Development of the Mining Industry in Kyrgyzstan

Kyrgyzstan has deep traditions in the exploration of mineral resources. As early as the beginning of the 20th century, industries for coal, oil, lead, mercury, antimony, and copper were operational. During World War II, more than 20 enterprises were engaged in the extraction of lead, antimony, mercury, gold, tungsten, arsenic, and coal. Later, the mining and metallurgy sector of Kyrgyzstan played a significant role in the raw material economy of the USSR. The share of mineral product production at certain periods was 15-18% for lead, 40-100% for mercury, 100% for antimony, up to 30% for rare earth metals, and up to 15% for uranium.

In the 1980s, the extraction of non-metallic raw materials for the production of construction and structural materials developed successfully, fully meeting the needs of the country's construction industry and supplying neighboring Soviet republics, including cement (over 1 million tons per year), bricks, stone casting, and facing materials. Stone and metal processing capacities were put into operation. For the first time, mechanized devices designed for bending steel, aluminum, copper, and PVC pipes—pipe benders—were introduced. The use of pipe benders in production significantly facilitated the process of installing water supply, gas supply, sewage systems, and laying cable systems.

In the second half of the 19th century, the first coal enterprises appeared in the south of the country. By 1913, there were 27 coal mines operating with a total output of about 100 thousand tons of coal per year, supplying almost all of Central Asia. In the 1940s-60s, coal was extracted from 7 mines and 5 open-pit mines, reaching a maximum of 4.9 million tons in 1979. The Republic consumes about 1.9 million tons of coal annually, supported by the World Bank's Grant for capacity building in management and administration of revenue in the mining industry and natural resource sector, but its extraction fell to 0.495 million tons in 2004 due to the depletion of deposits and low production profitability.

From other non-metallic minerals, since 1968, the Kyrgyz Republic has produced fluorite concentrate. A total of 200 thousand tons of product was obtained, with maximum production in 1971 being 14,500 tons. Up to 50 thousand tons of barite were produced at the Kyrgyz Mining and Metallurgical Company from imported raw materials supplied from Kazakhstan, but with the collapse of the USSR, the raw material base was lost.

Starting in 1987, the mining and metallurgy sector grew faster than the economy of Kyrgyzstan as a whole, thanks to significant investments in several enterprises (Kyrgyz Mining and Metallurgical Company, Kyrgyz Chemical and Metallurgical Plant, Sary-Jaz Tin Plant). By the end of the 1980s, Kyrgyzstan produced 100% of the USSR's antimony, up to 64% of mercury, up to 30% of rare earth products, and up to 15% of uranium.

Up to 50 million rubles were invested annually in the search and exploration of mineral resources. About 50 thousand people were employed in the mining and metallurgy industry, and up to 11 thousand people were engaged in the search and exploration of deposits.

Since 1993, there has been an influx of foreign capital into Kyrgyzstan's gold mining industry. In 1996, in partnership with the Canadian corporation "Cameco," the world-class Kumtor deposit with reserves of over 300 tons of metal and a production capacity of over 650 thousand ounces of gold per year was put into operation. Two more deposits with geological reserves of 65-70 tons are prepared for development.

Private firms are extracting tin in small volumes.

Since 1900, exploratory work has been conducted for oil. By 1913, oil production reached 3,000 tons. Currently, 7 oil and gas fields are being developed. Oil production has fallen from 490 thousand tons in 1958 to about 73.3 thousand tons in 2004 (3.7% of demand). Gas production has decreased more than tenfold, amounting to 32.2 million cubic meters in 2000 and 28.1 million cubic meters in 2004 (3% of demand).

The extraction and bottling of mineral and drinking water from wells has developed. More than twenty enterprises for bottling mineral and drinking water with mixed capital have been established.

In recent years, individual extraction of placer and lode gold has become widespread, employing up to 5 thousand people.

Thus, the Kyrgyz Republic has extensive experience in mineral extraction and sufficiently qualified hereditary personnel.

Kadamjay Antimony Plant (KSP) accounted for about 15% of the world's antimony production. In 1990, Kyrgyzstan produced 17,608 tons of antimony, ranking 3rd in the world after China and Bolivia. Currently, KSP has completed the operation of its own deposits and mainly works with imported raw materials.

Haydarkhan Mercury Plant (HMP) operates at the largest antimony-mercury deposit in the world (after Almaden, Spain) and has been in operation for 70 years. From 1940 to the present, about 45 thousand tons of mercury have been extracted. Metal production reached 793 tons in 1989, accounting for more than 1/4 of world production. Currently, Kyrgyzstan is the third-largest producer of mercury in the world.

Kara-Balta Mining and Processing Plant (KBMPP) was built in 1951 as a uranium processing plant. It has worked six uranium deposits, two of which are located in Kyrgyzstan and four in Kazakhstan. Then the raw material base completely moved to Kazakhstan, and with the collapse of the USSR, it was lost. The plant provided up to 20% of the USSR's uranium production.

The production capacity of KBMPP is 1.5 million tons of ore per year and 2.5 thousand tons of products. The plant also produced by-products of molybdenum, tungsten, rhenium, and in recent years refined up to 25 tons of gold and silver per year.

During World War II (1942), the Kyrgyz Mining and Metallurgical Plant (KGMP) (now Kyrgyz Chemical and Metallurgical Plant) began operations at the lead deposits of Aktyuz and Boordu. Since 1962, the extraction of rare earth ores began at the Aktyuz-Kutessai II deposit. The plant produced 14 rare earth elements in the form of metals, salts, ligatures, and phosphors.

The production capacity is 600-800 tons of products per year. Currently, the extraction of rare earth ores has ceased.

In 1986, the Makmal Gold Mining Plant was built. Since then, the history of industrial gold production in Kyrgyzstan began.