FOURTH REPUBLIC
Minerals and
Mining Act, 2006
ACT 703
Ownership of
minerals and cadastral system
1)
Minerals
property of Republic
2)
Compulsory
acquisition of land
3)
Land
available for application for mineral right
4)
Minister may
reserve land from mining
5)
Power of
Minister to grant mineral rights
6)
Exportation
and disposal of minerals
7)
Government's
right of pre-emption
8)
Cadastral
system
Mineral
rights
9)
Mining
activities require mineral right
10)
Qualification for grant of mineral right
11)
Application
for mineral rights
12)
Recommendation to the Minister
13)
Grant of
mineral rights
14)
Assignment
of mineral rights
15)
Amendment of
mineral right to add other minerals
16)
Obligations
of holders of mineral rights
17)
Water right
18)
Forestry and
Environmental protection
19)
Records of
and reports by mineral right holders
20) Public access
to information
21). Copyright in
information
Royalties,
rentals and fees
22)
Application
fee
23)
Annual
ground rent
24)
Annual
mineral right fees
25)
Royalties
26)
Recovery of
debts
Dispute
resolution
27)
Dispute
resolution
28)
Capitalisation of expenditure
29)
Additional
benefits
30)
Transferability of capital
Reconnaissance licence
31. Application for
reconnaissance licence
32)
Rights of
holder of reconnaissance licence
33. Application for
extension of term of reconnaissance licence
Prospecting
licence
34)
Application
for prospecting licence
35)
Extensions
of the term of a prospecting licence
36)
Programme of
prospecting operations
37)
Rights of
holder of prospecting licence
38. Compulsory
reduction of area of prospecting licence
Mining lease
39)
Application
for mining lease by holder of reconnaissance licence
or prospecting licence
40)
Application
for a mining lease by any other person
41)
Ten11S for
the grant of a mining lease
42)
Rejection of
an application for a mining lease
43)
Government
participation in mining lease
44)
Renewal of
mining lease
45)
Amendment of
programme of mining operations
46)
Rights
conferred by mining lease
47)
Merger and
enlargement of mineral rights
48)
Stability
agreement
49)
Development
agreement
50)
Recruitment
and training of Ghanaians
51)
Suspension
of production
52)
Change 0 f
control of company holding mining lease
53)
Objection to
new or increased control
54)
Contraventions by controller
55)
Restriction
and sale of shares
56)
Notification
of ceasing to be a controller
57)
Notification
by mining company
58)
Investigation on behalf of the Minister
59)
Mine support
services
60)
Special
share to Republic
61)
Modification
of application of Companies Code (Act 179)
Radio-active
minerals
62)
Radio-active
minerals
63)
Holder of
radio-active mineral right to report operations
64)
Export of
radio-active mineral
65)
Offence and
penalties under sections 62 to 64
66)
Powers of
search and arrest
Surrender;
suspension and cancellation of mineral rights
67)
Surrender of
mineral rights
68)
Suspension
and cancellation of mineral right
69)
Suspension
or cancellation of mining lease or restricted mining
lease
70)
Vesting of
property on termination of mineral right
71. Delivery of
documents to Minister on termination of a mineral
right
Surface
rights and compensation
72)
Surface
rights
73)
Compensation
for disturbance of owner's surface rights
74)
Compensation
principles
75)
Access to
the Court in respect of compensation
Industrial
minerals
76)
Licences and
leases for industrial minerals
77)
Limits on
restricted licences and leases
78)
Qualification for application for restricted licence
or restricted mining lease
79)
Non-citizen's right to apply for industrial mineral
right
80. Special right
of owner or occupier with regard to industrial
minerals
Small scale
mining
81)
Application
of this Part
82)
Licence for
small scale mining
83)
Qualification of applicant for small scale mining
licence
84)
Conditions
for the grant of a licence
85)
Duration of
a licence
86)
Areas
covered by licence
87)
Revocation
of licence
88)
Transfer of
licence
89)
Designated
areas
90)
Establishment of District Small Scale Mining Centres
and functions of Centres
91)
Registration
of prospective licensees
92)
Small Scale
Mining Committees
93)
Operations
of small scale miners
94)
Compensation
for use of land
95)
Use of
explosives
96)
Purchase of
mercury
97)
Sale of
minerals
98)
Sale of
jewellery
99)
Offences and
penalties under sections 81-99
Administration
and miscellaneous provisions
100)
Power of
Minerals Commission
101)
Inspectorate
of Mines
102)
Functions of
Inspectorate of Mines
103)
Register of
mineral rights
104)
Licence to
buy and deal in minerals
105. Preference for
local products and employment of Ghanaians
1 06. Offences
I 07. Offences by
bodies of persons
108)
General
penalty
109)Penalty to be
civil debt
110)110. Regulation
Ill. Interpretation
112. Repeal,
savings and transitional provisions
SEVEN HUNDRED
AND THIRD
ACT
OF THE
PARLIAMENT OF THE REPUBLIC OF GHANA
ENTITLED
THE MINERALS AND
MINING ACT, 2006
AN ACT to
revise and consolidate the law relating to minerals
and mining and to provide for connected purposes.
DATE OF ASSENT:
22nd March, 2006.
