Department of Natural Resources and Mines

Mining claims handbook General information

August 2012
Version 01

VERSION NO. 1

RELEASE DATE 24 August 2012

BRIEF DESCRIPTION

APPROVED BY

Final version of handbook

Executive Director DirectorGeneral

DISTRIBUTION:

Industry clients Manager (Tenures Administration) Mining registrar Deputy mining registrar Tenure officers

CUSTODIAN

Service Training and Regulatory Support Mining and Petroleum Operations

State of Queensland, Department of Natural Resources and Mines, 2012. The Queensland Government supports and encourages the dissemination and exchange of its information. The copyright in this publication is licensed under a Creative Commons Attribution 3.0 Australia (CC BY) licence.

Under this licence you are free, without having to seek permission from DNRM, to use this publication in accordance with the licence terms. You must keep intact the copyright notice and attribute the State of Queensland, Department of Department of Natural Resources and Mines as the source of the publication. For more information on this licence visit http://creativecommons.org/licenses/by/3.0/au/deed.en

Contents
Definitions and abbreviations Managing Queenslands mineral and coal resources The purpose of this guide How to use this guide General information about mining claims What is a mining claim? Legislation and Regulation applying to all mining claim transactions Mineral Resources Act 1989 Mineral Resources Regulation 2003 Practice manual (practice directions) Operational policies Making an application Types of mining claim applications Properly-made applications Providing false or misleading information on your application Issues that must be considered before an application can be approved Processing applications Lodging your application Assessing your application Deciding the outcome of your application After your claim has been approved Entitlements (what you can do on a mining claim) What is not permitted on a mining claim Restricted areas How we check that you are complying with conditions Not complying with your conditions of approval Frequently asked questions How often do I have to work on my mining claim? Can I leave equipment or material outside my mining claim? Can I live on my mining claim? Can someone else have an access over my mining claim? Can I put a fence around my mining claim? Can I use machinery on my mining claim? What if I want to mine underground? Can I build a dam on my mining claim? Do I have to lodge a royalty return every year? Do I need to let you know if any of my details have changed? What other important things do I need to know? Safety and health information 1 1 2 2 3 3 3 3 4 5 5 5 5 6 7 8 13 13 14 14 14 14 15 16 16 16 17 17 17 17 17 17 18 18 18 19 19 19 20

Definitions and abbreviations

EA Department IRTM MRA MRR Reserve land Environmental authority: A licence or approval issued by the administrating authority under the Environmental Protection Act 1994 Department of Natural Resources and Mines Interactive resource tenure maps Mineral Resources Act 1989 Mineral Resources Regulation 2003 Land including roads, state forest, timber reserves, resources reserves, Aboriginal land, Torres Strait Island land and rail corridors. Consent is required if activities are proposed on the surface of reserve land. Refer to Schedule 2 of the Mineral Resources Act 1989 Refers to land where a permanent building is situated and used mainly for accommodation, business purposes, community, sporting or recreational purposes, as a place of worship or where a feature is situated, such as principal stockyards, a bore or artesian well, dam, another artificial water storage connected to a water supply or a cemetery or burial place. Refer to Schedule 2 of the Mineral Resources Act 1989 Commodity-based payments made by one party to another for the right to ongoing use of an asset, refer to Schedule 4 of the MRR for more information. Refers to an area of land that may be subject to both an exploration permit and petroleum authority, greenhouse gas authority, geothermal authority and in some cases, a coal or oil shale authority. Notices and agreements may be required before activities can commence Strategic Cropping Land is land that has characteristics which render it particularly suitable for long-term food and fibre production

Restricted land

Royalty Overlapping permit

SCL

Managing Queenslands mineral and coal resources

All mineral and coal resources in Queensland are owned by the State. Individuals or companies may apply to explore or extract those resources. The department that regulates mining activities manages those resources on behalf of the State by administering a series of permits based on the conditions contained in the resources Acts. This allows us to assess, develop and use the mineral and coal resources in Queensland for the benefit of Queensland and its people. The legislation that governs mineral and coal resources is the Mineral Resources Act 1989 (the MRA). This is supported by the Mineral Resources Regulation 2003 (the Regulation). The purpose of the MRA is to:

encourage and facilitate exploration for and mining of minerals improve knowledge of the Queenslands mineral resources minimise land-use conflicts that can arise from prospecting, exploring and mining encourage environmental responsibility and land care management in the resources industries ensure that the Queensland receives a financial return from mining provide a way to manage and regulate prospecting, exploration and mining activities.

The framework for assessing and granting permits has been designed to meet these goals in a fair, transparent and accountable wayresulting in best practice, production-oriented and competent exploration and development.

The full MRA and MRR is available online from the Office of Queensland Parliamentary Counsel website [www.legislation.qld.gov.au]. You can also purchase copies of Queensland legislation from the Queensland Government Bookshop [www.bookshop.qld.gov.au].

It is important that you are aware of your obligations and responsibilities under the legislation. While these are outlined in detail further in this document, the MRA and the MRR are the final points of reference in matters relating to mining claims.

