Fitch Affirms ‘BB’ Rating for Navoi Mining and Metallurgical Company with a Stable Outlook

Tashkent, Uzbekistan (UzDaily.com) — Fitch Ratings has affirmed the Long-Term Issuer Default Rating (IDR) of Navoi Mining and Metallurgical Company (NMGK) at ‘BB’ with a Stable Outlook, the agency announced on 13 October 2025.

The company’s senior unsecured notes were also affirmed at ‘BB’, with a Recovery Rating of ‘RR4’.

According to Fitch, the rating reflects NMGK’s scale as the world’s fourth-largest gold producer, with an output exceeding 3 million ounces in 2024, as well as its low production costs, long mine life, strong profitability, and minimal debt burden.

However, the rating is constrained by Uzbekistan’s sovereign rating, as the state is the sole shareholder of the company. The firm’s Standalone Credit Profile (SCP) is assessed at ‘bb+’.

Fitch highlighted several key factors supporting the rating, including close government ties through the Ministry of Economy and Finance, and NMGK’s strategic importance—the company accounts for over 80% of Uzbekistan’s gold output and is one of the country’s largest taxpayers.

The Muruntau deposit, the company’s largest mine, contributes around 70% of total production and provides sustainable reserves for 25 years. The company’s all-in sustaining cost (AISC) in 2024 stood at US$979 per ounce, ranking among the lowest globally.

NMGK is currently implementing a US$3 billion investment program aimed at boosting gold output by 30% by 2030. Fitch also noted the company’s strong financial position, low leverage, and improvements in corporate governance, including IFRS-compliant reporting and the introduction of independent board members.

The main constraint on the rating remains geographic concentration, as all operations are based in a single country with a relatively weak business environment. Nonetheless, Fitch underscored that NMGK outperforms both domestic and global peers in cost efficiency and margins.

Fitch analysts concluded that robust state support, high profitability, and operational scale make NMGK a strategically vital enterprise for Uzbekistan, underpinning the stability of its rating.