisting 30% of the resources of the country. Reserves to be working out with underground mining method constitute 127.5 mln tons of ore (B+C1+C2) with an average grade of 4.27% zinc and 1.28% lead. The construction of mine and ore-dressing plant (GOK) with capacity up to 2 mln tons per annum is planned as part of this project – until 2018, and the expansion of the mine and plant capacity up to 4 mln tons – until 2021. During the construction of GOK 956 jobs will be created and 1540 jobs for further operation.

Development projects for Shalkiya are carried out with the participation of the Finnish Company Outotec and the German Company Dobersek, and the mining equipment apply the most advanced technologies, including conveyor type RopeCon® of «Doppelmayr Transport Technology GmbH» or vertical bucket conveyor type «Pocketlift» or hydro-delivery ore to the surface.

The advanced Italian and German equipment and technology are applied in projects for the production of refined precious metals and metallurgical silicon. For maintenance and repair of ore-smelting furnaces of silicon production the specialists of «SMS group GmbH», RHI AG, «Thyssen Krupp» are involved.

The further development of the Company in an innovative direction envisages the creation of the Scientific Production Center (SPC), which will carry out the pilot tests and enlarged laboratory research on mineral processing with adaptation of advanced technologies for the deposits of the Company and in general for the mining and metallurgical complex of Kazakhstan. Scientific and Production Centre will also serve as a training ground for students and professionals of mining and metallurgical sector. Therefore, the implementation of this project will contribute to the links between science and sectors of the economy and training personnel, in accordance with the President’s instructions given in the sixth paragraph of the Address to the Nation, dated November 11, 2014 («Nurly Zhol»).

New technological approaches for production and processing of complex refractory ores and concentrates will allow not only increasing the production of ferrous and non-ferrous metals, but also significantly expanding the raw material base of mining and metallurgical complex of Kazakhstan by involving the processing of such materials.

In accordance with the Development Strategy of JSC «Tau-Ken Samruk» up to 2022 the achievement the following results is planned:

1. As a result of geological exploration works to obtain the growth of reserves: copper – 3241 thousand tons, lead – 2200 thousand tons, gold – 44.7 tons, silver – 210 tons.

2. To develop the deposits about 10 mines and concentrators will be built with the release of the concentrates until 2022 containing about 200 thousand tons of copper, 21 tons of gold, 550 thousand tons of zinc, 346 thousand tons of lead, 7 mln tons of iron (the amount of metals in the period);

3. The refinery will produce annually more than 10 tons of refined gold, and about 3 tons of refined silver (depending on the supply of raw materials);

4. Approximately 5000 manufacturing jobs will be created at the deposits of GOKs and construction sites.

The Co-Speakers of M.Turmagambetov, the CEO of the Management Board of JSC «Tau-Ken Samruk» were N. Radostovets – the executive director AGMP; R. Shaekin – Mazhilis Deputy of the Parliament of RK, K. Baitov – Deputy Chairman of the Industrial Development and Industrial Safety Committee, Ministry for Investment and Development of RK.