UNFC Case Study Kyrgyzstan
UNFC Case Study Kyrgyzstan
UNFC Case Study Kyrgyzstan
Author:
Zinaida Shabolotova,
National consultant
shabolot@mail.ru
Bishkek
August 2020
2
Summary
The Case Study, "Application of the UNFC to Energy and Water Resources of
Kyrgyzstan", sets out the vision of national consultants in the UNECE project
entitled "Integrated Energy and Water Management in Support of Sustainable
Development in Southeast Europe and Central Asia".
The project aims to develop a management and monitoring tool focused on the
interconnection of energy and water systems and helping to manage the impact of
energy production on water systems.
The case study concluded that:
• The UNFC can serve as a global information exchange tool that can be applied
across all mining activities, covering water, solid minerals and fossil energy
resources, including coal;
• The UNFC classification takes into account many factors when evaluating
deposits (especially solid minerals), i.e. it gives a multifactorial assessment,
which is quite simple to understand, and does not lead to a double
interpretation of the situation;
• There is no single classification for energy and mineral resources in the
Kyrgyz Republic; therefore, the adoption of the UNFC makes it possible to
unite the two largest industries, which will form a single picture of all reserves
of mineral and hydrocarbon raw materials.
3
1. Introduction
The Kyrgyz Republic is a typical mountainous country; about 43% of its territory is
located at altitudes over 3000 m above sea level and only about 15% at altitudes
below 1500 m. There are no marks below 500 m above sea level. The mountain
ranges are separated by intermontane depressions and the Issyk-Kul lake basin.
Powerful mountain ridges, with the exception of the Trans-Alai (Zaalai) Range,
constitute a single western part of the Tien Shan mountain system.
The complex and long-term geological development of the Kyrgyz Tien Shan has
created a wide variety of geological complexes, geodynamic settings and favourable
conditions for the formation of various mineral deposits.
The Kyrgyz Republic has significant potential for many types of mineral raw
materials. For the almost 80-year history of geological research (since the formation
of the Kyrgyz Geological Administration in 1938), about 20 thousand deposits and
ore occurrences of more than 150 kinds of various mineral resources have been
identified by geologists on its territory. The mining industry in the country has
always been one of the leading industries [4].
All minerals of the Kyrgyz Republic can be combined into four large groups -
combustible, metallic, non-metallic, groundwater (including curative mud).
The following fossil energy resources - coal, oil, gas, peat - have been identified
from combustible minerals on the territory of the Kyrgyz Republic.
Uranium and thorium are extracted from metallic energy resources as fossil energy
resources and from groundwater the distinguished thermal waters.
Energy, coal and water are interconnected and interdependent and are the basis for
promoting sustainable development of the country. The project aims to develop an
integrated management and monitoring tool focused on the interaction of energy and
water systems and to assist in managing the impact of energy production on water
systems and can help identify best practices and measures to apply an approach to
energy and water resources management.
Energy resources
At present, one of the main priorities for Kyrgyzstan is the country's energy security,
since Kyrgyzstan imports hydrocarbon raw materials from other countries, and its
own coal reserves allow ensuring energy security, the number one priority is the
development of its own deposits.
In the modern fuel and energy balance of Kyrgyzstan, fossil coal plays a leading
role, accounting for more than half of energy resources. The bulk of the resources
and reserves of fossil coal are concentrated in the south of the Republic.
Kyrgyzstan has limited oil and gas resources, and coal is the main fuel. The coal
industry is an integral part of the industry of Kyrgyzstan, which includes a complex
of organizational, technical and technological processes associated with the search,
exploration, storage, processing, transportation and sale of coal and its products.
5
In the Kyrgyz Republic, the reserves of 70 main coal deposits are estimated at more
than 2.2 billion tons. On the territory of the Kyrgyz Republic, coals occur in the form
of sheet-like deposits, interlayers or lenses in sedimentary strata of the Jurassic age.
Coals are the most valuable raw material for the metallurgical and chemical
industries and are widely used as fuel.
The exploitation of known deposits began at the end of the 19th century, and for
some (Kok-Yangak, Tash-Kumyr, Sulukta, Kyzyl-Kiya), coal has been mined
intermittently for 100 years. Over the 100-year history of operational work, there
have been ups and downs in coal mining in the Republic [8, 13]. Now, reserves of
small deposits or local areas are involved in the production.
10000
7143.2 6116.9*
5000 3717
2390.6
0
1961-65
1966-70
1971-75
1976-80
1981-85
1986-90
1991-95
2006-10
2011-15
2016-18
*- only three years
2000
1500
1000
500
0
1999 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
It can be predicted that the demand for coal in the medium and long term will grow
steadily. In connection with the construction of an alternative North-South road and
the construction of the China-Kyrgyzstan-Uzbekistan / Kazakhstan railway line, the
country will become a major exporter of energy fuel in Central Asia.
6
7.
4. 5.
1.
3.
The most widespread type of industrial use of coal is its combustion in the furnaces
of various power plants (in particular, for residential heating premises in the winter
season).
Building several of the thermal power station (TPS) are planed close with coal
deposits.
industrial categories currently amount to about 107 million tons, of which only about
13.7 million tons are recoverable, i.e. the degree of recoverability is very low - about
13%, which is associated with both unfavourable reservoir properties of oil-bearing
strata and imperfect technology for oil extraction.
Natural gas reserves of industrial categories are about 6.3 billion m3. The predicted
geological resources of conditional hydrocarbon raw materials in the Fergana
depression at various depths of assessment are from 145 to 260 million tons. They
are linked with the possibility of identifying new promising structures in the upper
part of the geological section and with an in-depth systemic study of Paleozoic
sediments.
Prospective horizons are located at different depths from 200 to 4000-5000 m.
The problem of providing Kyrgyzstan with hydrocarbons remains relevant,
determining the effectiveness of economic development. Maximum oil production
in 1955 amounted to 490 thousand tons. Explored reserves are located in hard-to-
recover deposits, and production has not been significantly increased.
200
150
100
50
0
1999 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
9
30
25
20
15
10
0
1999 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Of course, this amount is not enough [13] when consumed Kyrgyzstan lubricants
gasoline and diesel fuel all brands, fuel oil, etc. over 2 million tons, and about 500
million m3 of gas. With the above production, the Jalal-Abad, Kant and Kara-Balta
oil refineries are partially loaded; therefore, the bulk of the fuel is exported.
