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Mining Legislation
The Mine and Mineral Act (1995) - which
greatly simplified licensing procedures, places minimum reasonable
constraints on prospecting and mining activities, and creates a very favorable
investment environment, whilst allowing for International
arbitration to be written into development agreements, should this be
deemed necessary. A framework for
responsible development has also been created through publication of the
Environmental Protection and Pollution Control Regulations.
Licensing
System
Three types of license
are available to the large-scale operator:
- Prospecting License - this confers the
right to prospect for any mineral over any size of area for a period
of 2 years renewable.
- Retention License - this confers the
right to retain an area subject to the Ministers agreement, over which
feasibility studies have been completed but market conditions are
unfavorable for development of a deposit at that time. Size of area
may be that covered by a prospecting license or smaller area as
redefined by the License holder.
- Large Scale Mining License - this
confers exclusive rights to carry out mining operations and other acts
reasonably incidental thereto in the area for a maximum of 25 years.
The area to be held should not exceed the area required to carry out
the proposed mining operations. Applications need to be accompanied by
environmental protection plans and by proposals for the employment and
training of citizens of Zambia.
Similar rights are available to smaller
operators, but on a reduced scale
- Prospecting Permits - relate to
areas of 10kmē and have a duration of 2 years non-renewable.
- Small Scale Mining License - relate
to areas not exceeding 400 3hectares and have a duration of 10 years
renewable.
- Artisans Mining Rights - give the
right to local people to mine on an artisanal basis in an area not
exceeding 5 hectares, for a period of 2 years non-renewable.
- Gemstone License - holders may carry
mining operations over an area, not exceeding 400 hectares for a
period of not more than 10 years
Environment Framework
Key steps in establishing a project as
laid down by the regulations:
- Preparation of a project brief to
the Director of Mines Safety describing the site, proposed
activities and all aspect of potential environmental impact.
- The Director may request more
information or can forward the brief to the Environmental Council
of Zambia recommending one of: rejection; acceptance after
submission of a full Environmental Impact Statement; the project
be accepted and be allowed to proceed immediately.
- Preparation of an Environmental
Impact Statement and submission to the Director of Mines Safety.
- The Director of mines Safety
submits his recommendations to the environmental Council which
makes the final decision
- Environmental Impact Statements,
if called for, to be updated annually or within fifteen months of
the first statement.
- Environmental audits of project to
be completed annually.
- If a developer finds the
provisions of any regulation unduly onerous, he may apply to the
Minister or Director of Mines Safety for an exemption from that
regulation. The exemption may be granted under prescribed
conditions.
- Developers of large scale mining
projects to contribute to the environmental Management Fund for
rehabilitation purposes.
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