Russian agency to auction Erginskoye, Sukhoi Log in 2017

MOSCOW, Nov 21 (PRIME) -- Documents for auctions of the Erginskoye oilfield and the Sukhoi Log gold deposit are ready, but although the Federal Mineral Resources Agency can announce the auctions the day after the government’s order, all the procedures are delayed until 2017, the agency’s head Yevgeny Kiselyov told reporters on Monday.

“We have prepared all the documents, and we are ready to announce the auction 24 hours after the government’s decision. But, in any case, the procedures are delayed for the next year,” he said, adding that the agency is waiting for the government to decide on the auctions and their conditions.

A source familiar with the matter told PRIME on November 9 that government will not be able to auction Erginskoye in 2016. The field’s recoverable reserves of oil amount to 18.842 million tonnes under the C1 category and to 83.877 million tonnes under the C2 category, while the field’s oil-in-place reserves reach 64.971 million tonnes under the C1 category and 307.195 million tonnes under the C2 category.

Natural Resources and Environment Minister Sergei Donskoi said on November 15 that the Sukhoi Log gold deposit is unlikely to be auctioned in 2016. The Sukhoi Log is one of the largest undeveloped fields with forecast gold reserves estimated at 1,953 tonnes and silver reserves at 1,541 tonnes. The field’s reserves account for 28% of Russia’s combined gold reserves.

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