Peat
Cover of peat on the territory of the Kyrgyz Republic is 0.02% [9]. The largest
number of peat deposits is confined to lowland reed-sedge bogs of floodplain areas
of the Naryn, Chu, Talas, and Jyrgalan river valleys and their tributaries. Peat
deposits are small, with reserves ranging from 3 to 5 million m3. Some of the
facilities were previously developed, but a significant number of peat deposits are
located in sanitary and protected areas, and therefore cannot be involved in the
operation. Therefore, we regard this type of energy resources as potential.
Mining regulations
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State Committee for Industry, Energy and Subsoil Use, in accordance with the
Regulation on the State Committee for Industry, Energy and Subsoil Use of the
Kyrgyz Republic dated July 15, 2016 No. 401. (As amended by Government
Decisions of December 12, 2016 No. 653, September 18, 2017 No. 590), "... is the
central executive authority responsible for the development and implementation of
state policy in the field of industry, with the exception of the food industry
(hereinafter - industry), fuel and energy complex and subsoil".
SCIESU acts on the basis of the Constitution of the Kyrgyz Republic
(http://cbd.minjust.gov.kg/act/view/ru-ru/202913), the Law of the Kyrgyz Republic
"On Subsoil" (http://cbd.minjust.gov.kg/act/view/en-ru/111782), as well as other
relevant legislation of the Kyrgyz Republic in the field of subsoil use ("On Oil and
Gas" (June 8, 1998 No. 77; As amended by the Law of the Kyrgyz Republic of
March 9, 2004 No. 19; May 18, 2012, No. 58; May 29, 2012 No. 74; October 11,
2012 No. 171; February 13, 2013 No. 15; January 20, 2015 No. 19), "On Coal
"(February 3, 1999 No. 18; As amended by the Law of the Kyrgyz Republic of June
18, 2005 No. 78; October 10, 2012 No. 170; July 30, 2013 No. 178; July 18, 2014
No. 144), Regulations on State Accounting and Control of water in the Kyrgyz
Republic (As amended by the Government of the Kyrgyz Republic on November 4,
1997 N 643; February 25, 2002 N 100), and the corresponding Regulations on the
SCIESU.
Water resources
Kyrgyzstan is the only country in Central Asia whose water resources are almost
completely formed on its own territory, and this is its hydrological feature and
advantages. The Republic has significant water and hydropower resources, and this
is one of its main wealth.
The hydropower potential of the rivers is about 174 billion kWh, and the capacity is
19.8 million kW. Huge volumes of water resources are concentrated in 6580
glaciers; whose reserves are about 760 billion cubic meters.
In the hydrological aspect, two regions are distinguished on the territory of
Kyrgyzstan - formation and dispersion of flow. The first is the mountainous part of
the Republic with elevations of more than 2000 m, the area of flow dispersion is
located directly below the area of its formation occupying the territory of foothill
valleys and intermontane depressions.
In the water balance, the excess of the volume of water resources formed in the
country exceeds the volume of their consumption in the territory of the Kyrgyz
Republic. Therefore they are of interstate importance. The structure of water use in
the Republic is as follows: about 90% of the water consumption is spent on irrigated
agriculture, about 6% - for the needs of industry, less than 3% for the water supply
of the population. Forestry, fisheries, energy and the services sector collectively use
up to 1% of the total domestic water consumption.
The total amount of water consumed in the Republic is estimated at 10-12 billion
cubic meters per year. Loss of water during conveyance in riverbeds, canals,
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irrigation structures reaches 1.7-2.3 billion cubic meters. Due to natural (mostly
relief) conditions of the Republic, small rivers are involved in supplying water to
irrigated lands, with about 800 thousand ha or 76% of all irrigated lands which
commanded under them. The stock of mountain springs is slightly regulated, only
80 thousand hectares (11%) of lands are irrigated from regulated sources, the
remaining 720 thousand hectares are irrigated with the live flow.
In the Kyrgyz Republic, there are more than 2000 rivers longer than 10 km long, and
their total length is almost 35 thousand km. Great importance in the development
and functioning of the national economic complex, the increase of water and energy
resources, the protection of the environment, the formation of an effective water
balance have lakes, reservoirs and ponds. A significant amount of water is
concentrated in lakes, small ponds, reservoirs. Their total area is 6836 square km.
Predominantly the lakes are located in the high-mountain zone - 3-4 thousand meters
above sea level.
On the balance sheet of the Department of Water Resources and Land Improvement,
there is a state irrigation fund, which is an off-farm irrigation fund that consists of
off-farm canals with a length of 5786.7 km, hydraulic structures - 7659 units, hydro
posts - 3236 units, pump stations - 111 units, collector-drainage networks 1187.1
km, reservoirs -33 units with a total capacity of 1617.3 million m 3, night storage
reservoirs (NSR) - 50 units, decade storage reservoirs (DSR) - 10 units.
Hydroelectricity is the basic branch of the Kyrgyz economy, which meets the
country's internal needs for electricity and exports electricity to the CIS countries
and far abroad. In conditions of growth in production, the electric power industry is
one of the life-supporting sectors of the economy and one of the factors of economic
development, and its reliable operation is the most important condition for the
transition of Kyrgyzstan to a high standard and standard of living.
For the successful development of energy, the main direction is the construction of
new promising hydroelectric power stations (HPSs) and an increase in electricity
exports.
The high mountainous relief of the Kyrgyz Republic contributes to the accumulation
of atmospheric moisture. The long-term average annual flow of the rivers of the
Republic is estimated at about 45 billion m3.
A total of 44 groundwater deposits [5] with potential freshwater reserves of 11
km3/year and operation reserves of 5.3 km3/year have been properly studied. As a
whole, except for certain areas of South Kyrgyzstan, the country has sufficient
reserves of drinking water for the long-term future.
More than 50 springs of warm and hot underground waters have been discovered to
this time. The extent of mineralization of thermal waters is from 0.2-5g/l and more.
The stage of exploration of these deposits is irregular: from weakly explored,
preliminary evaluated deposits up to detail explored deposits and some, which are
being developed.
Reserves of all above-mentioned deposits of thermal waters are not being used at
their full capacity.
