ORDER OF THE GOVERNMENT OF THE RUSSIAN FEDERATION

of February 18, 2023 No. 264

About approval of Rules of acceptance of the subject of the Russian Federation by authorized state body of the decision on provision of mineral right on the subsoil plots located in the territories of the Donetsk People's Republic, the Luhansk People's Republic, the Zaporizhia region and Kherson region without holding auctions

According to part 5 of article 27 of the Federal constitutional Law "About Acceptance to the Russian Federation of the Donetsk People's Republic and Education as a part of the Russian Federation the New Subject — the Donetsk People's Republic", part 5 of article 27 of the Federal constitutional Law "About Acceptance to the Russian Federation of the Luhansk People's Republic and Education as a part of the Russian Federation the New Subject — the Luhansk People's Republic", part 5 of article 27 of the Federal constitutional Law "About Acceptance to the Russian Federation of the Zaporizhia Region and Education as a part of the Russian Federation the New Subject — the Zaporizhia Region", part 5 of article 27 of the Federal constitutional Law "About Acceptance to the Russian Federation of the Kherson Region and Education as a part of the Russian Federation the New Subject — the Kherson Region" Government of the Russian Federation decides:

Approve the enclosed Rules of acceptance of the subject of the Russian Federation by authorized state body of the decision on provision of mineral right on the subsoil plots located in the territories of the Donetsk People's Republic, the Luhansk People's Republic, the Zaporizhia region and Kherson region without holding auctions.

Approved by the Order of the Government of the Russian Federation of February 18, 2023 No. 264

Rules of acceptance of the subject of the Russian Federation by authorized state body of the decision on provision of mineral right on the subsoil plots located in the territories of the Donetsk People's Republic, the Luhansk People's Republic, the Zaporizhia region and Kherson region without holding auctions

1. These rules establish procedure for decision making about provision of mineral right on the subsoil plots located in the territories of the Donetsk People's Republic, the Luhansk People's Republic, the Zaporizhia region and Kherson region (further - subjects of the Russian Federation), without holding the auction (further - subsoil plots).

2. Provision of right to use by subsoil plots to the organizations included in stipulated in Item 3 these rules the list of the organizations to which subsoil plots are provided (further respectively - the list of the organizations, the organizations) is performed without holding auctions for the decision of authorized state bodies of subjects of the Russian Federation (further - authorized body).

Legal entities and individual entrepreneurs treat the organizations for the purpose of implementation of these rules.

3. Authorized body in coordination with the Ministry of Natural Resources and Environmental Protection of the Russian Federation the list of the organizations affirms.

The organizations according to the criteria approved by the supreme executive bodies of subjects of the Russian Federation can be included in the list of the organizations (concerning subsoil plots of local value), and also the organizations, the share (contribution) of the Russian Federation and (or) the subject of the Russian Federation in the authorized capital of which constitutes more than 50 percent and (or) concerning which the Russian Federation or the subject of the Russian Federation have the rights directly or indirectly to dispose of more than 50 percent of total quantity of the voices falling on voting shares (shares) constituting the authorized capital of such organizations (concerning the subsoil plots which are not relating to subsoil plots of local value).

4. The Ministry of Natural Resources and Environmental Protection of the Russian Federation within 2 working days from the date of submission of the list of the organizations by authorized body sends inquiry to Federal Antimonopoly Service - concerning availability or absence at the foreign person connected with foreign states which make concerning the Russian legal entities and physical persons unfriendly actions, and at persons who are under control of the specified foreign persons, irrespective of the place of their registration or the place of preferential conducting by them economic activity, control over the organization, as a result of which the specified controlling persons:

have the right to dispose directly or indirectly (including based on the property trust management agreement, agreement of particular partnership, agreement of the order or as a result of other transactions or on other bases) 25 and more percent of total quantity of the voices falling on voting shares (shares) constituting the authorized capital of controlled person (including if the specified right is temporarily transferred to the other person (other persons) based on the property trust management agreement, the agreement of pledge, the repurchase agreement, security payment, other agreement or the transaction);

have the right based on the agreement or on other basis to determine the decisions made by the organization including conditions of implementation of business activity by it;

have the right to appoint sole executive body and (or) 25 and more percent of structure of collegiate executive body and (or) have unconditional opportunity to elect 25 and more percent of structure of the board of directors (supervisory board) or other collegiate organ of management of the organization;

perform powers of managing company of the organization.

Federal Antimonopoly Service reviews the request provided by paragraph one of this Item and sends the answer to it to the Ministry of Natural Resources and Environmental Protection of the Russian Federation no later than 10 days from the date of its receipt.

In case of confirmation by Federal Antimonopoly Service of information specified in paragraphs one - the fifth this Item, the Ministry of Natural Resources and Environmental Protection of the Russian Federation within 2 working days from the date of submission of such information sends inquiry to the Ministry of Defence of the Russian Federation and Federal Security Service of the Russian Federation for availability or for lack of threat to defense of the country and safety of the state in case of decision making for provision of mineral right on subsoil plots without holding the auction.

The Ministry of Defence of the Russian Federation and Federal Security Service of the Russian Federation review the request provided by the paragraph the seventh this Item and send the answer to it to the Ministry of Natural Resources and Environmental Protection of the Russian Federation no later than 30 days from the date of its receipt.

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