Cove Kaz Secures 70% Stake in Kazakhstan’s Largest Tungsten Venture — Cove Kaz Capital Group LLC (Cove Capital LLC)

Event summary

Cove Kaz Capital Group has acquired a 70% stake in Severniy Katpar LLP, which holds licenses for the Northern Katpar and Upper Kairakty tungsten deposits in Kazakhstan.
The joint venture with Tau-Ken Samruk National Mining Company closed on April 29, 2026, marking a key milestone in project development.
Severniy Katpar LLP owns the largest undeveloped tungsten resource globally, with feasibility studies reporting 1.4 million tonnes of tungsten trioxide (WO3).
Cove Kaz plans to update feasibility studies over the next 18 months and commence production at approximately 12,000 metric tonnes per annum (mtpa), representing ~15% of global output.

The big picture

Cove Kaz’s acquisition positions it to become a major player in the global tungsten market, reducing China’s dominance. The deal underscores Kazakhstan’s role as a strategic supplier of critical minerals amid geopolitical tensions and supply chain diversification efforts. The project’s scale—potentially supplying 15% of global tungsten production—makes it a key watch for industrial and defense sectors.

What we're watching

Production Timelines: The pace at which Cove Kaz advances the Definitive Feasibility Study and secures regulatory approvals will determine project timelines.
Market Dynamics: How global tungsten demand evolves, particularly for industrial and defense applications in the U.S. and allied markets, could impact project viability.
Execution Risk: Whether Cove Kaz’s leadership can replicate past success, such as at Vietnam’s Nui Phao mine, in developing these complex tungsten deposits.