The purpose of this guide

We have developed a series of guides to help you understand the laws around applying for and issuing resource permits, and what your responsibilities are as a permit applicant and permit holder. This guide provides information about mining claims, including:

an overview of what a mining claim is, and what can be done on it an explanation of the legislation around new mining claim permits, applications for renewal or changes to an issued permit advice on how to prepare and lodge an application (including how to complete forms and what fees are required) information on how an application is assessed by departmental staff, including what your and our responsibilities are contact details for the regions and mining districts in Queensland links to other relevant topics.

How to use this guide

We have structured the guide in a user-friendly one. The first part of the guide is an introduction that looks at general requirements and information about mining claims. This section provides a broad overview of what a mining claim is and what it can be used for. It also discusses the legislation around how mining claims are issued and maintained. It also includes a description of your responsibilities once you have been granted a mining claim permit. The remainder of the guide is broken into information about specific transaction typesincluding renewing your permit and transferring it to a different holder. Each of these sections includes:

a description of the transaction regulation relating to that transaction making an application assessment of application granting an application

These sections are very detailed, and contain all the information you need to understand the process and apply for approval. We have used an information icon of. to emphasise information that you need to make a note

General information about mining claims

What is a mining claim?
A mining claim is what is known as a production permitthis means that it allows the permit holder to extract resources from the land. It includes the entire surface of the land within the boundaries of the mining claim. Mining claims are issued for specific minerals, often gemstones and/or purposes, and may not be issued for coal. They differ from mining leases (another type of production tenure) in that permit holders are limited in the scale of the activity that can be undertaken on the land. Mining claims are generally issued for five years and will expire if they are not renewed or otherwise specified under s92 of the MRA.

Legislation and Regulation applying to all mining claim transactions

Mineral Resources Act 1989
The Mineral Resources Act 1989 (the MRA) is the definitive document for regulating mining claims, and describes what needs to be done. It includes general provisions about mining permits as well as specific requirements for particular permit and transaction types. Both the permit applicant or permit holder and the department have responsibilities relating to these provisions. The table below gives you a high level overview of some of the key requirements. You are required (as the permit applicant or permit holder) to understand the obligations set out in the.

Section of act 320 403

404C

Permit applicant/holder responsibilities Pay royalty, and lodge royalty returns as required by the Mineral Resources Regulation 2003. Not erect any building or structure on or make any other improvement to land (unless they are authorised under the Act or are the owner of the land). Comply with any notice to provide information.

Department responsibilities NA Ensure that the holder is complying with this provision in the Act before approving any substantive transaction on the mining claim (renewal, transfer, mortgage etc.). The MR may require the holder to provide information about the tenement, activities carried out under the tenement, and production or sales information. This request must take the form of a notice which includes the following: - the information required. - how the information must be provided. - the day by which the information must be provided. Ensure that the holder understands that false or misleading information in a document is a serious offence and may be fined.

404D

414

False or misleading document A person must not give the chief executive or a mining registrar (the recipient) a document containing information the person knows is false or misleading in a material particular. Maximum penalty200 penalty units Failure of the applicant to supply further information where requested to under the Act constitutes a failure to comply with the requirements of the Act for that application.

Keep records of notices to provide information as grounds for refusal if the information is not provided.

Mineral Resources Regulation 2003

The Mineral Resources Regulation 2003 (the Regulation) is the supporting documentation for the MRA. The Regulation describes how the requirements in the MRA need to be carried out. The requirements in the Regulation may change depending on circumstances (e.g. the prescribed fees in the Regulation may be revised each financial year). The parts of the Regulation related to mining claims are summarised below:

Section of reg 7

Provision Prescribed areas for particular land (as referenced in s53 of the Act).

8-9

General conditions which may be applied to a mining claim, as allowed under s81(1)(n) of the Act. Prohibited equipment and machinery.

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Context Refers the reader to Schedule 2 of the Regulation, which describes the maximum size for a mining claim for certain areas within certain districts. These may be different to the maximum areas described in the Act. In addition to the conditions specifically noted in the Act, the Department may include these additional conditions where they are considered appropriate. Provides a detailed list of the equipment and machinery which may not be used on land subject to mining claim. Also describes individual circumstances where use of this equipment or machinery may be appropriate. Holders of a mining claim may be required to lodge a royalty return. These provisions set out what information is required, and when it must be lodged. If a mining claim does not produce enough mineral to require a royalty payment, a royalty return is not required (unless the holder intends to transfer or surrender the claim). Royalty is only payable where revenue from mining exceeds certain thresholds, as noted in this provision. The Department cannot accept an application for processing where certain circumstances exist. An application that meets the requirements for acceptance is known as a properly made application. These circumstances are discussed individually elsewhere in this document. Applications for a new mining claim must be lodged in person: other application types may be lodged in person. This provision states the minimum hours a departmental office must be open to accept applications. Describes the maximum size for a mining claim for restricted areas within certain districts. These may be different to the maximum areas described in the Act.

24-28

Requirements for lodging a royalty return.

29

Circumstances when a royalty return is not required.

34

Thresholds for payment of royalty.

81

Circumstances where the Department cannot accept an application.

82

Hours of business.

Sch 2

Maximum prescribed areas for mining claims within restricted areas.

Section of reg Sch3

Provision Restrictions on grant (Restricted Areas).

