A Regional Profile of
Krasnoyarsk Region

The following information was provided courtesy of the Administration of the Federal Program for the Development of Nizhneye Priangarie, Krasnoyarsk. Printed as received.

"Krasnoyarsk Region always was, now is and in future will be an attractive region for investors. For example, in the middle of the 90s only 12% of total foreign investments in the Russian economy were invested in our region. So, businessmen "of the world, unite," Nizhneye Priangarie is waiting for you!

Have an attractive look at the resources of this region: extensive timber resources, gold, hydrocarbons, non-ferrous and rare-earth metals. There is also inexpensive electrical power. If you have any questions you may ask us. We are ready to give you not only detailed answers, but also guarantees for your dollars, marks or francs. It is well known that high profits are always connected with some risk, similar to the oil boom in America and during the period of "economic miracle" in Japan. Of course, at the present the infrastructure in Nizhneye Priangarie is not perfect, but you have to consider that there may not be as many opportunities when the infrastructure is complete."

PORTRAIT OF TERRITORY

"Before entering the 21st century every well-to-do man simply should know where Nizhneye Priangarie (the Low Angara), this treasure island in the ocean of the Siberian taiga located. And it is also necessary to discover that the money invested in the natural resources of this zone is showing a large return right at the beginning of a new century. And it can't be otherwise because there have prospected and prepared for mining here big deposits of lead and zinc, magnetite and silver, stibium, niobium, talc and many others. But the major priorities of this area are gold, oil and gas, and, of course, wood resources. Their bulk and some consumer qualities have no analogs in the world. Staking on these values, the Government of Russia in January, 1995 gave to the program of development of Nizhneye Priangarie the status of a FEDERAL PROGRAM. At the same time it is an integral part of the global government Program "Siberia". So it invests a part of money in this work, takes control of it and provides necessary guarantees for investors.

Nizhneye Priangarie located near the official geographic center of Russia is comprised of five districts in the Krasnoyarsk Region: Yeniseisky, Severo- Yeniseisky, Motyginsky, Boguchansky and Kezhemsky. Several southern provinces of Evenkiya autonomous area join these districts on the base of common economic interests. Here, on the total area of 260 thousand square kilometers approximately 264 thousand people live. And it is not because of the fact that local climate can hardly called nice. It is typical for Siberia where people are not used to live penned up together."

GOLD

"Nizhneye Priangarie seems to be 2 Klondikes taken together. They already knew of large local reserves of gold in the middle of the 17th century, but gold-mining was not started here until 1839. The first 344 kilograms of gold were panned out of a Petropavlovsky placer, on the Udrei river. Later in this god-forsaken place there began a real "gold rush". The resident expert on the history of Krasnoyarsk gold-mining, professor Leonid Kisilev, states that in 1947 almost 20 tons of gold were extracted from the area, which was 86% of all output for the entire country. Up until 1917, the gold-miners of Nizhneye Priangarie extracted more the 620 tons of gold. Nizhneye Priangarie reserves are still attractive. Because during the past century and a half they took that which was easier to take, mainly, placer gold. And now there work about 20 drags on the small rivers of this area and only one mine in Severo-Yeniseisk. The time is now to go deep under this ground to take the "yellow devil". But the main gold trump of Nizhneye Priangarie is Olimpiadinskoye deposit, its resources have no analogs in Russia. Krasnoyarsk Region, when starts its development will triple the output of gold, which is about 30 tons annually."

OIL AND GAS

"Two more oil and gas areas will appear in Russia at the beginning of the 21st century. These will be in the Krasnoyarsk Region and Evenkiya. The hydrocarbon resources ascertained here by now account already for the fourth part of those of Tiumen area. But further prospecting works show that real volume of oil and gas will be considerably larger. And Nizhneye Priangarie will contribute heavily to it. The Tokhomo-Yurubchensky group of deposits, Kuiumbinsky, Tersko-Kamovsky, Sobinsky, Agaleevsky - specialists consider these and several neighboring provinces the only in Russia now where one can have quite big volumes of oil and gas in the nearest future. Only Yurubchenskoye and Sobinskoye oil deposits can give at the beginning of their extraction up to 8 million tons or more than 7 billions cubic meters of gas every day."

FOREST AND WOOD PROCESSING

"'We live on it,' - they say in Nizhneye Priangarie when they speak about laying harvesting and processing wood. During three centuries it has warmed and given vitality to the local people. The taiga is grandiose. Its wood resources is double those of Sweden and three times exceeds Finland's wood potential. The world-famous Angara pine trees, which have high consumers qualities, is the major type of timber. By now, an 80% average of annual wood stock is processed here. This work is done basically by three powerful complexes in Lesosibirsk. They produce quality saw timber for export and local market, wood-fiber stabs and squared beams, different sets of furniture and sleepers, colophon and turpentine. There is born a deep wood processing in the eastern part of the area. For example, in Tayezhny village they began to produce parquet blocks of "everlasting tree" - larch, which also makes good veneer sheets. But for many years, Nizhneye Priangarie needs most of all wood chemistry plants, for example, producing paper. And if a pulp plant is built here, it will have no problems during the 21st century as far as the resources are concerned."

