Russian Finance Ministry proposes zero mineral tax on hard-to-recover Yamal gas and condensate for LNG production

MOSCOW. Nov 18 (Interfax) - The Russian Finance Ministry has proposed zeroing out the mineral extraction tax for gas and condensate recovered from Achimov and Jurassic pay zones in blocks located entirely or partially on the Yamal Peninsula and used exclusively for the production of liquefied natural gas, according to legislative amendments, seen by Interfax.

The tax would be reset to zero from 2028 until the cumulated volume reaches 130 billion cubic meters and 15 million tonnes of condensate in total for all subsoil areas, but no later than December 31, 2037.