Sch 4

Royalty rates required.

Sch 5 Sch 6

Rental payable. Fees.

Context Identifies specific locations where there are restrictions in addition to those set out in the Act or elsewhere in the Regulation. These are identified by block. The Departments mapping tool will advise whether land falls within a restricted area. The royalty rate for corundum, gemstones or other precious stones is 2.5% of the value of the corundum, gemstones or precious stones. There is no rent required for mining claims. Sets out the fees for each transaction type.

Practice manual (practice directions)

Section 416B of the MRA allows for the Chief Executive of the department to keep a practice manual about mining permit administration processes to assist people dealing with the department. The manual includes individual practice directions about: what information, documents or material a person may or must give how or when requested material must be given the format of requested material processes to ensure consistency and efficiency in the mining permit administration process. The practice manual will be maintained on our website. Please note, there is currently no active practice manual declared, however this may change in the future.

Operational policies
Operational policies are not required to be legislated by parliament, but they describe how we interpret and apply aspects of the MRA. These rules are applied uniformly across the department in the administration of permits. These include transparent guidelines for staff to follow to ensure consistency and efficiency in permit administration. A detailed list of operational policies may be found on our website. This handbook references particular policies where applicable.

Making an application
Types of mining claim applications
Anyone wishing to carry out mining claim activities must first obtain a permit for a mining claim. Once this permit has been obtained, a number of other transactions can occur:

Renewal this allows the mining claim to continue in force for the period specified in the
renewal approval.

Change of details this is required when a holders administrative details change such as change of address, or change of name by deed poll. Transfer of interest selling the share in the mining claim to another party. Surrender giving the rights to the mining claim back to the State. Mortgage using the share in the mining claim as security against a loan. Caveat (adding or removing) a condition attached to a mining claim that places
limitations on what transactions can be finalised.

Request to vary access required when the approved access to the mining claim is no
longer suitable/available, and an alternative access route is sought.

Request to use other machinery certain types of machinery are prohibited on mining
claims, however an application can be made to the mining registrar to use them for purposes other than mining.

Request to mine additional minerals each mining claim permit is for specific minerals (e.g. sapphire). If a holder wishes to mine for a different sort of mineral (e.g. ruby) an application must be made to have this mineral added to the permit. Transmission by death interest in a mining claim can form part of a deceased persons
estate and an application can be made to transfer the rights to a beneficiary.

Each of these transactions is governed by legislation, and requires an application form, a fee and supporting information.

Properly-made applications
Before an application can be accepted for processing, it must be considered properly-made. This means that the application needs to meet the requirements of the MRA and the Regulation and be:

made on the official application form accompanied by the correct fee made in or to the regional office in the district in which the mining claim is located made by an eligible person made over available land. If your application does not meet all of these requirements, we will not accept it.

Official application forms

Most transactions carried out under a mining claim permit will need to be requested on an official application form. These are available at the district offices, or can be printed from our website. The individual guides for each transaction will explain how to complete the application form. As a permit applicant or permit holder, you are responsible for making sure the forms are completed fully before they are lodged with the mining registrar.

Blank or substantially incomplete application forms will not be accepted. You are required to complete the application form before lodging it with us.

Associated fees
The fees associated with applications and transactions for mining claims are set out in Schedule 6 of the Regulation. The fees may change from time to time, so always check the fee for your application before visiting the district office or mailing your application. Applications that do not include the correct fee will be returned to you, unless you can provide the correct fee at the time of lodgement.

District mining offices

Applications for new mining claims must be lodged in person at the office of the mining registrar for the district in which the mining claim is predominantly located. A list of district offices and their contact details are located on our website at:
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http://mines.industry.qld.gov.au/mining/contacts.htm

Eligible person
To be an eligible person, you need to be:

an adult (over 18 years of age) a company a local government that acquires a mining claim under the Local Government Act 2009 for overdue rates and charges an educational institution the Minister treats as an eligible person.

The processing officer will require proof of age and identity for individuals. This may be a certified copy of the original of one of the following:

the applicants full birth certificate (not an extract) a passport in the name of the applicant an 18+ card in the name of the applicant a drivers licence in the name of the applicant.

If the applicant is a company, you will need to provide a certified copy of the certificate of registration issued by the Australian Securities and Investments Commission (ASIC) that shows the Australian Company Number (ACN). The company must have current registration status on the ASIC website. Companies that do not have current registration will not be accepted as an eligible person. If a foreign company, you must be registered with the Australian Securities and Investments Commission (ASIC) and provide a certified copy of the certificate of registration that shows the Australian Registered Body Number (ARBN)

An ABN is not the same as an ACN. An ABN is an Australian Business Number and can be held by anyone who applies for one. An ACN is an Australian Company Number, and is only issued to registered companies.

Available land
A new mining claim cannot be issued over land where there is:

already an existing mining claim on the land already a mining lease or mineral development licence over the land a current application for a mining claim, mineral development licence or mining lease over the land an exploration permit or current application for an exploration permit over the land and the holder of or applicant for the exploration permit has not given their consent for the mining claim application to proceed.

