Investment protection and promotion agreement concluded for Fedorova Tundra

The Ministry of Economic Development of the Russian Federation, Ministry of Arctic and Economic Development of the Murmansk Region and Fedorovo Resources have signed a trilateral agreement to protect and promote investment in the project to develop Fedorova Tundra, a platinum group metals deposit.

Investment protection and promotion agreements (IPPAs) are a new type of government support for major investment projects. They provide for reimbursement of costs to develop energy, transportation, utility, social and digital infrastructure in the amount of taxes paid.

The Fedorova Tundra project envisages the construction of a new mining and metallurgical facility in the Murmansk Region focusing on the production and concentration of copper-nickel ores containing platinum group metals. Investment in the project is expected to exceed RUB 60 bn. Fedorova Tundra is also projected to have a multiplicative impact of creating some 5,000 new jobs in the region, including 1,200 highly paid positions for skilled workers to be directly involved in the production process. The project should boost the Murmansk Region’s GRP by about 1,1% per year, while the overall value to be added by it in the period until 2045 is estimated at over RUB 460 bn.

Fedorovo Resources, the operator of Fedorova Tundra, is committed to ensuring full compliance with the Russian laws at every stage of the project and follows the world’s best practices and standards for sustainable management of natural resources and stakeholder engagement.