16 Aug 2022 10:52

Udokan copper deposit requires tax incentives because of changes in project's financial model

CHITA. Aug 16 (Interfax) - The project to develop Russia's largest copper deposit, Udokan, requires tax incentives because of changes in the parameters of the financial model amid the current conditions, Yerkozha Akylbek, chairman of the board of directors of Udokan Copper LLC, part of the USM holding, said during a presentation of resident companies of the Transbaikal advanced special economic zone (ASEZ) as part of Russian Prime Minister Mikhail Mishustin's visit to the region.

"Under the current conditions, the financial parameters of the project have changed, so we would like to ask you for tax incentives. The second issue is the second stage of power supply that the Energy Ministry is currently studying. We would like to implement the project according to the deadline," Akylbek said.

"We are looking forward to 2023, when the first stage of the enterprise will start operating, when you will launch production," Mishustin replied.

"We will naturally consider the possibilities of what to do in terms of a preferential regime for taxes and incentives; we will give the instruction to the Finance Ministry. We will of course also give the instruction to the Energy Ministry in terms of supplying the second stage with a reliable energy source," Mishustin said.

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