NTEC agreed with the initiative proposed by Head of Rosrybolovstvo Ilya Shestakov in September 2021 to end the dispute via a settlement agreement. Under the terms of the agreement, NTEC will fully compensate the damages in kind to aquatic bioresources caused by the 2020 fuel spill. NTEC will release the fry of various valuable fish species such as sturgeon, muksun, whitefish and nelma, into the Norilsk-Pyasino water system during 2033-2050. Siberian sturgeon fry will be released into the Yenisei River annually starting from 2023 until 2033.
The Сompany believes that compensation in kind is consistent with the goals of the soonest possible restoration of aquatic bioresources and improvement of the environmental situation in the Norilsk industrial district.
In addition, NTEC will finance scientific research by the Russian Federal Research Institute of Fisheries and Oceanography (VNIRO), which will assess aquatic bioresources and their habitat in 2023-2051 as a complementary support of the restoration programme.
Restoring aquatic bioresources is the final stage of the work by Nornickel to eliminate the consequences of the Norilsk fuel spill in 2020. The measures defined in the settlement agreement with the fisheries agency will deliver full restoration of aquatic bioresources and help maintain the resources at levels that ensure sustainable harvesting and biodiversity.
In order to guarantee timely and full compensation for the damage to the aquatic bioresources and taking into account the long time it takes to deliver the measures described in the settlement agreement, Nornickel provided a guarantee to the Yenisey Territorial Administration of the Federal Fisheries Agency to secure the fulfilment of obligations under the settlement agreement assumed by NTEK.
For reference:
On August 3, 2021, the Krasnoyarsk Region Arbitration Court accepted the claim of Rosrybolovstvo against Nornickel’s subsidiary NTEC for a total amount of RUB 58.65 billion (approximately USD 804 million at the rouble-dollar spot rate) for the compensation of damages to aquatic bioresources caused by the spill at the emergency fuel reservoir of Norilsk’s HPP-3 in 2020. On April 15, 2022, the court increased the claim by RUB 311 million.
ABOUT THE COMPANY
MMC Norilsk Nickel is a diversified mining and metallurgical company, the world’s largest producer of palladium and high-grade nickel and a major producer of platinum and copper. The company also produces cobalt, rhodium, silver, gold, iridium, ruthenium, selenium, tellurium and other products.
The production units of Norilsk Nickel Group are located at the Norilsk Industrial District, on the Kola Peninsula and Zabaykalsky Krai in Russia as well as in Finland.
MMC Norilsk Nickel shares are listed on the Moscow and on the Saint-Petersburg Stock Exchanges, ADRs are accepted for trading on the Saint-Petersburg Stock Exchange.
Norilsk Nickel fully supports the 2030 Agenda for Sustainable Development and the UN Sustainable Development Goals. The Company considers social responsibility and commitment to the principles of sustainable development as one of the pillars of operational efficiency and business development. Nornickel seeks to continuously improve its activities in the areas of environmental protection, human rights, health and safety, environmental impact assessment, and biodiversity preservation. The company spent RUB 221.5 billion on SDG-linked projects in 2021.
