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Mining Code of I.R. Iran- Part 03

  1/16/2014


Article 10: Holders of mineral deposits exploitation licenses consist of: 
A. The following natural and juridical persons under the discretion and direct authorization of the Ministry of Mines and Metals: 
1. Holders of discovery certificates, within the respite provided in Article 8. 
2. Processing plants producing processed mineral substances with added value up to the stage of producing industrial raw materials, from unclaimed mines, as long as they continue production. 
3. Industrial units consuming mineral substances from unclaimed mines, as long as they continue production. 
4. Applicants specialist in mining or geology or there is at least one of the said specialists, of unclaimed mines as long as they fulfill the aforesaid condition. 
B. The subsidiaries and affiliated units or companies of Ministry of Mines and Metals, upon expediency. The aforesaid units and companies may undertake exploitation of mineral deposits utilizing the services of qualified natural and juridical persons or in partnership therewith. 
C. Mining cooperative companies comprising of mine employees. 

Note 1 :

 In case there are several exploitation applicants or the applicants are not among those named in the foregoing paragraphs, the provisions pertaining to the government transaction of the Public Audit Law shall be applied. 

Note 2 :

The identification document of each mine shall contain specification of the mine, the quantity and quality of the mineral deposit, technical and economical appraisal of the mine, including internal rate of capital return, executive requirements of mining works, optimum extraction of the said deposit, observance of technical protection and safety measures and other necessary issues. 
The proved reserve stated in the mine identification document shall be guaranteed by the Ministry of Mines and Metals and shall be acceptable as security in raising finance for the proposed project. 

Note 3 : 

The exploitation license is an official and enforceable document, bearing the period of validity on the basis of the mine identification document and the approved exploitation plan, can be extended, transacted and transferred to third parties entailing usufruct of the mineral deposit by the license holder and also including the obligations thereof in execution of the contents of same. The duration of each period of exploitation shall be determined on the basis of the aforesaid matters and may be up to the maximum of 25 years with priority right of license extension for the license holder with due regard to the foregoing and the existing reserve. 

Article 11: The Ministry of Mines and Metals shall be obligated to grant priority to the families of martyrs, war veterans, cooperative and joint-stock companies and local qualified individuals in issuing mine exploration and exploitation license with due regard to the provisions of this Act. 

Article 12: Mines shall be designated as large mines according to the amount of the reserve, grade, extraction rate, value of the mineral substance, volume of capital investment, geographic location as well as political, social and economic considerations upon proposal by the Ministry of Mines and Metals and approval of the Council of Ministers and the manner of exploitation of such deposits shall be determined by the Government.







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