This is a mineral rich area
A wide variety of mineral deposits are found in the Murmansk area and this is why the entire regional economy are involved in the extraction and also in the processing of various types of minerals. Many important micro elements which has been discovered in the 20th century were actually discovered in the Kola Peninsula. This region is very important iron ore production industry since it has over 60 substantial deposits of many different types of all minerals and most of these can be extracted in a cost effective manner. There are also various types of rare metal deposits such as cyanite ores, apatite and nepheline. That’s why many industries in this region are specializing specifically in the extraction and in the processing of various types of metal ore and many steel products are produced such as cobalt, copper, nickel and many other metal products such as aluminium and there are even companies that are producing apatite concentrate which is a raw product which are used primarily in the production of phosphate fertilizers.
Expansion in the region
New iron ore production plants are continually being constructed and this has already been done in the Northwestern federal district. These new iron ore production units will specifically specialize in the extraction of useful components with in the iron ore. In many sectors of the industry there are an implementation of state-of-the-art energy-saving materials which makes it possible to produce iron ore in a more cost effective way. This same thing has been done in an attempt to lessen the impact on the environment and therefore modern waterworks have been constructed which will ensure a closed circulation system to protect local water sources from contamination. Therefore provision is also made for a state-of-the-art pollution control center as well as a huge sprawling facility which will implement echo friendly pollution control measures. Naturally these products provides a lot of employment opportunities which in itself are boosting the economy significantly.
Long-term planning
In 2013 an agreement has been signed between the governor of the Murmansk region and a northwest phosphorous company which allowed for state support during several construction processes. Some of the measures which has been agreed upon are the tax concessions of property and there is actually being a decreased rate on income tax during the last five years. Several options are being considered such as measures to allow the development of the apatite and stafellite ore deposit to replace the decreasing amount of apatite concentrate is something which are receiving a substantial amount of attention in the region. The current project also makes provision for a reconstruction of existing production plants which will allow for more efficient production processes which are also expected to increase the profits which can be derived from these enterprises. It is expected that these measures will increase the total amount of iron ore production as well as apatite and also baddeleyite concentrate production and an increase of over 900,000 tons a year is expected. The benefits to the overall industry as well is to the economy should be considerable.
