mineral resources

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"Mr. Zhang, your exploration right has three months left to expire. If you renew it, you will have to reduce the exploration area by 30%. What do you think we should do?"#p#page title#e#

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On the other end of the phone, Mr. Zhang, the head of a mining company in a certain province, was stunned. He invested nearly 20 million yuan in exploration and found a little outcrop of ore body, but it was not enough to transfer the mining rights. If you renew, a large amount of area will be reduced; if you don't renew, several years of investment will be in vain. #p#Paging title#e#

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This situation is all too common in mining circles. #p#Paging title#e#

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What is a prospecting rights reservation? The mine boss's "life-saving clause"#p#Page title#e#

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Article 25 of the newly revised "Mineral Resources Law" in 2024 gives a clear answer: #p#page title#e#Exploration rights reserved#p#Page title#e#. #p#Paging title#e#

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In layman's terms, retaining exploration rights means "pausing" the exploration results and not invalidating them due to the expiration of time. #p#Paging title#e#During the period of retention of the exploration rights, the calculation of the term of the exploration rights shall be suspended. #p#Paging title#e##p#Paging title#e#

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According to the provisions of Article 25, Paragraph 2 of the Mineral Resources Law, if one of the following circumstances is met, the holder of the exploration right may apply for the reservation of the exploration right, and the original mining rights transfer department shall handle it for him: #p#page title#e#

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For #p# pagination title #e#The need for public interest#p#Paging title#e#, exploration rights cannot be converted into mining rights for the time being#p#page title#e#

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Because#p#pagination title#e#Force majeure or other special circumstances#p#Page title#e#, no longer meet the conditions for mining#p#Paging title#e#

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The "Regulations on the Implementation of the Mineral Resources Law" that will be implemented on June 15, 2026 further clarifies that during the retention period of the exploration rights, the exploration rights holder shall not transfer the exploration rights, nor may they dispose of the exploration rights without authorization. #p#Paging title#e#

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What are the conditions for retention? #p#Paging title#e#

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Not all exploration rights can be applied for and retained, and certain conditions need to be met: #p#page title#e#

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#p#Paging title#e#1. Exploration level requirements#p#Page title#e##p#Paging title#e#

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According to the Ministry of Natural Resources’ “Notice on Further Improving the Registration and Management of Mineral Resources Exploration and Mining” (Natural Resources Regulations [2023] No. 4): #p# Page Title #e#

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- The scale of resource reserves reaches #p#page title#e#Large and medium-sized coal and large-scale non-coal#p#Page title#e#To apply for the retention of exploration rights, the number of points to be reached must be #p#page title#e#Exploration level#p#Page title#e#- #p#Paging title#e#Other#p#Paging title#e#To apply for the retention of exploration rights, the number of points to be reached must be #p#page title#e#Detailed inspection (including) the above level#p#Page title#e##p#Paging title#e#

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#p#Paging title#e#2. The ore body must have been proven to be mineable#p#Page title#e##p#Paging title#e#

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When applying for the retention of exploration rights for the first time, a description of the ore bodies that have been proven to be exploitable within the scope of the exploration rights must be submitted. #p#Paging title#e#

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To put it simply: your exploration work has achieved certain results and you have found a "mine", but for some reason it cannot be mined yet. #p#Paging title#e#

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What can I do during my stay? #p#Paging title#e#

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This is the issue that many mine owners are most concerned about. #p#Paging title#e#

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#p#Paging title#e#Exploration rights retention period: #p#Page title#e#- Exploration right period#p#Page title#e#Abort calculation#p#Page title#e#(Equivalent to "pause button") - Limited exploration activities are possible, but #p#page title#e#Large-scale mining is not allowed#p#Paging title#e#- #p#Paging title#e#Not transferable#p#Page title#e#Exploration rights#p#Page title#e#

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#p#Paging title#e#During the retention period of the exploration rights, #p#Page title#e#Under any of the following circumstances, the exploration right will be extinguished: - The holder of the exploration right applies for cancellation - The retention period expires without applying for renewal - The exploration right will not be renewed in accordance with the law #p#page title#e#

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Yingting lawyer reminds#p#Page title#e#

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While handling a large number of exploration rights cases, the mining lawyer team of Beijing Yingting Law Firm found that many mining companies did not understand the exploration rights retention system well enough and missed valuable "life extension" opportunities. #p#Paging title#e#

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#p#Paging title#e#Special reminder: #p#Paging title#e##p#Paging title#e#

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#p#Paging title#e#The timing of application is very important#p#Paging title#e#——The reservation of exploration rights must be applied for within the validity period of the exploration rights. If the application is not made within the validity period, the exploration rights may be extinguished#p#page title#e#

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#p#Paging title#e#The materials must be fully prepared#p#Paging title#e#——It is necessary to submit a description of the ore body that has been proven to be mined, a summary report of exploration work, a resource reserve assessment report and other materials#p#Page title#e#

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#p#Paging title#e#Pay attention to policy changes#p#Paging title#e#——If the exploration rights that have been reserved cannot be transferred to the mining rights due to policy changes that lead to an increase in the level of exploration work or other reasons other than the mining rights holder's own reasons, and it is necessary to continue the exploration work, you can apply for the extension of the exploration rights#p#page title#e#

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#p#Paging title#e#Beijing Yingting Law Firm Lawyer Liu Jingzhu#p#Page title#e##p#Paging title#e#

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If you encounter any problems during the process of retaining, renewing, or transferring exploration rights, please feel free to consult the professional mining lawyer team of Beijing Yingtong Law Firm. We will provide professional legal advice and solutions based on your specific situation. #p#Paging title#e#

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#p#Paging title#e#Warm reminder: This content is for reference only and does not constitute legal advice. Please consult a professional attorney for specific questions. #p#Paging title#e##p#Paging title#e#

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