ENACTED by the
President and Parliament:
Ownership of
minerals and cadastral system
Minerals
property of Republic
1. Eve!)'mineral in
its natural state in, under or upon land in Ghana,
rivers, streams, water-courses throughout the
count!)', the exclusive economic zone and an area
covered by the territorial sea or continental shelf
is the property of the Republic and is vested in the
President in trust for the people of Ghana.
Compulsory
acquisition of land
2.
Where land is
required to secure the development or utilization of
a mineral resource, the President may acquire the
land or authorise its occupation and use under an
applicable enactment for the time being in force.
Land available
for application for mineral right
3.
Land in the
count!)' may be made the subject of an application
for a mineral right in respect of a mineral
specified in the application, other than land which
is
(a)
the subject of an
existing mineral right in respect of the specified
mineral, or
(b)
expressly reserved,
by or under this Act or any other enactment from
becoming the subject of a mineral right.
Minister may
reserve land from mining
4.
(1) The Minister
may, by Executive Instrument declare land, not being
the subject of a mineral light, to be reserved from,
(a)
becoming the
subject of an application for a mineral right for a
mineral, or
(b)
becoming the
subject of an application for a mineral right in
respect of specified minerals or of all minerals
except specified minerals.
(2) An Executive
Instrument issued shall be by the authority of the
President.
Power
of Minister
to grant mineral rights
5.
(1) Subject to
subsections (4) and (5), the Minister on behalf of
the President and on the recommendation of the
Commission may negotiate, grant, revoke, suspend or
renew mineral rights in accordance with this Act.
(2) Where the
Minister grants a mineral right, the Minister shall
determine the land subject to the grant.
(3) Where the
Minister determines not to grant an application or
determines to grant an application over a part of
the land applied for, the Minister shall give the
applicant written reasons.
(4) A transaction
contract or undertaking involving the grant of a
right or concession by or on behalf of a person or
body of persons, for the exploitation of a mineral
in Ghana shall be subject to ratification by
Parliament.
(5) Parliament may,
by resolution supported by the votes of not less
than two thirds of all the members of Parliament,
exempt from the provisions of subsection (4) of this
section a particular class of transactions, contract
or undertakings.
Exportation and
disposal
of minerals
6.
(1) Except
otherwise provided in this Act, a person shall not
export, sell or otherwise dispose of a mineral,
unless the person holds a licence granted by the
Minister for that purpose.
(2) An application
for a licence shall be made in writing to the
Minister in the prescribed manner.
(3) The Minister,
on the recommendation of the Commission may issue
the licence in the form and on conditions determined
by the Minister.
(4) A licence
issued is not transferable.
(5) Shipment of
rough diamonds to and from Ghana shall be subject to
rules and Regulations as prescribed and shall be in
accordance with the Kimberley Process Certification
Scheme.
Government's
right of pre-emption
7.
(1) The Minister
has the right of pre-emption of all minerals raised,
won or obtained in Ghana and from any area covered
by territorial waters, the exclusive economic zone
or the continental shelf and products derived from
the refining or treatment of these minerals.
(2) The Government
may, by an Executive Instrument, appoint a statutory
body to act as its agent for the exercise of the
right of pre-emption.
Cadastral system
8.
(1) For purposes of
this Act, the surface of the Earth shall be deemed
to be divided in accordance with the co-ordinates
represented in the official maps of Ghana held at
the Commission at a scale of 1 :50,000,
(a)
by the meridian of
Greenwich and by meridians that are at a distance
from that meridian of 15 or a multiple of 15 seconds
of longitude, (b) by the equator and by
parallels of latitude that are at a distance from
the equator of 15 or a multiple of 15 seconds of
latitude, into sections ("geometric sections") each
of which is bounded,
(c)
by portions of
those 2 meridians that are at a distance from each
other of 15 seconds of longitude, and
(d)
by portions of2 of
those parallels of latitude that are at a distance
from each other of 15 seconds of latitude.
(2) For purposes of
this Act,
(a)
a geometric section
that is wholly within Ghana constitutes a block and
(b) where only part of a geometric section is
within Ghana, that part constitutes a block.
(3) Despite the
provisions of paragraphs (a) and (b)
of subsection (2), fractions of blocks as may be
prescribed shall be acceptable in the case of a
licence granted for small scale mining.
(4) Each block
shall be identified by reference to the code of the
block on a p Ian held at the Commission.
activities
require mineral right
9.
(1) Despite a right
or title which a person may have to land in, upon or
under which minerals are situated, a person shall
not conduct a activities on or over land in Ghana
for the search, reconnaissance, prospecting,
exploration or mining for a mineral unless the
person has been granted a mineral right in
accordance with this Act.
(2) Activities
conducted under a mineral right shall be limited to
the activities permitted by the mineral right.
(3) Subsection (1)
does not prevent a government institution or agency
i1-om conducting geological activities in accordance
with its powers under an enactment.
Qualification
for grant of mineral right
10.
Unless other Wise
provided in this Act, a mineral right shall not be
granted to a person unless the person is a body
incorporated under the Companies Code 1963 (Act
179), under the Incorporated Private Partnerships
Act 1962 (Act 152) or under an enactment in force.
Application for
mineral rights
11.
