Gold mining in Russia is an important industry that has not been given due attention for a long time. The mines that unfolded in Tsarist times were destroyed during the revolution and the Civil War. The Soviet period also did not bring flowering to the industry. Perhaps the new economic conditions will be able to streamline the production system.
The legend of the find
The history of gold mining in Russia, according to the official version, began in the 18th century. It is believed that the start was a small pebble that was found by a schismatic in the area of present-day Yekaterinburg. For some reason, he reported the find to the administration of the Yekaterinburg plant. He continued his search and discovered many such stones. Later, on the site of the finds, the gold mining mine “Initial” was founded.
The fact that gold mining in Russia can become a large-scale industry has been mentioned since the fifth century. This was described by many historians who visited the areas of the Ural mountain system and observed among the indigenous peoples a large number of jewelry and household items made of precious metal.
Peter the Great laid the foundation of an industry on a national scale in 1719. At the beginning of the 19th century, Russia became a leader in the development and mining of gold. After the reform by S. Yu. Witte and the introduction of the “gold standard”, gold coins were minted in Russia, and mines became available for development by foreign companies and private owners.
After the revolution
After the revolution of 1917, gold mining in Russia for many years was put to gravity. The state for a long time did not pay any attention to the industry, relying not on the development of known deposits and exploration of new ones, but on the expropriation of gold and its products from the population. The precious metals committee was created in 1918, but it was not possible to immediately put in order and register mines.
The main places of gold mining in Russia were in the Urals, in Siberia, where the new government did not reach right away. The mines and mines that worked were now moving to the "white", then to the "red". Opponents destroyed equipment, poured mines and dispersed artisans of prospectors. During the Civil War, the industry was almost destroyed. Even in World War I, gold mining in Russia declined. For example, in 1918 the country received only about 30 tons of metal, and in 1913 the amount reached almost 64 tons per year. In subsequent years, output was steadily declining. In 1920, 2.8 tons were mined, and in 1921 only 2.5 tons of precious metal were obtained from prospectors.
Falling Fisheries
In the period from 1918 to 1922, the Soviet government received about 15 tons of gold at gold mines, during the same period 15.7 tons of gold and items were seized from the population. According to unofficial data, the amount of “voluntary surrender” was much larger; according to experts, about 500 tons of metal were exported through the Baltic countries during the same period. In 1921, the state carried out a monetary reform based on the formula of the "gold standard", ie cash should again be provided with gold reserves.
By 1922, it became clear that all known deposits had already been depleted, the data of many explorations had been lost, and new expeditions were not carried out. The statement of fact took place in 1924. In the light of the steps taken to restore state control over production, Glavzoloto was endowed with exclusive powers, capabilities, and credit. In 1925, a plan was prepared, the main emphasis in mining was on encouraging working cooperatives, and the priority development of state organizations over private ones was determined.
Prewar period
In 1927, Glavzoloto was reorganized into Soyuzzoloto, organizational measures were taken to create a geological exploration service and train new personnel. The first measure to stimulate production was the development of a financing system and the promotion of private mining and small-scale gold mining enterprises. In 1923, gold mining began in the Aldan river basin (Yakutia). They say that gold could be collected by hand. The main gold mining in the region was carried out by the Aldanzoloto Trust.
For two years (1927-1928), precious metal mining increased by 61%. In 1929, more than 25 tons of pure gold were mined in the country, most of which were brought by state organizations. The next significant increase in the volume of gold obtained occurred in 1936 and 1937 and amounted to 130 tons, Russia took the second place in gold mining in the world ranking.
By the beginning of the war, the fishery supplied the state treasury with about 174 tons of precious metal per year. Most of the reserves went to the purchase of equipment for industry, ensuring the industrialization and independence of the USSR.
War period and post-war years
Gold mining in Russia has always been an industry with classified data. During the war years, the level of secrecy was increased, what were the industry's indicators during this period, is not reported in open sources. It is known that the level of gold sales exceeded the rate of production. The state stimulated all cooperatives (primarily private ones). Workers were provided with food and bonuses. Despite the severity of the situation, capital construction was carried out, production facilities were updated. The Soviet Union paid about 1.5 thousand tons of gold for deliveries on lend-lease.
In the post-war period, it was urgent to restore the economy, rebuild cities and give people the opportunity to settle down after a devastating tragedy. The history of gold mining in Russia of this period is colored with gloomy colors - the industry was placed under the supervision of Glavspetsvetmet, which belongs to the Ministry of the Interior.
