Author: K-News

15 May 2013, 16:36

China lobby in Kyrgyz politics

In Kyrgyzstan, shared, looted or sold already seems to have everything ... Everything is on the surface. But the wealth lying underground, still largely untouched, "draws". This may explain the endless series of clashes around the Kyrgyz subsoil deposits, investors, licenses ...

Organizers showdown always, of course, argue that guided solely by national interests of Kyrgyzstan. But in each of conflicts can easily see someone purely private (and away personal property) interest. And very muddy game of Kyrgyz officials and politicians. Infinitely these revels could not continue, sooner or later had to break out a grand international scandal. And now - the Sound of ...

Take a "congratulations", compatriots - about us in the world once again write and speak. Is not that the truth, the key, in which all of us would like. Foreign media and the business community are closely watching the situation around the Kyrgyz deposits of rare earth elements Kutessay-2. Or rather - for the challenges of Canadian investors, who for the second year do not give this field to develop the Kyrgyz authorities.

The power of the executive puts investors stick in the wheel with the filing of the legislative power - Members of Parliament. Those, in turn, allegedly responding to the demands of notorious public. In short, the situation is familiar to nausea - a familiar, including, and foreign investors. The President Almazbek Atambayev in its pre-New Year's press conference, we recall, described it quite openly.

"No one comes to us, - said the head of Kyrgyzstan - because openly say:" We are ready to invest millions and billions of dollars, but to invest in your country - our own peril. Tomorrow your Kyrgyzbai or captured, or burned, or taken away this company or mine. " For each performance against mining is a "gil". We begin to understand, and it turns out that a native of this village, which sits in Bishkek wants to get their hands on something that someone has discovered, found ".

In the case of Kutessaem all, however, was much more difficult, confusing - and bigger. Bishkek "gil" in this story, too flash. But behind the scenes at one point looked out, it seems, the main players and puppeteers - the Chinese.

The scandal broke out, when he spoke Alastair Neill - Canadian expert in the field of rare earth metals, world famous, just did mining guru. In an interview with the authoritative Internet portal «ProEDGE WIRE» he told of a very juicy conversation that had taken place at the end of last year, China's rare earth with the head of the company, claiming the Kyrgyz mine Kutessay-2 - the same ... The Chinese, according to Alastair Neil very confidently told him that to the middle, at the latest - the third quarter of 2013 field will be taken away from Canadian investors. And in the hands of his company. Why such confidence? The Chinese, according to Neil, he boasted his ties to the Kyrgyz government. And yet named a sum of money, which would cost him taking mine - one and a half million dollars.

By a curious coincidence, things are moving so that it is in the named period may lose its license to develop the field Kutessay-2, as well as a nearby field Kalesay LLC "Kutisay Mining", a subsidiary of the Canadian company "Energie Stan's Corporation." However, it can be called a Canadian only by the country of registration. The shareholders of the same company (and their - about 10,000) are scattered throughout the world, including faraway Australia.

So, someone from Kyrgyz officials (who is - a Chinese Canadian, unfortunately, did not say) serves the interests of the Chinese rare-earth company. What should get (and, perhaps, has already received) and a half million dollars. Who could it be? Find the answer to this question is not easy. Too many actors take part in the history of the "arrival" on Canadian investors. That the investors themselves are confident was referred to as "srezhisirovannoy attack."

Let's start with those actors who shone most openly - with deputies. All of them, notably, belong to the same faction, whose members were held in the parliament election under the slogan "iron shield law." This, as you may have guessed, a fraction of "Ar-'.

MP Felix Kulov , Leader of the "Ar-" and at the same time the leader of the majority coalition in the current parliament. By the attack on the company "Kutisay Mining" joined recently - perhaps as the "heavy artillery."

MP Kozhobek Ryspaev , Chairman of the Parliamentary Committee on Fuel and Energy Complex and Subsoil - Committee acting as the main striking force.

MP Nurjan Badykeeva , A member of the above committee. The most active "center forward", an attack on the "Kutisay Mining" began one of the first.

However, the need to start with the background of the battle for field Kutessay, the more that we find it very interesting facts and names.

So, Kemin district Chui village of Ak-Tuz. History at it - nice. In the 30 years of the last century, Soviet geologists have found here a large deposit of lead. Started its production. During World War II, by the way, one-third of all the bullets fired by the Soviet army to the enemy, was made to plant them. Lenin from aktyuzskogo lead. When stocks run out of lead, at the same place geologists discovered a very large reserves of rare earth elements. Ak-Tuz again became a point of strategic importance - 80 percent of all the rare earth elements, which have been developed in the Soviet Union, belong to Kyrgyzstan.

And spravochka. Just a group of well-known rare earth metals - 17 elements. Five of them are not used at all - use them has not yet been found. A nine heavy elements - yttrium, gadolinium, terbium, dysprosium, holmium, erbium, thulium, lutetium and itteriby - are, on the contrary, a great value and are used in electronics, instrumentation, and nuclear engineering, so, on the field Kutessay-2, located near the village of Ak-Tuz, there are the rare earth elements, including heavy.

