As a mining investor, it is wise if you try to understand what is expected of you in your next investment by the host government. Mining Tenement System is an act or set of rules generated by the country that governs the mining industries and all investors who wish to invest or explore for minerals in a given state. The main aim of this page is to ensure that you understand some of the primary and common mining act. From exploration, prospecting to land reclamation, the guide will explain some of the necessary information that you should know before investing in mining.
All you Need to Know About Mining Tenements
Exploration Licenses
This is the permit that you will be required to attain or receive from the government before your company initiates the mineral search. It varies from one country to another, but for your company to be allowed to send geologists and other teams for exploration purposes, you need exploration permits. It is renewable, and it entails the security of your crew during and after the exploration process, but it only covers a limited area of interest. If you wish to extend your search to other states, you will be required to apply for the permit in your new mineralized zone.
Development License
This is the permit to allow your Mining Tenement System to bring in structures and tools to aid your mining process. The grant enables more mining practice and additional practices such as seismic surveys, feasibility studies, drilling, and design. Depending on the country you are to invest in, this permit also expires, but it can be renewed and awarded the original company automatically. It involves the importation of new technology if the country has fewer structures that a mining company needs it covers all the construction and discoveries.
Mining Lease
This is the right to perform the extraction and removal of minerals from the ground. It is carried out after a successful application of the first three. The permit is valid until the life of a mine ends or the mineral exhaust. The lease allows you to find a market and process firms out of the country if there are no other options in the country that can offer the same. Before venturing or choosing to mine, it is wise if you try to find out what is expected from you as a mining company before investing.