Inventory of Business Licenses

General information
Name of formality	License to Conduct Mineral Exploration
Type of formality	Permit
Date of last modification	21.09.2017
Responsible Authorities	Geology and Mineral Department
LSIC	B - Mining and quarrying
Who should complete this business formality?	Any legal entity that intends to conduct a mining exploration work which means the study of geological structure and mining ore in the designated area, including geological works, geophysics, drilling, tunneling, trenching, pitting, sampling, analysis, and other activities with an aim to determine the total mining reserves and its quality before entering to the phase of studying the basic technical and financial feasibility of the project or determining the technical conditions for the mining exploration in the subsequent phase.
Qualifications needed by the business to get the formality	1. Must be an enterprise or company that has been legally established and registered to conduct business related to minerals; 2. Have stable financial status, sufficient financial resources, and financial security as required; 3. Have a good and credible background in business operations; 4. Have technical expertise and experience in mining extraction; 5. The exploring area shall be situated within the prospected area as approved.
Additional Comment	For the exploration business, the license holder may seek other investors to co-invest but must obtain the approval of the Central Committee of Investment Promotion and Management as proposed by the Ministry of Energy and Mines. The exploration license cannot be used as collateral for a loan.

LEGAL FRAMEWORK
Name	Number	Date	Comment
Presidential Ordinance on Fees and Service Fees	003/PO	26.12.2012	Article 18
Law on Mineral (Revised)	02/NA	26.12.2011	Part III Mining Business Operation (Article 21) Part IV Mining Business (Article 34 to Article 37)
to be translated	1566/MOEM	14.08.2019		""

REQUIRED DOCUMENTS FORMALITIES - First time
Name	Type	Comment
Social and Environment Management Plan	Confirmative act
License to Conduct Mineral Prospecting	Formality	with the Prospection Report
Documents related to the Completion of Financial Obligations	Confirmative act	and other duties in accordance with the law
Exploration and Minimal Spending Plan	Confirmative act	Including the source of fund for the exploration
Investment License	Confirmative act

REQUIRED DOCUMENTS FORMALITIES - Renew
Name	Type	Comment

 

Mean of presentation
Means of presentation	At the Authority Offices
Address of authority	Geology and Mineral Department, Ministry of Energy and Mines
Processing Time (Day(s))	30

 

RENEWAL INFORMATION
Does the formality have a validity or an expiration date?	YES
How long will the formality be valid for? (in months)	36
What is the process and conditions to get the formality?
What is the process and conditions to renew the formality?	The prospecting license can be extended once, but not more than 12 months under the following conditions: 1. An application must be submitted 90 days prior to the expiry date of the license, otherwise, the renewal request will not be considered; 2. Must fulfill financial obligations, obligations to local administrative authorities, and any other obligations in accordance with the laws; 3. Submit a report on the prospecting results and have completed at least 60% of the approved prospecting plan; 4. Propose a work plan for the continuation of prospecting activities; 5. Unnecessary digging and drilling areas, such as canals and potholes must be rehabilitated and refilled; 6. The applicant shall relinquish a minimum of at least 25% of the permitted prospecting areas where there are no economic minerals, including a prospecting report, which consists of prospecting data, relevant maps, sampling points, and research results.

 

ISSUING FEES
Has application fees?	Service fees	Certificate fees	Application fees	Total fees
YES	300000.00	0.00	0.00	300000.00
Comments	Refer to the Presidential Ordinance No. 003/PO, dated 26 December 2012, Article 18

 

RENEWAL FEES
Has renewal fees?	Service fees	Certificate fees	Renewal fees	Total renewal fees
YES	300000.00	0.00	0.00	300000.00
Comments	Refer to the Presidential Ordinance No. 003/PO, dated 26 December 2012, Article 18

   

REQUIRED DOCUMENTS
Document Name	Comment
Social and Environment Management Plan
License to Conduct Mineral Prospecting	with the Prospection Report
Documents related to the Completion of Financial Obligations	and other duties in accordance with the law
Exploration and Minimal Spending Plan	Including the source of fund for the exploration
Investment License

 

STATISTICS (Issue or/and renewed number)
Year	Issued	Renewed
2016	20	0
2017	11	8
2018	10	10
2019	12	10
2020	1	2