Author Archives: admin

Taliban hides near Turkmen border

OCT. 23 2015 (The Conway Bulletin) – US-funded Radio Free Europe/Radio Liberty reported that Taliban fighters were hiding from Afghan government forces on an island in the Amu Darya, a river that marks the Afghan- Turkmen border. Worried about the impact on foreign investment, Turkmenistan has denied that Taliban activity along its border with Afghanistan is a threat to its security.

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(News report from Issue No. 254, published on Oct. 30 2015)

Japan builds plant in Turkmenistan

OCT. 23 2015 (The Conway Bulletin) – Japan’s Sumitomo Corporation will build a 400 megawatt gas-fired power plant in north Turkmenistan, a plant that will both increase electricity production and also extend the reach of the Turkmen power grid. The deal, worth $300m, was signed during Japanese PM Shinzo Abe’s visit to Turkmenistan.

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(News report from Issue No. 254, published on Oct. 30 2015)

 

Kazakh paper manufacturer accuses former directors

OCT. 28 2015 (The Conway Bulletin) — Britain’s High Court decline an appeal by Maksat Arip and Baglan Zhunus, two former directors of Kazakh paper manufacturer Kagazy, against freezing their assets. Kagazy has accused Mr Arip and Mr Zhunus of misappropriating company funds in connection with Kagazy’s 2007 IPO in London and filed a $280m lawsuit. The trial will begin in April 2017.

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(News report from Issue No. 254, published on Oct. 30 2015)

Tajikistan gives weapons to Taliban

OCT. 26 2015 (The Conway Bulletin) – Tajikistan gave weapons to the Taliban in Afghanistan in exchange for freeing four Tajik soldiers, a senior Taliban leader interviewed by The Daily Beast said. The soldiers, captured in December 2014, were released in June. A Taliban leader allegedly travelled to Dushanbe for the deal. The Tajik government has not commented.

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(News report from Issue No. 254, published on Oct. 30 2015)

 

Uzbekistan integrates cotton

OCT. 29 2015 (The Conway Bulletin) – Uzbekistan established a new state company for processing and export- ing cotton, one of its most important commodities. The main mission of Uzpakhtasanoatexport is to integrate the cotton sector.

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(News report from Issue No. 254, published on Oct. 30 2015)

 

Austria’s Poerner to build Azerbaijan’s capital bitumen plant

OCT. 23 2015 (The Conway Bulletin) — Azerbaijan hired Austrian Poerner Group alongside Texas-based Fluor Corp. to build a bitumen plant, a deal poised to boost Azerbaijan’s output of petroleum products.

Azerbaijan’s state-owned energy company SOCAR contracted Poerner to design the 400,000 tonnes/year plant, which Fluor Corp will build over the next decade.

Earlier this year, Azerbaijan said it wanted to modernise its oil, gas and petrochemicals processing plants near Baku. In March, Reuters quoted the US embassy in Azerbaijan saying the new complex will cost around $16.5b.

Neither Poerner nor Fluor have disclosed the value of their contracts with SOCAR, but their contribution will be important to boost Azerbaijan’s bitumen, or asphalt, production. Bitumen is a product of oil refining and an important commodity for the entire South Caucasus region. Bitumen’s main use is in road-building. Azerbaijan, as well as Armenia and Georgia, has committed itself to improving and expanding the country’s road network.

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(News report from Issue No. 254, published on Oct. 30 2015)

Georgia Healthcare Group sets price range for London IPO

OCT. 25 2015, TBILISI (The Conway Bulletin) — Georgia Healthcare Group set a price range for shares at its IPO in London later this year of between 215p and 315p, an IPO that will give investors a rare chance to buy into the South Caucasus region.

This share price range gives Georgia Healthcare Group, the largest healthcare provider in Georgia, a value of between £257m – £347m ($400m – $535m).

Georgia Healthcare Group wants to raise $100m in the IPO to give two hospitals it owns in Tbilisi a makeover.

With economic conditions across the region slowing, various planned IPOs for companies from Central Asia and the South Caucasus have been cancelled or postponed.

