Minerals Report - International Seabed Authority

Ok Tedi Copper Mines have separate legislation respectively. Nonetheless,
the Mining Act this is quite deficient as regards offshore exploration and
mining though the statutory reporting requirements on the exploration licence
holders having tenements within the territorial sea would be bound by this
legislation.
Generally, no mineral exploration or mining can take place in the
country without the express authority of the State except for small alluvial
mining by a landholder utilising traditional artisanal tools on his own land.
An authorisation is granted through various licences under the Mining Act.
Licences that may be issued under the Act include exploration licence,
mining lease, special mining lease, alluvial mining lease, lease for mining
purposes, and mining easement.
For purpose of this paper the exploration licence is the key tenement
that will be discussed. Table 1 illustrates the typical terms of an exploration
licence under the Mining Act.
A holder of exploration licence has the right to search for and find
mineral resources. Among its other obligations, the licensee is obligated to
report its findings on a biannual and annual basis.
Table 1: Exploration Licence Terms
Initial Term:
Extension:
Area:
Acreage Relinquishment:
Exclusivity:
Work Programme:
Reporting Requirements:
Minimum Expenditure:
2 years
2 year tranches
750 sub-block or 2 539.2 Km2
50 % at end of first term
Exclusive right to occupy land and
explore for minerals specified
Required as a condition
Biannual and Annual Reports
Sliding scale and dependent on term of
licence
INTERNATIONAL SEABED AUTHORITY 359