ORDER OF THE GOVERNMENT OF THE KYRGYZ REPUBLIC

of November 29, 2018 No. 561

About questions of licensing of mineral right

For the purpose of reduction of regulatory legal acts in the field of subsurface use in compliance with the Law of the Kyrgyz Republic "About subsoil", enhancement of system of regulation of subsurface use, according to articles 10 and 17 of the constitutional Law of the Kyrgyz Republic "About the Government of the Kyrgyz Republic" the Government of the Kyrgyz Republic decides:

1. Approve:

- Regulations on procedure for licensing of subsurface use according to appendix 1;

- Regulations on procedure and conditions of carrying out tender on mineral right according to appendix 2;

- Regulations on procedure and conditions of holding the auction on mineral right according to appendix 3;

- Classification of fields and their manifestations by inventories of minerals according to appendix 4;

- form of information (information) about beneficiaries of subsoil users and/or applicants on receipt of mineral right according to appendix 5.

2. Recognize invalid:

- The order of the Government of the Kyrgyz Republic "About approval of regulatory legal acts in the field of subsurface use" of December 14, 2012 No. 834;

- The order of the Government of the Kyrgyz Republic "About the Special account of the State Agency for Geology and Mineral Resources under the Government of the Kyrgyz Republic on development of mineral resources of the Kyrgyz Republic" of January 12, 2013 No. 12;

- Item 3 of the Order of the Government of the Kyrgyz Republic "About situation in mining industry and perspectives of development" of June 13, 2013 No. 350;

- The order of the Government of the Kyrgyz Republic "About modification and amendments in the Order of the Government of the Kyrgyz Republic "About approval of regulatory legal acts in the field of subsurface use" of December 14, 2012 No. 834" of December 5, 2013 No. 659;

- The order of the Government of the Kyrgyz Republic "About modification and amendments in some decisions of the Government of the Kyrgyz Republic" of August 4, 2014 No. 436;

- The order of the Government of the Kyrgyz Republic "About modification of the Order of the Government of the Kyrgyz Republic "About approval of regulatory legal acts in the field of subsurface use" of December 14, 2012 No. 834" of April 23, 2015 No. 238;

- Item 3 of the Order of the Government of the Kyrgyz Republic "About approval of the Regulations on the special account of the State committee of the industry, power and subsurface use of the Kyrgyz Republic" of January 29, 2016 No. 40;

- The order of the Government of the Kyrgyz Republic "About modification of the Order of the Government of the Kyrgyz Republic "About approval of regulatory legal acts in the field of subsurface use" of December 14, 2012 No. 834" of October 2, 2017 No. 638;

- The order of the Government of the Kyrgyz Republic "About modification of the Order of the Government of the Kyrgyz Republic "About approval of regulatory legal acts in the field of subsurface use" of December 14, 2012 No. 834" of March 12, 2018 No. 127.

3. This Resolution becomes effective after fifteen days from the date of official publication.

Appendix 1

to the Order of the Government of the Kyrgyz Republic of November 29, 2018 No. 561

Regulations on procedure for licensing of subsurface use

1. General provisions

1. This Provision regulates questions of the organization of system of licensing, including licensing for mineral right, suspensions and the terminations of mineral rights, modification of licenses and license agreements, and also transformations and renewals of licenses.

2. The mineral right in cases when such use of natural resources is performed in beds or on coast of the boundary rivers and other reservoirs is not issued.

Paragraph two of ceased to be valid according to the Order of the Government of the Kyrgyz Republic of 07.08.2020 No. 414

3. All types of use of natural resources by all types of mineral raw materials, including fresh, mineral and thermal underground waters, except for are subject to licensing:

- works based on state registration;

- provisions of mineral rights according to the concession treaty;

- the cases established by part 4 of article 35 of the Law of the Kyrgyz Republic "About subsoil".

4. The license is provided by results of tender, auction, consideration of requests by the rule of "the first submitted application", and also according to the decision of the Cabinet of Ministers of the Kyrgyz Republic.

5. The procedure for carrying out tenders and auctions for provision of mineral rights, and also provisions of mineral rights is determined by the decision of the Cabinet of Ministers of the Kyrgyz Republic by the separate provisions approved by the Cabinet of Ministers of the Kyrgyz Republic.

6. Provision of mineral right by the rule of "the first submitted application" is made:

- on subsoil plots, except for the subsoil plots provided by carrying out tender or auction;

- on subsoil plots, the subsoil which is not connected with geological studying and development of mineral deposits.