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Currently, the use of Thermo mineral waters is not significant. The reasons for this
situation are economical and natural conditions.
The exploitation of hydrothermal resources requires significant financial costs
(drilling, operating equipment, distribution network). And the natural conditions, or
rather the location, often do not allow to organize the sale of "products". Therefore,
at present, these energy resources are used locally (in wellsite, and even then not
everywhere) and only into a limited extent.
Water regulations
The fundamentals of domestic and foreign water policy of Kyrgyzstan as a
framework are stated in the Water Code of the Kyrgyz Republic. This ideology as a
whole complies with the key principles of Integrated Water Resources Management
worked out by the world community. However, the further specification of water
policy in the form of the National water strategy as stipulated in the Water Code was
not set out until recently. Within the last 15 years, draft s of the Water Strategy
concept was developed, but none of them was adopted officially.
The key water-related legal acts of Kyrgyzstan include the following:
- water laws – the Water Code (2005), the law "On Drinking Water" (1999) and
law "On Water" (1994);
- Regulations on State Accounting and Control of water in the Kyrgyz Republic
(2002), and the corresponding Regulations on the SCIESU;
- environmental laws – the law "On environment" (1999) and the law "General
technical regulation on the provision of environmental safety" (2009г.);
- the laws regulating complex sanitary-epidemiologic requirements
- the law "On health protection of citizens of the Kyrgyz Republic" (2005), the
law "On public health" (2009), the law "On protection of consumers rights"
(1997);
- the laws regulating procedures related to the quality of water resources as well
as certification of entities performing this activity
- the law "On environmental expertise" (1999) and the law "On the basis of
technical regulation in the Kyrgyz Republic" (2004);
- the laws regulating the quality of drinking water – the law "Technical
regulations "On safe drinking water" (2012);
- the laws on the structure of the Government of the Kyrgyz Republic, local
administration and local self-governance, land, subsoil, energy, emergencies,
public associations of water users as well as other laws related directly or
indirectly to Regulation of use and protection of water resources and public
health.
13
existing existing
planned planned
existing
Hydro- planned
electric
station
14
A significant part of current legislation is of the framework type, and bylaws are
required to clarify mechanisms for realization of legislative regulations. However,
the standards and technical regulations applicable in Kyrgyzstan are based primarily
on a system of standards developed in the ex-USSR over 1960 -1990, or modern
standards of the Russian Federation and international standards. The outdated
standards used frequently do not take into account the specifics of conditions of
water resources and water use in the Kyrgyz Republic, the occurrence of new
technologies and monitoring facilities, or new approaches to the Regulation of water
quality developed by, for example, the countries of the European Union.
Currently, there are no linking documents between the United Nations Framework
Classification for Fossil Energy and Mineral Reserves and Resources and the
National Classifications for Energy and Mineral Reserves and Resources, so this
paper uses the comparison schemes developed during the study.
Due to the lack of a unified classification for energy and mineral resources, for a
more detailed comparison of the various classifications listed above, used in the
territory of the Kyrgyz Republic with the UNFC, two objects were selected for the
case study: one coal deposit (No. 1) and a groundwater deposit (No. 2).
There is currently no classification of reserves and inferred resources by renewable
energy sources in the territory of the Kyrgyz Republic; therefore, no comparison was
made for this type of deposits. In order to maintain confidentiality, the names of the
objects were not disclosed.
Table 1
Reserves
Reserves characteristics
category
Category A includes explored mineral reserves with precisely defined
boundaries of mineral bodies, their shapes and structures. Highlighted
А
in the areas of detailing explored and developed deposits of the 1st
group of geological complexity
Category B includes previously explored mineral reserves with
roughly defined contours of mineral bodies, without an accurate
representation of the spatial position of natural types of mineral raw
В
materials. Category B reserves are allocated in the areas of detailed
exploration and development of deposits of the 1st and 2nd groups of
geological complexity.
Category C1 includes reserves of explored deposits of the complex
geological structure, as well as poorly explored reserves of minerals in
new areas, taking into account extrapolation. Category C1 reserves
С1
constitute the bulk of the reserves of explored and developed fields of
the 1st, 2nd and 3rd groups of geological complexity, and can also be
allocated in the areas of detailed fields of the 4th complexity group.
Prospective reserves are classified as C2. Reserves of category C2 are
allocated during exploration of deposits of all groups of complexity,
С2 and in deposits of the 4th group of the complexity of geological
structure, they constitute the bulk of the reserves involved in
development.
Inferred resources of category P1 take into account the possibility of
expanding the boundaries of the distribution of minerals beyond the
Р1
contours of C2 reserves or identifying new ore bodies of minerals at ore
occurrences, explored and explored deposits.
Inferred resources of the P2 category take into account the possibility
of discovering new deposits of minerals in the basin, ore region, node,
field, the presumptive presence of which is based on a positive
Р2
assessment of the occurrences of minerals, as well as geophysical and
geological and geochemical anomalies, the nature and potential
prospects of which are established by single workings.
Predicted resources of category P3 take into account only the potential
for the discovery of deposits of one or another type of mineral on the
basis of favourable geological and paleogeographic prerequisites
Р3 identified in the estimated area during medium-small-scale geological-
geophysical and geological survey works, interpretation of space
images, as well as analysis of results geophysical and geochemical
research.
16
According to their economic importance, the reserves of solid minerals and the
mineral components contained in them, subject to state accounting, are divided into
two main groups:
- balance (economic);
- off-balance (potentially economic), which are subject to separate calculation and
accounting.
Balance (economic) reserves include reserves, the development of which at the time
of assessment, according to technical and economic calculations, is economically
efficient in a competitive market using equipment, technologies for the extraction
and processing of mineral raw materials that ensure compliance with the
requirements for the rational use of subsoil and environmental protection.
Off-balance (potentially economic) include:
1) reserves, the development of which at the time of assessment according to
technical and economic calculations is not economically effective (unprofitable) in
a competitive market due to low technical and economic indicators, but the
development of which becomes economically possible when prices for minerals
change, the emergence of optimal sales markets or new technologies;
2) reserves that meet the requirements for balance reserves, but the use of which at
the time of assessment is impossible due to their location within water protection
zones, settlements, structures, agricultural facilities, reserves, natural, historical and
cultural monuments.
