Cove Kaz Capital Group and Skyline Builders Group have announced the signing of a transaction agreement to merge their businesses.
Cove Kaz is a geological exploration and mining company with operations in Kazakhstan.
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Once completed, the new entity, named Kaz Resources, will be listed on Nasdaq with the ticker ‘KAZR’.
The merger, which includes the acquisition of Kaz Critical Minerals and its 15 licences in Kazakhstan, has been approved by both companies’ boards.
The transaction is expected to finalise by late 2026 or early 2027, pending several conditions such as Skyline shareholder approval, regulatory clearances and an effective registration statement with the US Securities and Exchange Commission.
American Ventures is leading the investment.
Cove Kaz executive chairman Pini Althaus said: “Cove Kaz is positioned to become a global leader in the mining, extraction and processing of strategic minerals and metals aimed towards the US defence and industrial base, specifically tungsten.
“Our company has existing and pending mining business under development in Kazakhstan that together form a unique portfolio of advanced-exploration and late-stage critical minerals projects.
“This transaction demonstrates the continued financial growth of our business and will support our financial plan to develop and construct mining and processing projects throughout Kazakhstan.”
The combined company will supply tungsten, rare earths and other critical minerals to the US.
Meanwhile, Cove Kaz has completed the acquisition of a 70% stake in Severniy Katpar from Kazakhstan’s national mining company, Tau-Ken Samruk, which retains the remaining 30%.
Severniy Katpar holds licences for the Northern Katpar and Upper Kairakty projects in central Kazakhstan’s Karaganda mining district.
The projects have drawn letters of interest of up to $900m in project financing from the Export Import Bank of the US.
They have also secured up to $700m from the US International Development Finance Corporation, with total development costs estimated at around $1.1bn.
