31 Dec 2019 17:04

Rosshelf state corporation to be created for development of Arctic shelf, Far East - draft bill

MOSCOW. Dec 31 (Interfax) - A bill has been drafted on the creation of the Rosshelf corporation for development of the Russian continental shelf in the Arctic and Far East.

A draft bill "On the Rosshelf state corporation for development of the Russian continental shelf in the Arctic and Far East regions and on changes to certain laws of the Russian Federation," has been made available on the regulation.gov.ru website.

According to the draft bill, the state corporation will represent Russian interests in hydrocarbon production projects on the Russian continental shelf in offshore zones in the Arctic and Far East.

The document envisages the creation of a new system for issuing mineral resource rights on the shelf in the Arctic and the Far East, as well as a new system of one-off payments for mineral resource use in these territories.

The draft bill also provides for the participation of private investors in shelf projects, provided that they meet set requirements and on the condition that they enter into a consortium with Rosshelf.

"The system for issuing mineral resource rights being proposed in the draft bill creates obligations for the investor in terms of the search, appraisal, exploration and production of hydrocarbon resources in defined parameters," an explanatory note to the draft bill said.

Among other measures, the draft bill envisages amendments to the federal laws "On Mineral Resources," "On the Russian continental shelf," and "On Gas Supply in the Russian Federation."