BnR Summit 2025

Belt and Road Summit 2025- Deal-making

10 – 16 Sept 2025 | China (Hong Kong)

ProjectUpdated on 25 August 2025

Sulphuric Acid Plant

Temirlan Mukhanbetzhanov

Commercial Director at Kazakhmys Smelting

Balkhash, Kazakhstan

About

The project envisions comprehensive redevelopment of the existing sulphuric acid plant currently located at the site of a copper smelting facility in сentral part of Kazakhstan. The facility is currently operated by a subsidiary of Kazakhmys Holding, one of the largest copper producers in Central Asia.

The new redeveloped plant will be fully integrated with the existing copper smelting operations and will use SO₂-rich off-gas generated during copper production as its primary feedstock, ensuring a secure, low-cost, and continuous supply of raw material. The use of existing industrial infrastructure—including power supply, water access, and rail connectivity—will minimize both capital expenditure and operational costs, while accelerating commissioning and time-to-market.

The project is estimated to result in expansion of annual production capacity of sulphur acid from 80,000 to 300,000 tonnes and 90% reduction of SO₂ emissions thanks to the use of advanced sulphur extraction technology.

The sulphuric acid produced will serve domestic industrial consumers, with stable, long-term demand driven by Kazakhstan’s massive uranium sector (~40% of the global uranium production), rapid growth of the fertilizer industry and increasing volumes of hydrometallurgy.

The total project CAPEX is estimated at USD 200 million, with 80% expected to be financed through debt. Assuming local currency (tenge) debt at 12.5% and a stable sulphuric acid price maintained at the current market level, the unlevered equity IRR is projected at 18%. At a 12% discount rate, the resulting NPV is estimated at USD 26 million.

Project Location

  • Kazakhstan

Project Format

  • Private Project

ESG (Environmental, Social, and Governance)

  • Yes

Project Stage

  • Feasibility Study Completed

Main Project Sector

  • Energy and Natural Resources
  • Technology

Energy and Natural Resources

  • Mining

Technology

  • Environmental Technology

Total Project Value

  • 50,000,001 USD or above

Investment Capital Required

  • 25,000,001 to 50,000,000 USD

Interested Format of Cooperation

  • Majority Shareholdings
  • Minority Shareholdings
  • Joint Venture

Preferred Financing Model

  • Debt
  • Equity

Previous Funding Stage

  • None

Main Service(s) Required

  • Financial Services

Financial Services

  • Commercial Banking
  • Private Equity & Venture Capital
  • Syndicated Loans

Organisation

Kazakhmys Smelting

Astana, Kazakhstan

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