An application for
a mineral right shall be submitted to the Minerals
Commission in the prescribed fom1 and shall be
accompanied with a statement providing,
(a)
particulars of the
financial and technical resources available to the
applicant for the proposed mineral operations,
(b)
an estimate of the
amount of money proposed to be spent on the
operations,
(c) particulars of
the programme of proposed mineral operations, and
(d) particulars of the applicant's proposals
with respect to the employment and training in the
mining industry of Ghanaians.
Recommendation
to the Minister
12.
The Commission
shall, unless delay occurs because of a request for
further information from an applicant or a delay is
caused by the applicant, submit its recommendation
on an application for a mineral right to the
Minister within ninety days of receipt of the
application.
Grant
of mineral
rights
13.
(1) The Minister
shall within sixty days on receipt of recommendation
/Tom the Commission make a decision and notify the
applicant in writing of the decision on the
application and where the application is approved,
the notice shall include details of the area, the
period and the mineral subject to the mineral right.
(2) The Minister
shall, not less than forty- five days prior to
making a decision under subsection (1), give a
notice in writing of a pending application for the
grant of a mineral right in respect of the land to a
chief or allodial owner and the relevant District
Assembly.
(3) A notice given
under subsection (2) shall
(a)
state the proposed
boundaries of the land in relation to which the
mineral right is applied for, and
(b)
be published in
(i) a manner
customarily acceptable to the areas concerned, and
(ii) the Gazette and exhibited at the offices
of the District Assembly within whose district, a
part of the area is situated. (4) The applicant
shall within sixty days of receipt of notification
of approval, notify the Minister in writing of
acceptance of the offer of the grant.
(5) The Minister
shall upon receipt of the notification of acceptance
of the offer, grant the mineral right to the
applicant.
(6) An approved
application shall lapse if the applicant fails to
notify the Minister of an acceptance in accordance
with subsection (4).
(7) Subject to the
provision of this Act, a mineral right shall be
subject to the terms and conditions that are
prescribed from time to time.
(8) The rights and
obligations of a holder of mineral right shall apply
to the agents and employees of the holder.
(9) Subject to
sections 73 and 74, a mineral right granted by the
Minister under this section is sufficient authority
for the holder over the land and entitles the holder
to enter the land in respect of which the right is
granted.
(10) The holder of
a mineral right shall not remove or destroy a
mineral obtained by the holder in the course of a
mineral operations without the permission in writing
of the head of the Inspectorate Division of the
Commission.
(11) Despite
subsection (10), cores and samples may be retained
by a holder for the purpose of assay, identification
or analysis of the mineral.
(12) Where a core
is retained under subsection (11), the holder shall
maintain in respect of the core or sample,
particulars sufficient for the identification of
(a)
the core or sample,
and
(b)
the location and
geological horizon of its origin
as the head of the
Inspectorate Division of the Commission may in
consultation with the Director of Geological Survey
Department determine.
(13) Geological
core samples may after assaying, identification or
analysis of a mineral be disposed of only with the
express consent of the Commission given in
consultation with the Geological Survey Department.
Assignment of
mineral
rights
14.
(1) A mineral right
shall not in whole or in part be transferred,
assigned, mortgaged or otherwise encumbered or dealt
in, in a manner without the prior approval in
writing of the Minister, which approval shall not be
unreasonably withheld or given subject to
unreasonable conditions.
(2) Where the
Minister has not given a decision in writing to the
applicant, within thirty days of receipt of an
application for approval, the Minister shall upon a
request from the applicant give written reasons to
the applicant for the failure to communicate a
decision on the application.
(3) The reasons
required under subsection (2) shall be sent to the
applicant within fourteen days of receipt of the
request.
(4) A dispute
between the Minister and an applicant or holder in
respect of a decision of the Minister under
subsection (1), shall be referred for resolution
under section 27.
(5) Subject to the
other provisions of this section, an undivided
proportionate part of a mineral right or
application for a mineral right may be transferred,
assigned, mortgaged or otherwise encumbered or
dealt with.
Amendment of
mineral
right to add other minerals
15.
(I) Where in the
course of exercising a mineral right under this Act,
the holder discovers an indication of a mineral not
included in the mineral right, the holder shall
within thirty days of the discovery, notify the
Commission and Geological Survey Department in
writing of the discovery.
(2) The
notification given under subsection (I) shall (a)
contain particulars of the discovery, and
(b)
the site and
circumstances of the discovery.
(3) The holder of
the mineral right may in the prescribed form, apply
for the mineral right to be amended to
((I)
include an
additional mineral, or
(b)
exclude a mineral.
(4) Subject to this
Act and unless the land which is the subject of the
mineral right, is subject to another mineral light
in respect of the mineral applied for under
subsection (3), the Minister shall amend the
mineral right on the terms and conditions that may
be prescribed.
(5) A mineral right
shall not be granted for another mineral over the
same area of land subject to an existing mineral
right unless the holder of the existing right is
notified and given the first option of applying for
the right.
(6) A notification
given under subsection (5) shall contain (a)
particulars of the mineral applied for, and
(b)
the area applied
for.
Obligations of
holders of mineral
rights
16.
(I) The holder of a
mineral light shall at all times appoint a manager
with the requisite qualification and experience to
be in charge of that holder's mineral operations.
(2) The holder of a
mineral right shall notify the Head of the
Inspectorate Division ofthe Commission in writing of
the appointment of a manager and on each change of
the manager.
Water right
17.
