Why is this important
Privatization of “Bosunkumir” can attract investments to the coal industry, strengthen management efficiency, and increase the profitability of the Surkhandarya region.
What happened
- Since August, public auctions have been underway, with four local and foreign investors submitting applications and being admitted to the next stage.
- Until 23:59 (Tashkent) on October 27, investors must submit proposals and make a guarantee deposit of at least 1% of the offered amount.
- The winner’s guarantee payment will be counted towards the asset payment; the rest will return the money at the end of the auction.
- Participants are also required to sign a non-disclosure agreement (NDA), after which they will have access to asset details and will be able to meet with management.
- “Boysunkumir” is developing the “Southern” section of the Boysun coal deposit in Surkhandarya region and has a mining license until 2055.
- In June of this year, the selection of consultants for the privatization of the enterprise began.
What they say
Among the project consultants is Alkes Research, which oversees the admission of participants and verification of compliance with the criteria. The Ministry of Geology and the State Assets Management Agency emphasize that privatization is aimed at increasing efficiency, attracting new technologies and capital.
Context
“Boysunkumir” is a strategic resource asset in the southern regions of the country, important for the energy and coal sector. Privatization of large state-owned enterprises is part of the state policy on attracting private investment and reforming the public sector.
Risk for investors: significant capital investments, geological and environmental factors, infrastructural limitations.
