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Putin scolds Tomtor rare earth deposit's operator over development delays

President Vladimir Putin implicated the operator of Tomtor, Russia's largest unusual earth deposit, of delaying the deposit's development, suggesting it should either raise investment or look for assistance from third parties, consisting of the state.

Tomtor, situated in the north of the Siberian region of Yakutia, is a key project in Russia's strategies to boost output of the metals that are used in the defence industry and in making cellphones and electrical vehicles, to lower dependence on imports from China.

Those business structures that took over these deposits several years ago are not investing. We require to somehow speak with them and resolve this problem, Putin told First Deputy Prime Minister Denis Manturov during a meeting in the Kremlin.

Either they invest, or they develop relationships with other companies and the state. This is a strategically crucial resource that the state requires now, Putin added.

Before the Ukraine dispute, Russia planned to invest $1.5. billion in unusual earth minerals, aiming to end up being the most significant. producer after China by 2030.

Other nations, including the United States, are likewise. trying to curb their reliance on China, which manages 95% of. the global production and supply of unusual earth metals.

Entrepreneur Alexander Nesis, a previous shareholder in. Polymetal, a major producer of gold and silver, used to own a. 75% stake in a firm called ThreeArc Mining, the operator of the. job, through his IST group of business.

Polymetal used to own a 9.1% stake in ThreeArc Mining.

Following the ownership change after the start of Russian. military action in Ukraine, and subsequent Western sanctions on. Russian organizations, the operator of the project is now. controlled by IST's former supervisor Vladislav Resin.

Resin's business TM-Energo Finance did not instantly. react to a request for remark.

Polymetal's representative told Reuters that the business completely. left the project in June. In 2023, Polymetal wrote off $24. million in losses after the task's development was placed on. hold.

(source: Reuters)