Subject to
obtaining the requisite approvals or licences under
the Water Resources Commission Act 1996 (Act 552), a
holder of a mineral right may, for purposes of or
ancillary to the mineral operations, obtain, divert,
impound, convey and use water from a river, stream,
underground reservoir or watercourse within the land
the subject of the mineral right.
Forestry and
environmental protection
18.
(1) Before
undertaking an activity or operation under a mineral
right, the holder of the mineral right sha1l obtain
the necessary approvals and permits required from
the Forestry Commission and the Environmental
Protection Agency for the protection of natural
resources, public health and the environment.
(2) Without
limiting subsection (1), a holder of a mineral light
shall comply with the applicable Regulations made
under this Act and any other enactment for the
protection of the environment in so far as relates
to exploitation of minerals.
Records
of and
reports by mineral right holders
19.
(l) A holder of a
mineral right sha1l maintain, at an address in Ghana
notified to the Commission for the purposes of this
section, the documents and records that may be
prescribed and shall permit an authorised officer of
the Commission at a reasonable time to inspect the
documents and records and take copies of them.
(2) A holder of a
mineral right shall furnish the Commission,
Geological Survey Department and other persons
prescribed, with such reports on the mineral
operations of and geological infol1nation attained
by or on behalf of the holder.
Public access to
information
20.
(1) Records,
documents and information furnished or attained
under sections 19 and 63 shall, as long as the
holder or the holder's successor-in-title retains
the mineral right, or any mineral right granted in
substitution over the area to which the records,
documents and information relate, be treated as
confidential and sha1l not be divulged without the
prior written consent of the holder.
(2) Subject to
subsection (1 )., the records, documents and reports
furnished or attained under sections 19 and 63 shall
be made available for inspection and copy by the
public, on payment of the prescribed fee.
(3) Nothing in this
section prohibits the disclosure of confidential
information, (a) where the disclosure is
necessary for the purposes of this Act or an
enactment,
(b)
for the purposes of
a prosecution under this Act or any other enactment,
or (c) to a person being a consultant to the
Commission or an officer who is authorised by the
Minister to receive the confidential information.
(4) A person to whom disclosure is made under this
section is under an obligation to treat the
intonation as confidential.
Copyright in
information
21.
Despite a law to
the contrary the copyright in respect of the
documents, records and infol1nation furnished or
attained under sections 19 and 63 sha1l pass to and
reside with the Republic on and from the time that
the records, documents and information become
available, under section 20(2) for inspection by the
public.
Royalties.
rentals and fees
Application fee
22. An applicant
for a mineral right sha1l pay a fee as may be
prescribed.
Annual ground rent
23. (I) A holder of
a mineral right, shall pay an annual ground rent as
may be prescribed.
(2) Payments of
annual ground rent shall be made to the owner of the
land or successors and assigns of the owner except
in the case of annual ground rent in respect of
mineral rights over stool lands, which sha1l be paid
to the Office of the Administrator of Stool Lands,
for application in accordance with the Office of the
Administrator of Stool Lands Act 1994 (Act 481).
Annual mineral
right fees
24. A holder of a
mineral right sha11 pay an annual mineral right fee
that may be prescribed and payment of the fee shall
be made to the Commission.
Royalties
25. A holder of a
mining lease, restricted mining lease or small scale
mining licence shall pay royalty that may be
prescribed in respect of minerals obtained from its
mining operations to the Republic, except that the
rate of royalty shall not be more than 6% or less
than 3% of the total revenue of minerals obtained by
the holder.
Recovery of debts
26. A fee, royalty
or other payment which falls due in respect of a
mineral right or otherwise under this Act is a debt
owed to the Republic and recoverable in the Court.
Dispute
resolution
Dispute resolution
27. (1) Where a
dispute arises between a holder of a mineral right
and the Republic in respect of a matter expressly
stated under this Act as a matter which shall be
referred for resolution, all efforts shall be made
through mutual discussion and if agreed between the
parties, by reference to alterative dispute
resolution procedures, to reach an amicable
settlement.
(2) Where a dispute
arises between a holder who is a citizen and the
Republic in respect of a matter expressly stated
under this Act as a matter which sha1l be referred
for resolution, which is not amicably resolved as
provided in subsection (1) within thirty days of the
dispute arising or a longer period agreed between
the parties to the dispute, the dispute may be
submitted by a party to the dispute, to arbitration
for settlement in accordance with the Arbitration
Act, 1961 (Act 38) or any other enactment in force
for resolution of disputes.
(3) Where a dispute
arises between a holder who is not a citizen and the
Republic in respect of a matter expressly stated
under this Act as a matter which shall be referred
for resolution under this section, which is not
amicably resolved as provided under subsection (I)
within thirty days of the dispute arising or a
longer period agreed between the parties to the
dispute, the dispute may, by a paJ1y to the dispute
giving notice to all other parties, be submitted to
arbitration,
(a)
in accordance with
an imitational machinery for the resolution of
investment disputes, as agreed to by the parties, or
(b)
if the parties do
not reach an agreement under paragraph (oj
within thirty days, or a longer period agreed
between the parties, of the matter being submitted
to arbitration, in accordance with
(i) firstly, the
framework of a bilateral or multilateral agreement
on investment protection to which the Republic and
the count1Y of which the holder is a national, are
parties, or
(ii) secondly, if
no agreement contemplated by subparagraph (i)
exists, the rules of procedure for arbitration of
the United Nations Commission on International Trade
Law, UNCITRAL Rules.