In a short time, camps were organized where prisoners were serving sentences on gold mining. About 30 ITLs specialized in the development of precious metal deposits operated in the system. This step made gold mining record high with minimal financial costs, everything was paid for by thousands of prisoners' lives. By 1950, 100 tons of metal were mined in the country. The gold reserve in 1953 was a record in the USSR and amounted to 2049 tons. This figure has not been exceeded so far.
The period of the reign of N. S. Khrushchev was characterized by many surprises. For the world community, the main one was the active and significant sale of gold in world markets. The West considered large injections of gold on the market as a peaceful aggression of Russia. The bulk was spent on food purchases. The largest intervention of Russian gold occurred in 1963, when 800 tons of metal were spent on the purchase of grain.
Our days
During the reign of Leonid Brezhnev, gold mining in Russia was not going through the best period, the industry did not receive due attention. A large amount of precious metal reserves went to foreign markets for food purchases, while the level of production steadily fell. In 1988, the approach to supplying the industry was revised, reorganization took place, and the level of production began to grow. In 1990, it reached a solid level of 300 tons.
The perestroika period was chaotic for the entire economy, including for the gold mining industry. Sales of metal in foreign markets grew with a sharp drop in output. The most critical year was 1998, production amounted to only 115 tons. With government intervention in the fishery, the situation began to level off, but a single system has not yet been developed. Gold is an important financial component of GDP, but there is no single policy yet. At the beginning of the 21st century, there are almost 6 thousand deposits in Russia.
The largest gold deposits in Russia
In the modern world rating of gold reserves in the bowels of the Russian Federation, the Russian Federation occupies the fourth position. The largest gold mining sites in Russia are concentrated in Siberia and the Far East. Intensive development and mining of the precious metal are established at several mines, from where the gold reserve is replenished.
Areas where mining is underway:
- Khabarovsk region.
- Amurskaya Oblast.
- Magadan Region.
- Krasnoyarsk region.
- Saha Republic.
- Chukotka Autonomous Okrug.
- Sverdlovsk region.
- Buryatia, etc.
A significant mass fraction of gold comes from large mines:
- Solovievsky.
- Dambuki
- Ksenievsky.
- Altai.
- Nevyanovsky.
- Gradsky.
- Conder.
- Udereysky.
Private gold mining in Russia
Gold mining in Russia by private individuals has been banned since 1954. Stalinist times were beneficial for prospectors. By a decree of the government, additional privileges and bonuses were introduced for them, and the right to use the best gold-bearing sites was granted. To stimulate the work, they distributed apartments, vouchers to rest houses, etc. In the pre-war period, permission for gold mining could be obtained by any adult who did not have a criminal record.
The number of prospectors working alone or in private artels reached 120 thousand people. The extracted metal was taken by numerous specialized points. Many private mines were openly and equipped with the labor of private owners, and subsequently they came under the control of state structures. During the period of private enterprises (1932-1941), the amount of gold mined increased five times.
Russian gold
According to the global results of 2016, Russia ranks third in the production of gold from mineral raw materials and took second place in the total production of precious metals. According to S. Kashuba (Chairman of the Union of Gold Producers of Russia), it was expected that the level of production in 2016 will be about 297 tons, a slight increase in production is planned for 2017.
Successful projects in 2016 were the development of Pavlik deposits in the Magadan Region and Amethystovoye in Kamchatka. The exact information on the results of 2016 has not yet been made public. What are the total investments in gold mining in Russia is unknown.
According to official figures, in 2015 Russia's gold mining amounted to 294.3 tons of metal per year, which improved the performance of the previous period by 2%. In 2016, Dmitry Medvedev signed amendments to the Law on Subsoil, which allows individuals to engage in gold mining.
Amendments to the Law: Pros and Cons
Since 2017, private gold mining in Russia has been allowed. The law provides for the lease for five years of 15 hectares of territory, where, according to experts, contains up to 10 kilograms of gold. When developing, a number of restrictions apply:
- Gold can only be mined in a superficial way.
- Do not blast work.
- The depth to which you can dig is 5 meters.
The proving ground for the pilot project launch was the Magadan Region, where 200 sites were counted, ready for private development. In the government, this step is considered as a social project. The population of the northern regions is in distress. Most are unable to find a decent job, and washing gold has long been a traditional way of earning livelihoods. Illegal business is booming and now, after the adoption of the amendment, many will have the opportunity to work in the legal field, and the state will receive additional income.
There are fears that rampant crime and theft will begin, which took place in the Magadan region in the 90s, when a local law on private gold mining was adopted. The FSB and the Ministry of Justice opposed the adoption of the amendment. Many are of the opinion that private practice will not solve the problem of unemployment. Suggestions are being made to open several of the hundreds of frozen deposits, which will provide an opportunity to employ thousands of people and get an influx of population into the Magadan region.