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Coal

Kazakhstan’s Largest Coal Mine to Increase Production from 2026

Bogatyr Kömir LLP, the operator of Kazakhstan’s largest coal mine in Ekibastuz, in Pavlodar region, plans to gradually increase production beginning in 2026, the Ministry of Energy reports. The company, which uses open-pit mining, is the country’s largest supplier of coal to the domestic market, accounting for about 38% of total coal output. According to the ministry, coal production in Kazakhstan reached 120.5 million tons in 2025. With balance reserves estimated at 2.4 billion tons, the company is positioning itself for long-term growth. Under current plans, output is expected to rise from 42.7 million tons in 2024 to 45.2 million tons by 2026, reaching 56.5 million tons annually by 2032. The expansion will be backed by a $733 million investment program for 2026-2032. Funds will be allocated to capital construction and technological upgrades, including the introduction of cyclic-flow technology at the Severny open-pit mine and the development of new spoil tips. The company also plans to modernize its mining transport fleet and reconstruct and overhaul existing facilities to ensure stable fuel supplies to the energy sector. The Ministry of Energy links the production increase to the implementation of a national project to expand coal-fired power generation. The Pavlodar region already plays a central role in the country’s energy system, accounting for about 42% of Kazakhstan’s total electricity generation last year. Key elements of the program include expanding the Ekibastuz GRES-2 power plant, increasing its installed capacity from 1 GW to 2.1 GW; constructing a new Ekibastuz GRES-3 power plant with a capacity of 2.64 GW using “clean coal” technologies; and modernizing the GRES plant in Aksu. According to the ministry, a significant increase in power generation requires advance expansion of the raw material base. Additional electricity demand is also expected from digital infrastructure projects. As previously reported by The Times of Central Asia, authorities plan to create a “valley” of data centers in the Pavlodar region focused on digitalization and high-performance computing.

Coal

Kyrgyzstan Government Temporarily Bans Road Coal Exports as Shipments to China Surge

On December 3, the government of Kyrgyzstan imposed a six-month ban on the export of coal by road transport. The restriction aims to stabilize the domestic market amid rising demand and does not apply to shipments passing through the Irkeshtam and Torugart checkpoints on the border with China. Despite its environmental impact, coal remains a critical fuel source for winter heating in Kyrgyzstan, which continues to face chronic electricity shortages. In an effort to curb domestic price increases, the government introduced temporary state regulation of coal prices in September, effective for 90 days. While domestic needs remain high, coal is also a key export commodity. China has emerged as a growing destination for Kyrgyz coal, with exports reaching 11,600 tons in September 2025, the highest monthly volume recorded this year, according to China’s General Administration of Customs. Data from the National Statistics Committee of Kyrgyzstan shows that in 2024, the country exported 1.1 million tons of coal worth $52.7 million. Uzbekistan remained the largest buyer, importing 996,600 tons. However, exports to China surged to 118,200 tons, up from just 13,000 tons in 2023. In late November, Chairman of the Cabinet of Ministers Adylbek Kasymaliev visited the Torugart border checkpoint and the newly opened Torugart-1 coal mine, which began operations on November 12. Kyrgyzkomur OJSC, the national coal company, holds the exploration license for a 557.6-hectare section of the deposit in the At-Bashy District of Naryn Province. Total reserves are estimated at 423,400 tons. Kasymaliev instructed officials to ensure stable operations at the site and to initiate coal exports from the Torugart-1 mine as soon as possible.

Trade

Uzbekistan and Taliban Sign Trade Deals as Coal Shipments Pivot from Pakistan

Afghanistan International has reported that the Taliban administration in Afghanistan’s Balkh province has signed new trade agreements with Uzbekistan, signaling a shift in Kabul’s commercial strategy amid growing tensions with Pakistan. According to Haji Zaid, spokesperson for the Taliban-appointed governor in Balkh, Afghan coal will now be exported to Uzbekistan under the newly signed agreements, replacing previous shipments to Pakistan. In exchange, Uzbekistan will export cement and pharmaceuticals to Afghanistan. Zaid stated that the Taliban, in response to border closures and disrupted trade with Pakistan, is seeking to strengthen economic ties with neighboring countries, particularly Uzbekistan and Iran. Persian-language media also reported that Taliban officials are increasingly urging Afghan traders to seek alternative commercial and transit routes. The Taliban’s Ministry of Finance has claimed that the deterioration of trade with Pakistan has had “no negative impact” on Afghanistan’s overall trade volume, asserting that customs revenues have remained stable. The ministry added that it would fully support traders using new trade corridors. However, Afghan economic experts have challenged the Taliban’s claims. Economist Reza Farzam told local media that assertions about Pakistan’s trade freeze having no impact are misleading, arguing that Afghanistan currently lacks sufficient substitutes for its traditional transit infrastructure through Pakistan. Earlier, Pakistan’s Dawn newspaper reported that the month-long closure of the Torkham border crossing caused more than $4.5 billion in economic losses on both sides of the border. The latest agreements build on earlier announcements that Uzbekistan plans to import Afghan coal as part of broader efforts to balance bilateral trade. During a recent visit to Kabul, an Uzbek delegation expressed interest in purchasing coal, resulting in private-sector deals worth $4.5 million. Discussions also covered trade incentives, joint exhibitions, and a proposal from Uzbekistan to construct a cement plant in Afghanistan’s Samangan region. The Taliban administration has further stated that Afghan agricultural products will be exported to Central Asia, South Asia, and Europe via air corridors through Uzbekistan, as part of a wider strategy to diversify the country’s trade routes.