(4) Each agreement
granting a mineral right shall contain provisions on
the method of resolution of disputes that may arise
under the agreement.
(5) Where a holder
has notified the Minister in writing that the holder
wishes to refer a dispute for resolution and, but
for this subsection,
(a)
the term of the
mineral light would expire,
(b)
the area the
subject of the mineral right, would be reduced, or
(c)
the rights under
the mineral right held at that time would be
diminished the term, the area, the right held, as
the case may be, shall continue without diminution
for the period ending thirty days after the
determination of the dispute.
Capitalisation
of expenditure
28.
The holder of a
mining lease is entitled to the capitalization of
expenditure on reconnaissance and prospecting
approved by the Minister on the advice of the
Commission where the holder starts development of a
commercial find.
Additional
benefits
29.
The holder of a
mineral right may be granted the following:
(a)
exemption from
payment of customs import duty in respect of plant,
machinery, equipment and accessories imported
specifically and exc1usively for the mineral
operations;
(b)
exemption of staff
from the payment 0 f income tax on furnished
accommodation at the mine site;
(c)
immigration quota
in respect of the approved number of expatriate
personnel; and
(d)
personal remittance
quota for expatriate personnel free from tax imposed
by an enactment regulating the transfer of money out
of the country.
Transferability
of capital
30.
(1) A holder of a
mining lease who earns foreign exchange from mining
operations may be permitted by the Bank of Ghana to
retain in an account, a portion of the foreign
exchange earned, for use in acquiring spare parts
and other inputs required for the mining
operations, which would otherwise not be readily
available without the use of the earnings.
(2) The Minister
for Finance, in consultation with the Minister
acting on the advice of the Commission may. where
the net earnings of a holder of a mining lease from
the holder's mining operations are in foreign
exchange, permit the holder of the lease to open and
retain in an account, an amount not less than twenty
five percent of the foreign exchange for
(a)
the acquisition of
spare parts, raw materials, and machinery and
equipment, (h) debt servicing and dividend
payment,
(c)
remittance in
respect of quotas for expatriate personnel, and
(d)
the transfer of
capital in the event of a sale or liquidation of the
mining operations.
(3) An account
opened and operated under subsection (2) shall, with
the consent of the Bank of Ghana, be held in tl1lst
by a tl1lstee appointed by the holder of the lease.
(4) Subject to this
Act, a holder of a mining lease shall be guaranteed
free transferability of convertible currency
(a)
through the Bank of
Ghana, or
(b)
in the case of a
net foreign exchange holder, through the account
opened under subsection (2).
Reconnaissance licence
Application
for reconnaissance licence
31.
(1) Subject to this
Act, the Minister may, on an application made by a
qualified person and on the recommendation of the
Commission, grant a reconnaissance licence in
respect of all or a part of the area applied for and
in respect of all or any of the minerals specified
in the application.
(2) A
reconnaissance licence may be granted for an initial
period not more than twelve months.
(3) The area of
land in respect of which a reconnaissance licence
may be: granted shall be a block or any number
not more than five thousand contiguous blocks each
having a side in common with at least one other
block the subject of the application.
Rights of holder
of reconnaissance licence
32.
(1) Subject to this
Act and the Regulations made under this Act, a
reconnaissance licence confers on the holder and a
person authorised, in accordance with this Act by
the holder of the reconnaissance licence, the
exclusive right to carryon reconnaissance in the
reconnaissance area for the minerals to which the
reconnaissance licence relates and to conduct other
ancillary or incidental activity.
(2) For the
purposes of exercising the right conferred under
subsection (I), a holder of a reconnaissance licence
and a person authorised in accordance with this Act
by the holder of the reconnaissance licence, may
enter the reconnaissance area and erect camps or
temporary buildings.
(3) A holder of a
reconnaissance licence shall not engage in a
drilling or excavation.
Application for
extension
of term of
reconnaissance licence
33.
(1) A holder of a
reconnaissance licence may, not later than three
months before the expiration of the initial tern1 of
the licence, apply to the Minister for an extension
of the term of the reconnaissance licence in respect
of all or part of the reconnaissance area.
(2) The form of the
application shall be as may be prescribed.
(3) Where an
application for extension of the term of a
reconnaissance licence is made under this section
and the applicant has materially complied with the
obligations imposed by this Act with respect to,
(a)
the holding of the
licence, and
(b)
the activities to
be conducted under the licence, the Minister shall
extend the term of the licence.
(4) Subject to
subsection (5), a reconnaissance licence may be
extended once only and for a period not exceeding
twelve months.
(5) Where, at least
one month before the end of the extended period, or
within the shorter period that the Minister may
allow, the holder of a reconnaissance licence
satisfies the Minister that delay by a government
institution in the issuance of a permit or in
carrying out a lawful activity has resulted in delay
by the holder in the discharge of an obligation
under the reconnaissance licence, the holder may
apply in writing to the Minister for extension and
the Minister may extend the term of the
reconnaissance licence for a period not more than
twelve months.
