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Mining Act
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Mining Act

Instituted and promulgated on May 26,1930 by National Government with total of 121 Articles, and enforced on Dec. 1, 1930

Article 2, 93 and 116 were amended by the National Government on Jan. 23, 1932

Article 2, 5, 9, 10, 20, 41, 48, 50 , 61, 77, 108 were amended by the National Government on Oct.. 15, 1937

Article 5, 41 and 108 were amended and promulgated by the National Government on Jul. 22, 1938

Article 116 was amended by the National Government on Jun. 08, 1942

Article 92, 108, 109, 110, 112 through 115 were amended and promulgated by the National Government on Apr. 30, 1947

Article 92, 108, 109, 110, 112 through 115 were amended and promulgated under the Presidential Decree on Jan. 17, 1949

Article 92 was amended and promulgated under the Presidential Decree on Aug. 6, 1949

Article 92 was amended and promulgated under the Presidential Decree on Jun. 15, 1950

Total 106 Article were amended and promulgated under the Presidential Decree on Jul. 30, 1959

Article 78 was amended and promulgated under the Presidential Decree on Nov. 29, 1966

Article 2, 9, 19, 21, 36, 40, 49, 50, 55, 57, 60, 61, 65 through 67, 73, 78, 81, 82, 90, 96 through 98, 100 through 103 were amended and 102-1, 103-1 were added and promulgated, and 72 and 83 were deleted under the Presidential Decree on Apr. 14, 1978

Article 14 was amended and promulgated under the Presidential Decree on Sept. 25, 1996.

Article 7, 17 through 19, 21, 24, 25, 31, 33 through 35, 38, 40, 41, 45, 48, 64, 65, 79, 81, 84 through 90 were amended and promulgated under the Presidential Decree on Nov. 15, 2000

Article 6, 15, 16, 21, 39, 44, 77, 82 and 84 were amended, 18-1, 19-1, 19-2, 35-1, 35-3, 83-1, 105-1 were added and promulgated, 33 was deleted, and promulgated under the Presidential Decree on Jun. 12, 2002.

Total 81 Article were amended and promulgated under the Presidential Decree on DEC. 31, 2003

 


 

Chapter 1 General

Article 1         This Act is instituted to effectively utilize national mineral resources for promoting sustained economic development and boosting social welfare.

Article 2         All mineral ownerships within the territory, exclusive economic marine zone and continental shelf of the Republic of China are owned by state and shall not be exploited unless a mineral right thereof has been acquired pursuant to this Act.

Article 3         The minerals referred hereunder include the following:

1. Gold minerals

2. Silver minerals

3. Copper minerals

4. Iron minerals

5. Tin minerals

6. Lead minerals

7. Antimony minerals

8. Nickel minerals

9. Cobalt minerals

10. Zinc minerals

11. Aluminum minerals

12. Mercury minerals

13. Bismuth minerals

14. Molybdenum minerals

15. Platinum minerals

16. Iridium minerals

17. Chromium minerals

18. Uranium minerals

19. Radium minerals

20. Tungsten minerals

21. Manganese minerals

22. Vanadium minerals

23. Potassium minerals

24. Thorium minerals

25. Zirconium minerals

26. Titanium minerals

27. Strontium minerals

28. Sulfur and Pyrite

29. Phosphate minerals

30. Arsenic minerals

31. Quartz crystal

32. Asbestos

33. Mica

34. Gypsum

35. Salt

36. Aluminite

37. Diamond minerals

38. Natural Alkali

39. Baryte

40. Chile saltpeter

41. Glauber’s salt

42. Borax

43. Graphite

44. Beryl

45. Fluorspar

46. Fireclay

47. Talc

48. Feldspar

49. Kaolin

50. Marble & Calcite

51. Magnesium & Dolomite

52. Coal

53. Petroleum & Oil Shale

54. Natural Gas

55. Gem & Jade

56. Abrasives

57. Mineral Pigments

58. Limestone

59. Serpentine

60. Silica Sand

61. Other minerals designated by the Executive Yuan

Criteria on establishing of mineral rights for the aforementioned minerals may be announced by the competency agency as required.

Article 4         Terminology used in the Act is defined as follows:

1. Mining industry- refers to business entities engaged in exploration, mining and the auxiliary mineral processing and smelting.

2. Exploration- refers to exploring for mineral resources and mineral reserves of a deposit and evaluating of its economic values.