After the collapse of the Soviet Union aktyuzsky mine was, as usual, plundered, sold equipment. The first person in the post-Soviet period has received a license to develop rare earth deposits aktyuzskogo Kutessay-2 (and situated immediately Kalesay deposit with reserves of beryllium) Ltd became "Central Asia Metals." Remarkably, it was founded in the same year 2006, the year and received the license. And, it seems, for the sake of the license, in fact, created.

The founders of the "Central Asia Metals" was even more remarkable. At the time of the license 60 percent of the LLC owned some Kazakh limited liability partnership "Jerkins K.." And 40 percent - a citizen of Kyrgyzstan Darigul Bayalinova that put his wife Abdysaparu Bayalinova - longtime friend and party members Kulov. In the parliamentary elections, by the way, A. Baialinov was listed on the electoral list of the party "Ar-" under the very prestigious number 14.

To this we add that the license for the Kutessaya-2 and Cales company "Central Asia Metals" - as the winner of the contest - the State Agency for Geology and Mineral Resources has granted, subject to the government order of November 1, 2006. Signed by the then Prime ... Kulov.

After receiving the license, the company "Central Asia Metalh" paid for the two fields in the form of a bonus (a kind of institutionalized tribute) a little more than 56 thousand dollars. For comparison, similar bonuses Canadian investors (when later they became the holder of a license) accounted for more than half a million dollars. A comparison is quite appropriate, because today MPs accuse arnamysovtsy investors that the two fields they allegedly received illegally in corruption schemes and almost for free.

But let's not get ahead of ourselves. Having the right to use subsoil Kutessaya-2, the company "Central Asia Metals" for three years, almost anything with these mineral resources are not made, the deposit development has not begun. All the while, they allegedly sought investors. The question arises: why, then, to take a license, if the money is not to develop the field - and the fact that Kutessay-2 launch, it takes at least $ 300 million. At least as many are planning to invest in mine Canadians, of course, if it will work.

What is the company "Central Asia Metals" was active, so it is a redistribution of shares and change of the founders. In 2008, the LLC was crushed. Among its founders was now two citizens of Kyrgyzstan - 4 percent was to own one Mirlan Kabaev, while 12 percent - Abdykanat Baialinov, son of D. Bayalinova and other Kulov A. Bayalinova.

By the way, for the third year running Abdykanat Baialinov assistant deputy faction "Ar-" Nurjan Badykeevoy. The same one that is now most active in attacking Canadian investors. Surely it is a curious fact - just a coincidence?

But back to the new co-owners of the company "Central Asia Metals." The owner of another 24 percent of it was kind of a limited liability partnership "Alvik IVF," the Kazakh again. A majority - 60 percent - bought a Chinese company, "Baotou Hongbo." The one who pretends again now Kutessay-2. And somehow I'm sure it will.

Thus, the unique rare earth deposit cast in order Kulov very, well, he nechuzhim people turned out in the end in the hands of the Chinese. But not for long. In October 2009 (Felix Sharshenbaevich, recall, by the time the third year, as it was not in power), the commission State Geology Agency for Subsoil Use Licensing LLC agreed to a license from the "Central Asia Metals' away. For failure of the license agreement. The government seems to have long since realized that the good of this company will not be, because the year before the very beginning of negotiations with Japanese companies, hoping to attract them to the Kutessay-2. However, to no avail - no one came.

And then there were the Canadians. The company "Stans Energy" working in Kyrgyzstan for three years - was engaged in the exploration of uranium deposits. And got accustomed to rare earth deposits. By the time the license for Kutessaya was in the hands of the newly-made "Kutisay Mining", all of whose shares were transferred in trust notorious Development Fund of the Kyrgyz Republic. Why is it so happened - a separate issue. But all 100 percent of the company, which existed only on paper, Canadian investors in December 2009 and bought with the Kyrgyz Stock Exchange (where they auctioned the Development Fund), offering the highest price - more than 37 million soms. Plus paid, as already mentioned, in the treasury of the state half a million dollars in the form of a bonus.

Canadian investors are planning to start production of rare earth elements by the end of 2014 - a feature of rare earth deposits is that each of them is required to develop a unique technology development. In this company, "Kutisay Mining" started helping her closest partner - a former All-Union, and now All-Russian Research Institute of Chemical Technology (VNIIKhT) - an institution which, in fact, raised at the time of Ak-Tuz. But the path of investors from the very beginning was not strewn with roses. April revolution broke out, followed by a reshuffle in the government and Gosgeologii in particular. However, the post-revolutionary force majeure misadventures of Canadians to the topic does not directly relate. The attack on the "Kutisay Mining" as such began in June 2012.

The beginning of its parliamentary group said "Ar-" Nurjan Badykeeva then - a member of the parliamentary committee on the development of the national economy. The committee took up its initiative and decide that Gosgeologoagentsvo revoke the license of "Kutisay Mining" to develop the field Kutessay-2. Thus, the Committee made a large puncture - well, he has no authority to interfere in the economic activity of private companies and dictate to the executive power, who has what license selected. Then, recollecting himself, the deputies adopted a different solution - replace the word "shall" to "recommend." But the inter-district court of Bishkek, where investors have turned, recognized both solutions unlawful.