Off-balance reserves are calculated and accounted for if technical and economic
calculations have established the possibility of their subsequent extraction or the
expediency of incidental extraction, storage and storage for future use.
Off-balance sheet reserves are calculated separately, depending on the grounds for
attribution to this group.
In addition to reserves and resources, the assessment of deposits takes into account
the complexity of the deposit. In total, according to the complexity of the geological
structure, four groups of deposits are distinguished:
1st group. Deposits with a simple geological structure, with large and very large,
less often average sizes of mineral bodies.
Group 2. Deposits (areas) of medium complexity of geological structure with large
and medium-sized bodies with disturbed bedding.
Group 3. Deposits (areas) of the high complexity of geological structure with
medium and small-sized bodies of minerals with the intensively disturbed
occurrence,
Group 4. Deposits (areas) with small, less often medium-sized bodies with extremely
disturbed bedding or characterized by a sharp variability of thickness and internal
structure.
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UNFC Classification
The United Nations Framework Classification for Resources (UNFC) is a resource
project-based and principles-based classification system for defining the
environmental-socio-economic viability and technical feasibility of projects to
develop resources. UNFC provides a consistent framework to describe the level of
confidence of the future quantities produced by the project.
UNFC has been designed to meet, to the extent possible, the needs of applications
pertaining to:
• policy formulation based on resource studies;
• resources management functions;
• corporate business processes;
• financial capital allocation.
UNFC is a principles-based system in which the products of a resource project are
classified on the basis of the three fundamental criteria of environmental-socio-
economic viability (E), technical feasibility (F), and degree of confidence in the
estimate (G), using a numerical coding system. Combinations of these criteria create
a three-dimensional system (Figure 3). Categories (e.g. E1, E2, E3) and, in some
cases, sub-categories (e.g. E1.1) are defined for each of the three criteria as set out
and defined in Annexes I and II.
The first set of Categories (the E axis) designates the degree of favorability of
environmental-socio-economic conditions in establishing the viability of the project,
including consideration of market prices and relevant legal, regulatory, social,
environmental and contractual conditions. The second set (the F axis) designates the
maturity of technology, studies and commitments necessary to implement the
project. These projects range from early conceptual studies through to a fully
developed project that is producing and reflect standard value chain management
principles. The third set of categories (the G axis) designates the degree of
confidence in the estimate of the quantities of products from the project.
The Categories and Sub-categories are the building blocks of the system, and are
combined in the form of "Classes". UNFC can be visualized in three dimensions, as
shown next Figure, or represented in a practical two-dimensional abbreviated
version as shown in Figure
18
Figure 3
Table 2.
Mapping of UNFC Classes and Subclasses with the Classification of Reserves
of Deposits and Inferred Resources of Solid Mineral Resources of the Kyrgyz
Republic
UNFC KR classification
Degree of
Class Subclass Completion and Reserves
E F G Profitability of Category
Development (E (G)
and F)
On Production 1 1.1 1, 2, 3 A, B, C1,C2
Approved for Balance reserves
1 1.2 1, 2, 3 A, B, C1,C2
Viable Projects Development ready for
development
Justified for
1 1.3 1, 2, 3 A, B, C1,C2
Development
Development Promising for
2 2.1 1, 2, 3 A, B, C1,C2
Potentially Viable Pending industrial
Projects Development On development balance
2 2.2 1, 2, 3 reserves A, B, C1,C2
Hold
Development
3.2 2.2 1, 2, 3 Estimated Reserves Р1, Р2, Р3
Non-Viable Unclarified
Requiring Additional
Projects Development Not Exploration
3.3 2.3 1, 2, 3 Р1, Р2, Р3
Viable
Unprofitable for
Remaining products not developed from industrial A, B, C1,
3.3 4 1, 2, 3
identified projects development or C2
unrecoverable
Prospective Prospective
Projects [No sub- Projects [No sub- 3.2 3 4 Р1, Р2, Р3
classes defined] classes defined] Not defined for this
class
Remaining products not developed
3.3 4 4 Р1, Р2, Р3
from prospective projects
defined geological boundaries. Only for these objects, and then only to a large extent
theoretically, one can imagine a situation in which explored reserves may have a low
degree of their economic and technological exploration (codes 331 and 332). For
most of the deposits of solid minerals that do not have clearly defined geological
boundaries, the calculation of reserves is carried out, as is known, on the basis of
analytically calculated and constantly corrected in the process of geological
exploration, depending on the economic indicators of development, the boundary
values of the cut-off (minimum industrial) content. In other words, the economic and
technological assessment of the corresponding degree of detail usually accompanies
the corresponding stages of exploration, and it is almost impossible to separate them
from each other. Therefore, in practice, reserves corresponding to codes 331 and
332, as a rule, do not have an independent meaning and are allocated only
incidentally in areas (horizons) of detailed explored deposits located outside the
contour of the proposed development.
In addition, the UNFC's proposed codification principle for resource/resource
sharing, based on the priority of the Environmental and Socio-Economic Viability
of the Project (E axis) indicator, is somewhat vulnerable. Economic assessments are,
to a certain extent, subjective, which is due to the technical and technological level
of project preparation. On the other hand, the economic conditions for the
implementation of projects in different countries are often incomparable (physical
and geographical conditions, national taxation system, conditions for attracting
capital, etc.). In other words, stocks, the quantity and quality of which make it
possible to qualify them as economical in one country, maybe non-economic in
another, and vice versa. Therefore, it will hardly be possible to ensure at the
international level the correct comparability of equally qualified
"reserves/resources" in different countries. More objective is the criteria based, first
of all, on geological estimates obtained at the corresponding stages (stages) of
geological exploration. For example, a coal seam identified and delineated during
exploration remains a coal seam both in Kyrgyzstan and in any other country,
regardless of the nature and state of the economy. Its quantitative, qualitative and
energy characteristics are comparable on a transnational scale, which cannot be said
about the economic indicators of development.
As for groundwater, at the moment in Kyrgyzstan, there are no approved
Classifications of reserves of fresh, technical or thermal-mineral waters. The
classification of operational and predicted groundwater resources (adopted on
February 25, 1983) is used as a working one, according to which uniform ones were
established for ex-USSR principles of calculation and state accounting of
operational reserves of groundwater according to the degree of their knowledge and
national economic significance, conditions that determine the preparedness of
groundwater deposits for industrial development, as well as the basic principles of
assessing predicted groundwater resources.
