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Critical Minerals

Tajikistan Lithium Project Planned at Namadgut Deposit

Tajikistan plans to launch a lithium mining project at the Namadgut deposit in the Ishkashim district of the Gorno-Badakhshan Autonomous Region within the next year, according to Minister of Industry and New Technologies Sherali Kabir. Around 80% of the equipment required for the project has already been delivered to Tajikistan, while substantial geological exploration has been carried out at the deposit. That said, the government has not disclosed the size or grade of its lithium reserves, nor the project’s expected output or cost. The Namadgut deposit also contains niobium, tantalum, and beryllium, in addition to lithium, according to Kabir. Niobium is mainly used to strengthen steel and in heat-resistant alloys for aircraft engines and other high-temperature equipment. Tantalum is used in compact electronic capacitors, including those found in phones and computers, as well as in aircraft-engine alloys. Beryllium is used in lightweight, high-strength components for the aerospace, electronics, and nuclear industries. Although global lithium prices recovered from their 2025 lows during early 2026, they remain around 70% below their 2022 peak. Kabir acknowledged that this fall in prices but argued that the presence of other valuable metals, whose prices may be more stable, could improve the project’s commercial prospects. The minister also believes that developing Tajikistan’s lithium industry could help attract major international companies involved in electric vehicle and battery production. “An electric vehicle requires aluminum for the body, copper for the wiring, and lithium batteries as a key component. We have these resources,” Kabir said. According to the minister, the development of lithium production could create opportunities for Tajikistan to establish higher value-added industries rather than limiting itself to raw-material exports. The Namadgut project forms part of a broader effort to develop Tajikistan’s critical-minerals sector. In 2024, officials reported the discovery of 15 new deposits of rare metals, including lithium, according to Mukhtor Fozilzoda, head of the geology department at Tajikistan’s Main Directorate of Geology. The deposits were identified in remote eastern areas, including Karasu, Agbasoy, Payron, and Rokhshif. Despite difficult terrain and harsh natural conditions, officials say advances in exploration technology have made it possible to study these regions more effectively. Fozilzoda said the discoveries could support the expansion of the mining industry, create jobs, and provide raw materials for battery manufacturing and other high-technology sectors. Kabir previously said Tajikistan intended to become the first country in the Commonwealth of Independent States to establish lithium production. According to the minister, Tajikistan possesses reserves of 10 of the 12 metals considered critical for the global green transition, with six already being produced domestically. Critical minerals are essential for renewable-energy technologies, including solar and wind power systems, electric vehicles, and battery storage. Kabir added that during the Soviet period, only three enterprises produced what he described as rare-earth metals, two of which were located in Tajikistan. Public accounts more clearly document Tajikistan’s Soviet-era role in uranium and broader rare-metal processing, particularly at the Leninabad Mining and Chemical Combine, now known as Vostokredmet. The government is now negotiating with international companies on...

