The Mines and Minerals (Development and Regulation) Act, 1957
Administered Ministry: Ministry of Mines
Section
Section 10BA Grant of exploration licence for minerals specified in Seventh Schedule through auction.
1[2[10BA. Grant of exploration licence for minerals specified in Seventh Schedule through auction.--- (1) The provisions of this section shall not apply to---
(a) the areas covered under section 17A;
(b) the minerals specified in Part A of the First Schedule;
(c) the minerals specified in Part B of the First Schedule where the grade of atomic mineral is equal to or greater than such threshold value as may be notified by the Central Government from time to time;
(d) any land in respect of which the minerals do not vest in the Government.
(2) Notwithstanding anything contained in sections 10B and 11, an exploration licence may be granted in any area by the State Government for the purpose of undertaking reconnaissance or prospecting operations or both in respect of any mineral specified in the Seventh Schedule.
(3) The Central Government may, by notification in the Official Gazette, and for reasons to be recorded in writing, amend the Seventh Schedule so as to modify the entries therein with effect from such date as may be specified in the said notification.
(4) The State Government shall, after obtaining the previous approval of the Central Government, and in such manner as may be prescribed by the Central Government, notify the areas in which exploration licence shall be granted, subject to such terms and conditions as may be specified in the notification.
(5) The Central Government may require the State Government to notify the area for grant of exploration licence within such period as may be fixed in consultation with the State Government, and in case the State Government does not notify the area within such period, the Central Government may, after the expiry of the period so fixed, notify the area for grant of exploration licence.
(6) The State Government shall, for the purpose of granting exploration licence through auction by method of competitive bidding, including e-auction, select an applicant who fulfils the eligibility conditions as specified in this Act and grant exploration licence to such applicant.
(7) Where---
(a) the State Government has not successfully completed auction for the grant of exploration licence; or
(b) after completion of auction, the exploration licence or letter of intent for grant of exploration licence has been terminated or lapsed for any reason whatsoever, the Central Government may require the State Government to conduct and complete the auction or re-auction process, as the case may be, within such period as may be fixed in consultation with the State Government, and in cases where such auction or re-auction process is not completed within such period, the Central Government may, after the expiry of the period so fixed, conduct auction for the grant of exploration licence for such area:
Provided that upon successful completion of the auction, the Central Government shall intimate the details of the preferred bidder in the auction to the State Government and the State Government shall grant exploration licence for such area to such preferred bidder in such manner as may be prescribed by the Central Government.
(8) The holder of exploration licence shall be entitled to a share of applicable amount quoted in the auction of ining leases payable by the lessee to the State Government in respect of the area granted in mining lease pursuant to the prospecting operations undertaken by the holder of such exploration licence:
Provided that the share in applicable amount payable to the holder of exploration licence by the lessee of such area shall be allowed only in respect of the minerals specified in the Seventh Schedule.
(9) The Central Government shall by rules provide for the manner of conducting auction for grant of exploration licence, including its terms and conditions, the bidding parameters for selection, share payable to the holder of exploration licence from out of the applicable amount quoted in auction of mining leases payable by the lessee of such area, the period for such payment and such other conditions as may be necessary.
(10) Notwithstanding anything contained in section 7,---
(a) the exploration licence shall be granted for a period of five years from the date of execution of the exploration licence;
(b) if, after three years from the date of execution of exploration licence, but before the date of its expiry, the holder of the exploration licence makes an application for the extension of the period of that licence, the State Government may, on being satisfied that within the period of five years, it shall not be possible for the holder of such licence to complete the reconnaissance or prospecting operations for reasons beyond his control, extend the said period to a further period not exceeding two years.
(11) After three years from the date of execution of the exploration licence, the holder of such licence may retain an area not exceeding twenty-five per cent. of the total area covered under that licence for the purpose of continuing reconnaissance or prospecting operations and shall surrender the remaining area after submitting a report to the State Government stating the reasons for retention of the area proposed to be retained by him and the boundaries of that area.
(12) The holder of the exploration licence shall, within three months of the completion of the operations for which licence has been granted, or of the date of expiry of the exploration licence, whichever is earlier, submit a geological report to the State Government explaining the result of the reconnaissance and prospecting operations, in such manner as may be prescribed.
(13) If the holder of the exploration licence fails to complete the reconnaissance and prospecting operations before expiry of the exploration licence, or fails to submit the geological report within the period specified in sub-section (12), the State Government may take such action as it deems fit, including imposition of penalty.
(14) Within six months from the date of receipt of the geological report from the holder of the exploration licence, the Central Government or the State Government shall initiate the auction process for grant of one or more separate mining leases under section 10B or section 11 or section 11D, as the case may be, in respect of the area where existence of mineral content is established and shall select the preferred bidder for grant of such mining leases within one year from the date of receipt of the geological report:
Provided that in case the preferred bidder is not selected within the period so specified, the State Government shall pay to the person who was the holder of exploration licence such amount, and in such manner, as may be prescribed.]]
(a) the areas covered under section 17A;
(b) the minerals specified in Part A of the First Schedule;
(c) the minerals specified in Part B of the First Schedule where the grade of atomic mineral is equal to or greater than such threshold value as may be notified by the Central Government from time to time;
(d) any land in respect of which the minerals do not vest in the Government.
(2) Notwithstanding anything contained in sections 10B and 11, an exploration licence may be granted in any area by the State Government for the purpose of undertaking reconnaissance or prospecting operations or both in respect of any mineral specified in the Seventh Schedule.
(3) The Central Government may, by notification in the Official Gazette, and for reasons to be recorded in writing, amend the Seventh Schedule so as to modify the entries therein with effect from such date as may be specified in the said notification.
(4) The State Government shall, after obtaining the previous approval of the Central Government, and in such manner as may be prescribed by the Central Government, notify the areas in which exploration licence shall be granted, subject to such terms and conditions as may be specified in the notification.
(5) The Central Government may require the State Government to notify the area for grant of exploration licence within such period as may be fixed in consultation with the State Government, and in case the State Government does not notify the area within such period, the Central Government may, after the expiry of the period so fixed, notify the area for grant of exploration licence.
(6) The State Government shall, for the purpose of granting exploration licence through auction by method of competitive bidding, including e-auction, select an applicant who fulfils the eligibility conditions as specified in this Act and grant exploration licence to such applicant.
(7) Where---
(a) the State Government has not successfully completed auction for the grant of exploration licence; or
(b) after completion of auction, the exploration licence or letter of intent for grant of exploration licence has been terminated or lapsed for any reason whatsoever, the Central Government may require the State Government to conduct and complete the auction or re-auction process, as the case may be, within such period as may be fixed in consultation with the State Government, and in cases where such auction or re-auction process is not completed within such period, the Central Government may, after the expiry of the period so fixed, conduct auction for the grant of exploration licence for such area:
Provided that upon successful completion of the auction, the Central Government shall intimate the details of the preferred bidder in the auction to the State Government and the State Government shall grant exploration licence for such area to such preferred bidder in such manner as may be prescribed by the Central Government.
(8) The holder of exploration licence shall be entitled to a share of applicable amount quoted in the auction of ining leases payable by the lessee to the State Government in respect of the area granted in mining lease pursuant to the prospecting operations undertaken by the holder of such exploration licence:
Provided that the share in applicable amount payable to the holder of exploration licence by the lessee of such area shall be allowed only in respect of the minerals specified in the Seventh Schedule.
(9) The Central Government shall by rules provide for the manner of conducting auction for grant of exploration licence, including its terms and conditions, the bidding parameters for selection, share payable to the holder of exploration licence from out of the applicable amount quoted in auction of mining leases payable by the lessee of such area, the period for such payment and such other conditions as may be necessary.
(10) Notwithstanding anything contained in section 7,---
(a) the exploration licence shall be granted for a period of five years from the date of execution of the exploration licence;
(b) if, after three years from the date of execution of exploration licence, but before the date of its expiry, the holder of the exploration licence makes an application for the extension of the period of that licence, the State Government may, on being satisfied that within the period of five years, it shall not be possible for the holder of such licence to complete the reconnaissance or prospecting operations for reasons beyond his control, extend the said period to a further period not exceeding two years.
(11) After three years from the date of execution of the exploration licence, the holder of such licence may retain an area not exceeding twenty-five per cent. of the total area covered under that licence for the purpose of continuing reconnaissance or prospecting operations and shall surrender the remaining area after submitting a report to the State Government stating the reasons for retention of the area proposed to be retained by him and the boundaries of that area.
(12) The holder of the exploration licence shall, within three months of the completion of the operations for which licence has been granted, or of the date of expiry of the exploration licence, whichever is earlier, submit a geological report to the State Government explaining the result of the reconnaissance and prospecting operations, in such manner as may be prescribed.
(13) If the holder of the exploration licence fails to complete the reconnaissance and prospecting operations before expiry of the exploration licence, or fails to submit the geological report within the period specified in sub-section (12), the State Government may take such action as it deems fit, including imposition of penalty.
(14) Within six months from the date of receipt of the geological report from the holder of the exploration licence, the Central Government or the State Government shall initiate the auction process for grant of one or more separate mining leases under section 10B or section 11 or section 11D, as the case may be, in respect of the area where existence of mineral content is established and shall select the preferred bidder for grant of such mining leases within one year from the date of receipt of the geological report:
Provided that in case the preferred bidder is not selected within the period so specified, the State Government shall pay to the person who was the holder of exploration licence such amount, and in such manner, as may be prescribed.]]
1. Ins. by Act 10 of 2015, s. 10 (w.e.f. 12-1-2015).
2. Ins. by Act 16 of 2023, s. 9 (w.e.f. 17-8-2023).
2. Ins. by Act 16 of 2023, s. 9 (w.e.f. 17-8-2023).
Section 10C Omitted.
10C. [Grant of non-exclusive reconnaissance permits.] Omitted by the Mines and Minerals (Development and Regulation) Amendment Act, 2021, s. 16 (w.e.f. 28-3-2021).
Section 11 Grant of composite licence through auction in respect of minerals other than notified minerals.
1[11. Grant of 2[composite licence] through auction in respect of minerals other than notified minerals.-- 3[(1) The provisions of this section shall not apply to the,--
(a) cases falling under section 17A;
(b) minerals specified in Part A of the First Schedule;
(c) minerals specified in Part B of the First Schedule where the grade of atomic mineral is equal to or greater than such threshold value as maybe notified by the Central Government from time to time; or
(d) land in respect of which the minerals do not vest in the Government.]
(2) In areas where there is evidence to show the existence of mineral contents as required by clause (a) of sub-section (2) of section 5, the State Government shall grant a mining lease for minerals other than notified minerals following the procedure laid down in section 10B.
(3) In areas where there is inadequate evidence to show the existence of mineral contents as required under clause (a) of sub-section (2) of section 5, the State Government shall grant a 2[composite licence] for minerals other than notified minerals in accordance with the procedure laid down in this section.
