MFA_Report_on_the_occupied_territories_March_2016_1

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Back in February 1995, the National Academy of Sciences of Armenia opened a geology laboratory in the occupied territories, which worked closely with the Institute of Geological Sciences of Armenia. The laboratory was tasked to investigate and map the natural resources in those territories and put forward proposals for their exploitation. 418 Advisor to Bako Sahakyan on geology issues Grigorii Gabrielyants confirmed that in 1990’s Armenia’s Vallex Group CJSC was even conducting exploration of oil in the Nagorno- Karabakh region of Azerbaijan. The works were Armenia's Vallex Group chairman Valeri Mejlumyan (centre) visiting the occupied territories of Azerbaijan │Photo from www.vallexgroup.am│29 July 2012 halted because the deposits were not commercially feasible. 419 Mining of the precious minerals and metals, as well as of base metals is one of the main enterprises in the occupied territories. 420 According to the Armenian sources, there are 15 metallic and 51 non-metallic mines, particularly those of construction materials (sand, limestone etc.), in the occupied territories, out of which 48 have “licenses” for development, 13 are being explored and 2 are developed. 421 According to the Armenian sources, exploration/exploitation works are carried out in coal deposits in Chardagly (Tartar district), Narynjlar and Kolatagh villages (Kalbajar district); copper and other non-ferrous metals, including gold deposits located near the villages of Heyvaly, Demirli, Vangli (Kalbajar), Qasapet (Tartar), Gazanchi (Aghdam), Turshsu (Susha), Zardanashen; pyrite deposits near Gyzylgaya, Vangli, Gulyatag, Qasapet. Iron deposits are exploited in Sor and Chardagly. There is a large deposit of rose marble in Harov village near Khankandi, which is also being exploited. Tuff deposits are developed near Vangli village. 422 There is lime pit near the occupied town of Zangilan. 423 Base Metals CJSC, which is a wholly owned subsidiary of the Armenia's Vallex Group CJSC, registered in Liechtenstein, 424 since 2002 has been exploiting Gyzylbulag underground copper-gold mine near Heyvaly village in the occupied Kalbajar district of Azerbaijan (referred to by Armenia as “Drmbon” mine). 425 Predatory exploitation of that mine led to its almost complete depletion. In 2013, Valeri Mejlumyan, Chairman of the Vallex Group CJSC 426 , predicted that they “have three years left to exhaust Drmbon’s remaining ore reserves”. 427 The mine has reportedly been Ore processing plant at the Gyzylbulag underground mine near Heyvaly village in the occupied Kalbajar district │Photo from www.bm-old.vallexgroup.am 418 See “Karabagh’s Natural Resources”, 09 November 2001, . 419 See “Chief geologist of Karabakh: We do not need oil rush”, News.am, 10 August 2013, (in Russian language). 420 See “On 7 October Artsakh Republic President Bako Sahakyan convoked a working consultation on the activities carried out by the ‘Base Metals’ company in our republic’s mining field”, Artsakhtert.com, 08 October 2013, . 421 See “Mining Industry: Serious Perspectives or Hard Heritage?”, Ecolur.org, 30 September 2013, . 422 See “The regions of Nagorno-Karabakh Republic in Figures: 2007–2013” (in Russian language), . 423 See “Kovsakan Mayor Hopeful Water Issue Will be Resolved Soon”, Hetq.am, 29 January 2014, 424 See “Armenian Mining Giant To Expand Karabakh Operations”, Azatutyun.am, 20 March 2012, . 425 See “Base Metals Launches Second Mine in Artsakh; An Open-Pit Operation”, Hetq.am, 03 July 2013, . 426 See “Teghout: A Contentious Danish Investment in Armenia”, Civilnet.am, 26 September 2014, . 427 See “Base Metals Launches Second Mine in Artsakh; An Open-Pit Operation”, Hetq.am, 03 July 2013, . 69
Armenia's Vallex Group provides heavy machinery for the exploitation of Demirli copper-molybdenum deposit in the occupied part of the Tartar district │Photo from www.bm.vallexgroup.am│27 May 2014 Exploitation of the Gyzylbulag underground mine near Heyvaly village in the occupied Kalbajar district │Photo from www.bm-old.vallexgroup.am processing 350,000 tons of ore annually, 428 producing some 20,000 tons of ore concentrates per annum or 1200 tons monthly. 429 According to Arthur Mkrtumyan, Director General of Base Metals CJSC and Vice-president of the Vallex Group, as of October 2013, out of 3,2 million tons of total reserves 3 million tons have been extracted. 430 Concentrate is transported to Armenia, where it is further processed by the Armenia-registered Armenian Copper Programme CJSC 431 into gold containing copper and exported to international markets, mainly in Europe. 432 Another Armenian source informs that the ore is refined only once and exported to Germany for further processing. 