(6) Where a holder
of a reconnaissance licence has made an application
for an extension of
(a)
the term of the
licence, or
(b)
the land and for
some or all of the minerals the subject of the
reconnaissance licence,
and the term of the
reconnaissance licence would but for this
subsection, expire, the reconnaissance licence shall
continue in force with respect to the land or
minerals the subject of the application until the
application is determined.
(7) if the holder
of a reconnaissance licence transfers the
reconnaissance licence in accordance with this Act
after making an application for
(a) an
extension of the term of the licence, or
(b)
a prospecting
licence or mining lease in respect of all or pm1 of
the land and for some or all of the minerals the
subject of the reconnaissance licence,
the application
shall continue in the name of the transferee, as if
the transferee had made it.
Prospecting
licence
Application for
prospecting licence
34.
(I) The Minister
may, on an application duly made by a qualified
person and on the recommendation of the Commission,
grant a prospecting licence in respect of all or any
of the minerals specified in the application.
(2) A prospecting
licence shall be granted for an initial period not
exceeding three years.
(3) The area of
land in respect of which a prospecting licence maybe
granted shall be a block or a number not exceeding
750 contiguous blocks each having a side in common
with at least one other block the subject of the
application.
(4) If a holder of
a reconnaissance licence applies for a prospecting
licence over all or pm1 of the land and for a
mineral the subject of the reconnaissance licence
and the holder has materially complied with the
obligations imposed by this Act with respect to
(a)
the holding of the
licence, and
(b)
the activities to
be conducted under the licence, the Minister shall
within sixty days of the application, subject to the
pell11its and other obligations required by law
having been complied with, grant the applicant the
prospecting licence on the conditions that shall be
specified in the licence.
(5) A dispute
between the Minister and a holder in respect of any
matter that arises under subsection (4), shall be
referred for resolution under section 27.
Extensions of
the term of a prospecting licence
35.
(1) The holder of a
prospecting licence may, at any time but not later
than three months before the expiration of the
initial term of the licence, apply in the form that
may be prescribed to the Minister for an extension
of the term of the prospecting licence subject to
section 38(3), for a further period not more than
three years in respect of all or any number of
blocks the subject of the prospecting licence.
(2) On an
application duly made under subsection (I), and upon
being satisfied that the holder has complied with
the obligations imposed by this Act with respect to
(a)
the holding of the
licence, and
(b)
the activities to
be conducted under the prospecting licence, the
Minister shall on the recommendations of the
Commission grant an extension of the term of the
prospecting licence.
(3) A dispute
between the Minister and a holder in respect of a
matter that arises under subsection (2) shall be
resolved under section 27.
(4) Where a holder
of a prospecting licence has made an application for
an extension of the term of the licence and the term
of the prospecting licence would, but for this
subsection expire, the prospecting licence shall
continue in force in respect of the land the subject
of the application until the application is
determined.
(5) Where a holder
of a prospecting licence has made an application for
a mining lease and the term of the prospecting
licence would, but for this subsection expire, the
licence shall continue in force with respect to the
land and minerals the subject of the application
until the application is determined.
(6) lf the holder
of a prospecting licence transfers the prospecting
licence in accordance with this Act after making an
application for
(a)
the extension of
the term of the prospecting licence, or
(b)
a mining lease in
respect of all or part of the land and for some or
all
of the minerals the
subject of the prospecting licence,
the application
shall continue in the name of the transferee as if
the transferee had made the application.
Programme of
prospecting operations
36. (1) A
prospecting licence may not be granted unless the
proposed programme of mineral operations submitted
with the application is, in the Minister's
reasonable opinion, suitable in the circumstances.
(2) The holder of a
prospecting licence shall notify the Minister of an
amendment the holder wishes to make to the
programme of prospecting operations and the
amendment shall, unless rejected by the Minister on
reasonable grounds, within two months after receipt
of the notice, have effect after that period.
(3) The Minister
may, upon an application made by the holder of a
prospecting licence, limit or suspend the
obligation of the holder to carry on prospecting
operations, under terms and conditions that the
Minister may reasonably determine.
(4) A dispute
between the Minister and a holder in, respect of a
matter that arises under subsections (1) or (2),
shall be resolved under section 27.
Rights and
obligations of holder of a prospecting licence
37.
(1) The holder of a
prospecting licence may in the exercise of the
rights under the licence, enter upon land to which
the licence relates to
(a)
prospect for the
mineral in respect of which the licence is granted,
(b)
make boreholes and
excavations that may be necessary for the
prospecting purposes,
(c)
erect camps and put
up temporary buildings necessary for the prospecting
operations, and
(d)
conduct other
activity ancillary or incidental to the prospecting.
(2) The holder of a
prospecting licence shall
(a)
commence
prospecting operation within three months after the
date of the issue of the licence, or at a time
specified by the Minister,
(b)
demarcate and keep
demarcated the prospecting area in the prescribed
manner,
(c)
carry on
prospecting operation in accordance with the
programme of prospecting operations,
(el)
notify the Minister
through the Commission, of any discovery of minerals
to which the prospecting licence relates within a
period of thirty days from the date of the
discovery,
(e)
notify the Minister
through the Commission of the discovery of a mineral
deposit which is of possible economic value within a
period of thirty days from the date of the
discovery,
(f)
fill back or
otherwise make safe to the satisfaction of the
Commission a borehole or excavation made during the
course of prospecting operations,
(g)
unless the
Commission otherwise stipulates, remove within sixty
days from the date of the expiration of the
prospecting licence a camp, temporary building or
machinery erected or installed and make good to the
satisfaction of the Commission damage to the surface
of the ground occasioned by the removal,
(h)
subject to the
condition of the prospecting licence, expend on
prospecting not less than the amount specified in
the prospecting licence, and (i) submit
reports of other documents to persons at prescribed
intervals and supporting documents containing
required information.