(4) The State Government shall notify the areas in which 2[composite licence] shall be granted for any minerals other than notified minerals, the terms and conditions subject to which such 2[composite licence] shall be granted, and any other relevant conditions, in such manner as may be prescribed by the Central Government.
4[Provided that where the State Government has not notified such area for grant of Composite licence of any mineral (whether notified mineral or otherwise), the Central Government may require the State Government to notify such area within a period to be fixed inconsultation with the State Government and in cases where the notification is not issued within such period, the Central Government may notify such area for grant of Composite licence after the expiry of the period so specified.]
(5) For the purpose of granting 2[composite licence], the State Government shall select, through auction by method of competitive bidding, including e-auction, an applicant who fulfils the eligibility conditions as specified in this Act.
4[Provided that--
(a) where the State Government has not successfully completed auction for the purpose of granting a composite licence in respect of any mineral (whether notified mineral or otherwise) in such notified area; or
(b) upon completion of such auction, the composite licence or letter of intent for grant of composite licence has been terminated or lapsed for any reason whatsoever,
the Central Government may require the State Government to conduct and complete the auction or reauction process, as the case may be, within a period to be fixed in consultation with the State Government and in cases where such auction or re-auction process is not completed within such period, the Central Government may conduct auction for grant of composite licence for such area after the expiry of the period so specified:
Provided further that upon successful completion of the auction, the Central Government shall intimate the details of the preferred bidder in the auction to the State Government and the State Government shall grant composite licence for such area to such preferred bidder in such manner as may be prescribed by the Central Government.]
(6) The Central Government shall prescribe the terms and conditions, and procedure, subject to which the auction shall be conducted, including the bidding parameters for the selection, which may include a share in the production of the mineral, or any payment linked to the royalty payable, or any other relevant parameter, or any combination or modification of them.
(7) Without prejudice to the generality of sub-section (6), the Central Government shall, if it is of the opinion that it is necessary and expedient to do so, prescribe terms and conditions, procedure and bidding parameters in respect of categories of minerals, size and area of mineral deposits and a State or States, subject to which the auction shall be conducted.
(8) The State Government shall grant a 2[composite licence] to an applicant selected in accordance with the procedure laid down in this section.
(9) The holder of a 2[composite licence] shall be required to complete, within the period laid down in section 7, the prospecting operations satisfactorily as specified in the notice inviting applications.
5[(10) On completion of the prospecting operations, the holder of the composite licence shall submit the result of the prospecting operations in the form of a geological report to the State Government specifying the area required for mining lease and the State Government shall grant mining lease for such area, to the holder of the composite licence in such manner as may be prescribed by the Central Government.]]
(a) cases falling under section 17A;
(b) minerals specified in Part A of the First Schedule;
(c) minerals specified in Part B of the First Schedule where the grade of atomic mineral is equal to or greater than such threshold value as maybe notified by the Central Government from time to time; or
(d) land in respect of which the minerals do not vest in the Government.]
(2) In areas where there is evidence to show the existence of mineral contents as required by clause (a) of sub-section (2) of section 5, the State Government shall grant a mining lease for minerals other than notified minerals following the procedure laid down in section 10B.
(3) In areas where there is inadequate evidence to show the existence of mineral contents as required under clause (a) of sub-section (2) of section 5, the State Government shall grant a 2[composite licence] for minerals other than notified minerals in accordance with the procedure laid down in this section.
(4) The State Government shall notify the areas in which 2[composite licence] shall be granted for any minerals other than notified minerals, the terms and conditions subject to which such 2[composite licence] shall be granted, and any other relevant conditions, in such manner as may be prescribed by the Central Government.
4[Provided that where the State Government has not notified such area for grant of Composite licence of any mineral (whether notified mineral or otherwise), the Central Government may require the State Government to notify such area within a period to be fixed inconsultation with the State Government and in cases where the notification is not issued within such period, the Central Government may notify such area for grant of Composite licence after the expiry of the period so specified.]
(5) For the purpose of granting 2[composite licence], the State Government shall select, through auction by method of competitive bidding, including e-auction, an applicant who fulfils the eligibility conditions as specified in this Act.
4[Provided that--
(a) where the State Government has not successfully completed auction for the purpose of granting a composite licence in respect of any mineral (whether notified mineral or otherwise) in such notified area; or
(b) upon completion of such auction, the composite licence or letter of intent for grant of composite licence has been terminated or lapsed for any reason whatsoever,
the Central Government may require the State Government to conduct and complete the auction or reauction process, as the case may be, within a period to be fixed in consultation with the State Government and in cases where such auction or re-auction process is not completed within such period, the Central Government may conduct auction for grant of composite licence for such area after the expiry of the period so specified:
Provided further that upon successful completion of the auction, the Central Government shall intimate the details of the preferred bidder in the auction to the State Government and the State Government shall grant composite licence for such area to such preferred bidder in such manner as may be prescribed by the Central Government.]
(6) The Central Government shall prescribe the terms and conditions, and procedure, subject to which the auction shall be conducted, including the bidding parameters for the selection, which may include a share in the production of the mineral, or any payment linked to the royalty payable, or any other relevant parameter, or any combination or modification of them.
(7) Without prejudice to the generality of sub-section (6), the Central Government shall, if it is of the opinion that it is necessary and expedient to do so, prescribe terms and conditions, procedure and bidding parameters in respect of categories of minerals, size and area of mineral deposits and a State or States, subject to which the auction shall be conducted.
(8) The State Government shall grant a 2[composite licence] to an applicant selected in accordance with the procedure laid down in this section.
(9) The holder of a 2[composite licence] shall be required to complete, within the period laid down in section 7, the prospecting operations satisfactorily as specified in the notice inviting applications.
5[(10) On completion of the prospecting operations, the holder of the composite licence shall submit the result of the prospecting operations in the form of a geological report to the State Government specifying the area required for mining lease and the State Government shall grant mining lease for such area, to the holder of the composite licence in such manner as may be prescribed by the Central Government.]]
1. Subs. by Act 10 of 2015, s. 11, for section 11 (w.e.f. 12-1-2015).
2. Subs. by Act 16 of 2021, s. 2, for "prospecting licence-cum-mining lease" (w.e.f. 28-3-2021).
3. Subs. by s. 16, ibid., for sub-section (1) (w.e.f. 28-3-2021).
4. Ins. by s. 16, ibid. (w.e.f. 28-3-2021).
5. Subs. by Act 16 of 2021, s. 16, for sub-section (10) (w.e.f. 28-3-2021).
2. Subs. by Act 16 of 2021, s. 2, for "prospecting licence-cum-mining lease" (w.e.f. 28-3-2021).
3. Subs. by s. 16, ibid., for sub-section (1) (w.e.f. 28-3-2021).
4. Ins. by s. 16, ibid. (w.e.f. 28-3-2021).
5. Subs. by Act 16 of 2021, s. 16, for sub-section (10) (w.e.f. 28-3-2021).
Section 11A Granting of mineral concession or composite licence in respect of coal or lignite. 1 docs
2[11A. Granting of 1[mineral concession] 3[or 4[composite licence] in respect of coal or lignite].--- (1) Notwithstanding anything contained in this Act, the Central Government may, for the purpose of granting 1[mineral concession] 5[or 4[composite licence] in respect of coal or lignite] select any of the following companies through auction by competitive bidding, on such terms and conditions as may be prescribed, namely: ---
(a) a Government company or corporation or a joint venture company formed by such company or corporation or between the Central Government or the State Government, as the case may be, or any other company incorporated in India; or
(b) a company or a joint venture company formed by two or more companies,
6[to carry on coal or lignite reconnaissance or prospecting or mining operations, for own consumption, sale or for any other purpose as may be determined by the Central Government;]
7[Provided that the auction by competitive bidding under this section shall not be applicable to coal or lignite---
(a) where such area is considered for allotment to a Government company or corporation or a joint venture company formed by such company or corporation or between the Central Government or the State Government, as the case may be, for own consumption, sale or for any other purpose as may be determined by the Central Government;
(b) where such area is considered for allotment to a company or corporation that has been awarded a power project on the basis of competitive bid for tariff (including Ultra Mega Power Projects);]
(2) The Central Government may, with a view to rationalise coal and lignite mines referred to in sub-section (1), so as to ensure the coordinated and scientific development and utilisation of resources consistent with the growing requirements of the country, from time to time, prescribe---
(i) the details of mines and their location;
(ii) the minimum size of such mines;
(iii) such other conditions,
which in the opinion of that Government may be necessary for the purpose of mining operations or mining for sale by a company.
(3) The State Government shall grant such 8[mineral concession] 9[or 10[composite licence]] in respect of any area containing coal or lignite to such company as selected through auction by 11[competitive bidding or through allotment] under this section:
Provided that the auction by competitive bidding under this section shall not be applicable to an area containing coal or lignite---
(a) where such area is considered for allocation to a Government company or corporation or a joint venture company formed by such company or corporation or between the Central Government or the State Government, as the case may be;
(b) where such area is considered for allocation to a company or corporation or that has been awarded a power project on the basis of competitive bids for tariff (including Ultra Mega Power Projects).
Explanation.--- For the purposes of this section, "company" means a company as defined in clause (20) of section 2 of the Companies Act, 2013 (18 of 2013).]
(a) a Government company or corporation or a joint venture company formed by such company or corporation or between the Central Government or the State Government, as the case may be, or any other company incorporated in India; or
(b) a company or a joint venture company formed by two or more companies,
6[to carry on coal or lignite reconnaissance or prospecting or mining operations, for own consumption, sale or for any other purpose as may be determined by the Central Government;]
7[Provided that the auction by competitive bidding under this section shall not be applicable to coal or lignite---
(a) where such area is considered for allotment to a Government company or corporation or a joint venture company formed by such company or corporation or between the Central Government or the State Government, as the case may be, for own consumption, sale or for any other purpose as may be determined by the Central Government;
(b) where such area is considered for allotment to a company or corporation that has been awarded a power project on the basis of competitive bid for tariff (including Ultra Mega Power Projects);]
(2) The Central Government may, with a view to rationalise coal and lignite mines referred to in sub-section (1), so as to ensure the coordinated and scientific development and utilisation of resources consistent with the growing requirements of the country, from time to time, prescribe---
(i) the details of mines and their location;
(ii) the minimum size of such mines;
(iii) such other conditions,
which in the opinion of that Government may be necessary for the purpose of mining operations or mining for sale by a company.
(3) The State Government shall grant such 8[mineral concession] 9[or 10[composite licence]] in respect of any area containing coal or lignite to such company as selected through auction by 11[competitive bidding or through allotment] under this section:
Provided that the auction by competitive bidding under this section shall not be applicable to an area containing coal or lignite---
(a) where such area is considered for allocation to a Government company or corporation or a joint venture company formed by such company or corporation or between the Central Government or the State Government, as the case may be;
(b) where such area is considered for allocation to a company or corporation or that has been awarded a power project on the basis of competitive bids for tariff (including Ultra Mega Power Projects).
