National Mineral Policy 2006 - Department of Mines

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16. Reserve Bank of India17. M/s Jindal Stainless Steel18. Development Commissioner, Visakhapatnam Special Economic ZoneList of Presentations Made Before the High Level Committee1. Department of Atomic Energy2. Rio Tinto3. BHP Billiton4. Indian Steel Alliance5. Indian Diamonds—by Dr T. M. Babu6. AXL Industries, Bhubaneswar7. De Beers8. Sesa Goa9. Sterlite Industries10. Essel Mining & Industries Limited11. Goa Mineral Ore Exporters’Association12. Mining Engineers’Association of India13. Federation of Indian Mineral Industries14. National Mineral Development Corporation Ltd.15. ESSAR Steel Limited16. Wolkem India Limited17. Geomysore Services (India) Pvt. Limited18. Transworld Garnet India Pvt. Limited19. Steel Furnace Association of India20. The Associated Cement Companies Limited21. Ernst & Young India Limited234
Appendix DSummary of the Recommendations of the Committee Headed by AdditionalSecretary, Ministry of Mines to Review Policy and Procedural Aspects ofReconnaissance Permits 1(i)Definition of reconnaissance and prospecting operationsThe Committee has recommended that in order to bring out more clearly the scope of theactivities to be covered under "Reconnaissance" and "Prospecting" the definitions of bothreconnaissance and prospecting should be changed such that not only the reconnaissanceoperations should also include shallow pitting, trenching and surface drilling which are atpresent excluded from the definition but at the same time the definition of prospectingoperations be widened so as to also cover operations permitted under reconnaissanceoperations. With these changes, exploration activities will become more flexible andtransition from RP to PL will be smoother.(ii)Period of Reconnaissance PermitAfter deliberating upon the concern of the investors for extension of tenure of RP, theCommittee was of the view that rather than providing extension in the period of RP beyond 3years, provision may be made to facilitate an RP holder to move directly to a PL, even beforethe expiry of the RP and pending a decision thereon, reconnaissance operations could becontinued in that area applied for PL while the remaining area would stand automaticallysurrendered. The Committee also recommended that the deemed extension of RP shall notexceed the total period for which a PL can be granted. Thus the Committee has recommendedthat with this the total period of combined RP and PL would not be more than 8 years but thiswould provide smoother transition from RP to PL.(iii) Increase in the permissible area under PLThe Committee felt that the existing provisions of reducing the area from 10000 sq. km in RPto 25 sq. km in PL after 3 years is too drastic. This prevents genuine detailed prospecting by1Source: Ministry of Mines.235
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National Mineral PolicyReport of th
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ContentsAcronyms...................
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Annexure 5: Using the GRI Guideline
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GDP gross domestic productGIS Geogr
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UNFCUSVATWCUUnited Nations Framewor
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Introduction1. The Government of In
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issues relate to fund raising by pr
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termination of MLs, lowering of cei
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• In the case of large mining ope
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investment. The work done by GSI co
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mainly for minerals of base metals
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1.21 This situation has changed dra
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absent. A study by the United Natio
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example, a mining major may outsour
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would otherwise remain unexploited
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the policy environment must continu
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‘A thrust is to be given to explo
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In reviewing the MMDR Act, it is ne
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permissible activities in order to
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(i)(ii)(iii)(iv)The current two-tie
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per plan should be significantly hi
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Duration of Concessions1.48 In the
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10,000 sq. km in a state. This has
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(ii)(iii)(iv)The maximum total area
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e obviated if the lease deed is exh
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elinquishment of areas by the lesse
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to give priority to the prior appli
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(v)(vi)(vii)Rules should be prescri
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esponsible for all rights, liabilit
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ut also the revenue generated from
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government at the Secretariat. A le
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Secretary. If the Directorate is in
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(i) All applications for mineral co
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application. A similar website shou
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concerned State Government (or othe
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Further, Rule 7D of the MCR specifi
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mission mode through, inter alia, t
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Chapter 3Forest Conservation and En
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conservation. There are trade-offs
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ICMM AND SDF3.8 The ICMM membership
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higher level. The basic approach is
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(i) To minimize displacement and to
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affected PAPs in the mining operati
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that a well-regulated and responsib
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(iii)Notwithstanding the above, sur
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egard, all ‘forest’ land must b
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Figure 3.1: Procedure for Processin
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should be authorised to grant or re
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formulation and appraisal of the EI
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3.41 Recognising the need to make t
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Figure 3.3: Public Hearing/NOC from
