Amur Minerals Corporation - Re: AMC Stream Log - Relevant instructions given by Prime...

Relevant instructions given by Prime Minister following the report of the Minister for Development of the Far East Alexander Galushki. According to First Deputy Minister Alexander Osipov, the first stage of the common block of the state program, which, incidentally, includes FTP and development of the Kuril Islands, will be excluded activities which obviously can not be provided government funding. Thus, project filling the state program will be given in accordance with the budget limits. "In most of the Far East FTP are now only major infrastructure - modernization of the Baikal-Amur Railway, Trans-Siberian Railway, the construction of the local airports. All this, of course, need to do, but it would be better if I move these projects to the appropriate transport development program. And in the Far Eastern Federal Program to make projects that are in the high stage of readiness and in a short time can bring financial returns. This also should include the creation of areas of advanced development and related agencies working with investors and the working staff, "- said the first deputy minister. Minvostokrazvitiya already prepared on behalf of the Russian Government offers new editions of FTP and shaped for her preliminary list of projects with implementation period of two to three years. In the "short" list, according to A.Osipova, 28 projects selected from the analysis of more than 340. "First, they are all in high availability: land purchased, subsoil obtained, investors are willing to investments. Secondly, these projects high multiplier effect, that is one ruble budget investments attracted a large amount of private investment. For example, on the development Apsatskoe coalfield one budget ruble accounts for about 6 rubles extra investment, and Taishet Anode Factory - 34 rubles. In this list, there are some major projects as complex of refineries and petrochemical plants in Primorye, Nakhodka mineral fertilizer plant, a mine on Udokan deposit copper mine on the Natalka, freezing systems and canned fish production on Shikotan, "- said A.Osipov. Calculations show that the implementation of the selected investment projects in the coming years will allow to attract further to the Far East for more than two trillion rubles in investment, create 36,000 new jobs, create additional income for 10 years in the amount of 630 billion rubles. "We believe that it is necessary to extend the program until 2025, and, accordingly, consider its additional financing to at least 100 billion rubles annually. Meanwhile, budget commitments of the Russian Federation on the program are only in the amount of 171 billion rubles for three years ", - said the first deputy minister. In addition, under the new powers Minvostokrazvitiya intends to substantially increase government funding of the Far East under other federal programs. On behalf of the Government they will be allocated special sections or sub-providing activities (and their financing) for rapid development of the Far East, with an indication of indicators and key performance indicators. "In many of the studied programs we found clear distortions. For example, in the program of development of public health, taking into account the criterion of per capita funding is allocated on a Far East means 24 times less in comparison with the western regions of the country; social support of citizens - less than about 10 times; providing affordable and comfortable housing and communal services of citizens - by 2.3 times. New powers of the Ministry in coordination of government programs allow us to rectify this situation. No program without special section devoted to the Far East, will not be agreed upon, "- said Deputy Minister for Development of the Far East Kirill Stepanov. Draft regulations on the matter, according to the deputy minister, will be prepared and submitted to the Government of the Russian Federation to the end of this month. "Giving Russia Minvostokrazvitiya new powers to harmonize state programs, introduction of Far Eastern block and changing priorities of the Far East FTP subordinated main goal - to achieve a real improvement in the social, economic and investment climate in the region by funding priority Far key projects", - said K.Stepanov .