Explanation.--- For the purposes of this section, "company" means a company as defined in clause (20) of section 2 of the Companies Act, 2013 (18 of 2013).]
1. Subs. by Act 16 of 2021, s. 2, "reconnaissance permit, prospecting licence or mining lease" (w.e.f. 28-3-2021).
2. Subs. by Act 11 of 2015, s. 28 and the Fourth Schedule, for section 11A (w.e.f. 21-10-2014).
3. Ins. by Act 2 of 2020, s. 7 (w.e.f. 10-1-2020).
4. Subs. by Act 16 of 2021, s. 2, for "prospecting licence-cum-mining lease" (w.e.f. 28-3-2021).
5. Subs. by Act 2 of 2020, s. 7, for "in respect of any area containing coal or lignite" (w.e.f. 10-1-2020).
6. Subs. by Act 2 of 2020, s. 7, for the long line (w.e.f. 10-1-2020).
7. Ins. by s. 7, ibid. (w.e.f. 10-1-2020).
8. Subs. by Act 16 of 2021, s. 2, "reconnaissance permit, prospecting licence or mining lease" (w.e.f. 28-3-2021).
9. Ins. by Act 2 of 2020, s. 7 (w.e.f. 10-1-2020).
10.Subs. by Act 16 of 2021, s. 2, for "prospecting licence-cum-mining lease" (w.e.f. 28-3-2021).
11. Subs. by s. 7, ibid., for "competitive bidding or otherwise" (w.e.f. 10-1-2020).
2. Subs. by Act 11 of 2015, s. 28 and the Fourth Schedule, for section 11A (w.e.f. 21-10-2014).
3. Ins. by Act 2 of 2020, s. 7 (w.e.f. 10-1-2020).
4. Subs. by Act 16 of 2021, s. 2, for "prospecting licence-cum-mining lease" (w.e.f. 28-3-2021).
5. Subs. by Act 2 of 2020, s. 7, for "in respect of any area containing coal or lignite" (w.e.f. 10-1-2020).
6. Subs. by Act 2 of 2020, s. 7, for the long line (w.e.f. 10-1-2020).
7. Ins. by s. 7, ibid. (w.e.f. 10-1-2020).
8. Subs. by Act 16 of 2021, s. 2, "reconnaissance permit, prospecting licence or mining lease" (w.e.f. 28-3-2021).
9. Ins. by Act 2 of 2020, s. 7 (w.e.f. 10-1-2020).
10.Subs. by Act 16 of 2021, s. 2, for "prospecting licence-cum-mining lease" (w.e.f. 28-3-2021).
11. Subs. by s. 7, ibid., for "competitive bidding or otherwise" (w.e.f. 10-1-2020).
Section 11B Power of Central Government to make rules for regulating atomic minerals specified under Part B of First Schedule. 1 docs
1[11B. Power of Central Government to make rules for regulating atomic minerals specified under Part B of First Schedule.--The Central Government may, by notification in the Official Gazette, make rules for regulating the grant of mining leases or other mineral concessions in respect of minerals specified in Part B of the First Schedule and for purposes connected therewith, and the State Government shall grant a 2[mineral concession] in respect of any such mineral in accordance with such rules.]
1. Ins. by Act 10 of 2015, s. 12 (w.e.f. 12-1-2015).
2. Subs. by Act 16 of 2021, s. 2, "reconnaissance permit, prospecting licence or mining lease" (w.e.f. 28-3-2021).
2. Subs. by Act 16 of 2021, s. 2, "reconnaissance permit, prospecting licence or mining lease" (w.e.f. 28-3-2021).
Section 11C Power of Central Government to amend First Schedule and Fourth Schedule.
1[11C. Power of Central Government to amend First Schedule and Fourth Schedule.--The Central Government may, by notification in the Official Gazette, amend the First Schedule and the Fourth Schedule so as to add or delete any mineral as may be specified in the notification.]
1. Ins. by Act 10 of 2015, s. 12 (w.e.f. 12-1-2015).
Section 11D Central Government to conduct auction for grant of mining lease or composite licence in respect of minerals specified in Part D of First Schedule.
1[11D.Central Government to conduct auction for grant of mining lease or composite licence in respect of minerals specified in Part D of First Schedule.--(1) Notwithstanding anything contained in this Act, the Central Government shall, for the purpose of granting mining lease or composite licence in any area in respect of any mineral specified in the Part D of the First Schedule, select, through auction by method of competitive bidding, including e-auction, a preferred bidder who fulfils the eligibility conditions as specified in section 5, on such terms and conditions, and in such manner, as may be prescribed.
(2) Upon successful completion of the auction, the Central Government shall intimate the details of the preferred bidder in the auction to the State Government and the State Government shall grant mining lease or composite licence for such area, to such preferred bidder, in such manner, as may be prescribed by the Central Government.
(3) The royalty, dead rent, applicable amount quoted in the auction and any other statutory payment in relation to the mining lease or composite licence auctioned by the Central Government shall accrue to the State Government or concerned authorities, as the case may be, as if the auction has been conducted by the State Government.]
(2) Upon successful completion of the auction, the Central Government shall intimate the details of the preferred bidder in the auction to the State Government and the State Government shall grant mining lease or composite licence for such area, to such preferred bidder, in such manner, as may be prescribed by the Central Government.
(3) The royalty, dead rent, applicable amount quoted in the auction and any other statutory payment in relation to the mining lease or composite licence auctioned by the Central Government shall accrue to the State Government or concerned authorities, as the case may be, as if the auction has been conducted by the State Government.]
1. Ins. by Act 16 of 2023, s. 10 (w.e.f. 17-8-2023).
Section 12 Registers of prospecting licences and mining leases.
12. 1[Registers of mineral concession.]--- (1) The State Government shall cause to be maintained in the prescribed form---
(a) a register of applications for prospecting licences;
(b) a register of prospecting licensees;
2[(c) a register of applications for mining leases;
(d) a register of mining lessees;
(e) a register of applications for reconnaissance permits; 3***
(f) a register of reconnaissance permits,]
4[(g) a register of applications for exploration licences; and
(h) a register of exploration licence,]
in each of which shall be entered such particulars as may be prescribed.
(2) Every such register shall be open to inspection by any person on payment of such fee as the State Government may fix.
(a) a register of applications for prospecting licences;
(b) a register of prospecting licensees;
2[(c) a register of applications for mining leases;
(d) a register of mining lessees;
(e) a register of applications for reconnaissance permits; 3***
(f) a register of reconnaissance permits,]
4[(g) a register of applications for exploration licences; and
(h) a register of exploration licence,]
in each of which shall be entered such particulars as may be prescribed.
(2) Every such register shall be open to inspection by any person on payment of such fee as the State Government may fix.
1. Subs. by Act 16 of 2023, s. 11 for the marginal heading (w.e.f. 17-8-2023).
2. Subs. by Act 38 of 1999, s. 13, for clauses (c) and (d) (w.e.f. 18-12-1999).
3. The word "and" omitted by Act 16 of 2023, s. 11 (w.e.f. 17-8-2023).
4. Ins. by Act 16 of 2023, s. 11 (w.e.f. 17-8-2023).
2. Subs. by Act 38 of 1999, s. 13, for clauses (c) and (d) (w.e.f. 18-12-1999).
3. The word "and" omitted by Act 16 of 2023, s. 11 (w.e.f. 17-8-2023).
4. Ins. by Act 16 of 2023, s. 11 (w.e.f. 17-8-2023).
Section 12A Transfer of mineral concessions.
1[12A. Transfer of mineral concessions.--- (1) The provisions of this section shall not apply to minerals specified in Part A or Part B of the First Schedule.
(2) A holder of a mining lease or a 2[composite licence 3 [or exploration licence]] granted in accordance with the procedure laid down in 4[this Act] may, with the previous approval of the State Government, transfer his mining lease or 2[composite licence 3[or exploration licence]], as the case may be, in such manner as may be prescribed by the Central Government, to any person eligible to hold such mining lease or 2[composite licence3[or exploration licence]] in accordance with the provisions of this Act and the rules made thereunder.
5[Provided that the transferee of mining lease shall not be required to pay the amount or transfer charges referred to in sub-section (6), as it stood prior to the commencement of the Mines and Minerals (Development and Regulation) Amendment Act, 2021, after such commencement but no refund shall be made of the charges already paid.]
(3) If the State Government does not convey its previous approval for transfer of such mining lease or 2[composite licence 3[or exploration licence]], as the case may be, within a period of ninety days from the date of receiving such notice, it shall be construed that the State Government has no objection to such transfer:
Provided that the holder of the original mining lease or 2[composite licence 3[or exploration licence]] shall intimate to the State Government the consideration payable by the successor-in-interest for the transfer, including the consideration in respect of the prospecting operations already undertaken and the reports and data generated during the operations.
(4) No such transfer of a mining lease or 2[composite licence 3[or exploration licence]], referred to in sub-section (2), shall take place if the State Government, within the notice period and for reasons to be communicated in writing, disapproves the transfer on the ground that the transferee is not eligible as per the provisions of this Act:
Provided that no such transfer of a mining lease 6[or composite licence], shall be made in contravention of any condition subject to which the mining lease or the 2[composite licence 3[or exploration licence]] was granted.
(5) All transfers effected under this section shall be subject to the condition that the transferee has accepted all the conditions and liabilities under any law for the time being in force which the transferor was subject to in respect of such a mining lease or 2[composite licence 3[or exploration licence]], as the case may be.
7* * * * *
(2) A holder of a mining lease or a 2[composite licence 3 [or exploration licence]] granted in accordance with the procedure laid down in 4[this Act] may, with the previous approval of the State Government, transfer his mining lease or 2[composite licence 3[or exploration licence]], as the case may be, in such manner as may be prescribed by the Central Government, to any person eligible to hold such mining lease or 2[composite licence3[or exploration licence]] in accordance with the provisions of this Act and the rules made thereunder.
5[Provided that the transferee of mining lease shall not be required to pay the amount or transfer charges referred to in sub-section (6), as it stood prior to the commencement of the Mines and Minerals (Development and Regulation) Amendment Act, 2021, after such commencement but no refund shall be made of the charges already paid.]
(3) If the State Government does not convey its previous approval for transfer of such mining lease or 2[composite licence 3[or exploration licence]], as the case may be, within a period of ninety days from the date of receiving such notice, it shall be construed that the State Government has no objection to such transfer:
Provided that the holder of the original mining lease or 2[composite licence 3[or exploration licence]] shall intimate to the State Government the consideration payable by the successor-in-interest for the transfer, including the consideration in respect of the prospecting operations already undertaken and the reports and data generated during the operations.