(3) Moneys required
to be spent under subsection (2) (h) and
which are not yet spent shall be a debt to the
Republic and recoverable from the holder in the
Court.
(4) The holder of a
prospecting licence shall to the satisfaction of the
Minister, keep full and accurate records of the
prospecting operations showing particulars that the
Minister may prescribe.
Compulsory
reduction of area of prospecting licence
38. (1) Subject to
this section, the holder of a prospecting licence
shall, prior to or at the expiration of the initial
term, surrender not less than half the number of
blocks of the prospecting area so long as a minimum
of one hundred and twenty-five blocks remain subject
to the licence and the blocks forn1 not more than
three discrete areas each consisting of
(a)
a single block, or
(b)
a number of blocks
each having a side in common with at least one other
block in that area.
(2) Where, at least
one month before the end of the term or within a
shorter period that the Minister may allow, the
holder of a prospecting licence satisfies the
Minister that delay by a government institution or
agency in the issuance of permits or in carrying out
a lawful activity have resulted in delay by the
holder in the discharge of an obligation under the
prospecting licence, the holder may apply in writing
to the Minister for relief from the obligation to
surrender land and the Minister may exempt
·that
holder from the requirements of this section, either
wholly or in part, for a period, not more than
twelve months and on other conditions that the
Minister thinks fit.
(3) A dispute
between the Minister and a holder in respect of a
matter that arises under subsection (2), shall be
resolved under section 27.
Mining lease
Application for
mining lease by holder of reconnaissance
licence or prospecting licence
39. (I) A holder of
a reconnaissance licence or a prospecting licence
may, prior to the expiration of the licence, apply
in the prescribed form for one or more mining leases
in respect of all or any of the minerals the subject
of the licence and in respect of all or anyone or
more of the blocks which constitutes the
reconnaissance or prospecting area except that the
blocks shall form not more than three discrete
areas, with each consisting of
(a)
a single block, or
(b)
a number of blocks
each having a side in common with at least one other
block in that area,
and each of which
could be the subject of a separate mining lease
application.
(2) Subject to this
Act and upon an application duly made under
subsection
(1), if the
applicant has materially complied with the
obligations imposed by this Act with respect to,
(a)
the holding of the
lease, and
(b)
the activities to
be conducted under the licence,
the Minister on the
recommendation of the Commission shall, within sixty
days of receipt of the application and subject to
all obligations having been satisfied, grant the
applicant a mining lease on conditions specified in
the lease.
(3) A dispute
between the Minister and a holder in respect of a
matter that arises under subsection (2), shall be
resolved under section 27.
Application for
a mining lease by any other person
40.
(I) A person may
apply in the prescribed from for a mining lease in
respect of a mineral specified in the application
over land that is not the subject of a mineral right
for the mineral applied for.
(2) On an
application duly made, the Minister on the
recommendation of the Commission, may grant the
applicant a mining lease in respect of all or any of
the land applied for and in respect of a mineral
specified in the application on conditions
prescribed.
Terms for the
grant of a mining lease
41.
(I) A mining lease
shall be for an initial term of thirty years or for
a lesser period that may be agreed with the
applicant.
(2) The area in
respect of which a mining lease maybe granted shall
not be less than one block or more than three
hundred contiguous blocks each having a side in
common with at least one other block the subject of
the grant.
Rejection of an
application for a mining lease
42.
(I) The Minister
shall not reject an application for a mining lease
made under this Act.
(0)
unless the concerns
of the Minister have been conveyed in writing to the
applicant and the applicant has been given an
opportunity to make appropriate amendments to the
application or to the proposed programme of mineral
operations and has within a reasonable time that the
Minister maypel1l1it, failed to do so, or
(h)
on the grounds that
the applicant is in default, unless the Minister has
given the applicant notice of the default and the
applicant ha:;; failed within a reasonable time that
may be specified in the notice to remedy the
default.
(2) A dispute
between the Minister and an applicant in respect of
a matter that arises under subsection (1) shall be
referred for resolution under section 27.
Government
participation in mining lease
43.
(1) Where a mineral
right is for mining or exploitation, the Government
shall acquire a ten percent free carried interest in
the rights and obligations of the mineral operations
in respect of which financial contribution shall not
be paid by Government.
(2) Subsection (1) does not preclude the Government
from any other or further participation in mineral
operations that may be agreed with the holder.
44. Renewal of mining lease
(1) A holder of a mining lease may, at any time but
not later than three months before the expiration of
the initial term of the mining lease or a shorter
period that the Minister allows, apply in a
prescribed form to the Minister for an extension of
the term of the lease for a further period of up to
thirty years in respect of all or any number of
contiguous blocks the subject of the lease and in
respect of all or any of the minerals the subject of
the lease.
(2) An application made under subsection (1) shall
be accompanied with a proposed programme of mineral
operations.
