In Astana, under the patronage of the Ministry of Industry and Trade of Kazakhstan the Second International Mining and Metallurgical Congress Astana Mining & Metallurgy 2011 (AMM 2011) was started.
Kazakhstan President Nursultan Nazarbayev addressed to the participants of the Congress with the Word of Welcome, which has been read out by the Prime-Minister Karim Masimov, speaking at the industry forum, where the main theme is “MMC of the fastest growing economies: to the leadership through innovation!”.

“Dear Forum participants, the II International Congress of Mining and Metallurgy is being held in the year of the 20th anniversary of independence.  All these years the steel industry is one of the key sectors of the Kazakhstan economy demonstrating the high dynamics of development currently accounting for more than seven percent of the GDP, about 17 percent of total industrial production and 20 percent of exports.

Today, the steel makers face new challenges.  The realization of the program of forced industrial-innovative development (PFIID) has started in Kazakhstan.  In the coming years we will have a fundamental modernization of the industry and create tens of thousands of new jobs, an important step is to increase the financing of the exploration projects; I believe that all outlined goals will be successfully achieved by means of coordinated activities of government and business.  And in the 21st century, our country will stabilize its position as one of the world's leading iron and steel centers.
I am convinced that today's Congress will contribute to the development of new proposals on development of the MMC of Kazakhstan and expansion of contacts between world’s businessmen”, - the Head of State salutation declares.

Before the beginning of the Forum the participants were presented with the Kazakhstan President Book “Global energy-ecological strategies for sustainable development in the XXI century”. This publication is a logical continuation of previous works of the President and is a unique message for the World Summit for Sustainable Development “RIO-20” in 2012.  Thus, it is the completion of the cycle of theoretical and methodological research challenges of the creation of the global energy and environmentally secure development of the world and the EurAsEC countries.

The monograph offers the basis of the energy-ecological strategy for sustainable development in the XXI century.  Using methods of creating a global energy development proposed by the Russian and Kazakh scientists, policy makers and experts from different countries, the author analyzes the energy-ecological situation in the world and its change in the XXI century, suggests ways to implement a global energy-ecological strategies.  These methods are illustrated by specific schemes and algorithms for energy-ecological development of Kazakhstan and other EurAsEC countries.

“The problem of the global energy-ecological strategy was presented by N. Nazarbayev in the context of global trends.  In modern science, the development of this perspective is the position - the first and brand new.  Therefore, we believe that this strategy, its location and design are very important in the context of solving large-scale modern and global problems” - Vice-President of the Russian Academy of Sciences Anatoliy Spitsyn stated at the presentation ceremony.

It was also attended by the President of the Kazakhstan National Academy of Science N. Abykayev, Deputy Prime Minister - Minister of Industry and Trade of the Republic of Kazakhstan A. Isekeshev, Member of the Senate of the Parliament of the Republic of Kazakhstan A. Bashmakov, the Chancellor of the National Research Technological University MISA (Russia) Y. Karabasov, Chairman of the Board of JSC “National Atomic Company (NAC) Kazatomprom” V. Shkolnik, and many other representatives of the creative and scientific intelligentsia, business communities and media.

In turn, Prime-Minister of Kazakhstan Karim Masimov addressed to the participants of the Forum and said that the Industrial Development Program of Mining and Smelting Complex until 2014 was adopted and implemented in Kazakhstan.  According to the Prime-Minister, the program “specific investment projects and niche long-term projects to attract investment have been determined, there are already particular results”.  “Only in 2010, by the country industrialization map more than one hundred and fifty new businesses and more than 23 thousand permanent jobs have been created.  This year we plan to launch about 200 projects worth about 730 million tenge and create about 40 thousand permanent jobs”, - Karim Massimov declared.  In all, according to his information, about 1.5 trillion tenge will be invested in the Program of Forced Industrial-Innovative Development (PFIID) projects.

“We clearly understand that the new investment in MMC is a high-risk, capital-intensive and long-term endeavor, however, we must and we will struggle for its competitiveness increase”, - Kazakh Prime-Minister declared.
Participating in the plenary session, Deputy Chairman of the Board of JSC “National Welfare Fund (NWF)” “Samruk-Kazyna”, Aidan Karibzhanov noted that Kazakhstan intends to create a series of joint ventures with world leaders in mining and metallurgical industry.

“Today, MMC is more focused on exporting raw materials and primary metals.  In the coming years, the goal is to create more processing facilities, more added values in Kazakhstan and more local content.  To do this, it is important to develop the stock market.  But we also understand that without the international companies we cannot do anything either since co-operation is the new technologies for extracting, refining, which we need.  Therefore, we want to create a series of joint ventures with world leaders in this business”, - Aidan Karibzhanov declared.  He noted that there may be troubled relations between the country that owns the minerals and the subsurface company.
"But at the same time we want to create transparent and clear rules in order to develop our resource base. In this regard, we have created the special geological company that will be the main driver of geology and geological development at all in Kazakhstan ", - said Aidan Karibzhanov.

