NAIROBI, July 24. /TASS/. Burkina Faso may provide tax breaks or other incentives for Russian gold mining company Nordgold amid new restrictions placed on foreign companies in the latest version of the country’s mining code, Russian Ambassador to Burkina Faso Igor Martynov said in an interview with TASS.

The diplomat said that earlier, he sat in on a meeting between President of Burkina Faso Ibrahim Traore and the management of Nordgold, which is operating in the country despite difficulties related to ensuring security at and near mines.

"During the meeting, the Burkina Faso government’s recently passed changes to the mining code were discussed. It was noted that the amendments could negatively influence the economic viability of the Russian company and its profitability. On his end, the president explained that the government’s decision was related to the need to increase government revenue and fill out the country’s gold and foreign currency reserves amid an anti-terrorist operation being carried out. He also pledged to ask mining experts about the possibility of providing preferences to Russians," the ambassador said.

On July 18, the leadership of Burkina Faso greenlighted amendments to the Mining Code enabling the state to increase share in mining companies to 15%. Moreover, a number of new policies are being introduced, including that mining firms attract local investors and refine up to 50% of crude materials produced inside the country.

Nordgold operates several gold mines in Russia and other countries, with headquarters located in Moscow. In Yakutia the company is developing the Gross cluster in the Olyokminsk region, which unites the Gross and Taborny operating mines, as well as promising development projects.