Russian initiatives

Exploration & Development

Publishing Date: 21 Jan 2010 5:25pm GMT
Author: Mining Journal

Russia's Minister of Natural Resources and Ecology, Yuri Trutnev, has confirmed that the government intends to liberalise land-use legislation. The government is also to boost state aid for mineral exploration and will establish (early this year) a state-owned company, called Rosgeologia. The latter will unite the efforts of the Russian geological companies.

Russia's deputy natural resources minister, Sergey Donskoy, said that the government is also preparing a ten-year strategy for offshore development. According to Mr Donskoy, "excessive impediments will have to be removed". This will include, he said, "the resolution of legislative and taxation issues".

Minister Trutnev accepted that current land-tenure laws in Russia were designed over two years ago, when foreign investors were "lining up" for projects in the country, and Russian mining companies were ready to develop new projects without foreign partners. According to Minister Trutnev, most of the project auctions last year were cancelled as the applicants were scarce.