Uzbekistan extends tender for 35% of coal producer

Uzbekistan’s State Property Committee has extended a tender for the sale of 35.55% of the shares in coal producer Uzbekugol because no competitive bids have yet been received, a
committee source told Interfax.

The deadline for submitting bids is now March 12, 2007, and the tender results should be announced during the second quarter of 2007.

The source said that preference would be given to the bidder who offers the highest price for the share and undertakes to invest $232 million in the coal producer.

Uzbekistan called the tender at the beginning of October this year. The original bidding deadline was November 28. The starting price for the shares is $30.58 million.

Uzbekugol produces more than 90% of Uzbekistan’s coal. It raised coal production 9.7% in 2005 to 2.898 million tonnes.

Net profit soared 220% in 2005 to 367.75 million sum (1,237.18 sum/$1 on Dec. 18). Assets grew 9.6% last year to 82.622 billion sum and accounts payable rose 15.3% to 37.275 billion sum.

Uzbekugol mines the Angren lignite coal field in the Tashkent region, which is Uzbekistan’s biggest and has proven reserves of more than 1.9 billion tonnes of coal.

The state owns 86.55% of the shares in Uzbekugol, employees 5% and other minority shareholders 8.45%. LLC Tashkent Management holds 25%.

Uzbekistan as a whole raised production 10.1% to 3.168 million tonnes.