Russian President Dmitry Medvedev Friday signed a federal law giving the government the right to allocate licenses to develop oil and gas deposits on the continental shelf without auctions, the news agency Prime-Tass reported.
The law effectively gives the government-controlled oil and gas majors OAO Gazprom (GAZP.RS) and OAO Rosneft (ROSN.RS) exclusive rights to the development of the deposits.
"The continental shelf is our national wealth," Medvedev said. The law aims to ensure that the national wealth is used rationally, he said.
Deputy Prime Minister Igor Sechin told Medvedev that only Russian companies that are controlled by the government are eligible to develop the continental shelf. These companies must have five years of experience working on the shelf.
The Siberian Shelf in the Arctic Sea is Russia's largest shelf with strategic importance because of its oil and natural gas reserves.