Kazakhstan Moves to Give National Company Exclusive Uranium Mining Rights

The Majilis has approved in its first reading a package of amendments to the Subsoil Code that would grant the national uranium company — Kazatomprom — exclusive rights to uranium extraction and allow it to reserve territories for exploration, Orda.kz reports.

The bill also introduces new rules for the oil and gas industry. If a major deposit is discovered in an underexplored area, private operators will be required to transfer at least 50% of their rights to a national company, which will compensate part of the exploration expenses.

In addition, subsoil users will be barred from selling hydrocarbon exploration and production contracts within the first three years. National companies will face similar three-year restrictions on reserving territories or obtaining subsoil rights through direct negotiations.

Original Author: Artyom Volkov