Ukraine aligns its national mineral resources classification system to an improved UNFC

Ukraine is a country richly endowed with mineral resources. The minerals-based industries contribute approximately 10% of the GDP of Ukraine. The value of exports of mineral products and metals make up about 39.6% of the value of total commodity exports.

The mining and metals sectors will continue to be a significant player in Ukraine’s economy well into the future. Ukraine is a leading producer of many critical materials required for green technologies such as gallium, titanium, nickel, manganese and uranium.  Effective management of Ukraine’s mineral resources is therefore essential to maintain growth and ensure that the benefits accrue to the country’s sustainable development.

Since 1997, Ukraine has mandated the use of the United Nations Framework Classification for Resources (UNFC) as the foundation of its national resource management. Ukraine’s Classification of Mineral Reserves and Resources based on UNFC-1997 was approved by the regulation of the Cabinet of Ministers of Ukraine on 5 May 1997. Since then this system has served Ukraine well for its national resource management.

Since 1997, UNECE has simplified UNFC and broadened its scope of application to encompass all resources including minerals, petroleum, renewable energy, injection projects for storage of carbon dioxide, and anthropogenic resources. This broadened use of UNFC has coincided with the adoption of the 2030 Agenda for Sustainable Development, thereby prompting UNFC to include additional guidelines on social and environmental considerations in resource management.

On 19 September 2018, Ukraine amended its national classification to be aligned with the latest version of UNFC. This amendment makes Ukraine’s classification up-to-date with international standards and comparable globally.

“With this change, Ukraine’s national resource management will be fully aligned to international best practices”, said Professor Rudko I. Georgii, Chairman of the State Commission of Ukraine on Mineral Resources. “This will ensure that Ukraine will be fully adopting the project maturity model in mineral resource management and the projects capable of attracting investments”.

“We welcome this change, as it will adapt Ukraine’s mineral resource management system to the objectives of the 2030 Agenda on Sustainable Development”, said Scott Foster, Director, Sustainable Energy Division, UNECE. “The current revisions of UNFC, that are reflected in the latest amendment will ensure that the mineral wealth of Ukraine will contribute not just to economic development but also to social and environmental goals.”

UNFC is a comprehensive system for the management of all resources that are needed for sustainable development, primarily to support policy formulation, national resource management, company business process innovation and efficient capital allocation.

For further information on UNFC, please visit: http://www.unece.org/energy/se/reserves.html