433 Mkrtumyan confirmed in 2013 that the mine had reserves for another two or two and a half years only. 434 In March 2012, Base Metals CJSC unlawfully acquired “license” for 25 years for exploitation of Demirli open-pit copper and molybdenum mine (referred to by Armenia as “Kashen”), which is located some 15 kilometres east of Gyzylbulag mine and includes the area of Demirli, Gulyatagh and Janyatag villages in the occupied part of the Tartar district. 435 The mine contains around 55-56 million tons of proven ore reserves. 436 As of October 2013, some 1700-2000 tons of ore were transported to the plant near Heyvaly village for processing on a daily basis. 437 In order to process it in place, 438 Exploitation of the Demirli mine in the occupied part of the Tartar district │Photo from www.vallexgroup.am 428 See “Mining Industry: Serious Perspectives or Hard Heritage?”, Ecolur.org, 30 September 2013, . 429 See “Armenian Mining Giant To Expand Karabakh Operations”, Azatutyun.am, 20 March 2012, . 430 See “These Mines Are The Most Important Achievements For The Economy Of Artsakh, For Our Company, And For The Region”, Artsakhtert.com, 31 October 2013, . 431 See Base Metals CJSC Financial Statements for the year ended 31 December 2013, 432 See “12K Tons of Ore Monthly Extracted from Drmbon Copper-Gold Mine in NK”, Arminfo.am, 23 April 2010, . 433 See Christian Garbis, “We Are Our Mountains”, 07 August 2011, 434 See “Base Metals Launches Second Mine in Artsakh; An Open-Pit Operation”, Hetq.am, 03 July 2013, . 435 See “Artsakh Official: “Base Metals to Operate Kashen Copper Mine for at Least 25 Years”, Hetq.am, 02 July 2012, . 436 See “55 Million Tons, And It Is Not The Upper Limit”, Artsakhtert.com, 02 July 2013, ; “These Mines Are The Most Important Achievements For The Economy Of Artsakh, For Our Company, And For The Region”, Artsakhtert.com, 31 October 2013, . 437 See “These Mines Are The Most Important Achievements For The Economy Of Artsakh, For Our Company, And For The Region”, Artsakhtert.com, 31 October 2013, . 438 See “Over $70mln invested in Kashen cooper mine in Karabakh so far”, Arka.am, 10 November 2014, . 70
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Contents A. Introduction 5 B. Execu
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A. Introduction At the end of 1987,
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The OSCE Minsk Group co-chairmen co
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B. Executive Summary The examined e
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Armenian statistical information sh
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thus profit from and support the oc
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programmes that ultimately serve th
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the field commanders. 20 S.Ohanyan
Page 20 and 21: II. Continued attempts of Armenia t
Page 22 and 23: the country’s president.” 44 Ar
Page 24 and 25: the NKR.” 58 According to the Arm
Page 26 and 27: Armenian public to be a subsidiary
Page 28 and 29: planning, development of collaborat
Page 30 and 31: Settlement activities in the occupi
Page 32 and 33: and mechanical growth. 134 In 2001,
Page 34 and 35: the separatist regime Arthur Aghabe
Page 36 and 37: Orientation for the newly arrived S
Page 38 and 39: There are reports that Syrian Armen
Page 40 and 41: Armenia’s Dorozhnik LLC company i
Page 42 and 43: as of 2013. Thus, for example, whil
Page 44 and 45: X. Providing products, investments,
Page 46 and 47: in Armenia lack sufficient financia
Page 48 and 49: consists of public figures and busi
Page 50 and 51: percent shares of Armenia's Armswis
Page 52 and 53: Armenia’s Prime Minister Hovik Ab
Page 54 and 55: “Kataro” wine production facili
Page 56 and 57: It is difficult to determine the ac
Page 58 and 59: The Asmaryan family from Syria work
Page 60 and 61: Former Prime Minister Tigran Sargsy
Page 62 and 63: Bako Sahakyan visits agricultural f
Page 64 and 65: Armenia is particularly interested
Page 66 and 67: President of Armenia visits “Trgh
Page 68 and 69: Wheat and other crops harvested in
Page 72 and 73: Caterpillar heavy machines are used
Page 74 and 75: 270 tons 460 ). Extracted unprocess
Page 76 and 77: Unprocessed ore form Soyudlu gold m
Page 78 and 79: acquainted with the works there. 48
Page 80 and 81: Prime Minister of Armenia Hovik Abr
Page 82 and 83: As far as gold is concerned, Armeni
Page 84 and 85: protection) in the Bashitchay Natio
Page 86 and 87: As of 2015, approximately 460 mines
Page 88 and 89: Juma Mosque in the occupied city of
Page 90 and 91: E. Obligations and Responsibility u
Page 92 and 93: should follow the UN Guiding Princi
Page 94 and 95: No exception or provision for derog
Page 96 and 97: the invoked laws cannot be consider
Page 98 and 99: “One of the cornerstones of the l
Page 100 and 101: Serious breaches of obligations und
Page 102 and 103: Nagorno-Karabakh was unilaterally d
Page 104 and 105: A large number of domestic criminal
Page 106 and 107: F. Urgent Measures to Cease and Rev
Page 108: G. ANNEXES Original designations of
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