mineral resources

Mr. Zhang, the person in charge of a mining company in Shaanxi, said angrily: “I didn’t realize anything was wrong until after the contract was signed, but it was already too late.” At the time, I thought it was just a formality, but I didn’t expect that the clauses contained such a big surprise.

Pitfall 1: The scope of mineral rights is unclear

Some transfer contracts only state the mineral type and approximate scope, without specifying the coordinates and area of the inflection point. When you enter the mining site, you realize that the actual mining area is different from what you imagined.

Correct approach:The contract must be accompanied by a map of the scope of the mineral rights, indicating complete inflection point coordinates, area, mining depth and other elements.

Pitfall 2: Mining rights price agreement is unclear

Some contracts state "transaction price XX million yuan", but the payment method, installment arrangement, interest on capital occupation, etc. are unclear.

Correct approach:Clarify the total price, payment time points, and liability for late payment defaults.

Pitfall 3: Unequal responsibilities for ecological restoration

The contract states that "performing ecological restoration obligations in accordance with national standards", but the restoration standards and how much money will be spent are all borne by the company.

Pitfall 4: The conditions for contract termination are broad

Some contracts give government departments broad rights to terminate the contract, and the company's mining rights will be lost if it is terminated.

Pitfall 5: Dispute Resolution Clause Trap

Many companies do not pay attention to dispute resolution clauses - should they go to court or arbitrate? Arbitration is agreed to take place at the location of the department, which greatly increases the cost of rights protection for the enterprise.

Yingting lawyer reminds

Mining rights transfer contracts often cost tens or even hundreds of millions.Before signing the contract, ask a professional lawyer to review it, it's worth the legal fees.

When signing a contract, you should focus on: whether the scope of the mineral rights is clear; whether the transfer income and payment arrangements are clear; whether the boundaries of ecological restoration responsibilities are clear; whether the terms of contract termination and breach of contract are fair.