An available land check will be conducted by the processing officer when you lodge your application. You can check prior to making your application by using our Interactive Resource Tenure Maps (IRTM) service. This free service can be accessed on our website at http://mines.industry.qld.gov.au/mining/default.htm The IRTM help guide included in this handbook and can also be accessed in IRTM.

Providing false or misleading information on your application

Under the MRA, if you provide false information or misleading documents to the Chief Executive of the department or mining registrar, you may incur a fine of up to 200 penalty units. The monetary value of a penalty unit is set under the Penalties and Sentencing Act 1992.
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Issues that must be considered before an application can be approved

There are a number of issues that the permit application and the department need to consider before we can approve a permit. These issues apply mainly to new applications, and to applications for renewal or transfer of interest on existing permits. Check the chapter dealing with the specific transaction type for details on whether the following issues apply.

It is important that you have considered these matters when you lodge your application. You will need to supply documentation to show that any requirements have been met.

Native title considerations

Native title is the rights and interests under the traditional laws and customs of Aboriginal and Torres Strait Islander peoples that are recognised by common law. In some areas, native title has been extinguishedthis means that it no longer exists (such as on freehold land)but in other areas, native title continues to be active (such as pastoral holdings, town reserves, unallocated state land). When making an application for a resource permit, we undertake searches to determine if the permit area is subject to native title. Further information on the native title process can be found in our Native title guide. You should read this guide in conjunction with any supporting operational polices on our website. You can get a preliminary indication from IRTM on the extent that your requested permitted area may intersect with land where native title rights may continue to exist. If the area intersects with such land, your will have to address these rights under the Native Title Act (1993) Cth (NTA). In some cases, native title includes the right to possess and occupy an area to the exclusion of all others (often called exclusive possession). This includes the right to manage who accesses the land and what it is used for. This right is only recognised over certain parts of Australiasuch as unallocated or vacant Crown land and some areas already held by or for Indigenous Australians 1 . There are a variety of options available to address native title rights and interests under the NTA. These are outlined in greater detail in the Native title guide. While several options are listed on the application form, the most common processes for mining claims are: opting in to a Indigenous land use agreement choosing the right to negotiate.

>> Indigenous land use agreements The Commonwealth Native Title Act 1993 provides for Indigenous land use agreements (ILUAs) to be made between native title holders or claimants and other parties. This sets out how land and waters in the area covered by the agreement will be used and managed in the future. ILUAs can be negotiated privately or are sometimes conducted by the State on behalf of miners, such as area agreements, which allow for small scale mining operations.. State ILUAs have been negotiated between the State, permit applicants, representative bodies and the traditional owners of the land. Queenslands existing State ILUAs set out land access arrangements for mining activities, but still respect and protect native title rights and Indigenous cultural heritage.

Source: http://www.nntt.gov.au/Information-about-native-title/Pages/Nativetitlerightsandinterests.aspx
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Depending on the specific State ILUA, an applicant may deed into (i.e. become a party to) the ILUAby signing a deed attached to the relevant State ILUA. The deed contains previously negotiated conditions designed to address native title requirements. The native title conditions outlined in the ILUA then become part of the conditions of approval for your mining claim application. Copies of the applicable State ILUAs and their conditions are available to be viewed by the public at the relevant district office.

>> Right to negotiate process The right to negotiate (RTN) is given to registered native title claimants under the NTA (part 2, division 3, subdivision P). This right is given to native title parties so they can enter into discussion about what is to occur on their land and to be compensated for any impacts on their native title rights and interests that mining activities may have. The RTN process may be chosen as a way to address native title requirements when a State ILUA is not available to deed into. The departments Native title guide explains the RTN process in more detail.

>> Excluding land from your permit area Where less than 10% of the area is subject to native title, it may be possible to have the area that is impacted by native title, excluded from your permit area. Refer to Excluding land for the purpose of native title to determine if this policy may be applied to your application.

>> Permits granted prior to 23 December 1996 All permits that were originally granted before 23 December 1996 and have been continuously in force since then are exempt from native title provisions. These permits were granted before the Native Title Act 1993 came into full effect and native title doesnt need to be addressed in the usual way for these permits. The activities under these permits are known as previous exclusive possession actsmeaning that native title is extinguished over that land for as long as the permit remains valid. If the permit is changed or updated there may be a need to address native title requirements.

>> What you need to do When you submit your application, you will need to: indicate if your application needs to undertake a native title process confirm which process you intend to undertake (if applicable). To deed into a State ILUA: A copy of the ILUA will be given to you You will need to confirm that you are eligible to deed into it and return the signed deed to us so we can progress your application. >> What the department will do If you have indicated that the permit area you are applying for does not intersect native title land, or that the application can proceed under the excluded land policy, we will undertake a detailed assessment to confirm the process.

If we reach a different conclusion, we will discuss your options with you so you can advise us which process you would like your application assessed under. Where you have indicated that a right to negotiate process is required, we will progress the remainder of the assessment as a priority, so that the notification process can commence as soon as possible. The Department will let you know when the notification date is once your advertising placement has been confirmed. More information on the native title processes can be accessed on our website.

Environmental authority (mining activities)

All new applications for mining permits need to address the requirements of the Environmental Protection Act 1994 (the EPA). The administration of the EPA is carried out by State Government through a nominated department. This department assesses the environmental impacts of mining activities and regulates these activities through the issue of environmental authorities (EA). In some instances, the authority to issue an EA is delegated to the mining registrar.