7. The license for carrying out geological and search works grants exclusive right on carrying out geological and search works on the declared types of minerals within the licensed area.

The licensee after delivery of the final report about the carried-out geological and search works has exclusive right to transformation of the license for mineral right for carrying out geological and search works in the license for mineral right for conducting exploration works on object of subsurface use.

8. The license for conducting exploration works grants exclusive right on conducting exploration works on the declared types of minerals within the licensed area.

9. After stock accounting of minerals in the State stock balance of minerals of the Kyrgyz Republic, based on the protocol of the State Commission on Mineral Reserves of the Kyrgyz Republic the licensee has exclusive right to transformation of the license for mineral right for exploration works in the license for mineral right for mining of minerals.

10. The license for mineral right for the purpose of development of mineral deposits is granted on licensed objects which inventories are considered by the State Commission on Mineral Reserves of the Kyrgyz Republic, and also the former competent departments of the USSR (The State Commission on Mineral Reserves of the USSR, the Territorial commission on inventories of minerals of the Kyrgyz SSR and the Central commission on inventories of minerals of the Ministry of geology of the USSR).

Licensing of underground waters is performed on condition of their registration and statement for the State accounting of underground waters of the Kyrgyz Republic, the made state company "Kyrgyzgeologiya" under the Ministry of natural resources, ecology and technical supervision of the Kyrgyz Republic.

11. The license for the purpose of development of mineral deposits grants to the licensee exclusive right on:

- geological studying, subsoil within mountain branch, without restriction of depth for the declared types of minerals according to the engineering design with the corresponding positive expert opinions;

- development of minerals, including the right to carrying out all necessary preparatory work, within mountain branch.

12. The license for mineral right, not connected with geological studying of subsoil and development of minerals, grants to the licensee within mountain branch the right to carry out works according to the engineering design.

2. Provision of mineral right by the rule of "the first submitted application"

13. For receipt of mineral right by the rule of "the first submitted application" it is necessary to submit the application to authorized state body on subsurface use.

14. The application for receipt of mineral right by the rule of "the first submitted application" is submitted in the state or official language, on the special form in the form approved by authorized state body on subsurface use.

Are applied to the request:

- notarially certified copy of the certificate on state registration (re-registration) of the legal entity and (or) the individual entrepreneur;

- the copy of the decision (protocol) on appointment of the head of the legal entity certified by seal the applicant or other document (the contract, the agreement) on creation joint or sole executive body;

- the power of attorney on representation of interests of the applicant in case of application for receipt of the license by the representative;

- the paragraph of the sixth ceased to be valid according to the Resolution of the Cabinet of Ministers of the Kyrgyz Republic of 30.12.2022 No. 722

- the paragraph of the seventh ceased to be valid according to the Resolution of the Cabinet of Ministers of the Kyrgyz Republic of 30.12.2022 No. 722

- certificate of Tax Service of lack of tax debt of the applicant;

- information (information) about beneficiaries according to this Provision.

the paragraph the tenth ceased to be valid according to the Order of the Government of the Kyrgyz Republic of 07.08.2020 No. 414

- the consent of the owner of well - in case of finding of such well in private property;

- technology scheme of operation;

- the conclusion of authorized state body on health care;

- the conclusion of the state company "Kyrgyzgeologiya" under the Ministry of natural resources, ecology and technical supervision of the Kyrgyz Republic.

The application with appendix of necessary documents is submitted on paper to information together with photocopies on the electronic medium of information.

15. Requests are accepted according to the schedule approved by authorized state body on subsurface use and are fixed in the Information system "Subsoil" with assignment of sequence number, and also duplicated in the magazine of order taking with indication of date and time of their acceptance.

16. All correspondences with applicants and subsoil users are performed to the address specified in the request for receipt of the license for mineral right by the rule of "the first submitted application".

17. The authorized state body on subsurface use passes the decision on provision or on refusal in provision of mineral right by the rule of "the first submitted application" in the form of the order within 10 working days from the date of receipt of the request for obtaining mineral right by the rule of "the first submitted application".

18. Ceased to be valid according to the Order of the Government of the Kyrgyz Republic of 07.08.2020 No. 414

19. Based on the decision on provision of mineral right by the rule of "the first submitted application" the license and the license agreement are drawn up.

