ASTANA – Prime Minister Olzhas Bektenov agreed on the construction of a metallurgical plant with chairman of the Board of Fujian Hengwang Investment Zeng Zhaoqiang on Feb. 27.
Photo credit: Press Service of the President of Kazakhstan. Click to see the map in full size. The map is designed by The Astana Times.
It is expected to build a metallurgical plant with a capacity of 3 million tons of steel in the Jibek Joly Special Economic Zone, located in the Zhambyl Region. This venture follows up on agreements made during the Kazakh-Chinese investment roundtable held in November 2024 during Bektenov’s official visit to China, reported the Prime Minister’s press service.
The $1.2 billion investment from Fujian Hengwang Investment will create 2,500 jobs in the region. The plant’s construction will begin in April, with an initial production capacity of 1 million tons of steel in 2027. This first phase is expected to require 160.2 billion tenge (US$318 million) in investment. By 2029, the plant aims to reach its full capacity of 3 million tons, with an additional 312.8 billion tenge (US$621.1 million) in investments.
Kazakhstan’s raw materials, including natural gas and iron ore from the Karagandy, Kostanai, and Ulytau Regions, as well as lime, will be used in production. The plant will manufacture a diverse range of products, including wire rods, reinforcement bars, strip steel for pipe production, and angle and profile steel.
As part of the project’s second phase, a 350-megawatt (MW) gas turbine power plant will be built to meet the energy demands of the metallurgical facility, with an investment of 201.3 billion tenge (US$399.7 million). The plant will also implement Direct Reduction Iron (DRI) technology, which will enhance product quality and increase the competitiveness of Kazakhstan’s metallurgy sector.
Bektenov highlighted the importance of the project for boosting Kazakhstan’s metallurgical industry and expanding its export potential.
“This is a significant project for us. It will help enhance Kazakhstan’s export capabilities. The government fully supports your plans and will ensure all necessary support for their implementation,” he said.