>> Mining projects Depending on the risk of environmental harm, a mining project is prescribed under section 151 of the EPA as either a level 1 mining project or a level 2 mining project. Because of the restriction to hand-mining and the lower risk on environmental impact, all activities conducted on mining claims are

level 2 mining projects.

A level 2 mining project will be authorised by: a code compliant environmental authority a non-code compliant environmental authority (mining activities).

The code that is referred to is the standard conditions outlined in the Code of environmental compliance Mining claims and prospecting permits. When you apply for a mining claim, you need to think about the activities you are planning to carrying out on the permit site and indicate if they meet the conditions of the code or not. If you are applying for a code compliant environmental authority (mining activities) for a mining claim, you must certify that all proposed mining activities can comply with the standard environmental conditions in the code. Code-compliant level 2 EAs can be issued by the mining registrar without referral to the environmental regulator.

Non-code compliant EAs for a level 2 mining project must be referred to the environmental regulator and this can add significant time to the assessment period for the applicationresulting in your permit approval being delayed. To minimise delays in assessing your application, you should ensure that any activities you propose to carry out on the mining claim meet the Code of environmental compliance Mining Claims and prospecting permits.

An EA doesnt expire, but it does cease to have effect if: you surrender the mining claim permit the mining claim permit expires your mining claim permit is terminated by the department for any reason.
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Your EA may need amending if you change the nature or intensity of the activities you plan to carry out on the land. This would apply only if the proposed changes meant that the activities no longer met the conditions in the code of environmental compliance. If you are submitting a new mining claim application, you must apply for an EA (mining activities) at the same time that you apply for your mining claim permit or apply to amend an existing EA (mining activities) to include the new permit. For other transaction types (e.g. renewal, variation of access, request to mine additional minerals) the department will assess your proposed mining program and determine if we need to get further advice from the environmental regulator.

Strategic cropping land

The Strategic Cropping Land Act 2011 came into force on 30 January 2012. It applies to all new applications for mining activities that occur on land that is designated as existing or potential strategic cropping land (SCL). You can determine what land this applies to by viewing the trigger maps available from the administering department.

You need to check for the presence of SCL before you make an application. You can access our free Interactive Resource Tenure Mapping (IRTM) service at http://mines.industry.qld.gov.au/mining/default.htm. SCL may apply to other transactions (such as renewals) where the nature or intensity of mining activity increases on permits where existing or potential SCL has been mapped and which result in an amendment to the EA being required. We will also check to see if SCL exists over the permit area when you submit a new application or when we receive any changes to activity on your proposed mining program. SCL may also delay your application and you may incur other costs associated with SCL.

Compensation agreements
If the land you want to use for your mining claim is not yours, you may need to pay compensation to the owners of the land for the privilege of using the land to mine. Land may be owned by:

an individual on freehold title and other leasehold land a company a public authority like a local council or state government department a native title trustee under the Aboriginal Land Act 1991 a utilities company like Ergon or Queensland Urban Utilities.

Compensation requirements are set down in a written agreement, and must be endorsed by all parties before renewal can be decided.

You can check land ownership details with the Department of Natural Resources and Mines Titles Registry to determine who you need to negotiate an agreement with. Contact 13 QGOV (13 7468) for more information. Compensation relates to both new mining claims and the renewal of existing permits. You will need to negotiate an agreement and provide a copy to the mining registrar for filing. If this is not provided within three months of the last day of objections (as outlined on your certificate of public
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notice) or within three months from the expiry date (for renewal), the mining registrar will refer it to the Land Court for determination. When renewing your mining claim, you need to demonstrate that: a) you have complied with the conditions of the agreement for the term just passed b) the agreement allows for the renewal of the mining claim and will continue in force for the proposed renewal period c) you have negotiated a new agreement for the proposed renewal period and have given it to the mining registrar for filing. A mining claim cannot be granted or renewed unless compensation has been decided upon.

Mining program
It is a requirement of every mining claim permit that the land is used for legitimate mining activities. This means that the primary use of the land must be mining the mineral(s) specified in the permit. Any other activities carried out on the land by the holder must be ancillary to the mining use (including accommodation). The mining registrar needs to be satisfied that the land is being used for legitimate mining activities before any application or renewal can be approved. The proposed mining program is how the mining registrar can make this determination. You will need to provide information in the proposed mining program about:

the type of mining activity being carried out (open cut or underground) and details of dimensions and methods of operation proposed machinery and equipment required to mine water storage details the quantity and quality of ore or mineral proposed treatment of ore electrical equipment used on the site, and proposed source of power the use of explosives proposed work commitment (hours per week, months per year) and any proposed employees the types of buildings on the site and construction materials used.

You need to provide a sketch plan of the mining claim, showing the locations of tracks, stockpiles, shafts and buildings..

