Rosnedra Terminates Licenses for Voronezh Region Copper-Nickel Deposits

The Russian Federal Subsoil Resources Management Agency (Rosnedra) has early terminated the mining licenses of Mednogorsky Medno-Sulfur Combine (MMSC) for the Yelanskoye and Yelkinskoye copper-nickel deposits in the Voronezh Region. This action follows MMSC's own application for license termination, citing economic reasons as the basis for discontinuing operations at these sites.

As reported by Rosnedra, the licenses for exploration and mining of these ores were rescinded ahead of schedule. Aslambek Germakhanov, deputy head of Rosnedra, noted that the decision aligns with MMSC's conclusion about the economic non-viability of further mining at these sites.

The original subsoil licenses for these deposits were granted to MMSC in 2012, with the sites confirmed as copper-nickel sulfide ore deposits in 2015. Initial plans aimed to ramp up production significantly by 2027, but the economic landscape and operational challenges led to repeated deadline extensions and ultimately, the recent termination.

Market analysts suggest that fluctuating global metal prices and stricter environmental regulations may have played significant roles in this decision. Additionally, recent sanctions and trade restrictions by the US and the UK against Russian metals could influence future operations and prices.