3. Mining- refers to extracting a mineral for its economic and effective utilization.

4. Mineral right applicant: refers to the natural or juridical person applying for establishing a mineral right.

5. Exploration right applicant - refers to the natural or juridical person applying for establishing a mineral exploration right.

6. Mining right applicant- refers to the natural or juridical person applying for establishing a mineral right.

7. Mineral right – refers to the right for exploring for or mining a mineral deposit.

8. Mineral right holder- refers to the natural or juridical person holding the right to explore for or to mine a mineral deposit.

9. Mineral concession – refers to the recorded area where a mineral right has been granted pursuant to this Act.   Boundary of a mineral concession is the surface border bounded by stakes and down vertically.

10. Mineral claimed area- refers to the staked area applied for exploring for or mining minerals.

11. Exploration claimed area- refers to the staked area where an exploring right is applied to establish.

12. Mining claimed area- refers to the staked area where a mining right is applied to establish.

13. Mining land- refers to the surface approved for the use of actual mining operations.

Article 5         The governing agency under the Act is Ministry of Economic Affairs. In executing the affairs specified under the Act, MOEA may designate an agency specifically responsible for execution of the Act.

Article 6         Other than in the Mineral Reserved Area provided under Article 29, all minerals provided under Article 3 are available for mineral right application to natural or juridical person of the Republic of China as permitted by the Act.

Central and local governments may secure the aforementioned mineral right as permitted by Act.

Article 7         The horizontal surface area of a mineral concession shall be from a minimum of two hectares to a maximum of two hundred and fifty hectares; however, in the need for development, the maximum area of the mine concession may be extended to five hundred hectares if it is deemed necessary after investigation is made by the governing agency.

The area of the petroleum and natural gas concession may not be subject to the restriction on the maximum area as provided above, with approval by the governing agency based on the geological structure of oil and gas reserves.

Chapter 2  Mineral Right

Section 1  Nature and Validity of Mineral Right

Article 8      Mineral right is deemed as a real right, to which, unless otherwise specified herein, provisions of real estate of Civil Code shall be applicable.

Article 9      Mineral right shall not be severed; however, with a partnership relationship and conforming to mine interest, the right may be split as approved by governing agency, but the area shall not be smaller than the minimum limit as provided under Article 7.

Article 10     Except for inheritance, assignment, mortgage, entrustment and compulsory execution, a mineral right shall not be subject to third party’s right or legal action.

The mortgage of a mineral right shall be limited to the mining right.

Article 11     Contract in breach of the provision under the previous Article shall be invalid. The same applies for the assignment and entrustment of a mineral right without approval of the governing agency.

Article 12   The duration of an exploration right shall not exceed a period of two years.   An application for an extension shall be submitted to the Ministry of Economic Affairs for approval from six months to a year before expiration and only once.   The extension shall not exceed a period of two years.

If the application for extension of exploration right is made following the stipulation of the previous paragraph, the exploration right remains valid during the period between the expiry date of the exploration right and the approval date of the said application.

Article 13   The duration of a mining right shall not exceed a period of twenty years.   An application for extension shall be submitted to the Ministry of Economic Affairs for approval from six months to a year before expiration before expiration.   The extension duration shall not exceed a period of twenty years each time.

If the application for extension of a mining right is made following the stipulation of the previous paragraph, the mining right remains valid during the period between the expiry date of the mining right and the approval date of the said application

Article 14     The establishment, extension, alteration, closing or transfer due to assignment or entrustment shall not be valid without approval by and registration with governing agency.

The following shall not be valid unless registered with governing agency:

1. Nullification of and the disposal imposed on a mineral right.

2. Transfer of the mineral right due to inheritance or compulsory execution.

3. Establishment, alteration, transfer, nullification of and the disposal imposed on a mortgage.

On approval of the application of paragraph 1 and the registration of transfer due to inheritance or compulsory execution, the governing agency shall issue or remark on a mining license.

The qualification of applicant, procedure for application, registration period, registered item, documents to be submitted and other items in registration rule for paragraphs 1 and 2 shall be established by the governing agency.

Section 2  Establishment and Renewal of Mineral Right

Article 15       When applying for establishment of an exploration right, an applicant shall submit an application form, application fee, mineral concession map, conceptualized exploration plan and its drawing explanation; while applying for establishment of a mineral right, an applicant shall submit an application form, application fee, mineral concession map, ore deposit description, conceptualized mining plan and its drawing explanation.

