The celebration of the 60th anniversary of Volkovgeology JSC, the oldest subsidiary of National atomic company Kazatomprom, has taken place in Almaty. Volkovgeology JSC is one of the few enterprises on post-Soviet territory that has managed to keep its unique direction of activity and still continue to successfully carry out prospecting, exploration and development of uranium deposits. Today this unique enterprise plays a key role in making the country the world’s leading uranium producer.

President of Kazatomprom Mr. Moukhtar Dzhakishev, General Director of Volkovgeology JSC Mr. Sergey Sushko, representatives of the Ministry of Energy and Mineral Resources of the Republic of Kazakhstan , chief executives of subsidiary and joint enterprises of Kazatomprom, scientists, colleagues and partners from CIS and non-CIS countries took part in the celebration with a ceremony rewarding the best workers and veterans of the joint-stock company being one part of the day’s celebration.

HISTORY

The Volkovskaya surveying company was formed at the USSR Ministry of Geology on January 1, 1948. Its main aim was prospecting and exploration of uranium ore on the territory of Kazakhstan in order to meet the requirements of the defense complex in mineral and raw material resources. In 1979 it became a production enterprise and was renamed Volkovgeology. In 1992 it became a joint-stock company and a part of KATEP (The Kazakh State Corporation of nuclear energy and industry enterprises). Since 2003 it has been a part of National Atomic Company Kazatomprom.

1948-1953 – revisory works at known deposits of different minerals. Discovery, speed exploration and commission of Kurdayskiy deposit – the first commercial hydrothermal deposit in Kazakhstan .

1953-1957 – discovery by aero surveys of hydrothermal deposit occurrences in Northern Kazakhstan, discovery and exploration of Bota-burum deposit in the Southern Kazakhstan .

1957-1968 – discovery and assessment of the first ground and stratum-infiltration deposits in Iliyskaya, Shu-Sarysuiskaya and Syrdarinskaya caves in Southern Kazakhstan: the beginning for three exogenous uranium ore provinces.

1968-1986 – dramatic increase in prospecting and exploration drilling in depressive structures. The underground borehole leaching method was succesa sfully tried at Uvanas, allowing for developing deposits with low content of ore in difficult engineering-and-geological conditions.

During the Soviet period Volkovgeology showed record indices of production rate particularly in drilling: during more than 50-years it has drilled nearly 30 million running meters of wells. In one particular instant one of the drilling crew of the enterprise set an absolute record in drilling among all the geological organizations of USSR –nearly 40,000 running meters per month.

1987-1997 – after events in Chernobyl and as a result of disarmament policy and the closing of the nuclear energy development program there was a dramatic decrease in uranium production volumes and after the former Soviet republics became independent the crisis in the nuclear industry became more evident as the centralized system of public contracts was destroyed. During that depressive period geological works were not carried out and Volkovgeology specialists were forced to turn to non-core work.

In 1997 by a Decree of the President of the Republic of Kazakhstan dated July 14, 1997 KATEP was reorganized into the National Joint Stock Company Kazatomprom. With the new management team in 1998, and Mr. Moukhtar Dzhakishev as leader, the company started to tentatively overcome the crisis. Kazatomprom was, at that time, facing severe problems: 12 million USD wages arrears including Volkovgeology (workers did not receive salaries for almost half a year), uranium production was stopped in 3 of the four uranium-producing provinces, all property of the company was pledged, debts before the budget and extra-budget funds amounted to nearly USD 20 million, production volume decreased by three times in comparison with 1991, reserve volumes prepared for mining was minimum and did not supply the current production volume in future. The management team of the company managed to overcome problems by technological development, implementation of tender mechanism of procurement and project management system, non-variable expenditures reducing at the expense of production volume increase, strong marketing policy implementation. Owing to the measures taken the company stopped production decrease in 1999 with stabilization seen in 2000. New mines were discovered. Nuclear industry in Kazakhstan experienced its new birth in the new decade.