(4) No such transfer of a mining lease or 2[composite licence 3[or exploration licence]], referred to in sub-section (2), shall take place if the State Government, within the notice period and for reasons to be communicated in writing, disapproves the transfer on the ground that the transferee is not eligible as per the provisions of this Act:
Provided that no such transfer of a mining lease 6[or composite licence], shall be made in contravention of any condition subject to which the mining lease or the 2[composite licence 3[or exploration licence]] was granted.
(5) All transfers effected under this section shall be subject to the condition that the transferee has accepted all the conditions and liabilities under any law for the time being in force which the transferor was subject to in respect of such a mining lease or 2[composite licence 3[or exploration licence]], as the case may be.
1. Ins. by Act 10 of 2015, s. 13 (w.e.f. 12-1-2015).
2. Subs. by Act 16 of 2021, s. 2, for "prospecting licence-cum-mining lease" (w.e.f. 28-3-2021).
3. Ins. by Act 16 of 2023, s. 12 (w.e.f. 17-8-2023).
4. Subs. by s. 17, ibid., for "section 10B or section 11" (w.e.f. 28-3-2021).
5. Ins. by Act 16 of 2021, s. 17, (w.e.f. 28-3-2021).
6. Subs. by Act 16 of 2023, s. 12, for "or of a composite licence" (w.e.f. 17-8-2023).
7. Sub-section (6) omitted by Act 16 of 2021, s. 17, (w.e.f. 28-3-2021).
2. Subs. by Act 16 of 2021, s. 2, for "prospecting licence-cum-mining lease" (w.e.f. 28-3-2021).
3. Ins. by Act 16 of 2023, s. 12 (w.e.f. 17-8-2023).
4. Subs. by s. 17, ibid., for "section 10B or section 11" (w.e.f. 28-3-2021).
5. Ins. by Act 16 of 2021, s. 17, (w.e.f. 28-3-2021).
6. Subs. by Act 16 of 2023, s. 12, for "or of a composite licence" (w.e.f. 17-8-2023).
7. Sub-section (6) omitted by Act 16 of 2021, s. 17, (w.e.f. 28-3-2021).
Section 13 Power of Central Government to make rules in respect of minerals. 16 docs
1[RULES FOR REGULATING THE GRANT OF MINERAL CONCESSIONS]
13. Power of Central Government to make rules in respect of minerals.--- (1) The Central Government may, by notification in the Official Gazette, make rules for regulating the grant of 2[mineral concession] in respect of minerals and for purposes connected therewith.
(2) In particular, and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, namely:---
(a) the person by whom, and the manner in which, applications for 2[mineral concession] in respect of land in which the minerals vest in the Government may be made and the fees to be paid therefor;
3[(aa) the conditions as may be necessary for commencement and continuation of production by the holders of mining leases, under section 4B;
(ab) the conditions to be fulfilled by the new lessee for obtaining all necessary rights, approvals, clearances, licences and the like under the proviso to sub-section (2) of section 8B;
4* * * * *]
(b) the time within which, and the form in which, acknowledgement of the receipt of any such application may be sent;
(c) the matters which may be considered where applications in respect of the same land are received on the same day;
5[(d) the terms, conditions and process of auction by competitive bidding and allotment in respect of coal or lignite;
(da) the regulation of grant of 6[mineral concession] or 7[composite licence] in respect of coal or lignite;
(db) the details of mines and their location, the minimum size of such mines and such other conditions which may be necessary for the purpose of coal or lignite reconnaissance, prospecting or mining operations;
(dc) utilisation of coal or lignite including mining for sale by a company;]
(e) the authority by which 6[mineral concession] in respect of land in which the minerals vest in the Government may be granted;
(f) the procedure for obtaining 8[a 6[mineral concession]] in respect of any land in which the minerals vest in a person other than the Government and the terms on which, and the conditions subject to which, such 9[a permit, licence or lease] may be granted or renewed;
(g) the terms on which, and the conditions subject to which, any other 6[mineral concession] may be granted or renewed;
(h) the facilities to be afforded by holders of mining leases to persons deputed by the Government for the purpose of undertaking research or training in matters relating to mining operations;
10[(i) the fixing and collection of fees for 6[mineral concession], surface rent, security deposit, fines, other fees or charges and the time within which and the manner in which the dead rent or royalty shall be payable;]
(j) the manner in which rights of third parties may be protected (whether by payment of compensation or otherwise) in cases where any such party may be prejudicially affected by reason of any 11[reconnaissance, prospecting or mining operations];
12[(jj) parameters of existence of mineral contents under clause (a) of sub-section (2) of section 5;]
(k) the grouping of associated minerals for the purposes of section 6;
13[(ka) terms and conditions and additional amount under sub-section (2) of section 6A;]
(l) the manner in which, and the conditions subject to which, 8[a 6[mineral concession]] may be transferred;
(m) the construction, maintenance and use of roads, power transmission lines, tramways, railways, aerial ropeways, pipelines and the making of passages for water for mining purposes on any land comprised in a mining lease;
(n) the form of registers to be maintained under this Act;
14* * * * *
(p) the reports and statements to be submitted by holders of 15[mineral concession] or owners of mines and the authority to which such reports and statements shall be submitted;
(q) the period within which applications for revision of any order passed by a State Government or other authority in exercise of any power conferred by or under this Act, may be made 16[the fees to be paid therefore and the documents which shall accompany such applications] and the manner in which such applications shall be disposed of; 17***
16[(qq) the manner in which rehabilitation of flora and other vegetation such as trees, shrubs and the like destroyed by reason of any prospecting or mining operations shall be made in the same area or in any other area selected by the Central Government (whether by way of reimbursement of the cost of rehabilitation or otherwise) by the person holding the prospecting licence or mining lease;]
18[(qqa) the amount of payment to be made to the District Mineral Foundation under sub-sections (5) and (6) of section 9B;
(qqb) the manner of usage of funds accrued to the 19[National Mineral Exploration and Development Trust] under sub-section (2) of section 9C;
(qqc) the composition and functions of the 19[National Mineral Exploration and Development Trust] under sub-section (3) of section 9C;
(qqd) the manner of payment of amount to the 19[National Mineral Exploration and Development Trust] under sub-section (4) of section 9C;
(qqe) the terms and conditions subject to which mining leases shall be granted under sub-section (3) of section 10B;
(qqf) the terms and conditions, and procedure, subject to which the auction shall be conducted including the bidding parameters for the selection under sub-section (5) of section 10B;
(qqg) the time limits for various stages in processing applications for grant of 20[mineral concession under section 10B, 10BA, 11, 11A, 11B, 11D], and section 17A, and their renewals;
21* * * * *
(qqi) the terms and conditions for grant of 7[composite licence] under sub-section (4) of section 11;
(qqj) the terms and conditions, and procedure, including the bidding parameters for the selection under sub-section (6) of section 11;
22[(qqja) the terms and conditions and amount or transfer charges under the proviso to sub-section (6) of section 12A;]
23* * * * *
24[(r) the period of mining lease under sub-section (4) of section 8;
(s) the manner of sale of mineral by the holder of a mining lease under sub-section (5) of section 8;
(t) the manner of sale of mineral under-sub-section (7A) of section 8A;
26[(ta) the conditions or restrictions on imposition of tax, cess or such other levy under sub-section (1) of section 9D;]
(u) the manner for reimbursement of expenditure towards reconnaissance permits or prospecting operations under the second proviso to clause (b) of sub-section (2) of section 10A;
(v) the manner of granting mining lease to the preferred bidder under the second proviso to sub-section (4) of section 10B;
25[(va) the manner of notifying the areas for grant of exploration licence under sub-section (4) of section 10BA;
(vb) the manner of granting exploration licence to the preferred bidder under the proviso to sub-section (7) of section 10BA;
(vc) the manner of conducting auction for grant of exploration licence, the terms and conditions thereof, the bidding parameters for selection, the share payable to the holder, the period for payment and other conditions under sub-section (9) of section 10BA;
(vd) the manner of submitting geological report under sub-section (12) of section 10BA;
(ve) the amount to be paid and the manner of payment under the proviso to sub-section (14) of section 10BA;]
(w) the manner of granting composite licence to the preferred bidder under the second proviso to sub-section (5) of section 11;
(x) the manner of granting mining lease by the State Government to the holder of the composite licence under sub-section (10) of section 11;
25[(xa) the terms and conditions and the manner of selecting a preferred bidder under sub-section (1) of section 11D;
(xb) the manner of granting a mining lease or composite licence to a preferred bidder under subsection (2) of section 11D;]
13[(xc) conditions for inclusion of any mineral other than minor mineral in a lease granted in respect of a minor mineral under sub-section (5) of section 15B;]
(y) any other matter which is to be, or may be prescribed, under this Act.]
1. Subs. by Act 16 of 2023, s. 13, for Chapter heading (w.e.f. 17-8-2023).
2. Subs. by Act 16 of 2021, s. 18, for "reconnaissance permits, prospecting licences and mining leases" (w.e.f. 28-3-2021).
3. Ins. by Act 2 of 2020, s. 8 (w.e.f. 10-1-2020).
4. Cl. (ac) omitted by Act 16 of 2023, s. 14 (w.e.f. 17-8-2023).
5. Subs. by Act 2 of 2020, s. 8, for clause (d) (w.e.f. 10-1-2020).
6. Subs. by Act 16 of 2021, s. 2, for "reconnaissance permit, prospecting license or mining lease" (w.e.f. 28-3-2021).
7. Subs. by s. 2, ibid., for "prospecting licence-cum-mining lease" (w.e.f. 28-3-2021).
8. Subs. by Act 38 of 1999, s. 14, for "a prospecting licence or a mining lease" (w.e.f. 18-12-1999).
9. Subs. by s. 14, ibid., for "a licence or lease" (w.e.f. 18-12-1999).
10. Subs. by Act 37 of 1986, s. 11, for clause (i) (w.e.f. 10-2-1987).
11. Subs. by Act 38 of 1999, s. 14, for "prospecting or mining operations" (w.e.f. 18-12-1999).
12. Ins. by Act 10 of 2015, s. 14 (w.e.f. 12-1-2015).
13. Ins. by Act 28 of 2025, s. 7 (w.e.f. 1-9-2025).
14. Cl. (o) omitted by Act 37 of 1986, s. 11 (w.e.f. 10-2-1987).
15. Subs. by Act 16 of 2021, s. 2, for "reconnaissance permit, prospecting license or mining lease" (w.e.f. 28-3-2021).
16. Ins. by Act 37 of 1986, s. 11 (w.e.f. 10-2-1987).
17. The word "and" omitted by Act 10 of 2015, s. 14 (w.e.f. 12-1-2015).
18. Ins. by s. 14, ibid. (w.e.f. 12-1-2015).
19. Subs. by Act 28 of 2025, s. 7, for "National Mineral Exploration Trust" (w.e.f. 1-9-2025).
20. Subs. by Act 16 of 2023, s. 14, for the words, figures and letters "mining lease or composite licence under section 10B, 11,11A, 11B" (w.e.f. 17-8-2023).
