RESOLUTION OF THE CABINET OF MINISTERS OF THE REPUBLIC OF UZBEKISTAN

of August 13, 2014 No. 228

About approval of the Regulations on procedure for use of operational standards for recalculation of inventories of minerals

According to article 37 of the Law of the Republic of Uzbekistan "About subsoil" and for the purpose of increase in efficiency of development of the Cabinet of Ministers mineral deposits decides:

1. Approve Regulations on procedure for use of operational standards for recalculation of inventories of minerals according to appendix.

2. To the ministries and departments to bring the regulatory legal acts adopted by them into accord with this resolution in a month.

3. To impose control of execution of this resolution on the deputy prime minister of the Republic of Uzbekistan G. I. Ibragimov.

Appendix

to the Resolution of the Cabinet of Ministers of August 13, 2014 No. 228

Regulations on procedure for use of operational standards for recalculation of inventories of minerals

I. General provisions

1. This Provision is developed according to article 37 of the Law of the Republic of Uzbekistan "About subsoil" and determines procedure for use of operational standards for recalculation of inventories of minerals.

2. In this Provision the following basic concepts are applied:

standards - set of the requirements proved by technical and economic calculations to calculation (recalculation) of inventories of minerals in the subsoil considering their technological properties, mining-and-geological and other conditions of field development, market conditions on mineral raw material and products of its conversion, the price of energy resources;

prospecting standards - the standards established for stock counting of mineral deposits by results of geological studying;

operational standards - the standards used for recalculation of inventories of minerals in use of fields or preparation them to development;

subcalculating parameters - extreme values of natural indicators for stock counting of minerals;

balance reserves - inventories of minerals which feasibility of development at the time of assessment is proved by technical and economic calculations;

ore body - ore accumulation (the mineral substance containing useful components) in the form of various forms;

onboard content of useful component in test - the content of useful component proved by technical and economic calculations (or the content of components given to content of conditional main component) in extreme test on crossing by development of body of mineral for its okonturivaniye on capacity;

minimum metroprotsent (metrogramm) - the minimum size received by multiplication of capacity of body of mineral (length of the tested interval) in meters on content of useful component within this capacity as a percentage (grams on ton);

the subcalculating block - the delineated mineral part of the body with rather close geological indicators (capacity, material structure, quality, etc.) on which mineral inventories are separately counted;

the operational block - the mineral part of the body developed or prepared for development;

subsoil users - the legal entities and physical persons performing activities according to the rights to use provided to them on specific subsurface areas.

3. Operational standards are not applied on hydrocarbons, ground waters (except industrial and thermal waters), and also on the nonmetallic raw materials entirely consisting of useful components which change of content will not influence their industrial value.

II. Bases for use of operational standards

4. Main objective of use of operational standards is providing profitable (or effective) activities of the subsoil user during considerable change of market conditions on mineral raw material and products of its conversion, the prices of energy resources.

5. Operational standards are applied to recalculation and operational stock accounting of separate parts of the developed field which geological structure and conditions of development significantly differ from the average values accepted on the field in general in case of reasons for the prospecting standards approved in accordance with the established procedure.

6. Operational standards are developed on the basis of the field development project containing the development plan for mining operations including schedules of annual amount of production and conversion of mineral, capital and operating costs, the technological scheme and indicators of conversion of mineral.

7. Operational standards are established for the limited term corresponding to the period of working off of the counted mineral inventories on the respective sites of the field.

8. Operational standards and inventories of minerals counted on them on the respective sites of the field affirm the State Commission on Mineral Reserves in case of under the State committee of the Republic of Uzbekistan on geology and mineral resources (further - State commission) in the presence of their feasibility statement (further - the feasibility study).

9. In case of use of operational standards inventories of minerals on all field are not subject to recalculation and reapproval.

III. Key parameters of operational standards

10. In case of creation of the feasibility study for operational standards for recalculation of inventories of minerals are proved, as well as in prospecting standards, the following subcalculating parameters:

a) for recalculation of inventories of fields of ore and nonmetallic minerals:

the minimum industrial content of useful component (or the content of components given to content of conditional main component) in the operational block providing equality of the taken value of mineral raw material and total costs on receipt of products;

onboard content of useful component (or the content of components given to content of conditional main component) in test;

conditions of okonturivaniye of bodies of minerals in geological borders;

minimum content of useful component (or the content of components given to content of conditional main component) on crossing of body of mineral regional development for its okonturivaniye on pro-deleting and fall;

coefficients for reduction in complex ores of contents of useful components to content of conditional main component, the minimum contents of components considered in case of such reduction;

the most admissible content of harmful impurity in the operational block on crossing, interval or test;

requirements to allocation in case of recalculation of inventories of the mineral types and grades of mineral which are subject to separate dredging, proceeding from the technological properties determining various methods of conversion or the field of use of mineral raw material;

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