Business
Bayat Power in talks with Afghan officials for Phase 2 of gas to electricity project
Sahibzada said Bayat Power’s natural gas to electricity generation project will eventually produce up to 250 megawatts of electricity once Phase 3 is complete.
Bayat Power officials say they are hoping to start work soon on Phase 2 of Bayat Power-1 in northern Jawzjan province in order to increase electricity production output for Afghanistan.
Company officials said Tuesday they have started discussions with relevant government departments to start the project.
Mohammad Shoaib Sahibzada, the technical head of Bayat Power, said that once Phase 2 is complete, electricity production will increase from 40 to 100 megawatts.
Sahibzada said Bayat Power’s natural gas to electricity generation project will eventually produce up to 250 megawatts of electricity once Phase 3 is complete.
“Currently, it has a production of 40 megawatts, and in the second phase, it will produce 100 megawatts. Bayat Power is in contact with the relevant officials regarding the start of the second phase, the discussions are ongoing,” said Sahibzada.
Bayat Power has produced one billion kilowatt hours of electricity in under five years after starting commercial operations in late 2019.
Sahibzada said that over the past five years, the company has also worked on capacity building of its technical employees.
After 40 years, Bayat Power is the first private company to produce electricity from natural gas in the country and the multi-million dollar plant uses Siemens Energy’s SGT-A45 mobile gas turbine for its economic efficiency, flexible deployment, and power density.
Currently providing electricity to hundreds of thousands of end-users and generating more than 300 million kWh annually, the project was structured as an innovative public-private partnership between Bayat Power, Siemens Energy, and Afghanistan government entities such as the Ministry of Mines and Petroleum, the Ministry of Energy and Water, and the General Directorate of Afghan Gas Corporation Company, Da Afghanistan Breshna Sherkat (DABS), and international partners.
The Bayat Group is the largest private investor in Afghanistan and Bayat Power is currently the only gas-powered plant in the country. The Siemens Energy’s SGT-A45 mobile gas turbine used by the company is the only one in operation in the world.
The former head of DABS Amanullah Ghalib said this week that Bayat Power was a good example of Afghanistan being able to implement big projects.
“To achieve self-sufficiency, one of the most important resources for Afghanistan is natural gas. Afghanistan has a lot of natural gas resources in the north and northeast, from which it can become self-sufficient for electricity production and reduce its dependence on its neighbors,” said Ghalib.
“Bayat Power project is one of the very effective and good examples that Afghanistan can use its experience and implement bigger projects in the future,” Ghalib added.
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Business
New Afghanistan-China transport corridor launched via Turkmenistan
A new multimodal freight corridor linking China and Afghanistan via Turkmenistan has been officially launched, aiming to improve the speed and efficiency of overland cargo transportation across Central Asia.
According to the Turkmenistan Embassy in London, the country has become part of a newly established route designed to accelerate freight deliveries between China and Afghanistan.
The corridor, developed with the involvement of Uzbekistan Railways’ subsidiary Uztemiryulcontainer, covers approximately 7,400 kilometers and is expected to reduce transit time to around 30 days, improving overall logistics efficiency.
Under the new route, containers are transported by rail from China through the Altynkol station in Kazakhstan, continuing via Uzbekistan to a logistics hub in Bukhara. From there, cargo is transferred to road transport and moved across Turkmenistan before reaching Herat in Afghanistan.
Officials say the new system integrates rail and road networks into a unified logistics chain, making transport more predictable and efficient.
Business
Uzbekistan launches new cargo corridor linking China and Afghanistan
From Uzbekistan, shipments will be transferred onto trucks and transported across Turkmenistan en route to Herat in western Afghanistan.
Uzbekistan’s national railway operator has announced the launch of a new multimodal freight route designed to strengthen logistics links between China and Afghanistan via Central Asia.
According to Trend news agency the new corridor will see container used goods transported by rail from China through Kazakhstan’s Altynkol station into Uzbekistan. Cargo will then be handled at the Bukhara logistics centre, operated by Uztemiryulkonteyner, before continuing its journey by road.
From Uzbekistan, shipments will be transferred onto trucks and transported across Turkmenistan en route to Herat in western Afghanistan.
Previously, freight along this trade corridor was largely routed via sea from China to Iran’s Bandar Abbas port, before continuing overland into Afghanistan. The new overland alternative is expected to streamline logistics and improve reliability.
Covering approximately 7,400 kilometres, the route is projected to reduce transit times to around 30 days, offering a more efficient option for regional cargo movement between East Asia and South Asia.
Business
Afghanistan presses Chinese contractor over delays in Mes Aynak copper project
During the meeting, the MCCT president assured that pending operations would be implemented in line with contractual provisions.
Afghanistan’s Minister of Mines and Petroleum Hedayatullah Badri has raised concerns over delays in the Mes Aynak copper project during a meeting with Chinese officials and company representatives.
The talks brought together the Chinese ambassador, the head of MCCT, and the chairman of MJAM, the contractor responsible for the major mining project. Discussions focused on the lack of progress and the failure to implement key obligations outlined in the mining contract.
Officials reviewed outstanding commitments that had previously been formally communicated to the company, with Afghan authorities stressing that agreed mining activities have yet to be carried out.
During the meeting, the MCCT president assured that pending operations would be implemented in line with contractual provisions.
Badri emphasized that the contractor must fully comply with all terms and conditions of the agreement, as well as follow the ministry’s formal directives. He called for concrete and immediate steps to accelerate the project and ensure full implementation of planned activities.
Mes Aynak copper project
The Mes Aynak copper deposit, located about 40 kilometres southeast of Kabul, is one of the world’s largest untapped copper reserves, with an estimated 11 million tonnes of copper.
The project was awarded to a Chinese consortium led by state-run Metallurgical Corporation of China in 2007 and formally signed in 2008 under a 30-year lease. Valued at roughly $3–4 billion, it was the largest foreign investment in Afghanistan at the time.
The agreement included plans to develop the mine along with major infrastructure such as railways, roads, and power facilities, although several of these commitments were later delayed or renegotiated.
Despite its scale, the project has seen little progress over the past decade. Work slowed significantly around 2013–2014, with ongoing delays attributed to security concerns, lack of infrastructure, and disputes over contractual terms. The presence of a significant archaeological site at Mes Aynak — containing ancient Buddhist remains — has also complicated development, requiring extensive preservation efforts.
Afghan authorities have repeatedly raised concerns over the contractor’s failure to meet key obligations and timelines, while Chinese companies have cited security and logistical challenges as major obstacles.
Since the political changes in Afghanistan in 2021, the project has repeatedly come under focus, with officials pushing to revive stalled mining initiatives as part of broader economic recovery efforts. Chinese firms have signaled continued interest, but meaningful progress has yet to materialize.
The project remains strategically important, with the potential to generate significant revenue, create jobs, and support Afghanistan’s long-term economic development — if longstanding challenges can be resolved.
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