21. Cl. (qqh) omitted by Act 16 of 2021, s. 18 (w.e.f. 28-3-2021).
22. Ins. by Act 25 of 2016, s. 4 (w.e.f. 6-5-2016).
23. Cl. (qqk) omitted by Act 16 of 2021, s. 18 (w.e.f. 28-3-2021).
24. Subs. by s. 18, ibid., for cl. (r) (w.e.f. 28-3-2021).
25. Ins. by Act 16 of 2023, s. 14 (w.e.f. 17-8-2023).
26. Ins. by Act 20 of 2026, s. 5 (w.e.f. 22-8-2026).
Section 13A Power of Central Government to make rules for grant of prospecting licences or mining leases in respect of territorial waters or continental shelf of India.
1[13A. Power of Central Government to make rules for the grant of prospecting licences or mining leases in respect of territorial waters or continental shelf of India.--- (1) The Central Government may, by notification in the Official Gazette, make rules for the grant of prospecting licences or mining leases in respect of any minerals underlying the ocean within the territorial waters or the continental shelf of India.
(2) Without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, namely:---
(a) the conditions, limitations and restrictions subject to which such prospecting licences or mining leases may be granted;
(b) regulation of exploration and exploitation of minerals within the territorial waters or the continental shelf of India;
(c) ensuring that such exploration or exploitation does not interfere with navigation and
(d) any other matter which is required to be, or may be, prescribed.]
(2) Without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, namely:---
(a) the conditions, limitations and restrictions subject to which such prospecting licences or mining leases may be granted;
(b) regulation of exploration and exploitation of minerals within the territorial waters or the continental shelf of India;
(c) ensuring that such exploration or exploitation does not interfere with navigation and
(d) any other matter which is required to be, or may be, prescribed.]
1. Ins. by Act 56 of 1972, s. 6 (w.e.f. 12-9-1972).
Section 14 [Sections 5 to 13] not to apply to minor minerals.
14. 1[Sections 5 to 13] not to apply to minor minerals.---The provisions of 1[sections 5 to 13] (inclusive) shall not apply to 2[quarry leases, mining leases or other mineral concessions] in respect of minor minerals.
1. Subs. by Act 37 of 1986, s. 12, for "sections 4 to 13" (w.e.f. 10-2-1987).
2. Subs. by Act 56 of 1972, s. 7, for "prospecting licences and mining leases" (w.e.f. 12-9-1972).
2. Subs. by Act 56 of 1972, s. 7, for "prospecting licences and mining leases" (w.e.f. 12-9-1972).
Section 15 Power of State Governments to make rules in respect of minor minerals.
(1) The State Government may, by notification in the Official Gazette, make rules for, regulating the grant of 1[quarry leases, mining leases or other mineral concessions] in respect of minor minerals and for purposes connected therewith.
2[(1A) In particular and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, namely:---
(a) the person by whom and the manner in which, applications for quarry leases, mining leases or other mineral concessions may be made and the fees to be paid therefor;
(b) the time within which, and the form in which, acknowledgement of the receipt of any such applications may be sent;
(c) the matters which may be considered where applications in respect of the same land are received within the same day;
(d) the terms on which, and the conditions subject to which and the authority by which quarry leases, mining leases or other mineral concessions may be granted or renewed;
(e) the procedure for obtaining quarry leases, mining leases or other mineral concessions;
(f) the facilities to be afforded by holders of quarry leases, mining leases or other mineral concessions to persons deputed by the Government for the purpose of undertaking research or training in matters relating to mining operations;
(g) the fixing and collection of rent, royalty, fees, dead rent, fines or other charges and the time within which and the manner in which these shall be payable;
(h) the manner in which rights of third parties may be protected (whether by way of payment of compensation or otherwise) in cases where any such party is prejudicially affected by reason of any prospecting or mining operations;
(i) the manner in which rehabilitation of flora and other vegetation such as trees, shrubs and the like destroyed by reason of any quarrying or mining operations shall be made in the same area or in any other area selected by the State Government (whether by way of reimbursement of the cost of rehabilitation or otherwise) by the person holding the quarrying or mining lease;
(j) the manner in which and the conditions subject to which, a quarry lease, mining lease or other mineral concession may be transferred;
(k) the construction, maintenance and use of roads power transmission lines, tramways, railways, serial rope ways, pipelines and the making of passage for water for mining purposes on any land comprised in a quarry or mining lease or other mineral concession;
(l) the form of registers to be maintained under this Act;
(m) the reports and statements to be submitted by holders of quarry or mining leases or other mineral concessions and the authority to which such reports and statements shall be submitted;
(n) the period within which and the manner in which and the authority to which applications for revision of any order passed by any authority under these rules may be made, the fees to be paid therefore, and the powers of the revisional authority; and
(o) any other matter which is to be, or may be, prescribed.]
(2) Until rules are made under sub-section (1), any rules made by a state Government regulating the grant of 3[quarry leases, mining leases or other mineral concessions] in respect of minor minerals which are in force immediately before the commencement of these Act shall continue in force.
4[(3) The holder of a mining lease or any other mineral concession granted under any rule made under sub-section (1) shall pay 5[royalty or dead rent, whichever is more] in respect of minor minerals removed or consumed by him or by his agent, manager, employee, contractor or sub-lessee at the rate prescribed for the time being in the rules framed by the State Government in respect of minor minerals:
Provided that the State Government shall not enhance the rate of 6[royalty or dead rent] in respect of any minor mineral for more than once during any period of 7[three] years.]
8[(4) Without prejudice to sub-sections (1), (2) and sub-section (3), the State Government may, by notification, make rules for regulating the provisions of this Act for the following, namely:--
(a) the manner in which the District Mineral Foundation shall work for the interest and benefit of persons and areas affected by mining under sub-section (2) of section 9B;
(b) the composition and functions of the District Mineral Foundation under sub-section (3) of section 9B; and
(c) the amount of payment to be made to the District Mineral Foundation by concession holders of minor minerals under section 15A.]
2[(1A) In particular and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, namely:---
(a) the person by whom and the manner in which, applications for quarry leases, mining leases or other mineral concessions may be made and the fees to be paid therefor;
(b) the time within which, and the form in which, acknowledgement of the receipt of any such applications may be sent;
(c) the matters which may be considered where applications in respect of the same land are received within the same day;
(d) the terms on which, and the conditions subject to which and the authority by which quarry leases, mining leases or other mineral concessions may be granted or renewed;
(e) the procedure for obtaining quarry leases, mining leases or other mineral concessions;
(f) the facilities to be afforded by holders of quarry leases, mining leases or other mineral concessions to persons deputed by the Government for the purpose of undertaking research or training in matters relating to mining operations;
(g) the fixing and collection of rent, royalty, fees, dead rent, fines or other charges and the time within which and the manner in which these shall be payable;
(h) the manner in which rights of third parties may be protected (whether by way of payment of compensation or otherwise) in cases where any such party is prejudicially affected by reason of any prospecting or mining operations;
(i) the manner in which rehabilitation of flora and other vegetation such as trees, shrubs and the like destroyed by reason of any quarrying or mining operations shall be made in the same area or in any other area selected by the State Government (whether by way of reimbursement of the cost of rehabilitation or otherwise) by the person holding the quarrying or mining lease;
(j) the manner in which and the conditions subject to which, a quarry lease, mining lease or other mineral concession may be transferred;
(k) the construction, maintenance and use of roads power transmission lines, tramways, railways, serial rope ways, pipelines and the making of passage for water for mining purposes on any land comprised in a quarry or mining lease or other mineral concession;
(l) the form of registers to be maintained under this Act;
(m) the reports and statements to be submitted by holders of quarry or mining leases or other mineral concessions and the authority to which such reports and statements shall be submitted;
(n) the period within which and the manner in which and the authority to which applications for revision of any order passed by any authority under these rules may be made, the fees to be paid therefore, and the powers of the revisional authority; and
(o) any other matter which is to be, or may be, prescribed.]
(2) Until rules are made under sub-section (1), any rules made by a state Government regulating the grant of 3[quarry leases, mining leases or other mineral concessions] in respect of minor minerals which are in force immediately before the commencement of these Act shall continue in force.
4[(3) The holder of a mining lease or any other mineral concession granted under any rule made under sub-section (1) shall pay 5[royalty or dead rent, whichever is more] in respect of minor minerals removed or consumed by him or by his agent, manager, employee, contractor or sub-lessee at the rate prescribed for the time being in the rules framed by the State Government in respect of minor minerals:
Provided that the State Government shall not enhance the rate of 6[royalty or dead rent] in respect of any minor mineral for more than once during any period of 7[three] years.]
8[(4) Without prejudice to sub-sections (1), (2) and sub-section (3), the State Government may, by notification, make rules for regulating the provisions of this Act for the following, namely:--
(a) the manner in which the District Mineral Foundation shall work for the interest and benefit of persons and areas affected by mining under sub-section (2) of section 9B;
(b) the composition and functions of the District Mineral Foundation under sub-section (3) of section 9B; and
(c) the amount of payment to be made to the District Mineral Foundation by concession holders of minor minerals under section 15A.]
1. Subs. by Act 56 of 1972, s. 8, for "prospecting licence and mining leases" (w.e.f. 12-9-1972).
2. Ins. by Act 37 of 1986, s. 13 (w.e.f. 10-2-1987).
3. Subs. by Act 56 of 1972, s. 8, for "prospecting licence and mining leases" (w.e.f. 12-9-1972).
4. Ins. by s. 8, ibid. (w.e.f. 12-9-1972).
5. Subs. by Act 37 of 1986, s. 13, for "royalty" (w.e.f. 10-2-1987).
6. Subs. by Act 37 of 1986, s. 13, for "royalty" (w.e.f. 10-2-1987).
7. Subs. by s. 13, ibid., for "four" (w.e.f. 10-2-1987).
8. Ins. by Act 10 of 2015, s. 15 (w.e.f. 12-1-2015).
2. Ins. by Act 37 of 1986, s. 13 (w.e.f. 10-2-1987).
3. Subs. by Act 56 of 1972, s. 8, for "prospecting licence and mining leases" (w.e.f. 12-9-1972).
4. Ins. by s. 8, ibid. (w.e.f. 12-9-1972).
5. Subs. by Act 37 of 1986, s. 13, for "royalty" (w.e.f. 10-2-1987).
6. Subs. by Act 37 of 1986, s. 13, for "royalty" (w.e.f. 10-2-1987).
7. Subs. by s. 13, ibid., for "four" (w.e.f. 10-2-1987).
8. Ins. by Act 10 of 2015, s. 15 (w.e.f. 12-1-2015).
Section 15A Power of State Government to collect funds for District Mineral Foundation in case of minor minerals.
