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Uzbekistan

Coal Markets:

Uzbekistan

Uzbekistan possesses bituminous coal commercial reserves in 47 mln tons, and lignite reserves in almost 1.9 bln tons. Most of lignite and sub-bituminous coal is concentrated in Angren lignite basin, while bituminous coal is presented with two basins - Shargun and Baisun - located in southern part of the country.

Coal production in Uzbekistan is not high - as the country's thermal power plants utilize mainly natural gas and oil; at the Soviet time Uzbekistan produced about 5 mtpa of coal, while now it extracts 2.4 mtpa. Most of production (97%) is presented with lignite, while bituminous coal counts for only 3% of the total mining. All coal - including bituminous - is used in energy production.

Uzbekistan doesn't export any significant volumes of coal, however small deliveries are done in neighboring Central Asia states, as well as to Iran and Pakistan. Coal import is also very small (25-30 ktpa) and presented with supply from Kazakhstan.

The country's single crude steel mill utilizes blast furnace technology as well as EAF/scrap technology - but even blast furnace uses scrap as iron source; the mill has no coke-chemical facility and thus Uzbekistan doesn't produce or import coking coal, however it imports small volumes of coke from Kazakhstan.

Currently 5 coalmining operators produce coal in the country. One of them - state-run Ozbekkomir (Uzbekcoal) - dominates with 90% share in the country's total production; the company incorporates an open pit mine, an underground mine and an underground coal-gasification facility in Angren basin. Another company also works in Angren, while 3 companies produce bituminous coal in southern Uzbekistan. One of the coalminers - Sharguncoal - is co-owned with the British investors since 2006.

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