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LAW OF UKRAINE

of December 1, 2022 No. 2805-IX

About modification of some legal acts of Ukraine concerning enhancement of the legislation in the field of use of natural resources

The Verkhovna Rada of Ukraine DECIDES:

I. Make changes to the following legal acts of Ukraine:

1. In the Code of Ukraine about subsoil (The sheet of the Verkhovna Rada of Ukraine, 1994, No. 36, the Art. 340):

Article 4 after part one to add 1) with new part of the following content:

"For the purpose of direct realization of the property right of the Ukrainian people to subsoil and for ensuring economic and social interests of citizens of rather transparent use and equitable distribution of the income from use of natural resources citizens of Ukraine have the right according to the law part of the income of the government budget from rent payment for use of natural resources for mining".

In this regard the second to consider part part three;

To exclude 2) in part seven of Article 5 of the word "together with the central executive body realizing state policy in the field of labor protection";

To add 3) with Article 5-1 of the following content:

"Article 5-1. Single state electronic geographic information system of use of natural resources

The central executive body realizing state policy in the field of geological studying and rational use of subsoil creates and provides functioning of single state electronic geographic information system of use of natural resources and its components. The procedure for functioning and information access of single state electronic geographic information system of use by subsoil is established by the Cabinet of Ministers of Ukraine.

Open and non-paid access to single state electronic geographic information system of use of subsoil and its components is performed through the State geological web portal.

The single state electronic geographic information system of use of natural resources includes the following components:

The state fund of subsoil of Ukraine, including the State fund of mineral deposits and reserve of this fund created on the basis of the State inventory of fields and shows of minerals and the State stock balance of minerals taking into account the data received from the State land cadastre;

state register of special permissions to use of natural resources;

state register of oil and gas wells;

state register of artesian wells;

state water inventory (Section "Underground Waters");

state geological web portal;

electronic office of single state electronic geographic information system of use of natural resources and electronic office of the subsoil user;

forms of the reporting under stock accounting of the minerals given by subsoil users;

data on statements on obtaining, prolongation of effective period, modification of the special permissions to use of natural resources provided to the central executive body realizing state policy in the field of geological studying and rational use of subsoil or to Council of Ministers of the Autonomous Republic of Crimea (on minerals) local value in the territory of the Autonomous Republic of Crimea);

the catalog of data on geological information including data on primary (raw) and secondary (processed) geological information;

protocols of State commission of Ukraine on inventories of minerals on conducting state examination and assessment of inventories of minerals;

information on state registration of exploration works;

information on the subsoil plots offered for receipt of special permissions to use of natural resources by holding the auction (the electronic biddings);

information on subsoil plots on which competitions on the conclusion of production sharing agreements are announced;

information on exogenous geological processes (landslides, karsts, villages, flooding, abrasion of coast);

information on restrictions in use of the parcels of land for the purposes of subsurface use;

the other information provided by this Code and other normative legal acts.

The administrator of the State register of special permissions to use of natural resources, the State register of oil and gas wells, the State register of artesian wells, technical administrator of components of single state electronic geographic information system of use of natural resources is the company and/or the companies determined by the central executive body realizing state policy in the field of geological studying and rational use of subsoil which belong to the sphere of its management or concerning which it performs powers on management of corporate laws of the state (including its affiliated enterprises).

The central executive body realizing state policy in the field of geological studying and rational use of subsoil is holder of the State register of special permissions to use of natural resources, the State register of oil and gas wells, the State register of artesian wells which procedures for maintaining affirm the Minister's Office.

The software created for functioning of single state electronic geographic information system of use of natural resources and its components is object of the right of state-owned property.

The single state electronic geographic information system of use of natural resources and its components include geospatial data, metadata and services, promulgation, access to which is provided on the Internet according to the Law of Ukraine "About national infrastructure of geospatial data".

