The "Golden Curse" Overshadows Many Regions of Russia: Millions of Dollars in Gold Mining Chaos Needs to Be Addressed, but So Far the Results Are Minimal

Image caption: Gold mining site
Members of the regional council in the Altai Territory hope to ban sand gold mining in six areas of the territory. The chairman of the regional legislative assembly, Alexander Romanyenko, confirmed: "This document was jointly developed by the committee on agricultural policy, natural resources and ecology, as well as the committee on industry, entrepreneurship and tourism of the regional council. Its basis includes the demands of the residents and the audit materials from the Audit Office of the Altai Territory."
Sand Gold Mining: A "Giant Threat" to the Ecological Environment
How much harm does sand gold mining cause to the environment? The answer is "extremely harmful." The term "sand gold" here refers to both modern riverbeds and ancient riverbeds covered by layers of silt meters thick.
No matter where it is mined, to reach the gold-bearing layer, a "stripping operation" must be conducted first — removing the overlying useless rock layers. Then comes the ore washing process: this is not done with trembling hands holding a gold pan, but rather with large-scale ore washing equipment, assisted by bulldozers and other heavy machinery.
Sand gold mining leads to soil degradation, the disappearance of rare plant species (listed in the Red Book), and a reduction in animal habitats. After the mining operations, land reclamation should be carried out, but this step is often omitted. In addition, mining activities occupy agricultural land, leading to the degradation of farmland. According to statistics, the sand gold mining activities of the "Eurasian Asian Mining Company" (ООО «Европейская азиатская горнорудная компания») caused losses exceeding 61.3 million rubles, while the losses related to "Agricultural Trade Company" (ООО «Агро-трейд») reached 73.2 million rubles.
Economic Account: Federal Gains, Local Losses
For the federal budget, sand gold mining brings considerable revenue. According to data from the Russian Ministry of Natural Resources and Ecology (Роснедр), out of the 25 billion rubles obtained through auctions in 2024, 9 billion rubles directly came from sand gold mining.
However, the situation in the Altai Territory is completely different — the region's gold reserves are not abundant. According to audit data, the economic benefits brought by sand gold mining to the territory are minimal: over 10 years, mining companies paid only 152.6 million rubles in taxes to the territory's budget, and a mere 33 million rubles to the local budget, which can be described as "a drop in the bucket." In stark contrast, the ecological damage caused is extremely serious.
Currently, regulatory authorities have filed lawsuits against several cases, requesting that certain geological exploration, mineral resource exploration and mining activities (including sand gold mining) be deemed illegal.
In June of this year, the Solonezhny District Court approved the prosecutor's application to prohibit sand gold mining in the Shepetevka and Solonevskaya river basins, with the involved company being the "Sunny Cooperative" (новосибирская артель «Солнечная») from Novosibirsk Oblast.
Weakened Regulation and Ecological Catastrophe: A Vicious Cycle in Certain Areas
Some government departments have shown a loosening stance. For example, the regional Department of Natural Resources and Ecology (краевое Минприроды) revoked previously approved permits for forest area development — a document that originally allowed miners to start mining operations in the fall of 2024.
However, by the time the court made its decision, the land in the mining cooperative's operating area had become irreversibly damaged: fertile topsoil, red list plants, trees, and shrubs were all removed together.
In the Chereeshsky District, known for its rare remnant cedar taiga, environmentalists discovered seven active mining cooperatives. These cooperatives even used helicopters to transport machinery and equipment to remote areas. The public has launched a petition to include the Bashlaksky Mountains, the Korgona River, and the Kumir River basin in the "Kolvan Mountain National Park" (нацпарк «Горная Колывань») protection area, and has submitted their request to the Russian Investigative Committee (Следственный комитет).
Tax Doubts: Unregistered Gold Behind the "Few Cents"
A more critical issue is that mining companies could pay more funds to the territory's budget. Member of the Altai Territory Council, Yuri Matveiko, questioned: "Considering the scale of the machinery used in mining, the cost of transporting the equipment to remote areas, and the expenses required to arrange living conditions for miners, the 'few taxes' these companies pay are highly suspicious."
Just the consumption of diesel fuel alone is worth tens of millions of rubles, and the investment in sand gold mining is as high as hundreds of millions. There must be unregistered gold — perhaps the officially recorded 20 kilograms of mining output is just the tip of the iceberg?"
