Both countries sign multiple agreements on cooperation, including the raw materials sector.
Within the framework of the Kazakh-German Economic Forum, a total of 23 trade agreements were concluded in the areas of raw materials and energy with a total value of around 1.7 billion dollar, according to a press release from the Kazakh Invest national company. On critical minerals, for example, German raw materials trading company HSM Bergbau AG and Kazakhstan-based Creade Corporation LLP signed an agreement for joint exploration, production, and processing of rare earth metals in the eastern part of the Asian country on Wednesday. The project cost is expected to be $200 million dollar, the press release added.
Great Raw Material Potential in Kazakhstan
The agreement is intended to further develop the rare earth sector in Kazakhstan and harness its raw material potential. The Kazakh president wants to strengthen the partnership with Germany in the future, especially in the field of critical raw materials and technologies, The Astana Times reports. Germany also has a strong interest in expanding cooperation with Kazakhstan, as raw materials such as rare earths are needed in modern electronics and are a key element in the expansion of renewable energies. In addition, the Federal Republic has long been keen to diversify its supply chains in order to become less dependent on China, which dominates the rare earths market.
Cooperation From Raw Materials Management to Sustainability in Mining
In addition to the rare earth agreement, the German Federal Office for Geosciences and Natural Resources (BGR) and the Kazakh Geological Survey (NGS) also signed a Memorandum of Understanding to cooperate more closely on issues ranging from resource management to resource geology to sustainability in mining, the BGR announced on Tuesday. According to the BGR, Kazakhstan has large raw material deposits and ranks 14th on the list of major mining countries.
In recent months, the deposits of critical minerals in the country, which is located in Central Asia, have also become the focus of other countries: France and the United Kingdom, among others, have concluded bilateral commodity partnerships with Kazakhstan.
Photo: iStock/Oleksii Liskonih