Air Travel

Cathay Flights to Bring Cargo Service to Astana and Passenger Service to Almaty

Cathay, Hong Kong’s flagship airline, plans to launch regular cargo flights to Astana in August 2026 and begin passenger services between Hong Kong and Almaty in January 2027, Kazakhstan’s Ministry of Transport said. Cathay is based at Hong Kong International Airport and is among the world’s leading passenger and cargo airlines. The carrier also holds a five-star rating from Skytrax, the British aviation consultancy that evaluates service quality at airlines and airports worldwide. The airline’s plans to enter the Kazakhstan's market were discussed during a meeting between Saltanat Tompiyeva, chair of Kazakhstan’s Civil Aviation Committee, and Oliver Coelho, Cathay’s regional manager for the Middle East. According to the ministry, Cathay intends to begin regular cargo flights to Astana on August 1, operating up to five services a week with Boeing 747 aircraft. The airline also plans to launch scheduled passenger flights between Hong Kong and Almaty from January 2027. The route is expected to operate three times a week using Airbus A330 aircraft. Tompiyeva said Kazakhstan was ready to provide the necessary support for both projects. The two sides agreed to continue work on the regulatory and operational procedures required to launch the services and to coordinate closely on developing air links between Kazakhstan and Hong Kong. Kazakhstan’s authorities expect the new routes to support trade and tourism. They also expect the services to improve logistics and deepen economic ties with Hong Kong. Cathay currently operates around 237 aircraft and serves more than 100 passenger destinations. Its cargo subsidiary, Cathay Cargo, operates scheduled freight services to 41 destinations and transports more than 1.67 million tons of cargo annually, placing it among the world’s largest air-freight operators. As previously reported by The Times of Central Asia, Kazakhstan’s Transport Minister Nurlan Sauranbayev said in May that direct flights between Astana and Tokyo were expected to begin in the fourth quarter of 2026, while a direct Astana-New York service could be launched in the second quarter of 2027. In early July, President Kassym-Jomart Tokayev also called for construction of a second airport in Astana to begin as soon as possible amid rising passenger traffic and intensifying competition between Central Asia’s transport and logistics hubs.

Digital Assets

Kazakhstan to Establish Committee to Regulate Digital Asset Market

Kazakhstan will establish a dedicated committee under the National Bank to oversee the development, regulation, and supervision of the country’s digital asset market, and expand oversight of the national payments system, National Bank Governor Timur Suleimenov has announced. The decision follows President Kassym-Jomart Tokayev’s signing last week of the decree “On Measures to Stimulate and Develop the Digital Assets Industry in the Republic of Kazakhstan”. Developed jointly by the Ministry of Artificial Intelligence and Digital Development and the National Bank, the decree lays the groundwork for a regulated digital asset market while expanding the use of innovative financial technologies. Among its key provisions, the decree authorizes the use of digital assets and stablecoins for cross-border settlements, opening new channels for Kazakhstan’s exporters and importers. It also introduces a voluntary disclosure mechanism allowing digital assets currently held on unregulated foreign platforms to be transferred into Kazakhstan’s regulated ecosystem. In addition, individuals will be exempt from personal income tax on profits generated through digital asset transactions conducted on platforms licensed in Kazakhstan, creating further incentives for investors to use the country’s regulated infrastructure. The authorities are also expanding the practical use of cryptocurrencies in everyday commerce. Alatau City Bank has announced the launch of its Crypto Pay service, enabling customers to pay for goods and services using cryptocurrency through QR code payments at point-of-sale terminals. According to Suleimenov, cryptocurrency payments are already accepted at approximately 5,000 retail outlets in Astana and Almaty, with plans to expand the network nationwide. “In the future, this functionality will not be limited to Alatau City Bank. Other banks are developing similar solutions, which will eventually become part of a unified QR payment system. That system will integrate not only banks but also payment organizations and cryptocurrency wallets,” Suleimenov said. As Kazakhstan’s digital asset market continues to expand, the government believes a specialized regulator has become necessary. The new committee will have two principal responsibilities: providing oversight of and ensuring transparency in the national payments market, and regulating and supervising digital financial assets. “These instruments are developing extremely rapidly, and without a dedicated institution that understands them as well as the market itself, it will be difficult to effectively oversee all ongoing processes,” Suleimenov said. The National Bank is currently finalizing the committee’s organizational structure and preparing the legal framework required for its operation. According to Suleimenov, the institutional setup should be completed within the next three months, allowing the new regulator to begin operations in the second half of 2026. As previously reported by The Times of Central Asia, Kazakhstan is also considering the creation of a national cryptocurrency reserve. In addition, senior National Bank officials have indicated that part of the country’s National Fund assets and foreign exchange reserves could eventually be allocated to cryptocurrency investments.