Reappearance of "Backyard Methods" from the 1990s: Resource Exploitation Mining
Aleksey Grigorkov, a member of the Public Committee of the Altai Territory's Department of Natural Resources and Ecology and a member of the compilation committee of the "Red Book of the Altai Territory," pointed out that the current methods of sand gold mining are comparable to the "chaotic 1990s": "Companies first occupy mining areas, extract the resources, and then declare bankruptcy to avoid the huge costs of land reclamation. They also frequently owe workers their wages, essentially engaging in resource exploitation."
Conflict Between Tourism and Mining: "Martian Landscape" Threatens a Tourism Industry with Millions of Tourists
The Altai Territory is recognized as a tourist destination, and its appeal is largely due to its unique natural landscapes. However, sand gold deposits happen to be located in popular tourist areas of the territory, including the Altai District, Togul District, Zalinskiy District, Solonezhny Municipal District, Chereeshsky District, and Zalesovsky District.
There are more than 300 tourism-related facilities within these areas, and the Altai District alone receives 500,000 tourists annually.
In November 2024, a public meeting was held in the Solonezhny District (now a municipal district) demanding that mining companies cease their operations. Local residents stated that they did not want to see their homeland turn into a "martian landscape" and could not accept the pollution of the Solonevskaya and Anuy rivers or the deforestation of the river valley forests in the mining areas.
In direct dialogue with the public, the Governor of the Altai Territory, Viktor Tomenko, admitted: "At present, there is no effective regulatory system for operations, and the responsibilities of the enterprises — including the obligation to address the chaos and land reclamation — are not clearly defined."
Spreading Chaos: Protests in Tomsk Oblast and Khakassia Republic
Meanwhile, the prosecutor's office in Tomsk Oblast has begun verifying the legality of mining operations in the "Larininsky" Nature Reserve. A video appeared on social media, with residents from the villages of Verkhnye Vishni and Baturovo in the Tomsk District expressing their demands to the prosecutor's office, the head of the Russian Investigative Committee Alexander Basterkin, and the governor Vladimir Mazur.
This video was posted in the group "70 Regions / Tomsk" on the "VKontakte" social platform, and the residents in the video appealed: "Please stop sand gold mining in the buffer zone of the 'Larininsky' Nature Reserve."
"TISK Company" (ООО «Управляющая компания ТИСК») attempted to advance a sand gold mining project in the buffer zone of the reserve, and we strongly oppose this. The 'Larininsky' Nature Reserve is a unique ecosystem, home to red-list animals and plants. The Tugoyakovka River is a clean river and one of the sources of the Tom River. Sand gold mining will destroy the entire ecosystem and cause significant environmental losses."
The manager of the "TISK Management Company," Alexander Belyeyev, responded that the development of mineral resources requires three stages, and the mining area along the Tugoyakovka River has not even completed the first stage (exploration and assessment). The estimated resource volume of the Baturovo area is 20 tons.
In the comments section under the video, Ruslan Palkov supported the protesters: "It's very brave of you to speak up."
Ruslan Galiamov also left a comment: "I hope the relevant departments will respond. Regardless of winter or summer, tourists come here — not only from Tomsk, but also from other regions. I have seen bicycle tour groups from Novosibirsk, and the scenery here has impressed me."
Khakassia Republic: Risk Assessment First, Then Development
In November 2024, a public meeting was also held in the Askyz District of the Khakassia Republic in the village of Verkhnye Baza, discussing the issue of banning sand gold mining. A member of the Supreme Council (parliament) of the Khakassia Republic stated that no mining projects would be planned until the risk assessment (especially the impact assessment on the local residents) is completed.
Previous Lessons: The "Nationalization" Dilemma in Chelyabinsk Oblast
Previously, "Svobodnaya Pressa" (Free Press) reported on the ecological destruction caused by sand gold mining in Chelyabinsk Oblast. Although the companies of the "Southern Ural Gold" Group («Южуралзолота») have recently been nationalized, unfortunately, the mining chaos in the area has not changed fundamentally.
Core Question: How to Balance Mining, Taxation, and Ecology?
A key question is at hand: Can the Altai Territory and other regions of Russia truly tackle the chaos of sand gold mining? Can they continue to mine gold while increasing federal budget revenue, raising local taxes, and protecting the ecological environment?
Why do other countries regulate mining operations within the framework of the law? Experts say that Western countries tend to adopt environmentally friendly gold mining technologies — perhaps Russia should also learn from these experiences?
Currently, "Svobodnaya Pressa" has submitted an inquiry to the chairman of the Altai Territory Legislative Assembly regarding the current state of sand gold mining.
Original article: https://www.toutiao.com/article/7574730013908533769/
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