Legal Environment for Investments in Russian Mineral Resources

摘要

Mineral resources, fuel, energy and mining industries have great significance for the Russian Federation. Russia is one of the world's leading producers and exporters of mineral raw materials and they remain the main source of its national income. Nevertheless, current state policy on the exploitation of mineral resources, lack of investment and exhaustion of explored mineral deposits preclude the Russian fuel sector from development. Oil, gas and other industries require investments but investors are extremely cautious on account of existing conditions, in particular the absence of a long-term national policy for mineral resources. A short time ago, the author had the opportunity to become acquainted with some foreign data on Russian natural resources law and, inter alia, he perused an article by George Hardy, which seemed very interesting because it was written by a foreigner at the beginning of institutional and legislative changes in the Russian fuel sector highlighting certain analyses and forecasts. In order to analyse the changes during the last seven to eight year period, this comment will present an overview of the present situation using the same points as George Hardy: 1. political background; 2. federal/subject tensions; 3. legislative background; 4. mineral rights title; 5. taxation. An attempt is made to minimise the discussion of economic and political issues where possible and concentrate mainly on the legal problems of natural resources law which, unlike other authorities, the writer deems as a separate branch of Russian law.