If we talk about groundwater reserves, it is necessary to highlight the following
elements:
21
operational reserves;
natural reserves;
natural resources;
attracted resources.
Their relationship can be represented in the following diagram (Fig.4).
Natural reserves
Natural Operational
resources reserves
Attracted
resources
Figure 4
The operational reserves are understood as the amount of groundwater that can be
obtained at the field with the help of technically and economically rational water
intake structures at a given operating mode and at a water quality, that meets the
requirements of its intended use in the national economy during the estimated period
of water consumption.
The operational reserves of underground waters are calculated and accounted for
according to the results of exploration hydrogeological works carried out at the field
and according to the data on the exploitation of underground waters. Data on
reserves are used in the development of schemes for the development of sectors of
the national economy that extract and consume groundwater, in the preparation of
annual, five-year and long-term state plans for the economic and social development
of the ex-USSR, in planning geological exploration, and for deposits prepared for
industrial development, in the design of water intake facilities, and enterprises
producing and using groundwater.
Predicted groundwater resources, the presence of which is assumed on the basis of
general hydrogeological concepts, theoretical assumptions, the results of geological
and hydrogeological mapping, geophysical, hydrochemical, hydrological and water
balance studies, are estimated within the boundaries of artesian basins,
hydrogeological massifs and regions and reflect their potential operational
capabilities. The data on the predicted resources are used to plan prospecting works
22
for groundwater, and are also taken into account when drawing up schemes for the
integrated use and protection of waters.
The calculation and accounting of operational reserves and the assessment of
predicted groundwater resources are carried out separately for each type of water
(drinking, technical, medicinal mineral, heat and energy, including steam-water
mixtures, industrial) in accordance with their intended (possible) use in the national
economy or investment plan.
Assessment of the quality of drinking, technical and medicinal mineral waters is
carried out in accordance with the requirements of state and industry standards,
technical conditions and assignments of the organizations consuming them.
Mineral waters, classified in the prescribed manner as medicinal, are used primarily
for medicinal and resort purposes. In exceptional cases, the bodies regulating the use
and protection of waters may authorize the use of medicinal mineral waters for other
purposes in agreement with the relevant health and resort authorities.
Assessment of the quality of industrial and heat-and-power waters is carried out in
accordance with the conditions developed on the basis of the use of the most rational
and efficient methods of extraction and processing of these waters in compliance
with the requirements for their integrated use and for environmental protection.
Operational reserves of groundwater are calculated and accounted for, and predicted
resources are estimated in cubic meters per day, steam-water mixture - in tons per
day. In industrial waters, the amount of commercially important components (in
tons) that can be obtained at the field during the estimated period of its development
is also determined, excluding losses during water processing. For deposits of heat
and power water, in addition to operational reserves, the heat power capacity of the
field is estimated (in gigajoules, megawatts, tons of standard fuel).
According to the range of exploration, the exploitable groundwater reserves are
divided into explored - categories A, B and C1, and preliminary estimated - category
C2.
The predicted groundwater resources are categorized according to the range of their
validity - P.
Operational reserves of groundwater by their value are divided into two groups,
subject to separate calculation and accounting:
- balance, the use of which is currently economically feasible with the existing or
industrialized advanced technology and technology for the extraction, treatment or
processing of water in compliance with the requirements for the rational use of
subsoil and environmental protection;
- off-balance, the use of which is currently economically inexpedient or technically
and technologically impossible, but which under certain conditions can be further
transferred to the balance sheet.
The appropriate degree of exploration of deposits prepared for industrial
development is determined depending on the complexity of hydrogeological
23
conditions, as well as economic factors - the cost of funds and time required for the
production of exploration hydrogeological works. Taking this into account, deposits
or areas of large deposits (objects of independent industrial development) are
subdivided into the following groups.
Group I. Deposits (areas) with simple hydrogeological, hydrochemical and
geothermal conditions, with a calm occurrence of aquifers, are consistent in
thickness and structure and homogeneous infiltration properties of water-bearing
rocks, which determines the possibility of economically effective exploration at
deposits (areas) of this group of reserves of category A.
Group II. Deposits (areas) with difficult hydrogeological conditions due to
inconsistent thickness and structure of aquifers and heterogeneity of filtration
properties of water-bearing rocks, or with complex hydrochemical or geothermal
conditions. In the fields (areas) of this group, exploration of reserves of category A
in large quantities is impractical due to insufficient efficiency and high cost of
geological exploration. The reserves of the deposits (areas) of this group are
explored mainly in category B and, partially, in category A.
Group III. Deposits (areas) with very difficult hydrogeological conditions due to the
high variability of the thickness and structure of aquifers and filtration properties of
water-bearing rocks or limited (focal) distribution of aquifers, as well as deposits
(areas) with very difficult hydrochemical or geothermal conditions. The same group
includes deposits (areas) of drinking and industrial waters, the effective development
of which is possible with an artificial recharge of water intakes or the use of complex
systems of water intakes (horizontal and beam), which requires the construction of
exploration and experimental water intake during exploration. In the fields (areas)
of this group, the identification of category A reserves during detailed exploration is
impractical due to the high cost and low efficiency of exploration. The reserves of
the deposits (areas) of this group are estimated mainly by category B and, partially,
by category C1.
Previously calculated reserves in the open pit of the first stage of the coal deposit
as of 12.07.2015 and as of May 10, 2017, were taken into account by the State
Balance. In 2018, additional exploration of two sections of the field was carried
out: 9 wells with a total length of 2,431.6 m were drilled, and 460 core samples
were taken.
A topographic survey was carried out over the entire area of the deposit. A
topographic map of 1: 2000 scale was compiled, which became the basis for
compiling a geological map and constructing sections on a large scale.
Hydrogeological and mining conditions are favourable for the development of
the deposit.
At the moment, commercial exploitation of the field is underway based on
previously proven reserves in the first stage open pit.
The field has an industrial base and the corresponding infrastructure to build the
potential for further exploitation of the field.
Based on the study of the petrographic composition and the most characteristic
common features, reflecting the genetic characteristics and the main technological
characteristics, the coal of the deposit belongs to the SS grade (weakly sintered)
bituminous coal (according to the SIBNII Coal Processing Institute, Russia). Code
number according to State Standard (GOST) 25543-2013 - 0942400.
