Friday, August 15, 2025

Mineral raw materials, the extraction of which is ensured under production sharing agreements

Mineral raw materials, the extraction of which is ensured under production sharing agreements, are not limited exclusively to unconventional hydrocarbons, which include shale gas, coalbed gas (methane), central basin gas, oil, condensate or other hydrocarbon raw materials occurring in unconventional reservoirs.
The subject of a production sharing agreement in the mining sector may also be solid deposits of minerals and their associated metallic, non-metallic, ore/non-metallic/fuel or hydromineral minerals:

1) vanadium ores (scandium ores, uranium ores).

2) lithium ores (tantalum, niobium, rubidium, cesium, beryllium, tin).

3) titanium ores (apatite, feldspar, scandium, fluorine, cement raw materials, building stone).

4) vanadium (apatite).

5) uranium ores (thorium, molybdenum, rare earth metals).

6) potassium salts.

7) magnesium salts.

The supply of minerals and useful components, like mineral raw materials and/or processed products from such mineral raw, on the global market has or may have a potentially significant gap from the forecasted demand, which is due to the duration of the implementation of new mining projects (industrial development of deposits).

The mineral resource base is a set of mineral deposits, including man-made ones, as well as waste from the extraction and processing of minerals suitable for industrial use.

The mineral resource base is formed by conducting a complex of geological survey, exploration and reconnaissance works.

According to industrial and economic significance, it is planned to divide types of minerals of national importance as a component of the mineral and raw material base into the following categories:

Category A - types of minerals that are intensively mined, characterized by significantly explored reserves, while the corresponding mineral raw materials and (or) products of its processing are used in industry or are (or may be) exported to ensure revenues to the state budget in a short time.

Category B - types of minerals that are mined in limited quantities

The cost of this category of mining provides a marginal economically advantageous level of profitability, but their development is complicated by environmental problems, the explored reserves of deposits are small or depleted, new deposits are not sufficiently studied, and at the same time, the need for such types of minerals is due to the development of industry.

The shortage of these types of minerals is covered by imports.

Currently, according to technical and economic calculations, such minerals under existing economic conditions are not competitive compared to imported ones and cannot be profitably processed at domestic enterprises using existing technologies.

Category C - types of minerals, their reserves (including significant ones) have been explored, but are mined in limited quantities or are not mind at all.

At the same time, the need for such minerals may increase due to the introduction of new enrichment technologies or preliminary processing of the relevant ores.

Category D - types of minerals whose deposits are currently not being developed and are not sufficiently studied, but in the future may become important for the national economy, considering the needs of other industries.


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