Financing of creation and functioning of single state electronic geographic information system of use of natural resources and its components is performed at the expense of means of the government budget, means of the international technical assistance, and also other sources which are not prohibited by the law";

Item 1 of Article 9-1 to exclude 4);

Item 1 of Article 10 to exclude 5);

Article 13 to add 6) with parts three - the seventh the following content:

"Cannot be subsoil users:

1) the legal entities registered in the state recognized by the Verkhovna Rada of Ukraine the state aggressor;

2) legal entities, in which:

essential participation has the state recognized by the Verkhovna Rada of Ukraine the state aggressor;

the legal entities registered in the state recognized by the Verkhovna Rada of Ukraine the state aggressor have essential participation;

essential participation physical persons - citizens and (or) residents of the state recognized by the Verkhovna Rada of Ukraine the state aggressor have or are final beneficial owners.

Provisions of this Item are not applied to legal entities whose shares are admitted to trading on the foreign stock exchanges according to the list approved by the Cabinet of Ministers of Ukraine (except the legal entities who are residents of the state aggressor);

3) physical persons - citizens and (or) residents of the state recognized by the Verkhovna Rada of Ukraine the state aggressor.

Associations of the legal entities specified in part three of this Article can also be subsoil users on the terms of production sharing agreements.

The right to use subsoil, including the right to use subsoil on the terms of production sharing agreements, is also not provided, and the validity of special permissions to use is not extended by subsoil:

to the legal entity, the physical person - the entrepreneur, consolidation of legal entities, not being the legal entity to which special economic and other rationing measures (sanctions) according to the Law of Ukraine "About sanctions" in the form of cancellation or stop of action of special permissions to use of natural resources are applied (in case of action of such sanctions);

to the legal entity to whose final beneficial owners special economic and other rationing measures (sanctions) according to the Law of Ukraine "About sanctions" in the form of cancellation or stop of action of special permissions to use of natural resources taking into account provisions of this Article are applied (in case of action of such sanctions).

For the purposes of of this Code the terms "essential participation" and "final beneficial owner" are used in the value given in the Law of Ukraine "About prevention and counteraction of legalization (washing) of income gained in the criminal way, to financing of terrorism and financing of distribution of weapons of mass destruction".

In case of application of special economic and other rationing measures (sanctions) in the form of cancellation or suspension of action of special permissions to use of natural resources according to the Law of Ukraine "About sanctions" to the final beneficial owner of the legal entity who is the subsoil user, the central executive body realizing state policy in the field of geological studying and rational use of subsoil in compliance cancels or suspends special permission to use of natural resources of such user in 30 days from the date of application of such sanctions if in 30 days from the date of the edition of the presidential decree of Ukraine about application of the corresponding sanction person to whom it is applied remains the final beneficial owner of the legal entity who is the owner of the corresponding special permission to use of natural resources";

Articles 14, 15 and 16 to state 7) in the following edition:

"Article 14. Use types subsoil

Subsoil is provided in use for:

geological studying, including trial development, minerals with the subsequent mining (industrial development of fields);

mining;

construction and operation of the underground constructions which are not connected with mining including constructions for underground oil storage, gas and other substances and materials which list is established by the Cabinet of Ministers of Ukraine, burial of hazardous substances and production wastes, dumping of sewage, receipts of geothermal power (heat energy of subsoil), the operation of underground constructions connected with prevention of flooding of the surrounding environment as a result of closing of mines;

creation of the geological territories and objects having important scientific, cultural, sanitary and improving value (scientific testing grounds, geological reserves, wildlife areas, nature sanctuaries, medical, improving institutions) (except oil-and-gas subsoil);

performance of works (activities production), provided by the production sharing agreement.

Types of special permissions to use of oil-and-gas subsoil are determined by the Law of Ukraine "About oil and gas".

Provisions of this Code about special permissions to geological studying, including trial development of minerals with the subsequent mining (industrial development of fields) extend to special permissions to geological studying of oil-and-gas subsoil, including trial development of fields with further oil and gas extraction (industrial development of fields), and concerning special permissions to mining - to special permissions to oil and gas extraction (industrial development of fields) if other is not determined by this Code and the Law of Ukraine "About oil and gas".