Associated minerals and components of industrial interest are not of interest but can
be used as rubble stone and pavement.
Based on the results of geological exploration, the coal reserves at the deposit were
calculated by categories C1 + C2 in the amount of 42,354.7 thousand tons, including
by categories: C1 - 30004.4 thousand tons and C2 - 12,350.3 thousand tons.
The stripping ratio was 5.1 m3/t. The deposit is prepared for industrial development.
In accordance with the Instruction on the Classification of Reserves of Deposits and
Inferred Resources of Solid Minerals (Coal and Oil Shale), a coal deposit can be
attributed to the 1st group: their section of matured and relatively matured
formations with simple mining and geological development conditions.
The density of the exploration network should provide an unambiguous assessment
of the degree of complexity of the geological structure of the field and a reliable
quantitative characteristic of the condition indicators.
25
Quaternary sediments
Paleogene sediments
Cretaceous sediments
Jurassic sediments
Paleozoic sediments
Coal
Coal
26
Block category C1
Block category C2
Table 3.
Approximate distances between wells in the plane of the reservoir in
tectonically homogeneous blocks, m
Distances between wells by category of reserves
A B C1
Endurance Between Between Between
morphology layers Between wells on Between wells on Between wells on
lines the lines lines the lines lines the lines
between between between
Aged 600 800 200 400 800-1200 400 600 до 2000 до 1000
Relatively aged 300-400 150-250 400 600 200 300 до 1000 до 500
Based on the results of laboratory tests of surface and core samples, it can be judged
that the properties of the coal seam are unchanged along the entire strike. As can be
seen from the table, the quality characteristics of the coals of the deposit almost do
not differ in strike and dip.
The C1 + C2 category balance reserves of the field amounted to 42354.7 thousand
tons,
The quality of the coals has been studied using core and furrow samples. According
to the results of laboratory studies and analyzes carried out, the coals are classified
as SS (weakly caking), coal.
Within the limits of the deposit, associated minerals and components of industrial
interest are not of interest, but overburden can be used as rubble stone and for road
surfaces. There are no toxic and harmful elements in coals.
Mining-geological, hydrogeological and mining-technical conditions of coal seam
mining are not complicated and will not cause complications in open-pit mining.
Overburden rocks, except for Quaternary ones, have good stability and high
strength, which makes it necessary to develop the deposit using drilling and blasting
operations and heavy equipment.
Thus, the deposit is prepared for the commercial development of coal by the open-
cut method. It is possible to organize opencast coal mining, with an annual
production capacity of 200-2000 thousand tons/year. The specific performance of
the future coal mine will be adopted by the technical development project, taking
into account the existing demand and supply in the domestic coal market.
In terms of quality, energy properties and ash content, the coals of the deposit are
among the best in the region. The geological structure of the site, the thickness and
simple structure of the coal seam make it possible to advance the present area into
the category of the most promising
2. Groundwater resource
There are three stages in the history of the study of groundwater in Kyrgyzstan,
reflecting the peculiarities of the development of the Republic:
1. The period until 1917, when the work was of a regional nature and was mainly
aimed at studying mineral springs and studying springs for land reclamation.
2. Period 1917-1951, the work was aimed at a comprehensive study of
hydrogeology. The works were both regional and more local. So great importance
in the study of groundwater was played by specialized work to find sources of water
supply, accompanied by large-scale hydrogeological surveys and the first drilling of
relatively deep (up to 100, less often 150 m) water wells. Such work was carried out
both in the valleys (for the water supply of settlements, industrial enterprises and
agricultural land - water supply and water supply), and in mountainous areas (for the
water supply of mining enterprises and workers' settlements).
29
As of January 1, 2020, on the territory of the Kyrgyz Republic, the total operational
reserves of hydromineral resources, approved by the State Commission for Reserves
and entered in the State Register, amount to about 43 thousand m3/day.
1. The road to Osh city has been fully rehabilitated, where investments of over 25
million soms (≈ 300K US$) have been made.
2. A road to the deposit was built, which facilitated the movement of local residents
and the resettlement of shepherds in the summer. Investments for the road amounted
to about 70 million soms (≈ 930K US$).
3. A preschool institution has been built with a cost of over 3 million soms (≈ 40K
US$).
4. 5 bridges were rehabilitated and 4 bridges were rebuilt on the highway Osh - the
field. The cost of these works was about 32.5 million soms (≈ 430K US$).
5. Every year the Company allocates coal free of charge under the program of social
support for vulnerable groups of the local population.
6. Sports and cultural events are organized annually for the development of youth in
the region.
The Company's plans also include the following tasks:
• Construction of schools, kindergartens and sports facilities to support the physical
and spiritual development of the local population.
• Expansion of the road Osh city - field.
• Increasing the volume of coal for social support.
2. Groundwater resource
The geographical position of the Republic in the arid region predetermines the need
for increased water consumption, especially in water supply to settlements and in
agriculture, both for irrigation and for watering livestock. For industry, water supply
is also not an unimportant factor, but due to the current economic situation, water
consumption by industry has greatly decreased.
On the one hand, the degree of water availability allows the region to focus on one
or another type of economic activity - agriculture, industry. A sufficient amount of
water allows you to save money on the supply/delivery of water for production
needs, which will further reduce the final cost of the manufactured product. This, in
turn, will have a less negative impact on the purchasing power of the population and
the competitiveness of products.
On the other hand, the poor availability of surface water makes it necessary to attract
underground sources for water supply, which requires additional costs for organizing
and operating wells, which ultimately leads to an increase in the cost of the products
obtained, but at the same time, the population of the region has a job, which reduces
social tension.
Several factors can be pointed out when considering the environmental aspect of
water use.
32
1. Surface water is almost completely taken apart for irrigation, which leads to a
decrease in groundwater recharge. Ineffective irrigation methods lead to land
degradation, salinization, flooding and washout of the fertile soil layer.
2. During the operation of water intakes, a decrease in groundwater levels is
observed, which, on the one hand, leads to the loss of a number of wells from
operation due to their complete drainage; on the other hand, it allows draining areas
with a high groundwater table, which leads to flooding of economically active areas
- industrial sites and agricultural land. Also, an increase in the level of underground
(ground) waters lead to the development of soil salinization processes, and as a
consequence, the development of desertification in the regions.
