mineral resources

The mining license of a coal mining company in a certain province will expire in September 2026. The company submitted an application for renewal in early June, but three months later, the natural resources department has not responded. Companies are worried that continuing to mine after the license expires will be illegal, but stopping mining means that the mines will stop production and workers will be idle. Dilemmas like this are not uncommon in practice. The long review and approval cycle for mining license renewal and unclear response deadlines have long troubled mining rights holders. The "Regulations on the Implementation of the Mineral Resources Law of the People's Republic of China" (hereinafter referred to as the "Regulations"), which will be implemented on June 15, 2026, clearly stipulates the response time limit for mining license renewal in the form of administrative regulations for the first time, providing "reassurance" for mineral rights holders.
The Mineral Resources Law of the People's Republic of China revised in 2024 establishes the basic framework for the renewal of mining rights. Article 22 of the Law stipulates that if the mining license expires and it is necessary to continue to exploit mineral resources, the mining rights holder shall apply to the registration authority for renewal within 60 days before the expiration. The renewal of the mining rights shall be handled in accordance with the mining rights transfer procedures stipulated in this Law. It is worth noting that the law clarifies that the renewal of mining rights should be handled in accordance with the transfer procedure, which means that the renewal is not automatically approved but requires substantive review.
The Regulations have made key refinements on this basis. According to the provisions of the Regulations on the renewal procedures for mining rights, after receiving the renewal application materials submitted by the mining rights holder, the registration authority shall complete the review and make a decision within the statutory time limit. Chapter 8 of the Regulations on legal responsibilities and administrative procedures further clarifies the legal responsibilities and time limit requirements of the registration authority. In conjunction with the provisions of Article 37 of the Administrative Licensing Law, after the administrative agency examines the administrative licensing application, in addition to making an administrative licensing decision on the spot, it shall make an administrative licensing decision within the statutory time limit and in accordance with prescribed procedures. For applications for renewal of mining licenses, if the materials are complete and comply with the legal form, the Regulations require the registration authority to make a decision on whether to approve it within fifteen working days; if the materials are incomplete or do not comply with the form, the applicant shall be informed of all the content that needs to be supplemented and corrected at once.
In addition, the "Regulations" clarify that the mining rights obtained by the mining rights holder in accordance with the law are protected by law, and the registration authority shall not set additional conditions without authorization to hinder the renewal of the mining rights. For strategic mineral resources, the Regulations also stipulate that the natural resources authorities should establish a mining rights management ledger, dynamically monitor the validity period of the license, and proactively prompt the mining rights holder to submit a timely renewal application ninety days before the license expires to avoid procedural delays that affect the normal production and operation of the enterprise.
In judicial practice, administrative disputes caused by the renewal of mining licenses often occur. In a case involving a dispute over the administrative renewal of mining rights, the Higher People's Court of a certain province determined that if the natural resources department neither makes an approval decision nor a disapproval decision within the statutory period after receiving the renewal application submitted by the mining rights owner, it constitutes a failure to perform its statutory duties. The court ruling ordered the natural resources department to process the renewal application within a reasonable period. This case clarified an important judicial rule: the renewal of mining licenses falls within the scope of administrative licensing, and administrative agencies have the obligation to make decisions within the statutory time limit. The "pending" state of neither approval nor rejection also constitutes illegality.
The promulgation of the "Regulations" further confirms the above-mentioned judgment logic from the regulatory level and clarifies the bottom line requirements of the response time limit.
As a professional lawyer who has been engaged in mining legal services for a long time, I believe that the fifteen-day response time limit stipulated in the Regulations is one of the most practical elements in the improvement of this legislation. In the past, natural resource departments in some areas delayed applications for renewal, leaving mineral rights holders in a dilemma: if mining expired, they would suffer huge losses, and if they continued mining, they would face the legal risks of illegal mining. After the new regulations are implemented, this dilemma will be effectively alleviated.
We would like to remind all mining rights holders to attach great importance to the following three points:
First, prepare in advance and apply on time. In accordance with the provisions of the Mineral Resources Act, renewal applications must be submitted within sixty days before the license expires. For mining rights holders with a large amount of materials and complex approval procedures, it is recommended to start preparations at least ninety days in advance and allow time for corrections to avoid restarting the response deadline due to material defects.
Second, pay attention to the material essentials. The renewal review is not a formality. The registration authority will conduct a substantive review of the development and utilization plan, resource utilization level, ecological restoration of the mining area, etc. Enterprises should ensure that relevant plans comply with current standards to avoid being disapproved because the plan is expired or does not meet the requirements.
Third, make good use of legal remedies. If the administrative agency fails to respond within the time limit, the mining rights holder may file an administrative lawsuit in accordance with the law and request confirmation that it constitutes failure to perform statutory duties. When necessary, you can also apply for administrative reconsideration to the higher authority or supervise the processing through petition channels to safeguard your legitimate rights and interests in accordance with the law.
If you encounter issues related to renewal approval in mining rights management, please feel free to contact us for professional consultation.
——Lawyer Liu Jingzhu, Beijing Yingting Law Firm
Please consult a professional lawyer for specific questions. This content does not constitute legal advice.