1[15A. Power of State Government to collect funds for District Mineral Foundation in case of minor minerals.--- The State Government may prescribe the payment by all holders of concessions related to minor minerals of amounts to the District Mineral Foundation of the district in which the mining operations are carried on.]
1. Ins. by Act 10 of 2015, s. 16, (w.e.f. 12-1-2015).
Section 15B Inclusion of other minerals in mining lease.
1[15B. Inclusion of other minerals in mining lease.--- (1) A holder of a mining lease may apply to the State Government for inclusion of any other mineral in his mining lease on the basis of a geological report in relation to that lease and the State Government shall permit inclusion of such mineral within sixty days of such application, subject to the payment of such additional amount on dispatch of the included mineral as specified in the Eighth Schedule.
(2) The Central Government may, by notification in the Official Gazette, and for reasons to be recorded in writing, amend the Eighth Schedule so as to modify the entries mentioned therein with effect from such date as may be specified in the said notification.
(3) The holder of mining lease shall submit such reports or returns to the State Government and any other authority in respect of the included mineral as may be specified by the Central Government.
(4) The provision of this section shall apply for inclusion of any minor mineral in a lease granted in respect of a mineral other than minor mineral and the State Government may, by notification in the Official Gazette, specify the royalty and other payments to be made by the lessee on dispatch of such included minor mineral.
(5) Inclusion of any mineral other than minor mineral in a lease granted in respect of a minor mineral shall be made in accordance with the conditions as may be prescribed for this purpose by the Central Government and such rules may provide for all or any of the matters, namely:---
(i) the extent of presence of mineral other than minor mineral as compared to minor mineral in the lease;
(ii) termination of the lease in the interest of regulation of mines and mineral development and grant of a fresh lease in the area as a lease in respect of mineral other than minor mineral;
(iii) regulation of such lease as a lease granted for mineral other than minor minerals;
(iv) additional payment as specified in the Eighth Schedule to be made upon inclusion of a mineral other than minor mineral.
(6) Any mineral may be included under this section in a mining lease granted in respect of atomic mineral specified in Part B of the First Schedule where the grade of atomic mineral is equal to or above the notified threshold value with prior approval of the Central Government.
(7) No atomic mineral as specified in Part B of the First Schedule where the grade of atomic mineral is equal to or above the notified threshold value shall be included in the mining lease granted in respect of minerals other than such atomic minerals.]
(2) The Central Government may, by notification in the Official Gazette, and for reasons to be recorded in writing, amend the Eighth Schedule so as to modify the entries mentioned therein with effect from such date as may be specified in the said notification.
(3) The holder of mining lease shall submit such reports or returns to the State Government and any other authority in respect of the included mineral as may be specified by the Central Government.
(4) The provision of this section shall apply for inclusion of any minor mineral in a lease granted in respect of a mineral other than minor mineral and the State Government may, by notification in the Official Gazette, specify the royalty and other payments to be made by the lessee on dispatch of such included minor mineral.
(5) Inclusion of any mineral other than minor mineral in a lease granted in respect of a minor mineral shall be made in accordance with the conditions as may be prescribed for this purpose by the Central Government and such rules may provide for all or any of the matters, namely:---
(i) the extent of presence of mineral other than minor mineral as compared to minor mineral in the lease;
(ii) termination of the lease in the interest of regulation of mines and mineral development and grant of a fresh lease in the area as a lease in respect of mineral other than minor mineral;
(iii) regulation of such lease as a lease granted for mineral other than minor minerals;
(iv) additional payment as specified in the Eighth Schedule to be made upon inclusion of a mineral other than minor mineral.
(6) Any mineral may be included under this section in a mining lease granted in respect of atomic mineral specified in Part B of the First Schedule where the grade of atomic mineral is equal to or above the notified threshold value with prior approval of the Central Government.
(7) No atomic mineral as specified in Part B of the First Schedule where the grade of atomic mineral is equal to or above the notified threshold value shall be included in the mining lease granted in respect of minerals other than such atomic minerals.]
1. Ins. by Act 28 of 2025, s. 8 (w.e.f. 1-9-2025).
Section 16 Power to modify mining leases granted before 25th October, 1949.
1[(1) (a) All mining leases granted before the commencement of the Mines and Minerals (Regulation and Development) Amendment Act, 1972 (56 of 1972) 2[if in force at the date of commencement of the Mines and Minerals (Regulation and Development) Amendment Act, 1994 (25 of 1994), shall be brought in conformity with the provisions of this Act and the rules made thereunder within two years from the date of the commencement of the Mines and Minerals (Regulation and Development) Amendment Act, 1994], or such further time as the Central Government may, by general or special order, specify in this behalf.
(b) Where the rights under any mining lease, granted by the proprietor of an estate or tenure before the commencement of the Mines and Minerals (Regulation and Development) Amendment Act, 1972 (56 of 1972), have vested, on or after the 25th day of October, 1949, in the State Government in pursuance of the provisions of any Act of any Provincial or State Legislature which provides for the acquisition of estates or tenures or provides for agrarian reform, such mining lease shall be brought into conformity with the provisions of this Act and the rules made thereunder within 3[two years from the commencement of the Mines and Minerals (Regulation and Development) Amendment Act, 1994 (25 of 1994)], or within such further time as the Central Government may, by general or special order, specify in this behalf.]
4[(1A) Where any action is taken under clause (a) or clause (b) of sub-section (1) to bring the period of any lease in conformity with the provisions of this Act and the rules made thereunder, then notwithstanding anything contained in section 8, the period of such lease shall continue to operate for a period of two years from the date of bringing such lease in conformity with the provisions of this Act.]
(2) The Central Government may, by notification in the Official Gazette, make rules for the purpose of giving effect to the provisions of sub-section (1) and in particular such rules shall provide--
(a) for giving previous notice of the modification or alteration proposed to be made in any existing mining lease to the lessee and where the lessor is not the Central Government, also to the lessor and for affording him an opportunity of showing cause against the proposal;
(b) for the payment of compensation to the lessee in respect of the reduction of any area covered by the existing mining lease; and
(c) for the principles on which, the manner in which, and the authority by which, the said compensation shall be determined.
(b) Where the rights under any mining lease, granted by the proprietor of an estate or tenure before the commencement of the Mines and Minerals (Regulation and Development) Amendment Act, 1972 (56 of 1972), have vested, on or after the 25th day of October, 1949, in the State Government in pursuance of the provisions of any Act of any Provincial or State Legislature which provides for the acquisition of estates or tenures or provides for agrarian reform, such mining lease shall be brought into conformity with the provisions of this Act and the rules made thereunder within 3[two years from the commencement of the Mines and Minerals (Regulation and Development) Amendment Act, 1994 (25 of 1994)], or within such further time as the Central Government may, by general or special order, specify in this behalf.]
4[(1A) Where any action is taken under clause (a) or clause (b) of sub-section (1) to bring the period of any lease in conformity with the provisions of this Act and the rules made thereunder, then notwithstanding anything contained in section 8, the period of such lease shall continue to operate for a period of two years from the date of bringing such lease in conformity with the provisions of this Act.]
(2) The Central Government may, by notification in the Official Gazette, make rules for the purpose of giving effect to the provisions of sub-section (1) and in particular such rules shall provide--
(a) for giving previous notice of the modification or alteration proposed to be made in any existing mining lease to the lessee and where the lessor is not the Central Government, also to the lessor and for affording him an opportunity of showing cause against the proposal;
(b) for the payment of compensation to the lessee in respect of the reduction of any area covered by the existing mining lease; and
(c) for the principles on which, the manner in which, and the authority by which, the said compensation shall be determined.
1. Subs. by Act 56 of 1972, s. 9, for sub-section (1) (w.e.f. 12-9-1972).
2. Subs. by Act 25 of 1994, s. 6, for certain words (w.e.f. 25-1-1994).
3. Subs. by s. 6, ibid., for certain words (w.e.f. 25-1-1994).
4. Ins. by s. 6, ibid. (w.e.f. 25-1-1994).
2. Subs. by Act 25 of 1994, s. 6, for certain words (w.e.f. 25-1-1994).
3. Subs. by s. 6, ibid., for certain words (w.e.f. 25-1-1994).
4. Ins. by s. 6, ibid. (w.e.f. 25-1-1994).
Section 17 Special powers of Central Government to undertake prospecting or mining operations in certain lands.
(1) The provisions of this section shall apply 1*** in respect of land in which the minerals vest in the Government of a State 2[or any other person].
(2) Notwithstanding anything contained in this Act, the Central Government, after consultation with the State Government, may undertakes 3[mineral concession] in any area not already held under any 3[mineral concession] and where it proposes to do so, it shall, by notification in the Official Gazette--
(a) specify the boundaries of such area;
(b) state whether 4[reconnaissance, prospecting or mining operations] will be carried out in the area; and
(c) specify the mineral or minerals in respect of which such operations will be carried out.
(3) Where, in exercise of the powers conferred by sub-section (2), the Central Government undertakes 4[reconnaissance, prospecting or mining operations] in any area, the Central Government shall be liable to pay 5[reconnaissance permit fee or prospecting fee] royalty, surface rent or dead rent, as the case may be, at the same rate at which it would have been payable under this Act, if such 4[reconnaissance, prospecting or mining operations] had been undertaken by a private person under a 3[mineral concession].
(4) The Central Government, with a view to enabling it to exercise the powers conferred on it by sub-section (2) may, after consultation with the State Government, by notification in the Official Gazette, declare that no 3[mineral concession] shall be granted in respect of any land specified in the notification.
(2) Notwithstanding anything contained in this Act, the Central Government, after consultation with the State Government, may undertakes 3[mineral concession] in any area not already held under any 3[mineral concession] and where it proposes to do so, it shall, by notification in the Official Gazette--
(a) specify the boundaries of such area;
(b) state whether 4[reconnaissance, prospecting or mining operations] will be carried out in the area; and
(c) specify the mineral or minerals in respect of which such operations will be carried out.
(3) Where, in exercise of the powers conferred by sub-section (2), the Central Government undertakes 4[reconnaissance, prospecting or mining operations] in any area, the Central Government shall be liable to pay 5[reconnaissance permit fee or prospecting fee] royalty, surface rent or dead rent, as the case may be, at the same rate at which it would have been payable under this Act, if such 4[reconnaissance, prospecting or mining operations] had been undertaken by a private person under a 3[mineral concession].
(4) The Central Government, with a view to enabling it to exercise the powers conferred on it by sub-section (2) may, after consultation with the State Government, by notification in the Official Gazette, declare that no 3[mineral concession] shall be granted in respect of any land specified in the notification.