In the conceptualized exploration and mining plans, soil and water conservation, environmental protection (the impact of exploration or mining activities on the environment), mine safety measures and mining hazard prevention for sustained operation and other items required by the governing agency shall be described in details.

When two or more persons jointly apply for a mineral right, the applicants shall submit a partnership contract, giving separately the investment amount, rights and obligations of each partner, and in case of corporate organization, articles of incorporation shall be submitted together.

Article 16       The boundary and area of a mine concession shall be measured in the manner as promulgated by the governing agency.

Article 17     In one of the following situations, the governing agency shall not accept the application for establishing a mineral right if:

1. An applicant fails to submit a complete application form with drawing explanation a s required pursuant to Paragraph 1 of Article 15.

2. The attached mineral concession map gives no name of place or border of the mineral concession.

3. The mineral claimed area is not within jurisdiction.

4. An applicant fails to conform to the provisions under Article 6.

5. The minerals specified in the application form are not those listed under Article 3.

6. The mineral claimed area is located totally within the area where an application has been suspended or exploration and mining prohibited.

7. The minerals specified in the application form have been designated as minerals prohibited to exploration and mining in mineral reservation areas.

8. An applicant fails to pay application fee for establishing the mineral right.

Application dismissed as per the previous provisions shall not be entitled for priority review.

Failing in renewal of an application within a period provided under Paragraph 1 of Article 12-1 or Article 13-1, the governing agency shall deny the application.

Article 18       I n one of the following situations, the governing agency shall dismiss the application for establishing a mineral right and shall notify the original applicant if:

1. An applicant, who submit documents and drawing explanation under Paragraph 1 of Article15, refuses to amend or fails to resubmit completely amended documents and drawing explanation within a given period of time required by the governing agency after the document has been reviewed.

2. An applicant keeps failing to guide to survey the area claimed by the applicant on the designated date after the second notice, or fails to denote the claimed area on survey, or the denoted area on survey is totally different from the claimed area on the mineral concession map.

3. An applicant fails to correct within a given period time the difference of the location and the shape of the claimed area from the mineral deposits, which can damage mining interest.

4. An application is rejected pursuant to Article 20.

5. An applicant fails to pay survey fee, current mineral right fee, license fee and registration fee within a given period time after the application has been reviewed and the payment notice has been issued by the governing agency.

The governing agency shall survey the claimed area and shall approve or reject the application within 6 months after accepting the application.

Article 19       The applicant of a mineral right may for the cause of mining interest apply for increase or decrease the acreage of the claimed area; however, the acreage of the claimed area shall remain subject to the provision of Article 7.

Article 20       When the exploration right claimed area is deem suitable for mining, the governing agency may notify the exploration right applicant to submit an application for mining right within a given period of time.   If the applicant fails to do so, the governing agency may dismiss the original application for the exploration right.

Article 21       If a mineral claimed area is found to be overlapping in two or more application for the same kind of mineral, the governing agency shall give the priority review for the overlapping part to the one who first submitted the application.

If the applications referred in the previous paragraph are received on same day, the governing agency shall notify the applicants to negotiate new applications within a given period of time.   If the applicants fail to do so, the governing agency shall determine the priority by lots drawing. However, when an exploration claimed area overlaps with a mining claimed area, the governing agency shall give the priority review to the case of mining application.

If the applicant mentioned in the previous paragraph owns more than 50% of the mineral claimed area, the governing agency shall give the priority review to such an application.

Article 22       If an exploration right applicant submits an application for a mining right for the same type of mineral over the same claimed area which overlaps with another mining claimed area applied by other applicant, the arrival date of application for the exploration right shall be deemed as the arrival date of application for the mining right.

Article 23       If a mineral claimed area is found to overlap with another applicant’s mining concession for the same kind of mineral, the overlapped part of the mineral claimed area shall not be approved.

Article 24       During the review period for the application for exploration claimed area, if the governing agency find the said area overlap with another application for mining for the same kind of mineral, the overlapped part area may be subject to the provision under Article 20.

Article 25   If a mineral claimed area is found to overlap with another applicant’s mineral claimed area or mining concession for the different kinds of mineral, the governing agency shall notify the one who first applies for the mineral claimed area or the holder of mineral right to apply for such different kind of mineral and give the priority review to the application filed within 90 days after notification.