Georgia Healthcare Group owns 42 hospitals in Georgia, giving it a 27% share of the hospital beds in the country. It used to be part of Bank of Georgia.

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(News report from Issue No. 254, published on Oct. 30 2015)

 

 

Azerbaijan gears up for parliamentary election

OCT. 30 2015 (The Conway Bulletin) – Azerbaijan is gearing up for a parliamentary election this Sunday, a vote tarnished by the withdrawal of Europe’s main democracy monitoring group and by accusations of a clampdown on human rights.

Relations between the West and Azerbaijan have been increasingly strained this year over Azerbaijani President Ilham Aliyev’s crackdown on the media and opposition activists. The West has accused him of holding human rights in scant regard; Mr Aliyev has responded by accusing the West of trying to plot a coup.

And in the build up to the election, the row continued to be played out in public.

Nils Muiznieks, the Council of Europe’s human rights commissioner, said civil rights in Azerbaijan were operating under a dark cloud.

“Human rights activists, journalists and national electoral observers have been muzzled using repressive legislation, jailed on trumped-up charges or forced to escape into exile,” he wrote in an opinion article for politico.eu. “Under these circumstances, it is impossible to hold any meaningful debate about the election or to ensure its accountability.”

ODHIR, the organisation that runs Europe’s main vote monitoring operation withdrew its team from Azerbaijan’s election because it said that the Azerbaijani authorities had only agreed to allow it to send half the monitors it needed.

European vote monitors have never judged an election in Azerbaijan to be free and fair and the 125- member parliament is generally viewed as a rubber-stamping operation for President Aliyev.

In 2010, Mr Aliyev’s Yeni Azerbaijan party won 72 seats. Independent MPs, who mainly supported Yeni Azerbaijan won 48 seats, giving Mr Aliyev a massive majority.

More of the same is expected on Sunday.

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(News report from Issue No. 254, published on Oct. 30 2015)

Industrial investment slows in Kazakhstan

OCT. 16 2015, ALMATY (The Conway Bulletin) — In an effort to cut spending, Kazakhstan appears to have reduced industrial investments by 23% in the first nine months of the year, the ranking.kz website reported, an indication of the worsening economic turmoil hitting the country.

In Jan.-Sept. 2015, the government invested 220.7b tenge ($797m) in fixed industrial assets, compared to 285b in the same period last year. The sharpest decline was to public utilities.

Last November, Kazakhstan’s President Nursultan Nazarbayev unveiled the Nurly Zhol (bright path), a $24b state programme designed to support industrial and infrastructure projects in the country.

The economic decline, triggered by the fall in oil prices and sanctions on Russia, has hit this ambitious target. Kazakhstan’s officials are beginning to talk more seriously about a prolonged economic decline.

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(News report from Issue No. 253, published on Oct. 23 2015)

 

Problems at Kazakhstan’s Kcell weigh down TeliaSonera profit

OCT. 20 2015 (The Conway Bulletin) — Swedish telecoms company Telia- Sonera said 2015 profit will be lower than expected due to price competition in Kazakhstan and that it is also struggling to sell its assets in Uzbekistan.

The profit warning will play badly for TeliaSonera which said last month that it wanted to sell its subsidiaries in Eurasia, of which Kcell and Ucell are the biggest.

In Jan.-Sept. 2015, Kcell’s profits fell 13% compared to the same period last year, a drop that Johan Dennelind, TeliaSonera’s CEO, blamed on competition and the government’s decision to let the tenge float free against the US dollar in August.

But Kazakhstan is not TeliaSon- era’s only problem in Central Asia. Marred by corruption allegations, TeliaSonera’s operations in

Uzbekistan have become a dead- weight, dragging the sale of the company’s assets.

“Selling Uzbekistan isn’t an easy task,” Mr Dennelind was quoted as saying in an interview with The Wall Street Journal.

US and Dutch prosecutors are investigating whether TeliaSonera paid bribes to secure mobile licences in Uzbekistan in 2007 and 2008.

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Copyright ©The Conway Bulletin — all rights reserved

(News report from Issue No. 253, published on Oct. 23 2015)