Procedure for approval of amendments on free inwash is close to completion

24 May 2016

At the briefing for regional mass-media, the governor of Magadan Region, Vladimir Pecheny told about the stage of adoption of amendments to the Law "On Subsoil" allowing extraction of gold by individuals - free inwash. The head of the territory has recently returned from Moscow where he raised this issue in the Ministry of Natural Resources of the Russian Federation. Amendments to the Law "On Subsoil" providing authorization for mining of alluvial gold to individual entrepreneurs under certain conditions and in certain places - are currently at the final stage. The Ministry of Natural Resources of the Russian Federation is responsible. However, some individual structures have objections. But I hope that after we have received the opinion of the Ministry of Justice, which is the last resort, which confirms the project in compliance with the applicable federal law, it will be returned to the Government of the Russian Federation for order acceptance". - said the governor. The document on the legislative resolution for individuals to mine gold is developed in the framework of execution of the relevant order of the Russian Government. Earlier, Vladimir Pecheny has initiated the legalization of free inwash. According to the Ministry of the Natural Resources of the Russian Federation a prospector can at the request get without any tenders and auctions a license for gold mining and will be exempted from the tax on mineral extraction (MET). Simultaneously, the bill provides for a number of restrictions. Thus, the gold reserves of the field provided in the use shall not exceed 10 kg, the total area of subsoil from which the subsurface area can be taken for gold mining shall be no more than 15 ha. Specified areas are formed annually by the territorial agency of Rosnedra. It is forbidden to provide blasting operations at the site; the depth of the works performed should not exceed 5 meters. In addition, it is forbidden to use equipment and machines as well as attract contractors on a contractual basis.