3. One of the serious problems is the pollution of groundwater as a result of human
activities within industrial areas and within urban and rural agglomerations.
These points lead to both a decrease in economic costs and an increase in them,
which affects the cost of production.
Also, an important aspect is the deterioration of the quality of groundwater due to
technogenic/anthropogenic human influence. In the course of pollution, not only the
deterioration of water quality is observed, but also a decrease in their quantity
(reserves) as a result of a decrease in the volume of quality water. This is especially
true for shallow freshwaters.
One of the problems with the use of groundwater is the depletion of its resources.
This is influenced by both anthropogenic human activities and the current situation
with climate change, which negatively affects the processes of replenishing
freshwater resources.
2. Groundwater resource
Groundwater deposit is located in the most economically developed region of the
Republic. The beginning of hydrogeological research was associated with the
growth of the economic development of the region and the gradual growth of the
population and an increase in the number of industrial enterprises that needed both
technological and household water. As a result of internal mass migration, new urban
and rural agglomerations have been formed, which also require water supply with
quality drinking water.
In the described area, work began before 1950 of the last century, and on the basis
of the data obtained, using the results of generalizing the results of drilling wells, the
first reserves estimate was made.
34
2. Groundwater resource
As noted above, a full range of geological and hydrogeological studies was carried
out at groundwater project, with a large volume of drilling, geophysical, chemical
and analytical work. Also, information was obtained on the filtration properties of
water-bearing rocks, and was carried out on isotopic studies of groundwater, a
natural (conceptual) hydrogeological model of the deposit was drawn up and a
geofiltration model of the deposit was compiled. A large volume of routine
observations and observations of the state of groundwater has been processed.
35
All these works formed the basis for the recalculation of the reserves of this deposit.
Based on the work carried out, reserves (resources) at the groundwater deposit were
estimated 2. The reserves were estimated at 0.8 million m3 / day, including category
A - 0.45 million m3 / day, B - 0.3 million m3 / day, C1 - 0.05 million m3 / day.
During the development of coal deposit, the main negative impact of the work is
predicated on the atmospheric air, but given the remoteness of the field from
settlements, this impact can be considered of low significance. The impact of the
development on land and water resources is predicted to be of low significance.
Thus, no sharply negative impact on the environment during the development of
coal deposit No.1 is expected; the development company will take all measures to
reduce the impact on the environment, as well as to prevent possible accidents.
Open-pit mining is cost-effective, which corresponds to category E1 in the UNFC.
F axis
The next, but the no less important criterion for evaluating a deposit according to the
United Nations Framework Classification is the criterion of the technical feasibility
of a deposit development project.
At the moment, the field is developing coal in an open pit of the 1st stage, sufficiently
detailed studies have been completed, which made it possible to draw up a
development project for the entire field, which shows the technical feasibility of coal
development. All parties associated with the project, including the government,
committed themselves to the development (the State Committee for Industry, Energy
and Subsoil Use of the Kyrgyz Republic) issued the Company a license for the right
to use subsoil for the purpose of developing a coal deposit), which corresponds to
the UNFC category F1.1.
G axis
The G-axis categories are intended to reflect the degree of confidence in the quantity
of product, that is, all significant uncertainties (for example, geological uncertainty,
uncertainty in the efficiency of the object, etc.) that affect the predictive estimate of
the project. The number of uncertainty factors in relation to coal deposit can be
attributed to the geological study of the coal seam.
The reserves at the field have been explored to categories C1 + C2, that is, along with
a fairly sparse network. Thus, the distances between the lines are 1000-2000 m, and
between the wells in the lines - 500-1000 m. The distances between mine workings
on the surface along the profiles were 150-450 m.
The standards for calculating the coal reserves of coal deposit No.1 were not
calculated and were taken by analogy with another deposit located in a similar
geological and geographical position, which is due to the similarity of the productive
strata section and the quality of the coal, established according to the technical
analysis of samples.
Taking into account the above, the reserves on the G axis according to the UNFC
can be classified as G2.
In general, the reserves of the coal deposit No.1 correspond to the UNFC category
1.1 1.1 2. Currently, these reserves are being mined in the open pit of the first stage,
and a project for the development of the field as a whole has been drawn up. Thus,
the status and validity of the project correspond to category F1.1.
37
Groundwater resource
Looking at groundwater deposit from the UNFC perspective, the following can be
said.
It should be borne in mind that groundwater can be exploited both for the purpose
of economic profit (bottling or as a technological process), and water supply to the
general population without making a profit. In the second case, a significant role in
financial costs falls on the state (exploration work, drilling, design, construction,
commissioning and maintenance of the distribution network), the population
actually pays only for the water itself.
In this review, we will consider the groundwater deposit as a source of water supply
for the general population.
E axis
- considering the social significance of the exploitation of the groundwater deposit
2 and the low profitability of the ongoing projects, the groundwater deposit can be
classified as E2, in some cases to E1.
F axis
- groundwater deposit two has been operated for a long time and projects for its
exploitation are constantly updated, which is associated with the constant population
growth in urban and rural agglomeration, on the basis of this, the deposit belongs to
the F1 category.
G axis
- as described above, a huge complex for geological and hydrogeological studies
was carried out at the field, the reliability of the data obtained can be characterized
as high. Therefore the field can be classified as category G1.
Based on the above, the coding of the groundwater deposit can be 211 (to a greater
extent) and 111 (in some cases), i.e. can be classified as potentially commercial and
commercial projects.
improving its health, one of the foundations of its well-being and creating conditions
for expanding the labour market and increasing life expectancy.
Kyrgyzstan has a competitive industry in priority sectors for the country that
promotes full and productive employment and decent work. The structure of the
industry is diversified and export-oriented, it relies on its own resources and
production base, is built into regional and global value chains, taking into account
participation in integration associations such as the EAEU, as well as the conjugation
of EAEU and One Belt - One Road projects. The modernization and expansion of
the capacities of existing industries were carried out.
The industry will develop in an integrated manner, effectively use its own mineral
and raw materials and production base, while great importance will be given to the
proportional location of enterprises throughout the country.
One of the main strategic directions of the social policy of the Kyrgyz Republic is
to provide the population and other consumers with piped water and sanitation
(sewerage).
