In his concluding remarks the President said that the issues relating to the gold production infrastructure had to be addressed jointly by the government and businessmen.
Putin said the majority of gold mines were in remote hard-to-access places with poor transportation, energy and social infrastructures. ?This substantially reduces the commercial efficiency of gold mining projects,? Putin said, quoted by RIA Novosti.
The Russian President also proposed a set of measures, including tax changes, to increase the profitability of developing remote gold mines, as well as oil and gas fields, saying the state should take steps to boost geological surveying. ?It is necessary to work out a set of measures to encourage prospecting and surveying,? Putin said. ?I believe the state should play a significant role in this sphere.?
Finance Minister Alexei Kudrin said his ministry did not object to extending gold mining rights to individuals. ?Access [to gold production] for private individuals is not incorrect in principle,? Kudrin said.
Vladimir Putin said that private companies had to be involved in geological surveying, while mining companies had to concentrate on prospecting. Putin also said state gold mining regulations had to be more flexible and efficient. ?Another issue is to provide processing and refining companies with a full and balanced load."
The minister also said that investment in the industry totaled about $16 million in 2004 and about $52 million in 2005. The ministry plans to invest up to $73 million in 2006 and more than $1 billion until 2010.
