The Cabinet of Ministers has approved the conditions for holding a competition for the conclusion of a production sharing agreement within the ‘Dobra’ deposit, located in the Kirovohrad region. This site is planned for the extraction and enrichment of strategically important minerals, including lithium, gold, and seven other metals.
This is reported by Finway
Competition Conditions and Investor Requirements
According to the published government resolution, all products extracted from the deposit until the moment of distribution between the state and the investor belong to the state. The investor will have the opportunity to receive compensation for incurred expenses in the form of compensatory products, but with defined limitations.
The minimum investment amount for geological exploration of the ‘Dobra’ site is set at 12 million USD. If the investor proceeds to the stage of industrial extraction, the investment volume must be at least 167 million USD. Thus, the total minimum investment level stipulated by the agreement is 179 million USD. The competition conditions include mandatory exploration, the launch of extraction, enrichment of raw materials, implementation of environmental projects, and support for social development in the region.
Strategic Minerals and Gold Extraction Prospects
The agreement plans geological studies, extraction, and enrichment of the following minerals: lithium, niobium, tin, rubidium, tantalum, cesium, beryllium, tungsten, and gold. It is noted that industrial gold extraction in Ukraine is currently almost non-existent, although the forecasted resources reach approximately 3,000 tons.
“The main obstacles to launching extraction are insufficient exploration of the subsoil, the complexity of enrichment technologies, and significant investment costs.”
The implementation of this project could be an important step towards attracting foreign investments and developing Ukraine’s mining industry.