Energy Security

Russian Fuel Shortages Revive Tajikistan’s Search for Oil and Gas

On July 10, Tajikistan’s Energy Minister Daler Juma said the country had enough fuel to last two more months. This situation is due to Tajikistan’s dependence on Russian petroleum products, which are in short supply in Russia itself because of Ukrainian drone strikes on Russian oil refineries. Located in the southeast corner of Central Asia and ringed by mountains on three sides, Tajikistan has few options to replace those Russian supplies, so the Tajik authorities are preparing to try again to find domestic hydrocarbon supplies. Looking to Strike Oil at Home Estimates of the share of Tajikistan’s petroleum imports supplied by Russia range from 70% to 80%. Tajikistan’s head of civil aviation, Habibullo Nazarzoda, said on July 9 that his country is facing shortages of airplane fuel and is in talks with Turkmenistan. Russia has a prohibition on exporting aviation kerosene that runs from June 1 to November 30. Tajikistan does have hydropower and coal, but neither one of those helps with shortages at petrol stations, and much of the internal transport of people and goods in mountainous Tajikistan is done via the road network. So, Tajikistan is again looking at the potential to develop domestic hydrocarbon fields, this time with the help solely of the China National Petroleum Corporation (CNPC). On July 7, the head of the Tajik government’s Geological Department, Ilhom Oymuhammadzoda, said CNPC was already carrying out exploration at several potential hydrocarbon deposits in Tajikistan. “I think [CNPC] will present a progress report on the seismic survey operations by the end of the year,” Oymuhammadzoda told a press conference in Dushanbe. He named the Tajik Depression, in southwestern Tajikistan, and the Ferghana Basin, in northwestern Tajikistan, as two of the more promising sites. However, Oymuhammadzoda indicated that work in northern Tajikistan could require drilling down to a depth of 7,000 meters. Tajikistan’s Search for Oil and Gas Past studies of Tajikistan’s potential oil and gas fields point especially to the southwest of the country as a logical place to seek these hydrocarbons. Southwest Tajikistan is adjacent to gas and oil fields in southern Uzbekistan that have been producing for decades, to fields in northern Afghanistan, where exploration has confirmed commercial flows, and not too far east from the giant gas fields in Turkmenistan. Looking at a map, it seems logical that southwest Tajikistan is part of this same hydrocarbon structure. In 2008, Canadian company Tethys started exploring the Bokhtar area about 100 kilometers south of Dushanbe. Tethys found both oil and gas in the area. In 2012, the Canadian company estimated the area’s gross prospective resources at 8.5 billion barrels of oil and condensate and 3.22 trillion cubic metres of gas. For a small country like Tajikistan, it was potentially enormous, although these resources remained unconfirmed and commercially unproven. However, getting to that oil and gas required drilling wells that were 3,500 meters or deeper, which greatly added to production costs. In 2013, Gazprom International drilled a well at the Sarykamysh field in southwest Tajikistan that was...

Transport Infrastructure

Can Uzbekistan Challenge Kazakhstan as Leading Central Asia Logistics Hub?

