mining lease application assessment: processes within the minerals and energy division pirsa
TRANSCRIPT
Mining Lease Mining Lease Application Application
Assessment:Assessment:Processes within theProcesses within the
Minerals and Energy Division Minerals and Energy Division PIRSAPIRSA
MINING ACT, 1971
Why do we have mining legislation?
• To provide secure legal title for the exploration and development of the State’s mineral assets
• To provide landowners and other parties with the right to comment on mining title applications
• To provide for the payment of rental and royalties to the Crown who is the owner of all minerals within South Australia
• To regulate mining operations and ensure activities are conducted within the framework of sustainable development
Exploring for Minerals
Exploration in South Australia
• Large scale exploration is conducted under an Exploration Licence, which can be granted over an area not exceeding 1000km2
• Exploration activities include drilling, geophysical and geochemical surveys, airborne surveys and surface sampling
• It is this large-scale exploration that may lead to the identification of a valuable mineral resource
Securing the Mining Title
Notice of Entry
• Prior to gaining access to mineral land in SA for the purpose of exploring or mining a person must first be authorised
• Authority can be obtained by:- Serving on a landowner a prescribed notice of entry
(21 days prior to entry)- Entering into a written agreement with the landowner
• If you are a freehold landowner you have a right of objection to entry. An objection must be lodged with the Warden’s Court and within 3 months from the date of service of the form.
Securing the Mining Title
Mineral Claim
• A mineral claim is a prerequisite to a mining lease or retention lease
• A mineral claim can be pegged out over a maximum area of 250 hectares
• Posts are placed in the ground at each corner of the mineral claim
• Appropriate approvals are required before declared equipment can be used on a mineral claim and to remove more than one tonne of material from the site
• A mineral claim does not authorise the sale of any minerals
Securing the Mining Title
Mining Lease
• After a Mineral Claim has been registered, and you wish to proceed to a mining operation you must apply for a mining lease
• An application for a mining lease must be accompanied with a detailed mining and rehabilitation plan, which is then subject to a strict internal/external assessment and consultation process
Annual Rental
• Upon the grant of a mining lease, the mining operator must pay an annual rent to the Crown
• Where the mining lease is situated on freehold land, the government will refund 95% of that rental to the landowner
• The current rate is $30.75 per hectare
Exempt Land
Exempt land is defined in Section 9 of the Mining Act, 1971.
• Some examples are:cultivated field, orchard, vineyard, land within 400m of a residence and land within 150m of a spring, well, reservoir or dam
Waiver of Exemption
• If land within an exploration or mining title is exempt land, mining operations cannot commence on the exempt land, until the landowner has waived that exemption
• The exemption can be waived by agreement between the landowner and the mining operator or by order of the Warden’s Court
Compensation
Entitlements to Landowners
• A landowner is entitled to receive compensation for any economic loss, hardship and inconvenience suffered as a consequence of mining operations
• When negotiating compensation the following matters should be considered:
- Any damage to the land caused by mining operations.- Any loss of productivity or profits as a result of mining operations- Any other relevant matters
• If, the landowner and mining operator cannot agree on the amount of compensation, the matter may be determined by the appropriate court
Warden’s Court
The Warden’s Court:
• Has the jurisdiction to determine matters relating to a mining tenement
• Is scheduled most Thursdays @ 3.30pm in Adelaide
• Allows you to represent yourself in a matter before the Court
• Allows you to appeal a judgement or order of the Warden’s Court to the ERD Court
• Can only deal with proceedings relating to a claim for not more than $150,000
MINERAL CLAIM
Mineral Lease Application
Mining Proposal
Supporting Documentation REVIEWREVIEW
SUITABLE FOR CIRCULATIONSUITABLE FOR CIRCULATION
Comments from Relevant Partiesincorporated into revised proposal
CONSULTATIONCONSULTATION
Mining Lease Assessment - Stage 1
Public notificationLandownersState NewspaperGovernment Gazette
Minerals & Energy - PIRSARegulation and Rehabilitation BranchGeological Survey BranchLand Access Branch - Environment Unit
Government AgenciesPlanning SATransport SAAboriginal Affairs and ReconciliationEnvironment Protection AuthorityNative Vegetation Unit Environment & HeritageLocal Governmentand any other relevant agencies
Consultation Process
Copies of the Mining Proposal are circulated to various parties for comment
GRANT OF LEASE GRANT OF LEASE
Conditions Not Acceptable
Alternate conditions proposed
ApplicationApplicationRefusedRefused
Recommend to Minister of Mines
Crown Law forLand Tenure Check / Freehold
Land / Perpetual Land
Offer of Lease with Lease ConditionsOffer of Lease with Lease Conditions
SITE INSPECTION
TENEMENT REVIEW COMMITTEE
TENEMENT ASSESSMENT
Mining Lease Assessment - Stage 2
Mining Lease
• An approved Mining and Rehabilitation Program describing the proposed mining operations and rehabilitation measures must be provided prior to commencement of operations
• Mining Leases may be granted for a maximum of 21 years though 7 years is most common.
Rehabilitation Security Bond
• A Rehabilitation Security Bond must be lodged to ensure the obligations in relation to the rehabilitation of land disturbed by mining operations are met by the miner and not by public funding
• A Rehabilitation Security Bond must be in the form of an Unconditional Bank Guarantee or cash and lodged prior to the commencement of mining operations
• The amount of the Rehabilitation Security Bond will be regularly reviewed to ascertain the amount reflects the actual rehabilitation liability