KYRGYZSTAN
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Mining

Since ancient times, peoples that inhabited Kyrgyzstan territories operated mines in order to live and struggle for survival. There are still remains of washed rocks along rivers Chandalash, Kassan, Chatkal, underground mine system on lead-silver deposits Kan-I-Gut, Kan, etc., quarries at mercurial-antimonide objects Haidarkan, Chauvai, Symap. First scientific generalization on metalogeny were found in Manas epos where it was noted that in Talas area there were more silver than lead. Due to some geological peculiarities there is silver concentration in that area therefore called a silver province.
Before the October Revolution tens of placer deposits were mined in Naryn, Uzun-Ahmat, Talas and other areas. In early soviet times there existed lead, zinc, mineral paints prospecting artels. Antimonial deposits mining started in Kadamjai and Tereksai areas.
During World War II, mineral extraction in Kyrgyzstan livened up due to loss or occupation of Ukrainian and Caucasus enterprises, polymetal mines opened in Aktyuz, Boordu, and Sumsar, AK-Kul. Haidarkan, Chauvai, Birk-Suu, Symap antimony companies were launched as well as gold and tungsten mining in Kumbel and Meliks areas.
Later on, after the national economy recovery, mining production continued developing based on major state-owned plants such as Kyrgyz Mining Plant, Kyrgyz Mining and Smelting Plant, Kadamjai Antimonial Plant, Haidarkan Mercury Plant, Kyrgyz Coal Company, and Kyrgyz Oil Company. All of them were under the USSR Ministries of Medium Engineering Industry, Non-ferrous Metallurgy, Coal Industry, Oil and Gas Industries, and managed from the center.
For more than 10 years since Kyrgyzstan became independent it manages the mineral and raw material resources and related industries development. Mining and metallurgy make a significant contribution to the country's economy. For instance, in 1999, mining alone contributed about 21 per cent of GDP. The most important sector is gold mining and processing. This is also the only sector to have attracted foreign investment. Most of gold products are exported.
Gold is the most valuable and productive mineral produced in Kyrgyzstan. Over three thousand of its displays have been found in Kyrgyz fold areas. The country might be considered a golden province where gold accumulates due to internal geochemical features, conditions of the element concentration. The state and perspectives of the gold mining industry are being determined by the international gold market.
Kyrgyzstan is the tenth largest producer and seller of gold in the world. Kumtor is the largest gold mine. It extracts about 18 tons of gold annually. The mine is run by Kumtor Gold Company, a Kyrgyz-Canadian joint venture and has the seventh largest gold reserves in the world. Cameco Gold (Canada) holds 30 per cent in the venture and state-owned Kyrgyzaltyn 70 per cent. 1000 workers are directly employed by Kumtor Operating Company, 88 per cent are Kyrgyz citizens. The joint venture is the major earner for the country. It has underground reserves of an estimated 200 tons. Kumtor gold project is a successful example of high level organization and one of the biggest ore production projects in the former Soviet Union. The Kumtor project has demonstrated to the international community the viability of mining projects in Central Asia and been helpful for Kyrgyzstan to attract investment, technology, and management skills to develop its mining industry.

Various foreign companies are exploring Kyrgyzstan's gold reserves. Hemco-Kyrgyzstan, a subsidiary of Hemco (US) intends to explore the Kuru-Tegerek gold and copper deposit in the south. The project is estimated to cost a total of $54 million. The reserves of the deposit are estimated at 7.5 tons of gold and 28,000 tons of copper. Barrick Gold (Canada) and Mindeco (Japan) are also involved in geological prospecting in southern Kyrgyzstan. Kazakh mining investors are very interested in northern deposits neighboring their country.

Mercury is the second most frequently found element in the Kyrgyzstan ground. Its deposits here lay in the form of a large belt from Leilek River in the East to Uzengikush River in the West, over thousand kilometers along the Fergana-Atbashi break. The depth of the deposit is over 5 kilometers.
Mercury production development should be planned according to the situation on the international raw material market. Its peak was in the 1960's. Balance of mercury resources in Kyrgyzstan covered Haidarkan, Novoe, Chonkoi, and Birksu deposits. These resources made up 30 per cent of those available in all CIS countries.

Kyrgyzstan also plans to double its uranium production over the next few years, through cooperation with Russia and Kazakhstan. Under a trilateral agreement between the three countries, raw material from the Chui-Sarisu uranium deposit in Kazakhstan will be transferred to the Kara-Balta Mining Complex for processing, and then transported to Russia for further processing. The Kara-Balta Mining Complex processes about 450 tons of uranium per year, operating at 35 per cent of capacity. Kyrgyzstan has signed an agreement with the Russian Atomic Energy Ministry for the development of Kyrgyz uranium deposits, including Zarechnoye. The uranium oxide will be processed and supplied to Russia.

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