International Investors Group Issues Statement on Mining Operations in Kyrgyzstan

Concerns Raised by International Investors in Kyrgyz Mining

An international group of investors, involved in mining operations in Kyrgyzstan's Tulkubash and Kyzyltaš, has recently issued a significant statement that has caught the attention of the mining and investment communities alike. Their declaration stems from a growing unease regarding the actions of Chaarat Gold Holdings Limited, the company managing these assets.

On February 24, 2026, the investors formally acknowledged a crucial announcement: Chaarat's decision to sell its stake in mining assets related to Silvercorp Metals Inc. This sale was made through Chaarat's divestment of its interest in Chaarat ZAAV CJSC, and it has raised serious concerns among the international investing group. They view this divestment as a critical misstep that could jeopardize their investments and the future stability of the Tulkubash and Kyzyltaš operations.

The investors expressed that they are particularly worried about the management decisions that have led to this situation. According to their statement, the sale not only undermines their financial interests but also raises questions about the strategic direction and oversight of Chaarat regarding its mining operations. They fear that such actions could endanger the value of their stakes and the integrity of the mining activities in this economically significant region of Kyrgyzstan.

As part of their response, the investors have indicated that they are prepared to take all necessary steps to protect their position, though they have not detailed specific actions at this time. This suggests a potential for legal measures or negotiations aimed at addressing their concerns with Chaarat and ensuring that mining operations adhere to best practices and investor expectations.

For those involved or interested in the Tulkubash and Kyzyltaš mining ventures, the group has encouraged stakeholders to reach out to their legal advisor, Cleary Gottlieb Steen & Hamilton LLP, for additional information and guidance. The move highlights the increasing attention many investors are placing on corporate governance and calls for greater accountability in managing mining assets crucial to the region's economy.

The statement from this group signifies not just immediate concerns about Chaarat's management but also points to broader issues of transparency and stability in the Kyrgyz mining sector. Investors are keenly watching how Chaarat will navigate this situation and what implications it may have for future investments in Kyrgyzstan's natural resources.

As global markets become more interconnected, actions taken in one region can reverberate internationally. Therefore, this statement by the international investors may serve as a wake-up call for others involved in resource extraction industries, emphasizing the need for diligence, transparency, and responsible management practices that align with investor interests and environmental stewardship.

In summary, the recent developments concerning the Tulkubash and Kyzyltaš mining assets provide a realistic insight into the complexities of international investments in regions rich in natural resources, highlighting the delicate balance between business interests, legal obligations, and ethical governance practices.