The Navoi Mining and Metallurgical Kombinat (NMMC) was split into three independent entities, the company said in a statement. From January 1, the new entities are - Navoi Mining and Metallurgical Plant (production of precious metals), Navoiuran (mining and processing of natural uranium and rare earth metals) and Navoi Mining and Metallurgical Plant’s Foundation.
The reorganization of the plant was provided for by the decree of the President of Uzbekistan dated March 6, 2020.
In September, the Deputy PM/Minister of Economic Development and Poverty Reduction Jamshid Kuchkarov reported that the government had begun preparations for the privatization of the NMMC. According to him, in 2022, up to 10-15% of the company's shares could be sold.
“This is the largest company in Uzbekistan with an annual revenue of over $ 5 billion,” he said, adding that by 2024 it is also planned to put up for IPO a maximum of 10-15% of the company's shares. The final decision will be made by the President.
In September, it was reported that the plant had attracted a $ 1 billion loan from the Russian VTB bank to finance its investment program.
NMMC is the largest industrial enterprise in the country. It mines gold, uranium, rare metals, produces raw materials for the building materials and machine tool industries, a wide range of consumer goods. The plant accounts for 10% of all industrial products produced in Uzbekistan and 18% of budget revenues. The company employs more than 54 thousand people (as of March 2020).
NMMC ranks third among the world's gold producing companies. However, the value of its assets is much lower than that of similar foreign companies. The book value of NMMC was estimated at $ 1.3 billion, while the market price of foreign enterprises of this level is $ 11 billion.