“However, at the same time we want to make transparent and clear rules in order to develop our resource base.  In this regard, we have created the special geological company that will be the main driver of geology and geological development in Kazakhstan”, - Aidan Karibzhanov said.

In turn, the Ambassador, the Head of Delegation of the European Union in Kazakhstan - Norbert Jousten noted that currently the new Agreement on Partnership and Cooperation Agreement with Kazakhstan is considered by the European Union, in which considerable space is devoted to cooperation with mining and metallurgical sector of the country.  The emphasis was on issues of safe disposal of raw materials, energy-efficient technologies in industry and non-discriminatory access to EU markets for Kazakhstan's raw materials.  “The concern is that some countries provide privileged access to their markets for raw materials for certain players.  This leads to violations of global markets, causing the uncertainty in the supply of raw materials”, - the Ambassador declared.

Meanwhile, the Chairman of the Board and the President of the Association of Financial and Industrial Groups of Russia Oleg Soskovets believes that the metallurgical enterprises in Russia and Kazakhstan are discriminated on the EU market.
“GDP of the CIS countries and especially the Eurasian Economic Community is negligible compared with the EU.  It cannot be competitive at this time and only further integration in the economic cooperation of the Customs Union, and in the future, the Common Economic Space will be able to solve the complex problems faced by each state - creating jobs, increasing productivity and, particularly, issues related to development engineering base as the primary consumer of finished steel products”- Mr. Soskovets said.
He believes that quotas for deliveries of steel products to the EU market provided by Russia and Kazakhstan, and Ukraine are too small.

Speaking about the state of Kazakhstan's metallurgy, Oleg Soskovets noted that with the assistance of the RK Government the steel companies successfully carry out the production modernization improving the product quality.  In particular, he cited the example of the Karaganda Metallurgical Plant, where the "Arcelor Mittal” company has significantly increased the production efficiency.
First Vice-Minister of Industry and Trade, Albert Rau, speaking at the first session “State regulation of the mining and metallurgical industries: efficient approaches and good practice”, pointed out that today the MMC products share of the export in Kazakhstan is 20%.

“Last year it was 8 billion dollars, which is 39% more than the post-crisis 2009”, - A. Rau declared.
In addition, the MINT First Vice-Minister reminded that under the State Program of Forced Industrial-Innovative Development the industrial programs have been designed, and among them one of the priority sectors is the mining and metallurgical complex.
The forum also discussed the topics on “Prospects of consolidating the world’s mining and metallurgy sector”, “State regulation of mining and metallurgy industry: effective approaches and best practices”, “Innovations and scientific research – way to solve complex problems in the MMC”, “Restoring activities of the metals and capital markets”.
The AMM-2011 Industry Forum was concluded with a specific result – signing of the Agreement on Cooperation Principles between the “Tau-Ken Samruk” National Mining Company” JSC  and the Radington Industrial Consulting s.r.o. (Slovakia) with the purpose of joint realization of the project on developing lead ores in the Alaigyr field of Karaganda region. The parties will establish a joint venture on parity basis.

Within the implementation of the Working Program, the Parties will ensure involvement of contracting organization of mostly Kazakhstan origin at all stages, including R&D, design, construction and operation; provide attraction of European investments and modern technologies for extraction and processing of natural resources, as well as acquisition of technology and equipment from leading producers taking into account the financial, economic and technological feasibility.

“Tau-Ken Samruk” JSC is the national operator of mining assets in Kazakhstan, and is part of the “Samruk-Kazyna” National Welfare Fund” JSC group of companies.
The first day of the АММ-2011 Congress was closed by the Awards Ceremony for the Winners of the “Golden Hephaestus 2011” Industry Contest. The best professionals and companies were determined according to 10 general nominations (Person of the Year, Practicing Professional, Teaching Scientist, Project of the Year, Investor of the Year, Best Environmental Program, Best Innovation Program, Best Journalistic Work, Best Student Thesis, Patriotic Pride) and 1 special nomination (Success of the Year).

The winners are:
Person of the Year – Ibragim Baimuratovich Yedilbayev
Practicing Professional – Talgat Muzarafovich Akhanov
Teaching Scientist- Aleksei Filippovich Tsekhovoi
Project of the Year – ArcelorMittal Temirtau
Investor of the Year - ENRC PLC
Best Environmental Program – “KazZinc” LLP
Best Innovation Program – “Tort-Kudyk” LLP
Best Journalistic Work – Victoria Albertovna Shevchenko
Best Student Thesis – Gulnara Baidurina and Milana Abayeva
Patriotic Pride – “Volkovgeologiya” LLP
Success of the Year – “Allies Industrial” LLP

The Industry Exhibit, which demonstrates the latest advancements in the gold, innovation, education and services segments, is also taking place within the АММ-2011 Congress. The participants to the Exhibit represent 85 companies from 10 countries of the world.

For additional information, please contact:
The AMM Congress Media Director
Lyazzat Kokkozova   
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Astana:  PR manager Ainur Mukanova
Mobile:+ 7 777 036 18 66;  Тел.:+7 (7172) 24 06 56;
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Almaty: PR manager Gulziya Asylbekova
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