MOSCOW, Jul 19 (PRIME) — Russias Natural Resources and Environment Ministry has prepared amendments to current legislation seeking to allow foreign companies the right to develop oil and gas at strategic fields discovered by them in Russia prior to exploration work being fully completed, according to the ministrys documents seen by PRIME Tuesday.
Under current legislation, development at strategic oil and gas fields can only be carried out once exploration work is fully completed. Moreover, the government can make the decision to not allow foreign investors to develop the field once this work is finished.
According to the amendments, the government could provide special licenses to foreign companies, which have either carried out their own geological exploration projects or those under a production sharing agreement, prior to exploration work being fully completed. The amendments would also include companies with the participation of foreign investors in their capitals.
Under the amendments, the government also could provide companies, which discover the field, with guarantees that they could finally receive the right to carry industrial development there.
Strategic fields include fields with oil reserves of at least 70 million tonnes and gas reserves of at least 50 billion cubic meters, as well as shelf fields.