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Security deposit
We require you to pay a security deposit before your permit is granted. This goes towards rectifying actual damage that may be caused as a consequence of carrying out mining activities. This is in addition to financial assurance that may be required as part of the environmental authority (which is specifically used as a bond against environmental damage). We use the mining program to determine the amount of security we require you to pay as reasonable security for:

complying with the conditions of the mining claim (e.g. removing any structures on the site after mining has ceased) complying with the provisions of the MRA (e.g. removing any plant or equipment on site after mining has ceased) rectifying any actual damage that may be caused by any person whilst acting under the authority of the mining claim (e.g. damage to access tracks etc.) amounts payable (other than penalties) to the State / department under the MRA (e.g. royalty or rent).

A security deposit is initially determined when we received an application for a new mining claim and is reviewed when an application for renewal is lodged. If the permit expires, or is terminated, the full amount will be refunded (unless we need it to address some of the issues listed above). We maintain records of the amount of security held in trust for each mining claim. As with any permit application where a security deposit needs to be assessed, if we need additional security from you, we will let you know and let you know the reasons why we need it. A mining claim cannot be granted or renewed unless the required security has been deposited with the mining registrar/district office.

Processing applications
All applications will go through three stages:

lodgement assessment decision

Lodging your application

Your application will be checked to make sure that it has been properly-made (see p6). If it has not be properly-made, you have made genuine attempts to complete the form and made the application in person, our receiving officer will help you meet these requirements where possible. If you cant resolve the deficiencies in your application at the time, you will need to return to the office once you have corrected your application. If you lodged the application by mail, we will return it to you with a covering letter outlining what the deficiencies are. You will need to amend your application and re-lodge it. If the application is properly-made, we will enter it on the register and receipt your application fees. When you lodge your application, we will also check for any attachments or supporting information so we can assess it. If anything is missing or lacks sufficient detail, we will let you know what you need to do and how to get the information to us.
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Assessing your application

Once the details of your application have been registered, the application and supporting documentation will be assessed to ensure that it meets requirements of the MRA other mining-related legislation. If required information and supporting documents remains outstanding, or the quality of the information submitted with the application is incomplete or inadequate, you may be sent a Notice to show cause. This is an official notice under section 93 of the MRA that requires you to demonstrate to us why we shouldnt refuse your application on the basis of being incomplete. The notice sets out what information is required, how it needs to be provided and when it needs to be provided by. Generally, you will receive 20 business days to provide the information. If we dont receive it within this timeframe, you will be sent a Reminder notice. This will give you another 10 business days to provide the required information to us. If you still fail to provide the material to us, your application being refused (section 93 of the MRA).

Deciding the outcome of your application

Once the application has been assessed, the assessing officer will make a recommendation for approval or refusal. A recommendation for grant will only be made where you have provided all information necessary for a decision to be made (e.g. a proposed mining program which is acceptable to the mining registrar, payment of security, compliance with conditions of approval).

You will be advised if there are any pre-approval requirements for the mining claim that you need to complete (e.g. some applications need documents signed, some will require the payment of security) Once you have completed these, your application will be approved, recorded on the register and you will be sent an approval and new (or amended) certificate of grant. The certificate of grant is your title to the mining claim. It includes information about the land, duration of the permit and details of the permit holders. Ensure you keep your certificate of grant in a safe place, as you will be required to lodge the certificate at different times during the term of the permit. If you lose or destroy the certificate you will be required to pay a fee to replace it.

After your claim has been approved

Once you have been issued with a mining claim, you have both entitlements (things you can do on your claim) and responsibilities.

Entitlements (what you can do on a mining claim)

The mining claim entitles you (including employees or agents) to enter the land to:

prospect in, on or under the land for any mineral specified in the mining claim permit hand mine for any mineral specified in the mining claim permit (in accordance with the conditions of the permit) use machinery, mechanical devices or other equipment authorised under the Act to be used for prospecting or hand mining erect and maintain a structure not being of a permanent nature on the land (including, where authorised, a temporary residence for a person who is using the land for bona fide mining activities) make moderate use of explosives where the mining claim specifically authorises that use and appropriate explosive licences are held.
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A person who delivers goods or substances or provides services to the holder may also enter the land in order to do so.

What is not permitted on a mining claim

Only activities specifically authorised under the MRA or outlined in the conditions of the permit can be carried out on a mining claim. On any mining claim, you are not permitted to:

use the land for any other purpose than bona-fide mining purposes authorised by the permit transfer the right to mine the land, or mortgaging the interest in the land, without first obtaining our written approval allow the surface of the land to become untidy and poorly managed use equipment, machinery or methods that are not specified in the permit to conduct mining activities erect any permanent building or structure whatsoever prevent any person with the lawful right to access the land from accessing the land.

These prohibitions form the mandatory conditions of approval on the mining claim permit. Other mandatory conditions on all mining permit claims (unless negotiated otherwise) include:

providing any documents, reports, returns, statements or other material as requested by a delegate of the department in the manner in which it is requested to be provided carrying out improvement restoration as required. removing any building, structure, equipment and plant brought onto the land by the holder, on termination of the mining claim. complying with any terms or conditions set by the owner of the land or the Governor in Council (this applies when the mining claim is located reserve land) making all compensation payments and complying with any terms of a compliant compensation agreement or determination paying all rental, royalties, local authority rates and charges and security deposits prescribed in regulation or required under law maintaining the marking out of the land, including survey pegs, for the duration of the claim undertaking the work commitment set out in a proposed work program.