Company won the "Kutisay Mining" and the lawsuit against State Geology Agency, suspend the license without any legal basis. It seemed that all the litigation behind us. But then came on stage the Chinese.

Evidenced by Robert Makkeym, Executive Director of "Stan's Energie Corporation" - the parent company "Kutisay Mining".

In the spring of 2013, he said in an interview with the online portal «ProEDGE WIRE», representatives of the Chinese company "Baotou Hongbo" began aggressively seek a meeting with him. Meet offered in China, Makkeym refused. The Chinese have agreed to hold a meeting in Kyrgyzstan.

Chinese offered the following - they are part of a project to develop Kutessaya-2, bought part of the company "Kutisay Mining". "At that time, - says Robert Makkeym - our market capitalization exceeded $ 100 million, and the group intends to acquire 60 percent of the project for $ 6 million. Besides the fact that their proposal is absurd, their proposed structure contradicted the laws of Kyrgyzstan. Believing that we are losing time, we have completed the meeting. Soon after, they sent us a letter in which he threatened that they would work against our company and our interests in Kyrgyzstan. " Representatives of the "Baotou Hongbo," according to Makkeyma also let him know that it stands for the Chinese government.

And before that, head of the Chinese company, Mr. Liu met, as already mentioned, an expert Alastair Neil. According to Canadians, the Chinese tried to use his connections in the world market, in order to attract the development of the field Kutessay-2 foreign investors that they were going to sell at least 51 percent of the project. Alastair Neil was surprised because the field is in the hands of others. It was then, he said, and sounded the revelation of Mr. Liu that "Baotou Hongbo" will soon return to Kutessay.

But the Chinese clearly did not consider the fact that Alastair Neil is an official partner of the Canadian company "Stans Energy". And so, when she went to the second wave of "arrival" to "Kutisay Mining", did not remain silent. In order to explain the background of the global business community events around the field Kutessay.

Those events have evolved quite logical. In January 2013 the Chinese company "Baotou Hongbo" has become a 100-percent owner of the LLC "Central Asia Metals", bought the remainder of the shares - including, in A. Bayalinova, assistant deputy Badykeevoy N., son of another Kulov. Then in April, the head of the "Baotou Hongbo" sent a letter to the Prime Minister Jantoro Satybaldiev , In which he argued that the license of the "Central Asia Metals" in 2009 seized by raiders and asked her to return.

At the same time the votes cast member Nurjan Badykeeva again in Parliament raised the issue of deprivation of "Kutisay Mining" license. She relied on the appeal of the public association "Ak-Tuz Platinum" from Kemin district. Very, by the way, this is a curious association, very interesting people there are, but more on that another time ... The Parliament, however, the decision to cancel the license is not supported, the Social Democratic Party faction left the meeting so simple. And then Felix Kulov grabbed the last straw - assembled council meeting he headed a coalition majority. There he is, as far as we know, it is very hard to persuade a visiting head of Gosgeologoagentsva I. Chunueva take away "Kutisay Mining" license. When he refused, the council decided coalition. A very amusing in the light of the above lawsuits won by investors. The government recommended in a week's time revoke the license, and I. Chunueva - from the post release.

The attack went on all fronts. Anti-corruption office within the National Security Committee of the criminal case against the former head of Gosgeologoagentsva W. Tashbaeva investigates alleged unlawful renewal of "Kutisay Mining". And the Attorney General's Office (it is too long already showing a keen interest in the company) filed a lawsuit against the State Geology Agency, which, again, has the company "Kutisay Mining" - the supervisory body seeking recognition of illegal acquisition by (then not owned by Canada) license in 2009. His test results and established under the Ministry of Economy KR interdepartmental commission. And is in the mode of secrecy, without inviting the company "Kutisay Mining".

Most of all, no doubt, from all this, the Chinese win. The Kyrgyz government also runs the risk of running into a claim of approximately $ 300 million - Canadian investors are already officially warned the government of the Kyrgyz Republic about his intention to go to international arbitration. But the most intriguing in this story - the interest of Chinese.

China is now the world's near monopoly in the extraction of rare earth elements - its territory is a lion's share of rare earth deposits. This gives China an opportunity to dictate their terms (even political) world powers, the most economically developed countries. Rare earth elements are not as expensive as gold. But without them stop entire industries. Not for nothing in the world started to panic when in the summer of 2011, China has restricted exports of rare earth metals from its territory: himself, they say, we do.

One of the few countries that can break this monopoly - Kyrgyzstan. But China does not want competition. Curiously, the Western media regard the battle as a fight for Kutessay ... Russia and China. As Canadian investors are closely cooperating in the development of the field with the Russians. And perhaps not coincidentally the Chinese are so eager for the Ak-Tuz? Maybe it is profitable to mine remained frozen as long as possible?

That's what games are today world-wide around the so-called "rare earths." In that Kyrgyzstan could play his game. If it were not for some politicians and bureaucrats, the Chinese play along ...

Who is it, I wonder, those received half a million dollars?

By Vadim Nochevkin

Source: newspaper "Delo ?» for May 15, 2013

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