LEAD

"'Gorevka' (a place of misfortunes from Russian). This non-optimistic Russian word is always pronounced when they speak of the largest lead deposit in Russia. It contains more than 40% of all Russian resources of this metal. Geologists first found lead ore near the Gorevoy steam, hence the name of "Gorevka" came from there. From the beginning of the 80th ore mining and processing complex has been working here. But now it produces only lead concentrate and sends it to be processed to Kazakhstan, to the city of Kameno-Gorsk, and pure lead is then sent back to Russia. And though ore from "Gorevka" is rich in zinc, silver and rare-earth metals, they are practically not extracted, there is no time for it. It is Nature's will that the main ore body here is under the bottom of the Angara river. So miners have constantly force the river aside by a special dam. They currently extract the ore using an excavator, but plants are in store for a "Gorevka" a mine. For many years ore mining and processing complex works have been at a experimental-industrial stage of exploitation and in spite of this fact, up to 200 thousand tons of ore can be processed here annually, which is several times less than its rated capacity. It will considerably increase when a plant extracting pure lead and other Gorevka metals begin production near Krasnoyarsk in the city of Sosnovobors. This is the nearest prospect. And optimists are sure that "Gorevka" will make happy everyone who help its development."

POWER INDUSTRY

"Even if the construction of the Boguchany hydroelectric power station is not completed in the next ten years, there is no danger of "energy hunger" in Nizhneye Priangarie. There is no doubt now about the expediency of the construction of the fourth hydroelectric power station on the Angara and there was none from the beginning of its construction in 1977. But for the last years, the attitude towards "major construction projects of the century" in Russia has been changed. And when they stopped "high tempo", it became possible to see some other variants to solve this most important problem in the area. The energy for the region comes from Achinsk (in the west), Reshoty (in the east), and from the Irkutsk oblast through Sednovo and Kodinsk. The latter is considered to be the most optimum, because there is a real potential to lay along this way, a length of about 280 km, a new, more powerful transmission line, that will give Nizhneye Priangarie 600 megawatt of electric power, twice as much as is transmitted at the present. It is also anticipated in the area that a group of gas-turbine stations will be constructed to utilize the hydrocarbon resources."

CITIES AND SETTLEMENTS

"Perhaps, next century Nizhneye Priangarie will have its own Detroit and its Norilsk. And for the time being there are only three cities on this vast territory: old Yeniseisk (1619), young Lesosibirsk (1975) and small Kodinsk (1989). The total number of settlements, both large and small villages, exceeds several hundred. Many of them can be reached only by plane. There are some villages that nobody occupies, because they will be soon submerged by the reservoir of Boguchany hydroelectric power station.

Historians state that the first Russian settlements appeared in this area at the beginning of the 17th century. For example, 10 years after Yeniseisk was founded, a detachment of Cossacks founded, to the east of Yeniseisk, on the steep bank of the Angara, a stockade town later named Rybnoye. In old times, the trade routes from Russia to China lay here. The village of Boguchany is more than 350 years old, the age of Kezhma is also venerable. During Stalin's regime, practically the entire territory of Nizhneye Priangarie was turned into a GULAG department. Due to this, the area was forbidden to be publicized in press and to be visited by foreigners. But now it enters a new era, and everybody who will is invited to take part in it."

TRANSPORT

"Modern transport is only in the beginning stages in Nizhneye Priangarie. But they are plotted not only on the maps. A road from Bogucany to Karabula is currently being built, there are also roads Kodinsk-Bratsk and Yeniseisk-Krasnoyarsk. Two branch railroads lead to the Trans-Siberian railroad-Reshoty-Karabula (east) and Achinsk-Lesosibirsk (west). Also investigated for future development are tracks for a pipeline from oil and gas deposits and railroad with the length 194 km from Karabula to the range of Boguchany power plant along the right bank of the Angara where the main reserves of timber are. There are dozens of airways and waterways along the rivers, and the development of local transport system envisages the construction in the area of Yeniseisk-Lesosibirsk of a large cargo and passenger international terminal. There currently are active car, water, railway and airlines. The export of timber is transported by railroad and along the Yenisei to Igarka by the Northern Sea Route to dozens of countries. In the air of Nizhneye Priangarie, there are many airlines from Europe to Asia. There exists a real opportunity to use airways over the Yenisei, through the North Pole, to the USA. Such a flight, for example, from Bangkok will be two hours shorter than the existing ones."

BANKING

"The Nizhneye Priangarie bank structure is just at its birth, but even so, it functions impeccably and safely. Such is the professional line of the Russian Savings Bank ("Sberbank"), one of the most authoritative in the business circles of many countries. Its numerous branch banks work practically in all the large settlements of Nizhneye Priangarie. Here, very strong positions are kept by the agencies of the Krasnoyarsk Incorporated Commercial Bank "Yenisey." The latter was founded in 1992 and for some years already has been making all financial operations in rubles and foreign currency accepted in the international banking practice. The "Yenisey" bank suggests its clients the swift service of operations corresponding to world standards, which is done in the region of real time. This bank, the only one in the Krasnoyarsk region and the fourth one to the East from the Urals, is a member of the "SWIFT" and represents the interests of the banks of Eastern Siberia and the Far East in the National Committee of the "SWIFT." In 1995 its capital turnover in foreign currency was more than 500 million dollars. According to the data of the Information Center "rating" by January 1, 1996, the "Yenisey" bank has taken the 26th position among the largest banks of Russia."


For more information contact Vladimir Semenov, Deputy Head of the Regional Administration of Krasnoyarsk, Permanent Representative in the Russian Government at Tel. 7-095-332-2439 or Fax: 7-095-299-4583. Or contact the Administration of the Federal Program for the Development of Nizhneye Priangarie, 111, Lenin St., Krasnoyarsk, 660017. Tel: 391-2-23-67-87, Fax: 391-2-29-69-95.


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Last Updated: June 10 1999. Copyright Russian-American Chamber of Commerce® 1995-1999. All rights reserved.