XGC CORP | Country Brief

Kazakhstan: Carbon Registry & Market Scope

CONFIDENTIAL: Internal Use Only

Status: Pre-Engagement Analysis

Executive Summary

Kazakhstan represents a mature yet transitioning carbon market. While the domestic ETS is established (managed by Zhasyl Damu), the international Voluntary Carbon Market (VCM) and Article 6 mechanisms are underutilized. XGC's opportunity lies in providing the sovereign digital backbone to bridge the domestic ETS with international finance, leveraging our Article 6-ready registry infrastructure.

Policy Authority

Ministry of Ecology & Natural Resources (MENR)

Responsible for ETS regulatory framework and climate policy.

Contact: Ms. Saule Sabiyeva

Acting Director, Dept. of Climate Policy

s.sabieva@ecogeo.gov.kz

Registry Operator

JSC "Zhasyl Damu"

Implementing authority for the National ETS Registry and Reserve Management.

Market Venue:

Caspy Commodity Exchange JSC

(Operates secondary market auctions)

Market Reality: The ETS Context (Last 5 Years)

While VCM issuance has been negligible, the Domestic ETS is active. The chart below shows the National ETS Cap and Reserve volumes (Phase 4-5). This represents the existing "managed" carbon volume XGC can integrate with.

VCM Forecast (2026-2030)

Based on AIFC renewable projections, we forecast ~8M credits annually starting 2026. This chart visualizes the potential issuance volume against estimated market value at $6.34/ton.

Economic Impact: 5-Year Revenue Model

Total projected market value (2026-2030): $253.6 Million. XGC's model proposes a 10% Government Statutory Fee and a 5% Infrastructure Fee.

Developers (85%)

$215.56M

Direct investment return

Government (10%)

$25.36M

Sovereign revenue

XGC Tech Fee (5%)

$12.68M

SaaS & Ops Revenue

Strategic Project Pipeline

Prioritization of project types based on ETS alignment, MRV feasibility, and current registration status (Gold Standard/Verra).

*High Fit indicates strong alignment with XGC's MRV capabilities and ETS sectors.

Execution Strategy: Next 90 Days

Contact Validation

Confirm preferred communication channel with MENR (Dept. of Climate Policy vs. Zhasyl Damu). Validate Ms. Sabiyeva's direct line.

Data Deepening

Verify domestic offset issuances beyond allowances. Map specific "registered but not issued" projects (e.g., Shaulder PV, Badamsha Wind).

Positioning Pitch

Present XGC not just as a registry, but as the Article 6 & Sovereign MRV bridge. Focus on the $25M Gov revenue opportunity.