L. Fituni, I. Abramova Resource Potential of Africa and Russia's ...

sector accounted alone for about 20% of the country’s GDP, while
the rest 10% are accounted for by production of coal, ferrous and
non-ferrous metals and non-metal minerals. According to estimates
by the IMF and The World Bank, Russia’s oil and gas sector accounted
for 64% of Russia’s export revenues in 2007 and 30% of all
foreign direct investment (FDI) in the country. 32 The metallurgical
sector accounted for about 5% of the GDP, 18% of industrial production,
and 15% of exports. In 2010, 1,043,000 workers that made
up 1.6% of the labor force were engaged in mining. 33
Russia, however, ranked among the lower 20% of mineral extracting
countries in its per capita consumption of metals. Domestic
consumption of mineral products was increasing, however. Growth
in domestic demand took place because of increased demand in the
fuel, domestic machine manufacturing, and transport sectors. Owing
to the need in these sectors for high-quality metals or a specific assortment
of products not produced domestically, such as zinc-coated
and alloyed steels and a variety of steel pipes, these industries still
imported a percentage of these metal products .
In 2007, out of total of 849.5 billion rubles ($33.21 billion) invested
in fixed capital for medium- and large-scale organizations
engaged in the extractive industries, 774.5 billion rubles ($30.28
billion) was invested in the fuel sector and the remaining 75 billion
rubles ($2.9 billion) was invested in the non-fuel mineral extraction
sector. Investment in fixed capital in the mineral extraction sector
accounted for 17.3% of total capital investment, of which investment
in the fuel sector made up 15.8%, and in the non-fuel minerals
sector, 1.5%. 34
At the end of 2007, Russia had 16,100 enterprises engaged in
mining and quarrying, which was an 8.7% increase compared with
the number of enterprises in the previous year Russia had more than
100 large-capacity mining and beneficiation and mining and metallurgical
enterprises that mined and processed ferrous and nonferrous
metals. The country had 238 coal mining enterprises, which mined
coal at 104 underground mines and 134 open pits. Coal processing
took place at 42 beneficiation plants, 27 beneficiation installations,
and 17 sorting stations. Almost all coal mining enterprises were pri-
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