The Cabinet of Ministers of Ukraine has approved the conditions for holding a competition for the conclusion of a production sharing agreement at the ‘Dobra’ deposit, located in the Kirovohrad region. According to the government resolution, all products extracted within the framework of this project remain the property of the state until they are distributed between the state and the investor. The investor will be able to recover incurred costs through compensation products, but with established limitations.
This is reported by Business • Media
Investment Volumes and Competition Conditions
According to the approved conditions, the minimum investment volume for geological exploration of the ‘Dobra’ site is $12 million. If a decision is made to transition to industrial extraction, the investor must invest at least $167 million. The total investment amount under the agreement must not be less than $179 million.
Requirements for the investor include conducting geological exploration, initiating extraction, processing raw materials, implementing environmental projects, and contributing to the social development of the region. The agreement allows for geological study, extraction, and processing of the following minerals: lithium, niobium, tin, rubidium, tantalum, cesium, beryllium, tungsten, and gold.
Gold Extraction Potential in Ukraine
It is worth noting that industrial gold extraction in Ukraine is virtually non-existent. The estimated resources amount to about 3,000 tons. The main obstacles to launching extraction are insufficient geological exploration, the complexity of processing technologies, and significant investment costs.
Thus, Ukraine hopes to attract investors to develop the ‘Dobra’ deposit, which has significant potential for extracting strategically important minerals, contributing to the economic development of the region and the country as a whole.