1. The word "only" omitted by Act 56 of 1972, s. 10 (w.e.f. 12-9-1972).
2. Ins. by s. 10, ibid. (w.e.f. 12-9-1972).
3. Subs. by Act 16 of 2021, s. 2, "reconnaissance permit, prospecting licence or mining lease" (w.e.f. 28-3-2021).
4. Subs. by Act 38 of 1999, s. 15, for "prospecting or mining operations" (w.e.f. 18-12-1999).
5. Subs. by s. 15, ibid., for "prospecting fee" (w.e.f. 18-12-1999).
2. Ins. by s. 10, ibid. (w.e.f. 12-9-1972).
3. Subs. by Act 16 of 2021, s. 2, "reconnaissance permit, prospecting licence or mining lease" (w.e.f. 28-3-2021).
4. Subs. by Act 38 of 1999, s. 15, for "prospecting or mining operations" (w.e.f. 18-12-1999).
5. Subs. by s. 15, ibid., for "prospecting fee" (w.e.f. 18-12-1999).
Section 17A Reservation of areas for purposes of conservation.
1[17A. Reservation of areas for purposes of conservation.--- (1) The Central Government, with a view to conserving any mineral and after consultation with the State Government, may reserve any area not already held under any prospecting licence 2[or exploration licence] or mining lease and, where it proposes to do so, it shall, by notification in the Official Gazette, specify the boundaries of such area and the mineral or minerals in respect of which such area will be reserved.
3[(1A) The Central Government may in consultation with the State Government, reserve any area not already held under any prospecting licence 2[or exploration licence] or mining lease, for undertaking prospecting or mining operations through a Government company or corporation owned or controlled by it, and where it proposes to do so, it shall, by notification in the Official Gazette, specify the boundaries of such area and the mineral or minerals in respect of which such area will be reserved.]
(2) The State Government may, with the approval of the Central Government, reserve any area not already held under any prospecting licence 2[or exploration licence] or mining lease, for undertaking prospecting or mining operations through a Government company or corporation owned or controlled by it 4*** and where it proposes to do so, it shall, by notification in the Official Gazette, specify the boundaries of such area and the mineral or minerals in respect of which such areas will be reserved.
5[6[(2A) Where in exercise of the powers conferred by sub-section (1A) or sub-section (2), the Central Government or the State Government, as the case may be, reserves any area for undertaking prospecting or mining operations or prospecting operations followed by mining operations, the State Government shall grant prospecting licence, mining lease or composite licence, as the case may be, in respect of such area to such Government company or corporation within the period specified in this section:
Provided that in respect of any mineral specified in Part B of the First Schedule, the State Government shall grant the prospecting licence, mining lease or composite licence, as the case may be, only after obtaining the previous approval of the Central Government.]
(2B) Where the Government company or corporation is desirous of carrying out the prospecting operations or mining operations in a joint venture with other persons, the joint venture partner shall be selected through a competitive process, and such Government company or corporation shall hold more than seventy-four per cent. of the paid up share capital in such joint venture.
(2C) A mining lease granted to a Government company or corporation, or a joint venture, referred to in sub-sections (2A) and (2B), shall be granted on payment of such amount as 7[specified in the Fifth Schedule:].]
8[Provided that the Central Government may, by notification in the Official Gazette and for reasons to be recorded in writing, amend the Fifth Schedule so as to modify the entries mentioned therein in the said Schedule with effect from such date as may be specified in the said notification.
Explanation.--- For the removal of doubts, it is hereby clarified that all such Government companies or corporations whose mining lease has been granted after the commencement of the Mines and Minerals (Development and Regulation) Amendment Act, 2015 (10 of 2015), shall also pay such additional amount as specified in the Fifth Schedule for the mineral produced after the commencement of the Mines and Minerals (Development and Regulation)Amendment Act, 2021 (16 of 2021).]
(3)9[Where in exercise of the powers conferred by sub-section (1A) or sub-section (2) the Central Government or the State Government, as the case may be,] undertakes prospecting or mining operations in any area in which the minerals vest in a private person, it shall be liable to pay prospecting fee, royalty, surface rent or dead rent, as the case may be, from time to time at the same rate at which it would have been payable under this Act if such prospecting or mining operations had been undertaken by a private person under prospecting licence or mining lease.]
10[(4) The reservation made under this section shall lapse in case no mining lease is granted within a period of five years from the date of such reservation:
Provided that where the period of five years from the date of reservation has expired before the date of commencement of the Mines and Minerals (Development and Regulation) Amendment Act, 2021 (16 of 2021) or expires within a period of one year from the date of commencement of the said Act, the reservation shall lapse in case no mining lease is granted within a period of one year from the date of commencement of the said Act:
Provided further that the State Government may, on an application made by such Government company or corporation or on its own motion, and on being satisfied that it shall not be possible to grant the mining lease within the said period, make an order with reasons in writing, within a period of three months from the date of receipt of such application, to relax such period by a further period not exceeding one year:
Provided also that where the Government company or corporation in whose favour an area has been reserved under this section before the commencement of the Mines and Minerals (Development and Regulation) Amendment Act, 2015 (10 of 2015), has commenced production from the reserved area without execution of mining lease, such Government company or corporation shall be deemed to have become lessee of the State Government from the date of commencement of mining operations and such deemed lease shall lapse upon execution of the mining lease in accordance with this sub-section or expiry of period of one year from the date of commencement of the Mines and Minerals (Development and Regulation)Amendment Act, 2021 (16 of 2021), whichever is earlier.
(5) The termination or lapse of mining lease shall result in the lapse of the reservation under this section.]
3[(1A) The Central Government may in consultation with the State Government, reserve any area not already held under any prospecting licence 2[or exploration licence] or mining lease, for undertaking prospecting or mining operations through a Government company or corporation owned or controlled by it, and where it proposes to do so, it shall, by notification in the Official Gazette, specify the boundaries of such area and the mineral or minerals in respect of which such area will be reserved.]
(2) The State Government may, with the approval of the Central Government, reserve any area not already held under any prospecting licence 2[or exploration licence] or mining lease, for undertaking prospecting or mining operations through a Government company or corporation owned or controlled by it 4*** and where it proposes to do so, it shall, by notification in the Official Gazette, specify the boundaries of such area and the mineral or minerals in respect of which such areas will be reserved.
5[6[(2A) Where in exercise of the powers conferred by sub-section (1A) or sub-section (2), the Central Government or the State Government, as the case may be, reserves any area for undertaking prospecting or mining operations or prospecting operations followed by mining operations, the State Government shall grant prospecting licence, mining lease or composite licence, as the case may be, in respect of such area to such Government company or corporation within the period specified in this section:
Provided that in respect of any mineral specified in Part B of the First Schedule, the State Government shall grant the prospecting licence, mining lease or composite licence, as the case may be, only after obtaining the previous approval of the Central Government.]
(2B) Where the Government company or corporation is desirous of carrying out the prospecting operations or mining operations in a joint venture with other persons, the joint venture partner shall be selected through a competitive process, and such Government company or corporation shall hold more than seventy-four per cent. of the paid up share capital in such joint venture.
(2C) A mining lease granted to a Government company or corporation, or a joint venture, referred to in sub-sections (2A) and (2B), shall be granted on payment of such amount as 7[specified in the Fifth Schedule:].]
8[Provided that the Central Government may, by notification in the Official Gazette and for reasons to be recorded in writing, amend the Fifth Schedule so as to modify the entries mentioned therein in the said Schedule with effect from such date as may be specified in the said notification.
Explanation.--- For the removal of doubts, it is hereby clarified that all such Government companies or corporations whose mining lease has been granted after the commencement of the Mines and Minerals (Development and Regulation) Amendment Act, 2015 (10 of 2015), shall also pay such additional amount as specified in the Fifth Schedule for the mineral produced after the commencement of the Mines and Minerals (Development and Regulation)Amendment Act, 2021 (16 of 2021).]
(3)9[Where in exercise of the powers conferred by sub-section (1A) or sub-section (2) the Central Government or the State Government, as the case may be,] undertakes prospecting or mining operations in any area in which the minerals vest in a private person, it shall be liable to pay prospecting fee, royalty, surface rent or dead rent, as the case may be, from time to time at the same rate at which it would have been payable under this Act if such prospecting or mining operations had been undertaken by a private person under prospecting licence or mining lease.]
10[(4) The reservation made under this section shall lapse in case no mining lease is granted within a period of five years from the date of such reservation:
Provided that where the period of five years from the date of reservation has expired before the date of commencement of the Mines and Minerals (Development and Regulation) Amendment Act, 2021 (16 of 2021) or expires within a period of one year from the date of commencement of the said Act, the reservation shall lapse in case no mining lease is granted within a period of one year from the date of commencement of the said Act:
Provided further that the State Government may, on an application made by such Government company or corporation or on its own motion, and on being satisfied that it shall not be possible to grant the mining lease within the said period, make an order with reasons in writing, within a period of three months from the date of receipt of such application, to relax such period by a further period not exceeding one year:
Provided also that where the Government company or corporation in whose favour an area has been reserved under this section before the commencement of the Mines and Minerals (Development and Regulation) Amendment Act, 2015 (10 of 2015), has commenced production from the reserved area without execution of mining lease, such Government company or corporation shall be deemed to have become lessee of the State Government from the date of commencement of mining operations and such deemed lease shall lapse upon execution of the mining lease in accordance with this sub-section or expiry of period of one year from the date of commencement of the Mines and Minerals (Development and Regulation)Amendment Act, 2021 (16 of 2021), whichever is earlier.
(5) The termination or lapse of mining lease shall result in the lapse of the reservation under this section.]
1. Ins. by Act 37 of 1986, s. 14 (w.e.f. 10-2-1987).
2. Ins. by Act 16 of 2023, s. 15 (w.e.f. 17-8-2023).
3. Ins. by Act 25 of 1994, s. 7 (w.e.f. 25-1-1994).
4. The words "or by the Central Government" omitted by Act 25 of 1994, s. 7 (w.e.f. 25-1-1994).
5. Ins. by Act 10 of 2015, s. 17 (w.e.f. 12-1-2015).
6. Subs. by Act 16 of 2021, s. 19, for sub-section (2A) (w.e.f. 28-3-2021).
7. Subs. by s. 19, ibid., for "may be prescribed by the Central Government" (w.e.f. 28-3-2021).
8. Ins. by s. 19, ibid. (w.e.f. 28-3-2021).
9. Subs. by Act 25 of 1994, s. 7, for "Where in exercise of the powers conferred by sub-section (2) the State Government" (w.e.f. 25-1-1994).
