mineral resources

“I didn’t pay attention when I signed the contract, and when something happened I found out that nothing was written clearly in the contract.” This is probably the most common regret among mining bosses.

Key clause one: Mineral type, area, scope

The contract must clearly stipulate the type of mineral to be explored or mined, the specific area, as well as technical parameters such as inflection point coordinates, area, and mining elevation.

Why should it be clear?The scope of mineral rights directly determines what, how much, and where you can mine. The scope agreement was vague and subsequent disputes continued.

Key Clause 2: Exploration and Mining Requirements

The contract should specify technical requirements such as exploration plans, mining methods, and mineral processing processes, as well as constraints such as production scale and safety standards.

Why should it be clear?Excessive mining will result in penalties or even the revocation of mining licenses.

Key Clause Three: Mining Area Ecological Restoration Requirements

The contract must stipulate the standards, plans, funding arrangements and acceptance procedures for ecological restoration of the mining area.

Why should it be clear?If the agreement is unclear, companies may be burdened with heavy environmental responsibilities.

Key Clause 4: Income from Mining Rights Transfer and Payment Method

The contract should specify the total amount of transfer proceeds, payment method, installment arrangement, and liability for breach of contract for late payment.

Key Clause 5: Mining Rights Term

The contract should specify the start and end time, renewal conditions, renewal procedures, etc. of the mining rights.

Why should it be clear?The maximum term of mining rights is 30 years, and there are conditions for renewal upon expiration. By clearly agreeing in the contract in advance, you can avoid "cramming" after expiration.

Yingting lawyer reminds

According to Article 20 of the Mineral Resources Law, if your transfer contract lacks any of the above clauses, there may be problems.

Recommended action:1. Find your own transfer contract and check it item by item; 2. If you find missing items or vague terms, consult a lawyer promptly; 3. If necessary, improve the contract content through supplementary agreements.