With the resolution “On measures on ensuring stable financial-economic development of Shargunkomir open joint stock company”, the Government approved accession of Uzbekugol to Shargunkomir.

The resolution said that earlier general shareholders meeting of Shargun open joint stock company adopted decision on accession of Uzbekugol to the structure of shareholders of the company.

The document said that Uzbekugol acquired shares of Shargunkomir from foreign shareholders at the secondary market. The sum of deal was not disclosed.

Foreign shareholders of Shargunkomir was British consortium, which included SAB Energy, Shadella Inc. and M. Metal&Co. They owned 41.57% share in Shargunkomir, while the government holds 51% stake and labour collective – 7.43%.

The Government of Uzbekistan allowed Uzbekugol and Uzbekenergo to finance investment projects of Shargunkomir, included to Uzbekistan’s Investment Programme, due to resources of the Fund on technical re-equipment and modernization of coal industry. The resources allocated to projects should be returned to the fund.

Shargunkomir OJSC develops Shargun and Baisun coal mines and process them at Shargun briquette plant and Baisun briquette plant.

Total explored reserves of Shargun and Baisun coal mines makes up about 45.8 million tonnes of coal.

Uzbekistan has proved coal reserves for 1.9 billion soums, of which 1.853 million tonnes are brown coal and 47 million tonnes – coal. Forecasted coal reserves make up 5.7 billion tonnes. Large volume of coals is located in southern regions – Surkhandarya and Kashkadarya regions. Currently, three deposits – Angren brown coal mine, Shargun and Baisun coal mines are developed in Uzbekistan.