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Chapter 4Infrastructure Needs and F
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4.5 Logistics is the key to access
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Table 4.1: Mineral Production in In
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necessary, therefore, that in infra
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to the ports of Haldia and Paradip
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Connectivity of Major Ports, brough
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(iv)(v)(vi)(vii)At Visakhapatnam Po
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was of the opinion that while the m
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such an arrangement, the Ministry o
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developed, controlled, and run by s
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subject to overt and covert restric
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consideration to the end use of the
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(iii)parameters laid down in existi
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Chapter 6Augmenting State Revenues(
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the value addition question conside
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In a system of ad valorem rates of
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must provide revenues sufficient to
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Box 6.1: Methods of Valuation of Ro
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Another point to be borne in mind b
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ailable, cognisable criminal offenc
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e worked out. This should be string
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7.3 Considering the high-risk natur
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Table 7.2: Minimum Listing Requirem
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(ii)(iii)only. Such funds have not
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addition, the minimum post-issue fa
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and hence this ore should be conser
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miners distort the market for their
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7.22 The current law does not make
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is mostly of low grade magnetite. H
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Most magnetite findings are entirel
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in UK 206 kg, and in China it grew
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metres. The use of down hole drill
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7.42 Despite the fact that SME mini
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also be a consideration. However, t
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price, reduce profitability, and pu
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IMPACT ON DOMESTIC IRON ORE PRICES
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7.58 Export of iron ore fines on a
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POLICY ON BEACH SAND MINERALS7.64 B
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not contain more than 0.1 per cent
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7.73 On 18 January 2006, the DAE no
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with the Centre is mainly to ensure
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India enterprise) reported that the
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chloride process pigment technology
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are disposed of in the mined-out ar
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directed to ensure that the AERB/AM
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Page 196 and 197: ‘In coordination with the Geologi
Page 198 and 199: Exploration Licences• The current
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Page 202 and 203: surveys have been undertaken, the P
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Page 206 and 207: y stating in the MMDR Act that a pr
Page 208 and 209: departmental representative for sec
Page 210 and 211: therefore (under Rule 63A), pass su
Page 212 and 213: • Section 12(1) of the MMDR Act s
Page 214 and 215: o The lessee should not be asked to
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Page 218 and 219: • As in the past, no environmenta
Page 220 and 221: oad and rail, and lack of long-term
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Page 224 and 225: next three-year period as well. In
Page 226 and 227: • Rates of dead rent should be ra
Page 228 and 229: measure to provide a level playing
Page 230 and 231: • In respect of three titanium be
Page 232 and 233: No-I&M-25(3)/2005Government of Indi
Page 234 and 235: No-I&M-25(3)/2005Planning Commissio
Page 236 and 237: ‘Efforts would also be made to gr
Page 238 and 239: ecommending amendments to the Act a
Page 240 and 241: etained as a Prescribed Substance u
Page 242 and 243: OthersShri Arvind VarmaEx-Secretary
Page 246 and 247: the RP holders in areas beyond 25 s
Page 248 and 249: Appendix ERecommendations of the Ex
Page 250 and 251: (1) Provide proximate and strategic
Page 252 and 253: technology to enter the Indian stee
Page 254 and 255: Cross-country Comparison of Mining
Page 256 and 257: Appendix F (cont.)Country Mining La
Page 258 and 259: Cross-country Comparison of Mining
Page 260 and 261: Appendix G (cont.)Country Mining le
Page 262 and 263: CountryAppendix H (Cont.)Environmen
Page 264 and 265: AustraliaIndonesia 9 4 Not specifie
Page 266 and 267: Annexure 1 (cont.)Geologicalenviron
Page 268 and 269: operations are undertaken over a fa
Page 270 and 271: B. After Rule 54 of the Mineral Con
Page 272 and 273: the Central Government to entertain
Page 274 and 275: applications, could exercise the ju
Page 276 and 277: We most humbly request that the abo
Page 278 and 279: Annexure 4The 2002Sustainability Re
Page 280 and 281: While unique in its coverage and pr
Page 282 and 283: • facilitate comparability• add
Page 284 and 285: AssuranceJust as investors look to
Page 286 and 287: The Guidelines are structured in fi
Page 288 and 289: There are many aspects relevant for
Page 290 and 291: - Issues in which community partici
Page 292 and 293: Annexure 7Royalty Accruals on Miner
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Sl.No.MineralAnnexure 8 (cont.)2003
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Annexure 91 THE SECOND SCHEDULE 1(S
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(v) Group V Coals:(a) Non-Coking Co
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23. Iron Ore:(i) Lumps:(a) with 65
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45. Tin Five per cent of London Met
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International Comparison of Royalty
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Production, Consumption, Exports, a
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National Mineral Policy 2006 - Department of Mines

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