RESOLUTION OF THE CABINET OF MINISTERS OF THE KYRGYZ REPUBLIC

of August 23, 2021 No. 148

About approval of the Procedure for provision of mineral rights according to the decision of the Cabinet of Ministers of the Kyrgyz Republic

For the purpose of implementation of article 25-1 of the Law of the Kyrgyz Republic "About subsoil", according to articles 10 and 17 of the constitutional Law of the Kyrgyz Republic "About the Government of the Kyrgyz Republic" the Cabinet of Ministers of the Kyrgyz Republic decides:

1. Approve the Procedure for provision of mineral rights according to the decision of the Cabinet of Ministers of the Kyrgyz Republic according to appendix.

2. This resolution becomes effective from the date of official publication.

Appendix

to the Resolution of the Cabinet of Ministers of the Kyrgyz Republic of August 23, 2021 No. 148

Procedure for provision of mineral rights according to the decision of the Cabinet of Ministers of the Kyrgyz Republic

1. This procedure for provision of mineral rights according to the decision of the Cabinet of Ministers of the Kyrgyz Republic (further - the Procedure) regulates questions of provision of mineral rights to the state companies and business entities in the sphere of subsurface use having at least two thirds of share of the state in the authorized capital.

2. The state companies and business entities in the sphere of subsurface use having at least two thirds of share of the state in the authorized capital can be provided:

- subsoil plots of nation-wide value;

- auction subsoil plots.

3. Provision of the subsoil plots specified in Item 2 presents of the Procedure is performed according to the decision of the Cabinet of Ministers of the Kyrgyz Republic. In this case carrying out tender and/or auction is not required.

4. The basis for initiation of question of provision of mineral right to the state companies and business entities in the sphere of subsurface use having at least two thirds of share of the state in the authorized capital is their address.

5. The address is drawn up in the form of the letter in the state or official language, on the official form signed by the head who shall contain the following data:

- name of the subsoil plot;

- subsoil plot arrangement;

- type of use of natural resources;

- angular points in rectangular system of coordinates of 2006 (Kyrg-06);

- subsoil plot size (area of hectare);

- work experience of the investor in the mining sphere at least 5 (five) years (in case of attracting investors on carrying out geological works or mining), with provision of information on the projects which are earlier realized or realized now in the sphere of subsurface use;

- solvency of the investor (in case of attracting investors on carrying out geological works or mining).

6. Without fail enclose to the letter:

- copy of the certificate on state registration (re-registration) of the legal entity;

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

- the copy of the receipt on replenishment of the settlement account of the state company or business entity in the sphere of the subsurface use having at least two thirds of share of the state in the authorized capital on the amount necessary for payment of bonus, payment of collection for deduction of the license for the first year of mineral right in full and on carrying out the corresponding works (in case of carrying out geological works or mining with attracting investors).

7. The address the state company or the business entity in the sphere of subsurface use having at least two thirds of share of the state in the authorized capital goes to authorized state body on realization of state policy in the field of subsurface use.

Consideration of the address is performed by the principle of "the first submitted application".

8. The basis for refusal in project initiation of the decision of the Cabinet of Ministers of the Kyrgyz Republic on provision of mineral right is:

- provision of the letter which is not corresponding to Item 5 of this Procedure;

- provision of the incomplete list of documents specified in Item 6 of this Procedure;

- availability of appreciable errors or not certified corrections (in impresses of a seal, dates and content) in the letter and the enclosed documents;

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

- lack of the declared subsoil plot in the register of subsoil plots of nation-wide value or in the register of auction objects;

- the authorized state body in the sphere of subsurface use has the right to refuse consideration of the request based on economic and ecological unprofitability of the declared subsoil plot.

9. On the bases specified in Item 8 of this Procedure, the authorized state body on realization of state policy in the field of subsurface use within 30 calendar days makes the decision on refusal and sends the letter with refusal in provision of mineral right with indication of the basis for refusal.

10. For the purpose of provision of mineral right to the state company or business entity in the sphere of subsurface use having at least two thirds of share of the state in the authorized capital, the authorized state body on realization of state policy in the field of subsurface use prepares the corresponding draft of the order of the Cabinet of Ministers of the Kyrgyz Republic.

11. The draft of the order of the Cabinet of Ministers of the Kyrgyz Republic about provision of mineral right the state company or the business entity in the sphere of subsurface use having at least two thirds of share of the state in the authorized capital is in accordance with the established procedure submitted for approval in the Cabinet of Ministers of the Kyrgyz Republic.

12. In case of decision making of the Kyrgyz Republic by the Cabinet of Ministers about provisions the state company or the business entity in the sphere of subsurface use having at least two thirds of share of the state in the authorized capital, mineral rights concerning the required site authorized state body on subsurface use within 14 working days provides the license for mineral right.

13. If the licensee after 3 (three) months from the date of receipt of the license and the license agreement did not develop the feasibility statement (FS) according to the license, that mineral right is subject to the termination. In case of development of the feasibility study the licensee shall provide one copy in authorized state body on realization of state policy in the field of subsurface use.

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