Article 26       If the exploration right holder applies for the mining right within 30 days following the expiration of exploration right, the governing agency shall give the application priority review to the said holder.

Article 27     Application for a mineral right in the following areas shall not be approved:

1. Within the forbidden areas of fortress, military port, garrison area, and military facility and premises, where permissions of the related governing agencies have not secured.

2. Within one kilometer from the border of commercial district or market place, where permissions of the related governing agencies have not secured.

3. Within conserved forest, watershed area of reservoir, designated scenic area and national park, where permissions of the related governing agencies have not secured.

4. Within 150 meters from public buildings, national cemeteries, railroads, national highways, provincial highways, important factory site and unmovable famous relics, where permissions of the related governing agencies have not secured.

5. Within the areas where exploration or mining is prohibited without permission of the governing agency that is stipulated by other Acts, where permissions of the related governing agencies have not secured.

6. Within the areas where the exploration or mining is prohibited by other Acts.

Article 28       The governing agency shall not approve the application for a mineral right if the establishment of the mineral right will be detrimental to the public interest.

To explore for minerals and adjust the mineral concession, the governing agency may designate an area to suspend acceptance of new applications.

Article 29     The governing agency, when necessary, may designate minerals and areas as mineral reservation areas and forbid exploration for or mining minerals.

Article 30     Renewal procedure for a mineral right may apply the provision of Article 15 and 18.

Article 31     Having none of the following, the governing agency shall not dismiss an application for renewal of a mineral right:

1. The applicant different from the mineral right holder.

2. Lack of production record of exploration or mining

3. Having one of the items provided under Article 27 after establishment of a mineral right.  

4. Having one of the items provided under Subparagraph 2 to Subparagraph 4 of Article 38.

5. Having the un-improvable item provided under Paragraph 1of Article 57.

If an application for renewal of a mineral right under Subparagraph 3 of the previous Paragraph are rejected which leads to a loss, the mineral right holder may claim compensation equivalent to the loss incurred within the period of the validity of mineral right against the agency limiting exploration and mining or the one obliged for the compensation.

Article 32       After registration for the areas prospected by the governing agency as worth to mine but without establishing a mineral right, or the area the mineral right was revoked pursuant to Article 37 or aborted the approval of a mineral right pursuant to Item 1, 3 or 4 of Article 38, the governing agency may establish the qualification of applicant, capital amount, nature of the business operated, scale of development and other necessary conditions and make public for application within a certain period of time for establishing a mineral right. However, the original mineral right holder of the area with mineral right revoked in accordance with Article 37 or aborted under Article 38 shall not be eligible for re-application.   The original right holder shall not be allowed to apply for the mineral right to the area of any adjustment made if this is the case.

If there are more than two applications complying with the provisions of the previous Paragraph within the announced period, the award of the mineral right shall be determined by lots drawing.

Article 33       I n order to avoid overlapping in application of a mineral right, the applicant may apply by submitting drawings with the governing agency for referring to mineral right registry.

Section 3   Change, Transfer and Extinction of Mineral Right

Article 34     When applying for increasing, decreasing, combining or severing of the approved mineral concession, the mineral right holder shall submit application form, new and old mineral concession plan and reason statement to the governing agency.   The area of the mineral concession shall be still subject to the restriction of Article 7.

            The processing of the above application shall apply the provisions under Article 18.

Article 35       When requiring excavation into adjacent mineral concession due to the location or shape of a mineral deposit, the mineral right holder may negotiate with the adjacent mineral right holder to obtain a consent letter and jointly apply with the adjacent mineral right holder to the governing agency for mineral concession adjustment with the consent letter and mineral deposit drawing and its explanation.   The area of mineral concession shall be still subject to the restriction of Article 7.

When requiring drilling a well or excavating a shaft or tunnel through adjacent mineral concession due to the location or shape of a mineral deposit, the mineral right holder may negotiate with the adjacent mineral right holder to obtain a consent letter and apply to the governing agency for approval of construction with the consent letter and construction drawings and its explanation.

Article 36       The transfer of a mineral right shall be made in writing and apply to the governing agency in accordance with the following requirements:

1.    Transfer due to inheritance shall be applied by the successor.

2. Transfer due to assignment shall be applied by the assignee and the mineral right holder jointly.

3. Transfer due to compulsory execution shall be applied by the creditor.

4. Transfer due to entrustment shall be applied jointly by the trustee and the mineral right holder.