> Mining Law N°01-10
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> Mining Titles - Types and granting
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The new Mining law enacted on the 3rd of July 2001, establishes :

• Separation of the ground and underground ownership.
• Non differentiation of the mineral substances.
• Open access to mining activities for any operator.
• The same treatment for all investors.
• The legal value of mining title :
  • Prospecting and exploration Mining Titles : a personal estate, which can be transferred and assigned.
  • Exploitation Mining Title : a real estate, which can be transferred, assigned, leased or mortgaged.

• Automatic right to exploitation shall be granted to the holder of an Exploration Mining Title who has discovered a mineral deposit.
• Stability of fiscal, legal and social conditions during the validity of the Mining Concession.
• Enhancement on environmental management.
• International arbitration.
• Mining Title granted by bid in the case of mineral deposits discovered under public financing.
• Setting up of the Geological data bank and its free access.
• Setting up of a single authority for granting mining Titles.

Mining activities are commercial acts exercised exclusively by natural or legal entities of private law.

Prospection:

Any legal entity of private law can apply for a Prospecting Title.

Exploration:

Any legal entity possessing the relevant financial and technical capacities can apply for an Exploration Title:

• Any Holder of a valid Prospecting authorisation, or for the awarded bidder,
• The first comer is the first served, if the area has never been prospected.

Mining Exploration :

Concession : granted to a legal entity

• holding an Exploration Permit,
• the awarded bidder.

Small or medium scale exploration : granted to a legal entity.

• holding an Exploration Permit.
• the awarded bidder.

Artisanal Exploitation :

Legal or natural entities according to the following priorities:

1. the holder of an Exploration Permit,
2. the holder of a Prospecting authorisation,
3. the awarded bidder.

Mining exploration:

Prospection :

• Company by-laws.
• Map at 1: 50 000 or 1: 200 000 scale showing the requested area and its location.
• General programme of projected works.

Exploration:

• Company by-laws.
• Documents proving the financial and technical capacities.
• Map at 1 : 25 000 or 1 : 50 000 scale showing the perimeter boundaries.
• According to the case, a copy of the Prospecting Authorisation.
• Environmental impact assessment.

Mining exploitation:

Concession / small or medium scale mining:

• Previous exploration Permit or the awarding act.
• Documents proving the financial and technical capacities.
• Report on the general development programme, planning of the intended works, and the financial amount to be invested.
• Map at the 1: 25 000 or 1: 50 000 scale showing the perimeter boundaries, the corners coordinates and the reference points.
• Report on the Prospecting and Exploration results.
• The feasibility study.
• Development plan of exploitation (1: 1 000 or 1: 5 000 scale).
• Environmental impact assessment.

Artisanal exploitation

• Previous Prospecting Authorisation or Exploration Title,
• Prospecting or exploration results,
• Information on financial capacities,
• Delimitation of the site at the map 1: 25 000 or 1: 50 000 scale,
• Exploitation method on the map at 1: 5 000 or 1: 10 000 scale,
• Intended production and estimated cost.
• Environmental impact study and mitigating actions

The applications are deposited at:

• Mining Patrimoine National Agency (ANPM).

• Mining General Directorate (during transitional period).

I)- Case of a new site which has not been surveyed under public financing, principle of first come = first served according to the chronological order of the registered applications.

- Either :

• Apply for a Prospecting authorisation for defining the area to explore and,
• Apply for an Exploration Permit, for delimiting the mineral deposit and obtaining the automatic right to an exploitation title or,
• Apply for an Exploitation Title.

- Or :

• Apply for an Exploration Permit for delimiting the deposit and obtaining the automatic right to an exploitation title or,
• Apply for an Exploitation Mining Title.

II)- Case of a site which has been surveyed under public financing or a released perimeter.

Titles awarded following a bidding process (decree N°02-66) :

• An Exploration mining Title for confirming the existence of the mineral deposit and obtaining the automatic right to an Exploitation mining Title.
• An Exploitation mining Title when the deposit is already known and surveyed or when the Exploitation is an open area.

Mining Titles - Types and granting

Mining Research:

1 - Prospectiing Authorisation:

Initial Period 1 Year + 2 Renewal Periods Of Six (6) Months Each One.

2 - Exploration Permit:

Initial Period 3 Years + 2 Renewal Periods Of Two (2) Years Each One With Possibility Of A Grace Period Of 2 Years In The Case Of An Unfavourable Situation.

Mining :

3 - Mining Concession:

Duration 30 Years + Renewal According To The Deposit Reserves.

4 - Exploitation Permit For Small Or Medium Scale Mining:

Duration 10 Years + Renewal According To The Deposit Reserves.

5 - Artisanal Mining Authorisation:

Duration 5 years + renewal according to the deposit reserves.

Mining titles are granted after a prior administrative review :

• Either for the first applicant (as certified by registration date and hour), if the deposit has not been surveyed under public funds.
• or to the awarded bidder when the deposit has been surveyed under public financing or the exploitation area has been released.

Applications handling

• 1 (one) month for Prospecting
• 3 (three) months for Exploration
• 5 (five) months for Exploitation

The mining law n°01 - 10 of the 03/07/2001 offers:

1. Exemption from professional activity tax.
2. Exemption from the VAT on goods specifically for acquired or imported for mining activity,
3. Exemption from custom duties for equipment, material and products used in mining surveying.
4. Exemption from the built property tax.
5. Exemption from all the taxes related to exploitation results, except the mining profit tax (IBM).
6. Depreciation of the Prospecting and Exploration costs in the case of Exploitation.
7. Abatements of the mining royalties according to the exploitation type, surveying efforts and exploitation location.
8. Transfer warranty of the invested capital and resulting incomes.
9. Loss carry-over on 10 years.
10. Possibility for setting up a provision of 1% from the turnover (excluding taxes), deductible from the gross renewing for rebuilding the reserves.