Putin Wants to Centralize Mineral Resource Management

In another step to further consolidate control over the country’s mineral resources, Russian Prime Minister Vladimir Putin has proposed the establishment of a central mineral reserves agency.

Putin called for the creation of a centralized working group that would remove red-tape in the mineral resources sector by forming a vertically integrated system of mineral resources management, Interfax reported.

Russia, under Putin’s presidency, has taken control of diamond miner Alrosa. The firm, one of the largest diamond miners in the world that holds a state sanctioned monopoly on the export of rough diamonds, was equally held by Russia and the Sakha republic (Yakutia), each holding a stake of about 32 percent with the rest in the hands of unions, workers organizations and banks.

In a series of successive moves directed by Putin, Russia increased its holding to 50 percent and one share.

Putin, who spoke at a meeting that addressed ways of improving the system for monitoring controlling state mineral reserves, said the production of resources remains a priority for his government. He further called for cooperating with mining companies on the development of new oil and gas provinces, as well as large hydrocarbon fields.