It is necessary to achieve an increase in the efficiency of mining, the introduction of
modern mining technologies with a minimum impact on the environment. The
development of minerals should provide the formation of financial resources for
development. Subsoil revenues should be directed not only to solving current
problems, environmental development but also to strategic goals.
The priority will be the transition to the use of high-quality fuels, combined with the
expansion of the use of alternative energy sources. The development of industrial
zones in various regions will be encouraged.
In 2018, in the national development strategy of the Kyrgyz Republic for 2018-2040,
the issue of water supply was also highlighted in a separate work program for the
SDGs (3.2. Formation of a sustainable environment for development. Clean water).
Currently, a National Voluntary Review on Achieving the Sustainable Development
Goals is being prepared [11], which will consider SDGs: # 6: Ensuring the
availability and sustainable use of water resources and sanitation for all; # 12:
Ensuring the transition to sustainable consumption and production.
Since 2015, the energy strategy of the Kyrgyz Republic has been actively developed.
Overall, the strategy clearly addresses the SDGs – Goal # 7.
The Energy Strategy of the Kyrgyz Republic aims to ensure universal access to
affordable, reliable, sustainable and modern energy sources for industry and all
segments of the population.
For this, it is necessary to solve the following tasks:
• Ensure universal access to affordable, reliable and modern energy supplies.
Dozens of large and hundreds of small rivers and canals flow through the territory
of the Kyrgyz Republic, into which thousands of high-mountain streams flow. With
39
a huge hydropower potential, which amounts to 142 billion kWh per year of
electricity generation, only 10% of it is used.
At the same time, the hydropower potential of small rivers and watercourses is
estimated by the possibility of generating electricity up to 8 billion kWh per year.
For the conditions of Kyrgyzstan, the most promising areas of application of the
hydropower potential of small watercourses should be considered decentralized
facilities located in remote mountainous areas (farm, livestock complexes,
geological and mining enterprises, road maintenance services, hydrometeorological,
scientific and other observation stations, radio repeaters, tourist facilities
recreational complex, pumping stations, forestry and hunting facilities, etc.), as well
as residential buildings, social facilities, trade and consumer services, health
institutions (hospitals, rest homes, boarding houses, health resorts, hotels, saunas,
etc. ), located in areas with centralized power supply. At the same time, the use of
the energy of small streams should be considered not only from a purely ecological
aspect but also from the point of view of solving socio-economic problems.
Currently, 16 small hydroelectric power plants are in operation, and there is a real
interest of potential investors in the construction of new small hydroelectric power
plants.
• Significantly increase the share of energy from renewable sources in the energy
balance.
The use of hydropower from small streams - small rivers, streams and canals, related
to renewable energy sources, are becoming especially important in connection with
the problems of using fossil fuels, the tasks of saving them, as well as the global
problem of climate change in connection with the emission of greenhouse gases into
the atmosphere.
The operation of small hydroelectric power plants can have a significant impact on
the energy situation in the Republic: an increase in electricity generation, unloading
the power system in terms of capacity during peak load hours.
The greatest effect is to be expected in remote rural areas. This will significantly
reduce the dependence of remote and rural areas on fuel supplies.
Studies carried out in the Kyrgyz Republic have shown that the hydropower potential
of small rivers in all its regions in the near future makes it possible to build new
small HPPs with a total capacity with an average annual output of over 1.0 billion
kWh of electricity.
To obtain energy from environmentally friendly renewable energy sources, it is
necessary to use installations that convert the energy of these sources into any other
type of energy, which is primarily aimed at improving the power supply of relatively
small objects located in areas remote from centralized electric and heat networks, oil
and gas pipelines.
The potential resources of renewable energy sources in the Kyrgyz Republic are:
• small hydropower - 5-8 billion kWh / year,
40
currently one of the important points that must be taken into account in the
classification or grouping of deposits. Especially for the Kyrgyz Republic, this
aspect should be considered as one of the sub-items when classifying deposits.
The classification of reserves currently used in the Kyrgyz Republic is based on the
classification inherited from the times of the ex-USSR. At that time, social,
environmental and a number of similar features were not considered as important.
The main task was to provide processing plants and plants with the necessary raw
materials.
As stated above, the present world order requires paying special attention to social,
environmental consequences, as well as the introduction of safer and more
technologically advanced production systems.
Thus, the implementation of the UNFC system should be consistent. It is not yet
possible to completely abandon the current system of the National Classification for
Energy and Mineral Reserves and Resources and switch to the United Nations
Framework Classification for Fossil Energy and Mineral Reserves and Resources.
This will require an analysis of all geological and technical and economic materials
left over from the times of the USSR, and this is a very large amount of geological
materials.
On the other hand, for the Kyrgyz Republic, the use of the UNFC provides a number
of advantages, in particular, for attracting foreign investors who adopt UNFC
standards. The application of the UNFC will provide complete information about
the deposits and their valuation.
Currently, in the Kyrgyz Republic, a division of deposits is used according to the
prospects and quantitative reserves of deposits, according to national significance.
• Competitive objects are objects that have reliably estimated reserves (for example,
gold in an amount of at least 10 tons) and prepared for industrial development;
• Auction objects - objects with prospects for further industrial development or
geological exploration, in which preliminary estimated or reliable reserves have
been identified;
• Objects that are issued at the request of subsoil users by direct negotiations. These
objects must be free and not included in the list of competitive, auction objects and
on the territory of other subsoil users.
In general, the application of the UNFC system in the Kyrgyz Republic will give
positive dynamics in the development of the country's mining sector. But as
mentioned above, a full transition to the UNFC system at this time is impossible, the
harmonization of the national classification, as well as various NLA and legislation
of the Kyrgyz Republic is required. In addition, an analysis of the entire vast base of
44
geological and technical and economic materials left over from the times of the ex-
USSR will be required. However, the UNFC assessment of large energy and mineral
facilities of the country will allow attracting larger bona fide investments in the
development of the country's economy, assessing state assets at the international
level.
References1
Internet resources:
13.http://gkpen.kg/ - Site of the State Committee by Industry, Energy and Subsoil
Use of the Kyrgyz Republic.
14.http://www.stat.kg/ru/publications/ - Site of the National Statistical
Committee of the Kyrgyz Republic, publications.
1
When compiling this report, the author used a large amount of literature from geological funds, which,
for confidentiality purposes, are not referenced.
45