Article 15. Use terms subsoil

Subsoil is provided in urgent paid use.

Special permission to use of natural resources is provided for the term determined by the applicant and constitutes:

from 3 to 20 years - on geological studying, including trial development of minerals with the subsequent mining (industrial development of fields), on mining, construction and operation of the underground constructions which are not connected with mining including constructions for underground oil storage, gas and other substances and materials, burials of hazardous substances and production wastes, dumping of sewage, receipts of geothermal power (heat energy of subsoil), the operation of underground constructions connected with prevention of flooding of the surrounding environment owing to closing of mines;

from 3 to 50 years - on creation of the geological territories and objects having important scientific, cultural, sanitary and improving value (scientific testing grounds, geological reserves, wildlife areas, nature sanctuaries, medical, improving institutions) (except oil-and-gas subsoil).

Use terms oil-and-gas subsoil are determined by the Law of Ukraine "About oil and gas".

According to the address of the subsoil user, the term of use of natural resources can be prolonged in cases and on the conditions determined by this Code.

Special permissions to use of natural resources which effective period expired during action of warlike situation and the terms of performance of works on the subsoil plot established by the relevant agreements on conditions of use of natural resources for action of warlike situation and within six months after its termination or cancellation are considered prolonged automatically without adoption of the relevant decision of the central executive body realizing state policy in the field of geological studying and rational use of subsoil, and concerning minerals of local value in the territory of the Autonomous Republic of Crimea - Council of Ministers of the Autonomous Republic of Crimea.

Other special permissions to use of natural resources operating on the date of introduction of warlike situation in Ukraine and the terms of performance of works on the subsoil plot established by the relevant agreements on conditions of use of natural resources for action of warlike situation and within three months after its termination or cancellation are considered prolonged automatically without adoption of the relevant decision of the central executive body realizing state policy in the field of geological studying and rational use of subsoil, and concerning minerals of local value in the territory of the Autonomous Republic of Crimea - Council of Ministers of the Autonomous Republic of Crimea.

In case of provision of subsoil in use on terms of agreement about the Section of products subsoil is provided in use on effective period of the relevant production sharing agreement. The procedure and features of use by subsoil according to the production sharing agreement are determined by the Law of Ukraine "About production sharing agreements".

The current of term of use begins subsoil from the date of, the entering of information on special permission to use of subsoil into the State register of special permissions to use of subsoil following behind day if in such special permission to use subsoil does not provide later term, and in case of agreement signature about the Section of products - from the date of, specified in such agreement";

Article 16. Special permission to use of natural resources

Special permission to use of natural resources is provided by results of auction (the electronic biddings), and in the presence of the bases determined by part one of Article 16-2 of this Code - without holding the auction (the electronic biddings).

Provisions of special permission to use of natural resources, prolongation of term of its action, modification in special permissions to use of natural resources and to the agreement on conditions of use of natural resources are performed by the relevant allowing organ: the federal executive body realizing state policy in the field of geological studying and rational use of subsoil concerning the subsoil plots containing minerals of local value in the territory of the Autonomous Republic of Crimea, Council of Ministers of the Autonomous Republic of Crimea.

Auction (the electronic biddings) selling special permission to use of natural resources by the electronic biddings performed by means of the two-level automated information and communication system which provides possibility of creation, placements, the publication and exchange of information and documents electronically, necessary for holding the auction (the electronic biddings), prevention of corruption offenses, and consists of the database of system of auctions (the electronic biddings) selling special permissions to use of natural resources and electronic platforms which interact via the interface of programming of appendices provided as code with open access and determining functionality of system. The procedure for holding the auction (the electronic biddings) selling special permission to use of natural resources is established by the Cabinet of Ministers of Ukraine.

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