Coal

Kyrgyzstan Boosts Coal Production Ahead of Winter Heating Season

Kyrgyzstan has increased domestic coal production in preparation for the winter, with four of the country's six deposits now operating at full capacity, according to the state-owned enterprise Kyrgyzkomur, which oversees coal mining and distribution at socially affordable prices. To ensure stable fuel supply, Kyrgyzkomur has signed agreements with 126 coal trading bases nationwide. These sites sell coal at reduced prices, aimed at supporting low-income households and easing the burden on public utilities. In the first nine months of 2025, Kyrgyzstan produced 655,000 tons of coal, while overburden removal reached 6.8 million cubic meters. Coal from the Kara-Keche deposit remains the most in demand. It is also supplied to the Bishkek thermal power plant, which provides the capital with heat and electricity. However, local coal is considered lower in quality compared to imports, particularly coal from Kazakhstan’s Shabyrkul deposit. To stabilize the market and prevent price hikes, authorities have tightened oversight of the coal sector. Under an order issued by the Ministry of Economy on September 26, 2025, temporary state regulation of coal prices was introduced for 90 days. “The maximum retail prices are set at $80 per ton for imported coal and $66 per ton for local coal from the Kara-Keche deposit, mined by Kyrgyzkomur,” said Maksat Akylbekov, chief inspector at the Antimonopoly Regulation Service, in an interview with Tbe Times of Central Asia. To curb speculation and prevent the sale of low-quality coal, Bishkek authorities have banned the retail sale of coal in bags. Fuel can now only be purchased by the ton at designated depots. As a result, smaller traders have relocated to the outskirts of the city, where they continue to sell coal in smaller quantities. Sellers report that many residents request 100-200 kilograms of coal, as not all can afford to purchase an entire season’s supply at once or have the storage capacity. In some cases, sellers informally accommodate these buyers. Violations of the government’s pricing rules are subject to fines of $35 for individuals and $150 for legal entities.

Coal

Bishkek Authorities Ban Low-Quality Coal to Curb Air Pollution

On October 6, the Kyrgyz government banned the use of powder-like coal with particle sizes between 0-13 mm in Bishkek and the surrounding Chui region as part of a broader effort to combat air pollution and improve public health. According to the Ministry of Natural Resources, Ecology, and Technical Supervision, this fine-grade coal is inefficient for household heating and generates significant dust, contributing to particulate air pollution. The new regulation applies only to private households and does not affect heating plants or boiler facilities. As part of its wider decarbonization strategy, the Ministry of Finance has partnered with domestic banks to launch the Improving Air Quality project. This initiative supports the transition to modern, environmentally friendly heating systems and promotes cleaner household energy use. Funded through a $50 million loan from the International Development Association, the project will distribute $31.8 million in preferential loans via Aiyl Bank, Eldik Bank, and Bakai Bank. The program aims to reduce household coal consumption, promote energy-efficient heating, and expand access to cleaner technologies across the capital and beyond. Officials believe the project will help accelerate the adoption of eco-friendly heating solutions and improve urban air quality in Bishkek, a city of more than one million residents. Air pollution remains a chronic problem, particularly during winter months, when coal burning in households surges and accounts for an estimated 40% of the city's harmful emissions. Bishkek frequently ranks among the top 10 most polluted cities worldwide, according to IQAir’s global index.

Coal

Kazakhstan’s Competition Agency Proposes Partial State Regulation of Coal Prices

Kazakhstan’s Agency for the Protection and Development of Competition has proposed introducing state regulation of coal prices, but only for coal sold to energy companies. The agency argues that the coal market for energy producers operates as a de facto monopoly. Over 70% of this segment is controlled by Bogatyr Komir LLP, based in Ekibastuz. According to the agency, the company has consistently raised prices over the past five years, with annual increases ranging from 5% to 21.5%. In 2023, antitrust authorities launched an investigation into Bogatyr Komir for allegedly setting monopolistically high prices. The company contested the probe, but on June 10, 2025, Kazakhstan’s Supreme Court upheld the legality of the investigation. Officials emphasized that thermal coal prices have a direct impact on electricity tariffs, accounting for up to 60% of the costs incurred by energy producers. Rising coal prices also drive up the cost of food and utilities. Despite electricity and heat tariffs being regulated at every stage of delivery, coal prices remain outside the scope of state control. “This leads to sharp price fluctuations and causes cash flow gaps for energy producers. Therefore, the agency initiated the introduction of state regulation of energy coal prices. This provision is included in the sixth package of amendments to the antitrust legislation, which is currently being considered by parliament,” the agency’s press service stated. Energy is the largest consumer of coal in Kazakhstan. In 2024, 59% of the 109.8 million tons of coal mined domestically was used within the country, while 29.5 million tons were exported. Coal powers approximately 66% of Kazakhstan’s electricity and 80% of its heat. While around 25 companies operate in the sector, 75% of production is concentrated among four major firms: Bogatyr Komir (with about 40% of market share), Euro-Asian Energy Corporation, Shubarkol Komir, and Karmet (formerly ArcelorMittal Temirtau). As previously reported by The Times of Central Asia, Kazakhstan’s coal reserves could last 200-300 years, depending on the rate of extraction.