Sectors

Mining

Mining

SIGNUM has substantial experience advising international and Kazakhstan mining, metals and uranium companies, investors and joint venture participants on a broad range of matters relating to the development and operation of projects in Kazakhstan.

We support clients throughout different stages of the mining project lifecycle – from investment structuring, acquisitions of mining assets and establishment of joint ventures to ongoing operations, subsoil use compliance, preparation and approval of project and technical documentation, procurement, tax and employment matters, environmental regulation and dispute resolution.

SIGNUM’s experience spans uranium, gold, copper, vanadium and other mineral resources. Our team advises on complex M&A transactions and due diligence of mining assets, tax and regulatory structuring, operational and environmental matters and engagement with Kazakhstan government authorities.

SIGNUM lawyers have also contributed to the development of regulations governing the mining and environmental sectors, including rules relating to transparency in the extractive industries. By combining industry knowledge with expertise across multiple practice areas, we are able to address both the legal requirements and the commercial and operational realities of mining businesses.

Service includes the following directions
  • Contracts and Business Law
  • Corporate
  • Mergers and Acquisitions
  • Tax
  • Dispute Resolution and Litigation
  • Regulatory Compliance and Environment
  • Employment and Labour
  • Corporate Investigations
“Excellent work both in analysis and execution. Dedicated and trustable professionals.”
Asialaw Profiles, 2018

Experience

Contracts and Business Law
  • Advised major international and Kazakhstan clients on a broad range of matters in the Kazakhstan mining sector, including gold, copper and vanadium projects.

  • Advised a major mining holding company on procurement and tender procedures, including preparation of procurement rules, tender committee regulations and other internal documentation.

  • Advised mining companies on commercial, operational and contractual matters arising in connection with their projects in Kazakhstan.

  • Contributed to the development of regulations applicable to the mining sector, including rules relating to the Extractive Industries Transparency Initiative.

Corporate
  • Advised on the structuring and establishment of a joint venture between the national uranium company and a major international uranium producer for projects in Kazakhstan.

  • Advised on the establishment of a joint venture between Canadian and Kazakhstan companies for geological and aerogeophysical survey projects.

  • Supported a Kazakhstan-French uranium mining joint venture on corporate and regulatory matters relating to its operations in Kazakhstan.

  • Structured and assisted with the establishment of a fund for the allocation and distribution of social payments of a major mining company.

  • Conducted legal due diligence of the assets of a major Kazakhstan mining joint venture and advised on its corporate establishment.

Mergers and Acquisitions
  • Provided full M&A support for the acquisition of an interest in a Kazakhstan mining company, including transaction documentation, Kazakhstan law advice and assistance with closing.

  • Represented an Australian mining company on the acquisition of an interest in a Kazakhstan company holding rights to gold deposits, including due diligence, amendments to subsoil use documentation and regulatory advice.

  • Conducted comprehensive legal due diligence of Kazakhstan gold-producing companies in connection with contemplated investments and acquisitions.

  • Conducted legal due diligence of a major Kazakhstan mining company in preparation for an IPO.

  • Conducted legal due diligence of a mining company for a major international law firm in connection with financing by an international financial institution.

  • Advised investors on comprehensive due diligence of Kazakhstan mining assets in preparation for private placements.

Tax
  • Represented a major Kazakhstan uranium producer in a tax dispute following a comprehensive tax audit involving assessments of corporate income tax, mineral extraction tax, property tax and other subsoil user payments totalling approximately KZT 4 billion.

  • Represented a uranium producer in a dispute arising from the tax authorities’ refusal to refund VAT of approximately USD 8 million.

  • Advised a Kazakhstan uranium producer at the pre-litigation stage of a dispute following a comprehensive tax audit. As a result, tax claims exceeding USD 10 million were not imposed on the client.

  • Advised the Kazakhstan subsidiary of one of the world’s largest publicly traded uranium companies on the legal and tax implications of changes to Kazakhstan tax legislation.

  • Advised a major Kazakhstan uranium producer on transfer pricing requirements.

  • Advised a major mining company on tax-efficient employee remuneration structures, including flexible benefit and compensation schemes.

Dispute Resolution and Litigation
  • Represented a major mining company in litigation against one of Kazakhstan’s largest banks concerning enforcement of a bank guarantee securing a contractor’s obligations. The court ordered the bank to pay the client more than USD 700,000.

  • Represented a uranium mining company in a dispute with a local executive authority concerning the withdrawal of an earlier decision granting land rights.

  • Represented a uranium mining company in litigation brought by forestry authorities seeking compensation for damage to fertile soil. The authorities’ claim was rejected.

  • Represented a uranium company in Kazakhstan arbitration in a dispute with a contractor arising from breach of a construction contract.

  • Represented an aluminium producer in challenging claims for the payment of export customs duties.

  • Represented mining and uranium companies in employment and administrative disputes, including collective employee claims and land-related matters.

Regulatory Compliance and Environment
  • Conducted a comprehensive review of a major mining company’s operations for compliance with Kazakhstan law and advised on corrective measures.

  • Advised a major mining company on licensing requirements relating to the use of narcotic substances, psychotropic substances and precursors.

  • Advised a uranium mining company on changes to land category and designated use, reservation of land plots and establishment of easements.

  • Advised a Kazakhstan-French uranium mining joint venture on a broad range of regulatory compliance matters.

  • Advised a major uranium producer on compliance and anti-corruption matters.

  • Advised mining companies on procurement, permitting and other regulatory requirements arising from their ongoing operations.

Employment and Labour
  • Conducted an employment law health check of a major Kazakhstan uranium producer.

  • Drafted internal employment documentation, policies, instructions and rules for major uranium-producing companies.

  • Advised a major uranium producer on termination of employment and payment for overtime and work performed on days off.

  • Prepared a legal opinion for a major uranium producer on employee compensation and additional payments for work during rotational rest periods and compensation for unused annual leave.

  • Advised a major uranium producer on secondment of foreign specialists to Kazakhstan and related employment and tax implications.

  • Represented mining companies in disputes with former employees, including collective claims for compensation.

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