Putin introduced a preferential Caspian regime

Russian President Vladimir Putin signed a law providing for the expansion of benefits for new hydrocarbon deposits at the bottom of the Caspian Sea, production on which began until January 1, 2016. The document initiated by the Government of the Russian Federation was published on Saturday on the official portal of legal information.

The law provides for a tax regime for new marine deposits.

A special, preferential taxation regime and customs-tariff regulation is currently operating in the development of new marine deposits. This regime applies to the new sea and gas sea fields located in internal sea waters, in the territorial sea, on the continental shelf of the Russian Federation or in the Russian part of the bottom of the Caspian Sea, the beginning of industrial hydrocarbons at the period after January 1, 2016. The development of such deposits is economically impractical without state support, since it is due to high capital and current costs.