Recent developments suggest that Uzbekistan is seeking to strengthen its position in regional logistics, potentially challenging Kazakhstan’s role as Central Asia’s principal transit hub. As geopolitical tensions increase, alternative transport routes are becoming increasingly important, and Central Asia stands out as a relatively stable region. Both Kazakhstan and Uzbekistan are investing heavily in expanding their transport infrastructure. The key question, however, is how practical and commercially viable these new projects will prove to be. Which country will ultimately be able to offer faster, cheaper, and more reliable transport corridors? Uzbekistan’s Plans In early July, Uzbekistan presented proposals for expanding its transport and logistics infrastructure, as officials sought to make greater use of what they described as the country’s underdeveloped transit potential. Officials noted that Uzbekistan occupies a strategic position connecting East and West. The country hosts approximately 4,000 kilometers (2,485 miles) of international transit corridors and has a railway network stretching 4,700 kilometers (2,920 miles). Modern logistics centers and “dry ports” are being developed in Tashkent, Navoi, and Namangan. Navoi Airport already serves as an important cargo hub on Eurasian air routes. Authorities believe that construction of the China-Kyrgyzstan-Uzbekistan railway, together with the proposed Trans-Afghan Railway, could further strengthen Uzbekistan’s position within both regional and international transport networks. Project planners argue that, once completed, these corridors will make Uzbekistan a key segment of the shortest overland route between the Pacific Ocean and Europe. They estimate that cargo transit times could be reduced to eight days, roughly three times faster than many traditional routes. That said, the statement provided no methodology or precise endpoints for the estimate; existing China-Europe rail services generally take considerably longer. Officials also say access to Pakistan’s ports of Karachi and Gwadar would provide Uzbekistan with a gateway to the Indian Ocean and a shorter route to South Asian markets with a combined population of around 2 billion people. Gwadar is not yet connected to Pakistan’s main railway network, however, meaning that substantial additional infrastructure would be required. Significant Shortcomings Uzbek officials estimate that annual trade between China and Europe amounts to approximately $800 billion, while cargo volumes total between 120 million and 150 million metric tons each year. The government estimates that attracting an additional 15-20 million tons of international transit cargo annually could generate $400-600 million in revenue, draw around $3 billion into logistics facilities, and create approximately 50,000 permanent jobs. The presidential administration also said this could add 1.5-2 percentage points to annual economic growth, given that Uzbekistan currently captures only 1-2% of China-Europe freight – it did not explain how either figure was calculated. Although transit cargo volumes reached 15.3 million tons in 2025, an increase of 54% compared with 2021, officials believe the country’s existing infrastructure could support significantly higher volumes. At present, however, many border crossings lack sufficient capacity to process international freight efficiently. Uzbekistan currently operates 27 logistics centers that meet international standards, with a combined handling capacity of 27.2 million tons. Yet only one of them qualifies as a...

Critical Minerals

Kazakhstan and South Korea to Establish Rare Metals Research Center in Almaty

Kazakhstan and South Korea are establishing a joint research and technology center in Almaty to support the development of Kazakhstan’s rare metals and critical minerals industry. The Kazakh-Korean Center for Rare and Rare Earth Metals will be established at Satbayev University in partnership with the Korea Institute of Industrial Technology and the Korea National Institute of Rare Metals. During a meeting on July 9, representatives of the three institutions discussed how the project will be carried out. They also reviewed the purchase of modern laboratory equipment and long-term scientific and technological cooperation. The center will train specialists for Kazakhstan’s growing rare metals industry and give local researchers access to modern analytical and processing equipment. It will also support joint research with international partners. “The combined scientific potential of Kazakhstan and the Republic of Korea will enable the implementation of modern technologies for processing strategic raw materials, expand scientific research, and train world-class specialists,” Satbayev University Rector Meiram Begentayev said. According to the university, the facility will become Kazakhstan’s first full-cycle scientific and technological platform dedicated to developing, testing, and commercializing environmentally friendly technologies for the production of high-purity and ultra-high-purity rare and rare earth metals. The center will also conduct fundamental and applied research and pilot new technologies for processing mineral and industrial raw materials. The initiative is part of Kazakhstan’s effort to become a major supplier of critical minerals. Demand is rising from electric vehicle makers and renewable energy companies, while semiconductor and defense industries are also increasing their need for rare metals. Speaking at the C5+1 Critical Minerals Dialogue in Astana on June 10, Minister of Industry and Construction Yersaiyn Nagaspayev described critical minerals as a strategic priority for Kazakhstan’s industrial policy and long-term economic development. He said the country has more than 9,500 mineral deposits, including over 100 containing rare and rare earth metals. Nagaspayev has previously said Kazakhstan is capable of supplying 19 of the 50 critical raw materials identified by the United States and 21 of the 34 minerals included on the European Union’s critical raw materials list, positioning the country as an increasingly important participant in global supply chains. Kazakhstan already produces strategic materials including beryllium, titanium, tantalum, niobium, rhenium, antimony, bismuth, selenium, and tellurium, both as primary metals and as components used in advanced industrial applications.