Rehabilitation of Mineral Resources

The Republic of Karelia has an extensive mineral resources base of minerals and significant opportunities for its development: ferrous, nonferrous and rare metals, gold and metals of the platinum group, nonmetallic minerals, fuel and energy.

Mineral resources base of the Republic of Karelia includes 777 reconnoitered deposits including 27 kinds of minerals with stocks, considered by balance, and over 400 perspective displays, 385 peat deposits. In the accounting period stocks of building stone in the volume 1337 million cubic meters for road metal production and 37,4 million cubic meters for extraction of blocks, 87,5 million cubic meters of stocks of sand and sand-gravel materials were recorded in the books. Approved forecasted resources of the basic kinds of minerals as of January 1, 2009 are: 290 tons of gold, 242.3 tons of metals of platinum group, 200 thousand tons of nickel, 100 c.u. of diamonds, 635 million tons of iron ores, 82 million tons of chromic ores, 5,7 million tons of titanic ores.

Of abovementioned minerals as of January 1, 2009 under development are: of metal minerals - Kostomuksha and Korpangsky deposits of iron ores; of nonmetallic minerals - Hetolambina deposit of feldspar raw material, Zazhoginsky and Maksovsky deposits of schungites, Havchozersky deposit of petrurgical raw material, Gabozero and Marcial Waters deposits of therapeutic mud and mineral waters, Kondoksky therapeutic radonic waters, 1 deposit of underground waters, 35 deposits of stone building materials (for production of road metal and blocks).

Basic directions of activity in the field of geological studying and reproduction of mineral resources base of the Republic of Karelia are stated in the Mineral Resources Base subprogram of the Ecology and Natural Resources of the Republic of Karelia the period from 2004 to 2010 republican target program.

In 2008 due to budgetary means of the Republic of Karelia the following works were performed: 3 deposits of facing stone, 18 deposits of building stone for roadmetal production, 7 deposits of sand and sand-gravel, and 1 deposit of clay have been revealed and assessed. In total within the subprogram it was spent 5,3 million roubles of republican means. Positive geological results were received in all spheres of researches.

Due to means of federal budget there proceeded geological studying of Lehtinsky, Shombozersky-Lehtinsky, Parandovsky areas with the purpose of exploration of precious metals, and of the North-Ladoga area - on diamonds. On creation of the state network of basic geological and geophysical structures there passed drilling of Onego ultra-deep appraisal well. Search of underground waters for reserve economic-drinking water supply of population of the city of Petrozavodsk was completed.

At the expense of funds of subsoil users there have been completed field works on supplementary exploration of Korpangsky deposit of iron ores. Presence of precious metals in overburden of Aganozersky deposit of chromic ores was studied. Prospecting works on the Lobash-1 deposit of gold and on Lukkuluisvarsky deposit of metals of platinum group come to the end. Geological studying on diamonds of the Northwest area proceeded.

As a whole the volume of financing of geological studying of bowels in 2008 from all sources has made 727,8 million roubles, or 137% to the level of 2007, the share of unappropriated investments has made 73%.

License granting for resource development proceeded. As of January 1, 2009 in force there were 584 licenses, including: 80 licenses - on non-commonly occurring mineral resources, 407 licenses - widespread mineral deposits and 93 licenses - on extraction of underground waters from single wells.

In the accounting period it has been issued 52 licenses for the right to use subsurface mineral resources, 36 of them for widespread mineral deposits.

As a result of the three auctions and four competitions for the right to use subsurface widespread mineral resources to the republican budget it has been transferred 30,2 million roubles of once-only payments. In total in 2008 budget of the republic received 44,6 million roubles of payments for subsurface use, that was 23,9 million roubles more than in 2007.

Government of the Republic of Karelia carries out geological control, one of which directions is monitoring fulfillment of subsoil use conditions. In 2008 by results of monitoring there has ben made 23 decisions early termination of subsoil use contracts, 55 users of subsurface resources were forwarded notices on possible early termination of subsoil use contracts.