Pursuant to paragraph 2.1 of Decree No. 205 of the President of the Republic of Azerbaijan "On measures to improve the use of the subsoil, its protection and management mechanisms and strengthen state control in this area" dated 16 July 2018, the State Agency for the Use of Mineral Resources under the Ministry of Ecology and Natural Resources of the Republic of Azerbaijan (hereinafter referred to as the Agency) is a public legal entity regulating the types of subsoil use provided for in the Law of the Republic of Azerbaijan "On Subsoil", exercising control over compliance with legislation, existing standards and requirements pertaining to subsoil use and protection, organizing competitions and auctions on subsoil use and providing services in this area. Pursuant to paragraph 5.6 of the Decree, the Ministry of Ecology and Natural Resources of the Republic of Azerbaijan annually prepares a list of subsoil areas to be put up for competition and auction and posts it on the Ministry's official website, thereby ensuring the use of subsoil in a free competitive environment.

Pursuant to paragraph 3.1.9 of Decree No. 613 of the President of the Republic of Azerbaijan "On the activities of the State Agency for the Use of Mineral Resources" dated 9 April 2019, in accordance with the directions of activity defined in its Charter, the Agency is responsible for preparing a list of subsoil areas to be put up for competition and auction each year, posting it on the official website of the Ministry, holding competitions and auctions, thereby ensuring the use of subsoil in a free competitive environment.

In 2021, the Agency began to put into operation subsoil areas with proven mineral reserves through auctions and competitions.