10. Ins. by Act 16 of 2021, s. 19 (w.e.f. 28-3-2021).
2. Ins. by Act 16 of 2023, s. 15 (w.e.f. 17-8-2023).
3. Ins. by Act 25 of 1994, s. 7 (w.e.f. 25-1-1994).
4. The words "or by the Central Government" omitted by Act 25 of 1994, s. 7 (w.e.f. 25-1-1994).
5. Ins. by Act 10 of 2015, s. 17 (w.e.f. 12-1-2015).
6. Subs. by Act 16 of 2021, s. 19, for sub-section (2A) (w.e.f. 28-3-2021).
7. Subs. by s. 19, ibid., for "may be prescribed by the Central Government" (w.e.f. 28-3-2021).
8. Ins. by s. 19, ibid. (w.e.f. 28-3-2021).
9. Subs. by Act 25 of 1994, s. 7, for "Where in exercise of the powers conferred by sub-section (2) the State Government" (w.e.f. 25-1-1994).
10. Ins. by Act 16 of 2021, s. 19 (w.e.f. 28-3-2021).
Section 18 Mineral Development. 5 docs
(1) It shall be the duty of the Central Government to take all such steps as may be necessary 1[for the conservation and systematic development of minerals in India and for the protection of environment by preventing or controlling any pollution which may be caused by prospecting or mining operations] and 2[for such purposes] the Central Government may, by notification in the Official Gazette, make such rules as it thinks fit.
(2) In particular, and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, namely:---
(a) the opening of new mines and the regulation of mining operations in any area;
(b) the regulation of the excavation or collection of minerals from any mine;
(c) the measures to be taken by owners of mines for the purpose of beneficiation of ores, including the provision of suitable contrivances for such purpose;
(d) the development of mineral resources in any area;
(e) the notification of all new borings and shaft sinkings and the preservation of bore-hole records, and specimens of cores of alt new bore-holes;
(f) the regulation of the arrangements for the storage of minerals and the stocks thereof that may be kept by any person;
(g) the submission of samples of minerals from any mine by the owner thereof and the manner in which and the authority to which such samples shall be submitted; and the taking of samples of any minerals from any mine by the State Government or any other authority specified by it in that behalf;
(h) the submission by owners of mines of such special or periodical returns and reports as may be specified, and the form in which and the authority to which such returns and reports shall be submitted;
3[(i) the regulation of prospecting operations;
(j) the employment of qualified geologists or mining engineers to supervise prospecting or mining operations;
(k) the disposal or discharge of waste slime or tailings arising from any mining or metallurgical operations carried out in a mine;
(l) the manner in which and the authority by which directions may be issued to the owners of any mine to do or refrain from doing certain things in the interest of conservation or systematic development of minerals or for the protection of environment by preventing or controlling pollution which may be caused by prospecting or mining operations;
(m) the maintenance and submission of such plans, registers or records as may be specified by the Government;
(n) the submission of records or reports by persons carrying on prospecting or mining operations regarding any research in mining or geology carried out by them;
(o) the facilities to be afforded by persons carrying out prospecting or mining operations to persons authorised by the Central Government for the purpose of undertaking research or training in matters relating to mining or geology;
(p) the procedure for and the manner of imposition of fines for the contravention of any of the rules framed under this section and the authority who may impose such fines; and
(q) the authority to which, the period within which, the form and the manner in which applications for revision of any order passed by any authority under this Act and the rules made thereunder may be made, the fee to be paid and the documents which should accompany such applications.]
(3) All rules made under this section shall be binding on the Government.
(2) In particular, and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, namely:---
(a) the opening of new mines and the regulation of mining operations in any area;
(b) the regulation of the excavation or collection of minerals from any mine;
(c) the measures to be taken by owners of mines for the purpose of beneficiation of ores, including the provision of suitable contrivances for such purpose;
(d) the development of mineral resources in any area;
(e) the notification of all new borings and shaft sinkings and the preservation of bore-hole records, and specimens of cores of alt new bore-holes;
(f) the regulation of the arrangements for the storage of minerals and the stocks thereof that may be kept by any person;
(g) the submission of samples of minerals from any mine by the owner thereof and the manner in which and the authority to which such samples shall be submitted; and the taking of samples of any minerals from any mine by the State Government or any other authority specified by it in that behalf;
(h) the submission by owners of mines of such special or periodical returns and reports as may be specified, and the form in which and the authority to which such returns and reports shall be submitted;
3[(i) the regulation of prospecting operations;
(j) the employment of qualified geologists or mining engineers to supervise prospecting or mining operations;
(k) the disposal or discharge of waste slime or tailings arising from any mining or metallurgical operations carried out in a mine;
(l) the manner in which and the authority by which directions may be issued to the owners of any mine to do or refrain from doing certain things in the interest of conservation or systematic development of minerals or for the protection of environment by preventing or controlling pollution which may be caused by prospecting or mining operations;
(m) the maintenance and submission of such plans, registers or records as may be specified by the Government;
(n) the submission of records or reports by persons carrying on prospecting or mining operations regarding any research in mining or geology carried out by them;
(o) the facilities to be afforded by persons carrying out prospecting or mining operations to persons authorised by the Central Government for the purpose of undertaking research or training in matters relating to mining or geology;
(p) the procedure for and the manner of imposition of fines for the contravention of any of the rules framed under this section and the authority who may impose such fines; and
(q) the authority to which, the period within which, the form and the manner in which applications for revision of any order passed by any authority under this Act and the rules made thereunder may be made, the fee to be paid and the documents which should accompany such applications.]
(3) All rules made under this section shall be binding on the Government.
1. Subs. by Act 37 of 1986, s. 15, for "for the conservation and development of minerals in India" (w.e.f. 10-2-1987).
2. Subs. by s. 15, ibid., for "for that purpose" (w.e.f. 10-2-1987).
3. Ins. by s. 15, ibid. (w.e.f. 10-2-1987).
2. Subs. by s. 15, ibid., for "for that purpose" (w.e.f. 10-2-1987).
3. Ins. by s. 15, ibid. (w.e.f. 10-2-1987).
Section 18A Power to authorise Geological Survey of India, etc., to make investigation.
1[18A. Power to authorise Geological Survey of India, etc., to make investigation.--- (1) Where the Central Government is of opinion that for the conservation and development of minerals in India, it is necessary to collect as precise information as possible with regard to any mineral available in or under any land in relation to which any prospecting licence 2[or exploration licence] or mining lease has been granted, whether by the State Government or by any other person, the Central Government may authorise the Geological Survey of India, or such other authority or agency as it may specify in this behalf, to carry out such detailed investigations for the purpose of obtaining such information as may be necessary:
Provided that in the cases of prospecting licences 2[or exploration licence] or mining leases granted by a State Government, no such authorisation shall be made except after consultation with the State Government.
(2) On the issue of any authorisation under sub-section (1), it shall be lawful for the Geological Survey of India or the specified authority or agency, and its servants and workmen--
(a) to enter upon such land,
(b) to dig or bore into the sub-soil,
(c) to do all other acts necessary to determine the extent of any mineral available in or under such land,
(d) to set out boundaries of the land in which any mineral is expected to be found,
(e) to mark such boundaries and line by placing marks,
(f) where otherwise the survey cannot be completed on the boundaries and line marked, to cut down and clear away any part of any standing crop, fence or jungle:
Provided that no such authority or agency shall enter into any building or upon any enclosed court or garden attached to a dwelling-house (except with the consent of the occupier thereof) without previously giving such occupier at least seven days notice in writing of its intention to do so.
(3) Whenever any action of the nature specified in sub-section (2) is to be taken, the Central Government shall, before or at the time when such action is taken, pay or tender payment for all necessary damage which is likely to be caused, and in case of dispute as to the sufficiency of the amount so paid or tendered or as to the person to whom it should be paid or tendered, the Central Government shall refer the dispute to the principal civil court of original jurisdiction having jurisdiction over the land in question.
(4) The fact that there exists any such dispute as is referred to in sub-section (3) shall not be a bar to the taking of any action under sub-section (2).
(5) After the completion of the investigation, the Geological Survey of India or the specified authority or agency by which the investigation was made shall submit to the Central Government a detailed report indicating therein the extent and nature of any mineral which lies deposited in or under the land.
(6) The costs of the investigation made under this section shall be borne by the Central Government:
Provided that where the State Government or other person in whom the minerals are vested or the holder of any prospecting licence 2[or exploration licence] or mining lease applies to the Central Government to furnish to it or him a copy of the report submitted under sub-section (5), that State Government or other person or the holder of a prospecting licence 2[or exploration licence] or mining lease, as the case may be, shall bear such reasonable part of the costs of investigation as the Central Government may specify in this behalf and shall, on payment of such part of the costs of investigation, be entitled to receive from the Central Government a true copy of the report submitted to it under subsection (5).]
Provided that in the cases of prospecting licences 2[or exploration licence] or mining leases granted by a State Government, no such authorisation shall be made except after consultation with the State Government.
(2) On the issue of any authorisation under sub-section (1), it shall be lawful for the Geological Survey of India or the specified authority or agency, and its servants and workmen--
(a) to enter upon such land,
(b) to dig or bore into the sub-soil,
(c) to do all other acts necessary to determine the extent of any mineral available in or under such land,
(d) to set out boundaries of the land in which any mineral is expected to be found,
(e) to mark such boundaries and line by placing marks,
(f) where otherwise the survey cannot be completed on the boundaries and line marked, to cut down and clear away any part of any standing crop, fence or jungle:
Provided that no such authority or agency shall enter into any building or upon any enclosed court or garden attached to a dwelling-house (except with the consent of the occupier thereof) without previously giving such occupier at least seven days notice in writing of its intention to do so.
(3) Whenever any action of the nature specified in sub-section (2) is to be taken, the Central Government shall, before or at the time when such action is taken, pay or tender payment for all necessary damage which is likely to be caused, and in case of dispute as to the sufficiency of the amount so paid or tendered or as to the person to whom it should be paid or tendered, the Central Government shall refer the dispute to the principal civil court of original jurisdiction having jurisdiction over the land in question.
(4) The fact that there exists any such dispute as is referred to in sub-section (3) shall not be a bar to the taking of any action under sub-section (2).
(5) After the completion of the investigation, the Geological Survey of India or the specified authority or agency by which the investigation was made shall submit to the Central Government a detailed report indicating therein the extent and nature of any mineral which lies deposited in or under the land.
(6) The costs of the investigation made under this section shall be borne by the Central Government:
Provided that where the State Government or other person in whom the minerals are vested or the holder of any prospecting licence 2[or exploration licence] or mining lease applies to the Central Government to furnish to it or him a copy of the report submitted under sub-section (5), that State Government or other person or the holder of a prospecting licence 2[or exploration licence] or mining lease, as the case may be, shall bear such reasonable part of the costs of investigation as the Central Government may specify in this behalf and shall, on payment of such part of the costs of investigation, be entitled to receive from the Central Government a true copy of the report submitted to it under subsection (5).]
1. Ins. by Act 56 of 1972, s. 11 (w.e.f. 12-9-1972).
2. Ins. by Act 16 of 2023, s. 16 (w.e.f. 17-8-2023).
2. Ins. by Act 16 of 2023, s. 16 (w.e.f. 17-8-2023).