Volkovskaya surveying company has risen from small revisory groups to an advanced highly professional explorer that is able to deal with any task on predicting, prospecting, assessment and exploration of solid minerals deposits. This is the merit of several generations of geologists, geophysicists, hydrogeologists, engineers, drillers and other specialists.

PERSONNEL

Today there are close to 3 thousand employees in Volkovgeology. Thanks to personnel high qualification and professionalism the latest developments of world and national geology, state-of-the-art techniques of forecasting and deposit exploration are used at each stage of company’s operation. The directorate of the company managed in difficult conditions during the transition period to keep its main asset – highly professional personnel and in recent years with implementation of innovation technologies there is a tendency in the company towards staff juvenation. Young specialists are assigned with a key role in automation of production processes that require not only their comprehensive technical knowledge but, for example, proficiency in foreign languages. Today the birth of a new generation of geologists is being spoken of.

ACTIVITY

Over its 60-years history Volkovgeology has explored, in various regions of Kazakhstan, more than 40 uranium deposits and has established one of the largest world mineral resources base with total uranium reserves over 1,5 million tons. 19 major and unique uranium deposits of hydrogenic type suitable for development by cost-effective and ecologically safe method of in-situ leaching form the basis of this mineral resources base. Volkovgeology currently carries out its activity in the spheres of study of uranium-bearingness prospects, exploration of stratified-infiltration uranium deposits, drilling and construction of technological wells, drilling of operational exploration wells, construction and repair of mobile drilling rigs, manufacturing and major overhaul of mining and drilling equipment and motor transport, analytical works for determining of radioactive and associated elements in rocks and underground water.

Volkovgeology JCS is the main supervisor and performer of work for assessment of radioecology at the territory of Kazakhstan carried out under Ministry of the Environment. The radioecology research conducted during recent years have covered two thirds of the country’s area where 82% of population live.

PROSPECTS

Owing to its specificity Volkovgeology has a strategic role in implementation of Kazatomprom’s “15 thousand tons of uranium by 2010” program which will allow Kazakhstan to be the largest world uranium producer. Over the last three years the volume of drilling works has trebled and according to calculations, this year Volkovgeology will drill 1,700,000 meters in total. For further intensification of the production rate a new technological solution was required and has been foundt. Together with Japanese companies Marubeni and Koken the first world installation for integrated drilling of technological wells capable to construct a well for a day was developed. In the nearest future it is planned to commence pilot operation. It is worthy of note that up to 80% of metal structures will be manufactured by Volkovgeology itself allowing for reduction, sufficiently, of the cost of machine tooling. The efficiency improvement will allow the company to release resources and focus on exploration of new deposits in order to provide uninterrupted delivery of Kazakhstani uranium to the world markets.

With implementation of this technology Volkovgeology once again is giving proof of the formula of its longevity – respect for traditions alongside exposure to new trends. The company is meeting its 60-year anniversary as storage of invaluable experience constantly enriched with new knowledge and armed with progressive ideas.

VOLKOVGEOLOGY – is the company of geologic exploration profile, having wide experience in exploration and investigation of uranium deposits of all types. It is the oldest enterprise in Kazatomprom providing geologic support of all Kazatomprom activities - from exploration of uranium deposits up to their commissioning. It is independently constructs mobile drilling rigs and repairs mining & drilling equipment and motor transport. The company was directly involved in creation in the republic of a huge mineral resources base with total uranium reserves 1.5 mln. tons (19% of proven developed uranium resources in the world). It carries out continuous radio-ecological monitoring in Kazakhstan. The company employs 3 thousand people.

KAZATOMPROM is the national operator of Kazakhstan for export of uranium, its compounds, rare metals, nuclear fuel for power plants, special equipment, techniques and dual-purpose materials. 100% of shares belong to the Government represented by the Ministry of Energy and Mineral Resources of the Republic of Kazakhstan. Core activities of the Company are as following: geology exploration, production of uranium, nuclear fuel cycle products, construction of reactors and NPPs, non-ferrous metallurgy and production of construction materials, energy, scientific support of production, personnel training and social support. At present, more than 25 000 people work for the Company. Today Kazatomprom is among the world top uranium mining companies.