Strategic Partnerships & Business Expansion
Last updated
Last updated
LumiVault has established exclusive strategic partnerships with SAG Group and KHURSHEDOV K Company, two leading players in the gold and rare earth metals mining and trade industry. These alliances ensure a steady and sustainable supply pipeline for tokenized assets, securing an annual import of 17 tons of gold, directly backing the LumiVault ecosystem. With Uzbekistan holding over 2,100 tons of gold reserves valued at approximately $5 trillion, the country serves as a critical hub for gold-backed digital assets. The Korea-Uzbekistan TIPF agreement further strengthens this supply chain, facilitating direct sourcing of rare earth metals crucial to the electric vehicle and semiconductor industries. By leveraging this partnership, LumiVault secures a competitive advantage over intermediaries, ensuring cost efficiency, supply stability, and regulatory compliance.
SAG Group is a diversified industrial conglomerate headquartered in Samarkand, Uzbekistan, specializing in carpet manufacturing, medical foundation operations, and mineral exports. Established in 2000, SAG Group is the largest carpet manufacturer in the CIS region, producing over 15 million square meters of carpets annually and exporting to more than 15 countries worldwide. The company has implemented advanced SAP systems since 2017 and is among the few enterprises utilizing AI in manufacturing processes, showcasing its commitment to technological innovation and operational efficiency.
KHURSHEDOV K Company, a key business partner, is actively involved in Uzbekistan’s rare minerals trade and industrial exports. As part of its strategic vision, KHURSHEDOV K is set to acquire 70% ownership of LumiVault’s Uzbek operations by November 2024, further solidifying its role as a leading supplier of rare metals. Through this partnership, LumiVault has secured exclusive access to Uzbekistan’s mineral exports, ensuring a stable flow of gold, tungsten, molybdenum, and other strategic metals essential for industrial applications. The government of Uzbekistan has actively modernized the mining sector, attracting foreign investment through the New Uzbekistan Strategy, with global consulting firms estimating the country’s mineral resources to be worth $5 trillion.
Uzbekistan is home to the 10th largest gold reserves in the world, with an annual production capacity of 100 tons, ranking 9th globally. The country’s rare earth metals, such as tungsten, uranium, and copper, are in high demand, especially among major semiconductor manufacturers like SK Hynix and Samsung Electronics, whose production depends on a stable supply of strategic minerals. However, existing supply chain inefficiencies, including volatile pricing and reliance on intermediary trade networks, have led to significant market instability. LumiVault’s direct sourcing model eliminates these inefficiencies, providing an opportunity for 15-20% cost savings compared to traditional procurement methods. By securing direct contracts with major Uzbek mining firms such as Almalyk Mining and Metallurgical Complex (AMMC) and Navoi Mining and Metallurgical Combine (NMMC), LumiVault guarantees supply chain security and price stability while fostering economic cooperation between Uzbekistan and key global markets.
The Trade Investment Promotion Framework (TIPF) agreement between Korea and Uzbekistan, signed in 2023, plays a crucial role in facilitating trade, investment, and supply chain integration. While a Free Trade Agreement (FTA) is not yet in place, TIPF enables strategic collaboration in energy, mining, and industrial resources, laying the groundwork for long-term bilateral trade relationships. Furthermore, Uzbekistan’s partnerships with Turkey and the Turkic-speaking countries (OTS) have resulted in simplified customs procedures, accelerating cross-border trade and economic development.
