New Kazakhstan Discovered in Karagandy
On the eve of the EU-Central Asian Summit in Uzbekistan, Kazakhstan announced its discovery of a large deposit of rare earth elements. This discovery, referred to as "New Kazakhstan," is a newly formed reserve with over 1 million tonnes of cerium, lanthanum, neodymium, and yttrium. These elements are critical components in devices such as smartphones, digital cameras, and hard drives. The kozal Curl has issued a statement confirming the findings, which are analyzed by the Ministry of Industry and Construction of Kazakhstan. Preliminary estimates suggest the total reserves reached up to 20 million tonnes at 300 meters depth, with an average rare earth content of 700 grams per tonne. If confirmed, this would place Kazakhstan among the world’s top three countries in rare earth reserves. However, experts caution against optimism, stating that further exploration and evaluation are needed.
Exploration Begin and Timing
The exploration of the site began in 2022, with findings reported by the Kazakh government in October 2024. The timing of this public announcement was strategic, as it coincided with the EU-Central Asian Summit, which aimed to deepen collaboration with Kazakhstan on rare earth exploration and development. It was noted by EU ambassador Aleška Simkić that the announcement was well timed, as it increased hope for Kazakhstan’s place on the international stage regarding its rare earth minerals. Despite the strategic timing, challenges remain, such as the lack of necessary technologies for deep-processing and the need for foreign partners to facilitate extraction.
Development Timeline
The initial discovery was made by a mining company, which began the process of developing the site. The development phase, including exploration and engineering work, could take up to six years, with an estimated investment of up to $10 million./—————————————————————-/
In contrast, expert Arthur Poliakov estimates that developing the ore from the site will take between 10 and 12 years, requiring foreign partners for extraction and deciding on the extraction method. Poliakov also highlighted the role of China, as they are major producers and consumers of rare earth metals, including batteries and solar panels. The second player in this process is expected to be the European Union, driven by a green agenda and sustainable development objectives. Despite this, further logistics and practical issues will likely necessitate the construction of the Middle Corridor, linking Kazakhstan and the EU.
Next Steps and Developments
Potentially, the initial development phase may continue, but the focus will shift to strategic investment in supporting mining projects and the development of the Middle Corridor. For now, it is believed that the country’s national mining company, Tau-Ken Samruk, will take the lead. The project will involve work such as additional geological studies, technology selection, and feasibility assessments. In the meantime, the Kazakh government and industry bodies continue to work on Phase 1, with Phase 2 likely to begin later. The rapid pace of exploration and development underscores the challenges ahead, as the extraction and processing of rare earth elements require more advanced infrastructure and global cooperation.