There are also conditions that may be attached at the discretion of the mining registrar. These conditions include that you:

use, if practicable, only existing roads or tracks on the land to which the claim applies take reasonable steps to ensure no reproductive material of a declared plant is moved onto, within or from the land to which the claim applies, refer to the Department of Agriculture, Fisheries and Forestry http://www.daff.qld.gov.au/4790_7005.htm for more information. not allow an animal in the custody of the holder (or other person acting under the authority of the holder) to be on the land unless the land is adequately fenced to prevent the animal from leaving or the animal is restrained. not discharge a firearm on the land unless the holder has the written consent of the owner of the land and the consent has been lodged with the mining registrar (if the claim applies to occupied land).
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Restricted areas
Restricted areas are tracts of land that have varying conditions and restrictions placed over them. The restrictions vary (according to areas), but generally relate to what mining activity can be carried out. There may be other specific conditions that apply if the mining claim is in a declared restricted area (these can be identified by a search on IRTM or by referring to the Restricted area register on our website).

How we check that you are complying with conditions

There are several ways that we can check that you are complying with the conditions of approval.

Inspection of the mining claim

Mining claims can be inspected at any time at the discretion of the mining registrar. We are not required to issue notice of an intention to inspect a claim. Inspections may also take place as part of the application assessment process. Applications for renewals or transfers of interest in a mining claim may be inspected to ensure that all conditions are being met before deciding to approve the application.

If you make good quality applications and have a track record of carrying out your mining activities with a high level of compliance, you are less likely to have your claims inspected on application for renewal.

Providing a statutory declaration of compliance

We may request that you supply a certified statutory declaration to prove that you are complying with the mandatory conditions of your mining claim. You are required to identify which conditions apply to your permit and declare that you have complied with those conditions. Under the Oaths Act 1867, a statutory declaration must be witnessed by:

a justice of the peace a commissioner for declaration or notary public under the law of the State, the Commonwealth or another state a lawyer a conveyancer or another person authorised to administer the Queensland oath, under the law of the State, the Commonwealth, or another state.

Complaints from the public

We will thoroughly investigate any complaints we received from the public about the activities and conduct of a permit holder.

Not complying with your conditions of approval

If we find that you have not complied with the conditions of your claim approval, you may be issued with an Order to comply or a Notice to show cause. An Order to comply is issued when we believe that the breach of conditions can be reasonably remedied (e.g. an untidy claim can be tidied, a blocked access way can be unblocked); while a Notice to show cause will be issued if the breach is more serious, or if you have failed to comply with an Order to comply. This is the start of a compliance process, which can lead to prosecution and fines in some cases.

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Frequently asked questions

This section addresses some of the frequently asked questions by holders of mining claims.

How often do I have to work on my mining claim?

There are no prescribed rates of how many hours per week or weeks per year that you must work your mining claim. Rather, you must reasonably comply with the commitments in your proposed mining program and be able to demonstrate a reasonable level of mining activity over the term of the mining claim. Factors such as the availability of water for processing, illness, full-time employment, or having to travel from interstate or intrastate will obviously impact on the time you can spend working on your mining claim. These factors should be considered when you submit your proposed mining program.

Can I leave equipment or material outside my mining claim?

All structures, fences, equipment, tools, vehicles, rubbish, wash, overburden, topsoil or other material must be contained within the boundaries of your mining claim. Your mining claim must be kept in a neat, tidy and safe state.

Can I live on my mining claim?

You may erect a temporary residence to use while the mining claim remains current. The residence may be a temporary structure and only be erected for a person who is legitimately using the land for mining activities. When your claim is surrendered, terminated or when it expires, the temporary residence must be totally removed. It is important to note that a mining claim cannot be converted into a land tenure, nor does it provide any priority for an application under the Land Act 1994.

Can someone else have an access over my mining claim?

The terms access is a description for a road or a track that allows another mining claim holder or land owner to get to their permit area or land. If their mining claim or land tenure was granted or applied for before your application they are entitled to continue to use that access. If you need to block access for safety reasons or because you wish to mine through it or under it, you will have to provide an alternative access of the same standard. To do this, you need to lodge an amended mining program with the mining registrar, showing the access to be closed and the alternative access provided.

Can I put a fence around my mining claim?

You can erect a fence on the boundary of your mining claim or fence certain areas within your mining claim (e.g. mine shaft entrances), but it is not compulsory to fence your mining claim. You need to ensure that your fence does not go outside the boundary of your mining claim. If your fence blocks access used by other permit holders or land owners, you will need to provide an alternative access of at least the same standard. You need to ensure that any fence you erect does not interfere with access by Emergency Services. You may need to consult with the owner of land about the type of fence to be constructed to ensure adequate control of any stock.

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Can I use machinery on my mining claim?

Mining claims are granted for the hand mining of minerals. This means mining using hand operated tools, such as jackhammers, picks, shovels, gads, sieves and windlasses. Machinery may not be used to prospect, explore or mine on a mining claim.

