High-Potential Coal Industry Welcomes EU Investors

Kyrgyz Komur is playing a leading role in developing Kyrgyzstan’s high-potential coal sector. Formed in August 2012, the company serves as an umbrella organisation for the country’s many small coal operations. Asanbek Moldokeev, General Director, explains, “Having one large coal enterprise under the supervision of the Ministry of Energy and Industry means that we can more easily ensure quality and environmental standards while also optimising overhead costs. Kyrgyz Komur handles coal marketing and management, exports and the implementation of new technologies.”

Thanks to its extensive coal resources and strategic location in Central Asia, Kyrgyzstan once exported 4.5 million tonnes of coal per year to markets throughout the region, but this total dropped to around 150,000 tonnes with the collapse of the Soviet Union. Now Kyrgyz Komur is helping to turn that around. Asanbek Moldokeev says, “Kyrgyzstan produced 630,000 tonnes of coal in 2010, 840,000 tonnes in 2011 and around 1.2 million tonnes in 2012. Our goal for 2013 is to supply the Bishkek metropolitan area and to make Kyrgyzstan independent of imported coal from Kazakhstan. We aim to bring Kyrgyzstan’s coal exports back up to where they were before.”

High-quality coal at advantageous prices

Kyrgyzstan has confirmed resources of 4.5 billion tonnes of coal with an additional 6 billion tonnes currently being explored, mainly in the Karakesh and Sulukta areas, and Kyrgyz coal is known for its high quality. Kyrgyz consumers currently use a total of around 2.2 million tonnes per year, so there is strong export potential, particularly since Kyrgyz coal sells for around onefourth the price of coal available in Afghanistan. Kyrgyz Komur is particularly targeting the Tajikistan and Afghanistan markets as well as China.

The Kyrgyz coal industry needs investment in new technologies and equipment in order to realise its full potential. Kyrgyzstan is already partnering with companies in South Korea and Russia concerning coal processing, and Kyrgyz Komur welcomes the chance to work with investors and partners from Europe. Asanbek Moldokeev concludes, “The Kyrgyz coal industry needs around €38.1 million to €45.8 million in investments, for example in new technologies and the construction of railways for coal transport. Our coal companies and the government cannot manage this alone so we need foreign direct investment. Kyrgyzstan offers a pro-business environment and our coal industry has great investment appeal, especially since our coal regions have many other mining resources just waiting to be exploited.”