Basic Procedures for Obtaining Mineral Prospecting Rights

Foreign enterprises involved in mineral resources exploration, having obtained approval from administrative authorities for commerce, should register with the administrative authorities for industry and commerce, and apply for mineral prospecting rights  from the state land and resources authorities.

Those foreign enterprises applying for such rights from the administrative authorities for commerce should fill in the Application  Form  for  Establishing  Foreign Enterprise Representative Offices and  shall  provide the following certificates and materials:

i)Application letter signed by the chairman or general manager of the enterprise, which shall contain information such as the name of the permanent representative office, name of the chief representative, business scope, term of residence and location of representative office;

ii) The Certificate of Incorporation issued by the relevant authorities of the nation or region where the enterprise is located:

iii) The Capital Credit Certificate issued by the bank used by the enterprise for business transactions;

iv) The appontment letters for the permanent representative office staff, as well  as the  resumes  and  photos  of representative office staff.

The administrative authorities for commerce will then propose their examination and approval opinions based on the application of such foreign enterprises' representative offices.  If the establishment application is approved, the said authorities will issue the approval certification to such enterprises.

Upon obtaining the approval certificate, the foreign enterprises should go through the registration formalities with the administrative authorities for industry and commerce by providing their approval certificates and completed application forms, together with the abovementioned four types of documents, in order to obtain a registration certificate.  After that, they should apply for an exploration license from the state land and resources authorities.

Documents Required for Obtaining Mineral Prospecting Rights

i) Registration application letter and map showing the range of areas for application;|

ii) Photocopy of the qualification certificate of the exploration company;

iii) The  working plans for exploration, the exploration contract or the documents certifying the enterprise is entrusted to conduct exploration;

iv) The implementation plans for exploration as well as the appendices;

v) The certificate to prove the source of funds for the exploration project;

vi) Other documents for submission as required by the geology and mineral resources authorities under the State Council.

Rights and Obligations of the mineral prospectinq rights holder

a) Rights

(1)To explore within the time and space limits as specified;

(2)To set up electricity, water and communication pipelines within the working area and adjacent areas;

(3)Pass within the working area and adjacent areas

(4)Temporary use of the land;

(5)Acquisition of first mineral prospecting rights to newly discovered mineral types within the working area;

(6)Acquisition of first mineral exploitation rights to for exploitation of mineral resources within the working area;

(7)To sell mineral products that are permitted to be recycled;

(8)Transfer of mineral prospecting rights according to the law;

b) Obligations

(1) To start the construction and complete exploration within the specified term; 

(2)To start construction within 6 months from the date of receipt of exploration license, and report the working status to the administrative department of land and resources of the exploration project where it is located and to the authorities where the enterprise is registered.
 
(3)To pay the exploration license fee
 
(4)In line with one of the following instances, one should submit completion  report or termination  report of exploration project to the authorities where the enterprise is registered within the period of validity of the license; and report the number of capital investment and relevant documentary evidence, and the registration procedure for license cancellation handled by the authorities where the enterprise is registered: these include: at the'expiration of exploration license, neither continuous registration nor applying for reserving exploration rights; applying for exploitation rights; and withdrawing exploration projects for some reasons.

(5)To conduct construction according to submitted plans and not to explore mineral resources without permission;

(6)To undertake overall exploration and evaluation;

(7)To compile an exploration report;

(8)To observe the rules for labor security, land rehabilitation and environmental protection

(9)To cover and fill the mine shaps/pits after completion of exploration;