Mining refers to not only the winning of stone or wash but also the removal of any topsoil,
overburden, spoil, waste rock etc. Prohibited machinery includes: Backhoes, bobcats, bucket excavators, bulldozers, clamshells, continuous miners, draglines, end-loaders, excavators, graders, loaders, rippers, rooters, scarifiers, scoops, scoopmobiles, scrapers, tractors or traxcavators, carts, cranes, locomotives, monorails, motor vehicles with or without a trailer, ropeways, dredges or a vehicle mounted drill. You can use the machinery without prior approval from the mining registrar for: transporting mineral bearing ore or wash transporting equipment, materials, or water, used for mining operations building storage facilities for water used for mining operations (e.g. dams) rehabilitating the surface area of the land drilling access shafts with a diameter of no more than 1m (within restricted areas 1, 25, 77 refer to the MRR for more information).

If you need to use machinery for another purpose, such as constructing or repairing an access track, or levelling a pad for a shed, you must apply to the mining registrar and obtain approval before carrying out any work.

What if I want to mine underground?

There are a number of requirements you must meet if you wish to mine underground.

Your mining program must outline the method and location of underground mining. You may only have three shafts open at any time on your mining claim (if the mining claim is located in restricted areas 1, 25 and 77) and ensure that the entry to any shaft is safe and secure. You must ensure that your underground workings are wholly contained within the boundaries of your mining claim/s and dont encroach into neighbouring land. You must have at least two connected shafts when mining underground. This provides an alternative surface exit and fresh air supply in the event of one shaft collapsing or becoming obstructed while you are underground.

For your own safety, if you are working underground, you should let either a partner or a neighbour know when to expect you back up on the surface or have an effective communication system. If you are injured underground and no one knows that you are missing, no one will be looking for you!

Can I build a dam on my mining claim?

You can construct a dam or install a water tank or other water storage for use with your mining operation. Any dam, tank or other water storage must be shown on a current mining program lodged with the mining registrar. If it is not shown on your current mining program, lodge an updated program with the mining registrar. You may use machinery to excavate a dam or clear an area for a water tank. You cannot hand mine in a dam excavation constructed with machinery.
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You cannot treat or process any material that is excavated with machinery for the dam. The excavated material must be stockpiled for backfilling the excavation if not used for construction of a dam wall or levee bank. Like any other excavation, you must ensure that your dam does not pose a danger to the public, livestock or fauna. This can be done by fencing the dam perimeter or erecting bund walls. Particular attention should be paid when constructing a dam in the vicinity of underground workings. If the dam is cut below the wash layer, water can travel through the wash layer and flood surrounding underground workings. Care should also be taken to ensure that sufficient depth is left between the floor of a dam and the ceiling of any underground workings below the dam.

Do I have to lodge a royalty return every year?

If your production levels do not meet the threshold specified in Schedule 4 of the MRR, you are not required to lodge a royalty return. However, if you transfer or surrender your mining claim, you will be required to lodge a royalty return at that time. However, the Minister may require you to lodge royalty return for a period, whether or not any mineral has been mined during that period. In this instance you will receive a written request from the Department. Refer to the Office of State Revenue for more information on royalty returns http://www.osr.qld.gov.au/royalties/index.shtml.

Do I need to let you know if any of my details have changed?

Its important that the mining registrar has your current address. If your contact details are not current you may not receive renewal notices, royalty return forms or other important information we issue. In certain circumstances this could lead to the cancellation of your mining claim or suspension/cancellation of your EA. You can advise the district mining office of a change of address in writing or contact us and we will send you a Change of address form. These are also available from our website.

What other important things do I need to know?

Read everything the mining registrar office sends you! It provides you with important information. You may face serious penalties, including the cancellation of your mining claim, for breaching the MRA or the conditions of your mining claim. If you are unsure of anything, contact your district mining office for information. If you are working on your mining claim, remember you are in a remote location. Ensure you check all equipment and vehicles, be aware of flood and fire safety, advise someone of your plans and carry suitable communication equipment. Obey the rules and be safe!

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Safety and health information

To protect the health and safety of everyone on the mine site you must comply with Mining and Quarrying Safety and Health Act 1999 and Mining and Quarrying Safety and Health Regulations 2001. This legislation can be located at www.legislation.qld.gov.au . For further information about your health and safety responsibilities, please contact the Regional Inspector of Mines in the appropriate region before you commence work: Northern Region on (07) 4760 7408 Central Region on (07) 4938 4605 Southern Region on (07) 3238 3785 Further information can also be obtained from our website http://mines.industry.qld.gov.au/safety-and-health/default.htm

Census forms
If your operation is 5 or less workers, you are required to lodge an annual Queensland Mining Quarrying Industry Census Form. This form must be lodged within 20 days of the end of the financial year. Operations with 6 or more workers are required to lodge quarterly data for the Queensland Mining Quarrying Industry Census Form. Queensland mining and quarrying operations are required to collect the data and it is used for calculating the annual safety and health levy. The census form must be lodged with the department within 20 days of the end of each quarter. Operations with 5 or less workers are exempt from paying the annual safety and health levy. Operations with 6 or more workers will continue to receive an invoice for the safety and health levy.

Penalties apply for late lodgement of forms and interest is payable on all overdue amounts. For further information please contact (07) 3836 0038 or safetyandhealthlevy@deedi.qld.gov.au

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