Kazakhstan develops new law on subsoil use

Kazakhstan is developing a new draft law 'On subsoil use', Kazakh Deputy Prime Minister and Minister of Industry and New Technologies, Asset Issekeshev said on November 7 in Astana, trend.az reports.

"Kazakhstan is developing a new draft law 'On subsoil use' aimed at the removal of bureaucratic barriers for future investors. The experiences of Canada, South America and Australia have been studied. We have developed a model on the basis of Australia's experience to attract investments in geological exploration," the Deputy Prime Minister said at a meeting of the international round table 'Perspectives and main direction of development in the geological and subsoil use areas of Kazakhstan'.

According to him, changes to the existing legislation on subsoil use are aimed at simplifying many procedures with the removal of bureaucratic barriers in the first place for private investment.

"At the same time, during the development of the draft law, we tried to meet the interests of the state and therefore try to keep a balance of interests," Issekeshev said.

According to the deputy prime minister, there are provisions in the current edition of the law 'On Subsoil and Subsoil Use' that do not meet the requirements of modern times.

"We intend to change the model of law. In particular in Australia itself, some 23,000 licenses were granted to exploration companies in the western part of the country and in Kazakhstan as is known, only 400 contracts were signed for exploration and most of them were with the large companies," he said.

It is necessary to overcome the situation, focusing on attracting small companies, Issekeshev said.

"The draft law 'On Subsoil and Subsoil Use' must be submitted to parliament before the end of this year," the Deputy Prime Minister said.