ZAMBIA Law and Practice Contributed by: Harriet Mdala, Natasha Lungu, Samuel Muleya and Chanda Musonda-Chiluba, MAY and Company
Conversion of an Exploration Licence to a Mining Licence – Rights The Mines Act does not grant an automatic right to a holder of an exploration licence to convert it to a mining licence. A party that seeks to convert an exploration licence to a mining licence must meet the requirements under the Mines Act to apply for a mining right. These are as follows. • There are sufficient deposits or resources of minerals to justify their commercial exploita - tion. • The area of land over which the licence is sought does not exceed the area required to carry out the proposed programme for mining operations. • The proposed programme of mining opera - tions is adequate and compliant with the decision letter in respect of the environmental project brief or EIA approved by the Zambia Environmental Management Agency (ZEMA). • Consent is required for the area under any written law, and the applicant must have sub - mitted evidence of that consent. • The standards of good mining practice and the applicant’s proposed programme for development, construction and mining operations in order to ensure the efficient and beneficial use of the mineral resources for the area over which the licence is sought must have been met. • The applicant is not in breach of any condi - tion of the exploration licence or any provi - sion of the Mines Act. In respect of large-scale mining some of the con - ditions are: • that the applicant has the financial resources and technical competence and the financing plan is compatible with the programme of mining operations;
The validity periods are: • two years for artisanal mining; • ten years for small-scale mining; and • 25 years for large-scale mining.
Applications for renewal must be made three months before expiry for an artisanal mining licence, six months for a small-scale mining licence and one year for a large-scale mining licence. Mineral processing licence A mineral processing licence is valid for a period of 25 years and may be renewed for a similar period. Gold panning certificate A gold panning certificate is valid for a period of two years and is renewable for a further two years. Mineral trading permit A mineral trading permit is valid for a period of three years and is renewable. Mineral import and mineral export permits Mineral import and mineral export permits are valid for a period of one year and are limited to the quantities specified in the permit. The Mines and Minerals Development (Gen - eral Regulations), 2016 require that the director of the mining cadastre must inform the appli - cant where the MCL rejects the renewal of the licence. The notice of rejection must state the reasons/grounds for the rejection. If the appli - cant is aggrieved by the decision of the MCL, the Mines Act provides an appellate process to the Minister of Mines within 30 days of receipt of the rejection.
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