20. In case of refusal to the applicant in provision of mineral right by the rule of "the first submitted application" on the bases specified in Item 14 of this provision according to the procedure of priority the following request for the required site, except for refusal case to the requests which arrived within three months from the date of the termination of mineral right according to part 3 of article 25 of the Law of the Kyrgyz Republic "About subsoil" is considered.

To applicants to whom it is satisfied or it was refused provision of mineral right by the rule of "the first submitted application", within 10 working days the letter - the statement from the decision is sent.

21. The refusal in provision of mineral right by the rule of "the first submitted application" comes in case:

- provisions of the incomplete list of documents of the this provision specified in Item 14;

- availability of appreciable errors or not certified corrections (impresses of a seal, dates and content) in the reference, the request, soglasiya of authorized state bodies, the power of attorney, the decision on appointment of the head;

- the paragraph the fourth ceased to be valid according to the Resolution of the Cabinet of Ministers of the Kyrgyz Republic of 30.12.2022 No. 722

- if the applicant does not provide information (information) about beneficiaries according to the procedure, established by this Provision;

the paragraph of the sixth ceased to be valid according to the Order of the Government of the Kyrgyz Republic of 15.09.2020 No. 486

- if on the declared site the license for the same group of minerals, except for the subsoil plots relating to the 2nd group of minerals is already granted;

- if one-month effective period of the certificate of lack of tax debt by the time of consideration of the request expired;

- if the declared site is included into borders of competitive and auction subsoil plots.

2-1. Procedure for submission of information (information) about beneficiaries

21-1. The subsoil user and/or the applicant on receipt of mineral right provides in authorized state body on subsurface use information (information) about beneficiaries of the subsoil user and/or the applicant on receipt of mineral right (further - information (information) about beneficiaries), by filling of form of information (information) about beneficiaries (further - form) approved by this order of the Government of the Kyrgyz Republic.

In case, stipulated in Item 21-3 this provision, are applied to form the documents determined by the above-stated Item.

21-2. If the subsoil user and/or the applicant on receipt of mineral right or its shareholder or the participant are the public company (including higher direct or indirect shareholders or members of the subsoil user and/or the applicant on receipt of mineral right) which shares are traded on the operating regulated stock exchange in the Kyrgyz Republic or foreign state (further - the public company), information (information) about beneficiaries is provided except for to information (information) about shareholders of the public company.

21-3. If beneficiary (or one of beneficiaries) the subsoil user and/or the applicant on receipt of mineral right is the Kyrgyz Republic or foreign state, the comfort letter or other documents received from authorized state or other bodies of the Kyrgyz Republic or foreign state confirmatory is attached to form that beneficiary (or one of beneficiaries) the subsoil user and/or the applicant on receipt of mineral right is the Kyrgyz Republic or foreign state in which shall be specified:

- full name of the state which is the beneficiary (or one of beneficiaries);

- the size of share of the participations/shares belonging to the state;

- the name and legal address of the authorized body acting as the beneficiary on behalf of the state (public authority, local government body or other body).

The state beneficiary is understood as the Kyrgyz Republic or foreign state (including public authorities, local government bodies and other bodies of the Kyrgyz Republic or foreign state).

21-4. The subsoil user and/or the applicant on receipt of mineral right provides information (information) about the beneficiaries having the signs of the public official determined by the Law of the Kyrgyz Republic "About counteraction to financing of terrorist activities and to legalization (washing) of the criminal income" by filling of the Section 3 forms, the Kyrgyz Republic approved by this order of the Government.

21-5. The subsoil user and/or the applicant shall acquire mineral rights for obtaining the written consent of each beneficiary to collection, processing, record, systematization, accumulating, storage, updating, distribution (including, transfer to the third parties) its personal data, inclusion of their data in public arrays of personal data (including on the official Website of authorized state body on subsurface use), cross-border transfer of personal data, and also implementation of other actions with personal data of the beneficiary according to requirements of the legislation of the Kyrgyz Republic about information of personal nature, and also come in the procedure established by the law into force of international treaties which participant is the Kyrgyz Republic.

The subsoil user and/or the applicant on receipt of mineral right bears civil responsibility, stipulated by the legislation about information of personal nature, in case of non receipt of proper consent of the beneficiary, discrepancy of consent to requirements of the legislation on information of personal nature or failure to carry out of other requirements, stipulated by the legislation about information of personal nature, concerning personal data of the beneficiary.

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