The holder of a Mining Lease shall have the exclusive right to prospect, mine and dispose of the mineral(s) specified in the lease on lands within the area of the lease.
The applicant for a Mining Lease must be the holder of a Prospecting Right or an Exclusive Prospecting Licence (EPL) or Special Exclusive Prospecting Licence (SEPL). In the latter case, the area of the Mining Lease applied for must be wholly within the boundaries of the Exclusive Prospecting Licence. The application must complete in triplicate the relevant application form and pay the requisite fee. In addition, he/she must supply four (4) copies of a 1:50,000 topographic map showing the area over which the application is being made.
The applicant is required to submit an Environment Impact Assessment (EIA) and in some cases a permit from the National Environmental and Planning Agency (NEPA). He/she must satisfy the Minister that he commands sufficient working capital to ensure proper development and carrying on of mining operations on the area applied for, and for the payment of any compensation to owners or occupiers of lands.
Notices of the application are advertised once in the daily newspaper and in the Gazette. A period of three (3) weeks is allowed for any comments from persons having interest in the area.
The application fee for a Mining Lease is twelve hundred dollars ($1,200) per metric square or part thereof. It is valid for a term not exceeding twenty five (25) years, but may be renewed on application, for another period of twenty five (25) years. The application fee for renewal is six hundred dollars ($600)per metric square or part thereof. A sum of fifty thousand dollars ($50,000) must be deposited with the Commissioner of Mines or other sum decided by him as a guarantee that the holder of the Mining Lease will carry out his/her obligation (s) with respect to compensation for damage done to private property. This sum is refundable upon the satisfactory completion of the term of the Mining Lease. A Restoration Bond may also be levied by the Commissioner.
An applicant for a Mining Lease, may, at the discretion of the Minister, granted a Temporary Permission to Mine (TPM) for a period of one (1) year. The fee payable for a TPM is ten thousand dollars ($10,000).
Sanction to group mining leases: five thousand dollars ($5,000).
Addition of mineral to Mining Lease for a single mineral: two thousand dollars ($2,000) and one thousand dollars ($1,000) for each additional mineral.
Addition to Special Mining Lease (per metric square or part thereof): one thousand, two hundred dollars ($1,200).
Renewal of Special Mining Lease (per metric square or part thereof): one thousand, two hundred dollars ($1,200).