The Russian Federation Subsoil Resources Agency issued an order regarding early license termination of Uralneft entitling the former to Krasnoufimskiy land patch beginning from October 1, 2007, the Agency’s Licensing Department said to UrBC. In the little time they have, the company has to have the area re-vegetated and wells shut down.

The license was actually cancelled because Uralneft actually dealt in illegal oil production, reaching an output of 6,000 tons a year, whereas its license only stated that the company was allowed to engage in some experimental-industrial activity as far as Krasnoufimskiy patch was concerned. Uralneft had been repeatedly requested to stop producing oil, but some inspections revealed that this was not complied with.