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Gold mining enterprise

Preparing a set of documents to obtain subsidies to build infrastructure for a gold mining enterprise

Gold mining enterprise

Gold mining enterprise

Preparing a set of documents to obtain subsidies to build infrastructure for a gold mining enterprise

Tasks

The client was a mining company in Russia implementing a major investment project for gold mining in the Far Eastern Federal District

To profitably implement the investment project, it was necessary to attract subsidies from the federal budget of the Russian Federation amounting to 100% of the cost of construction of the necessary network infrastructure facilities

Solution

The GREEN team acted as a financial consultant on the investment project in accordance with the requirements of Decree of the Government of the Russian Federation dated June 16, 2014 No. 1055 and the requirements of methodological recommendations approved by Order of the Ministry for Development of Russian Far East dated December 16, 2015 No. 2

A set of documents was prepared and submitted to the client in accordance with the requirements of the legislation, namely:

  • ­conclusion confirming the validity of the calculations of the business plan and the financial and economic model
  • ­risk assessment of the investment project and its budget effectiveness

In order to agree on the prepared conclusion, the GREEN team took part in a meeting with the government sub-commission on the selection of investment projects planned for implementation in the territories of the Far East and the Baikal region

Results

  •  A positive conclusion was received on the compliance of the investment project with the requirements of the methodology for selecting investment projects planned for implementation in the Far East and the Baikal region, approved by Decree of the Government of the Russian Federation dated June 16, 2014 No. 1055.
  • A subsidy was received to finance the construction of the necessary network infrastructure facilities, amounting to more than 9 billion rubles
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