(3) On an application duly made under subsection
(1) and if the holder has materially complied with
the obligations imposed by this Act with respect to
the holding of and activities pursuant to the mining
lease, the Minister shall grant the extension of the
term of the lease on conditions specified in
writing.
(4) Where the holder has made an application for an
extension of the term of the lease, and the term of
the lease would but for this subsection, expire, the
lease shall continue in force in respect to the land
the subject of the application until the application
is determined.
(5) A dispute between the Minister and a holder in
respect of a matter that arises under this section,
shall be resolved under section 27.
45. Amendment of programme of mining operations
(1) A holder of a mining lease shall notify the
Minister of amendments the holder intends to make to
the programme of mining operations and the
amendments shall, unless the Minister on reasonable
grounds rejects them within two months after being
so notified, have effect after that period.
(2) A dispute between the Minister and a holder in
respect of a matter that arises under this section,
shall be resolved under section 27.
46. Rights conferred by mining lease
Subject to this Act and Regulations made under this
Act, a mining lease authorises the holder, the
holder’s agents and employees and a person
authorised by the holder, in accordance with this
Act, to enter upon the land the subject of the
mining lease, to
(a) conduct mineral operations including, without
limitation, to mine for the specified minerals of
the mining lease,
(b) erect equipment, plant and buildings for the
purposes of mining, transporting, dressing,
treating, smelting or refining the specified
minerals recovered by the holder during the mining
operations,
(c) take and remove from the land the specified
minerals and dispose of them in accordance with the
holder’s approved marketing plan,
(d) stack or dump a mineral or waste product as
approved in the holder’s Environmental Impact
Statement, and
(e) conduct other incidental or ancillary activity.
47. Merger and enlargement of mineral rights
(1) Subject to this Act, if a holder of a mineral
right covering contiguous blocks considers that the
efficient and economic management of its operations
require the merger of all or part of its mineral
rights, the holder may apply to the Minister for the
merger to be effected on the terms that may be
agreed between the holder and the Minister.
(2) A holder of a mineral right may apply to the
Minister for the enlargement of the area to which
the lease relates by the inclusion of additional
contiguous blocks and the Minister may, subject to
this Act, approve the application if the Minister is
satisfied on reasonable grounds that the additional
area is required for the holder’s operations.
(3) A dispute between the Minister and a holder in
respect of a matter that arises under this section,
shall be resolved under section 27.
48. Stability agreement
(1) The Minister may as a part of a mining lease
enter into a stability agreement with the holder of
the mining lease, to ensure that the holder of the
mining lease will not, for a period not exceeding
fifteen years from the date of the agreement,
(a) be adversely affected by a new enactment, order,
instrument or other action made under a new
enactment or changes to an enactment, order,
instrument that existed at the time of the stability
agreement, or other action taken under these that
have the effect or purport to have the effect of
imposing obligations upon the holder or applicant of
the mining lease, and
(b) be adversely affected by subsequent changes to
(i) the level of and payment of customs or other
duties relating to the entry of materials, goods,
equipment and any other inputs necessary to the
mining operations or project,
(ii) the level of and payment of royalties, taxes,
fees and other fiscal imports, and
(iii) laws relating to exchange control, transfer of
capital and dividend remittance.
(2) A stability agreement entered into under
subsection (1) shall be subject to ratification by
Parliament.
49. Development agreement
(1) The Minister on the advice of the Commission may
enter into a development agreement under a mining
lease with a person where the proposed investment by
the person will exceed US$ five hundred million.
(2) A development agreement may contain provisions,
(a) relating to the mineral right or operations to
be conducted under the mining lease,
(b) relating to the circumstance or manner in which
the Minister will exercise a discretion conferred by
or under this Act,
(c) on stability terms as provided under section 48,
(d) relating to environmental issues and obligations
of the holder to safeguard the environment in
accordance with this Act or another enactment, and
(e) dealing with the settlement of disputes.
(3) A development agreement is subject to
ratification by Parliament.
50. Recruitment and training of Ghanaians
(1) In pursuance of a localisation policy, each
holder of a mining lease shall submit to the
Commission a detailed programme for the recruitment
and training of Ghanaian personnel as prescribed.
(2) The programme to be submitted under subsection
(1) shall be a condition for the grant of a mining
lease.
(3) For the purposes of subsection (1) ‘‘localisation’’
means a training programme designed towards the
eventual replacement of expatriate personnel by
Ghanaian personnel.
51. Suspension of production
(1) The holder of a mining lease shall notify the
Minister three months in advance where the holder
proposes to suspend production from the mine and
shall in each case, give reasons for the suspension.
(2) Where the holder is unable to give the required
notice as provided under subsection (1) for reasons
beyond the holder’s control including, without
limitation, market conditions and the holder
suspends production from a mine, the holder shall,
within fourteen days of the suspension notify the
Minister.
(3) The suspension of production shall not exceed
twelve months and the holder may apply in writing to
the Minister for extension for a period not
exceeding twelve months.
(4) On receiving the notification under subsection
(1) or on the Minister becoming aware of a
suspension of production, the Minister shall cause
the matter to be investigated and shall subject to
any relevant requirement contained in the mining
lease
(a) give approval for the suspension, or
(b) direct the holder of the mining lease to resume
full production at the mine by a specified date.
(5) Approval of suspension may be given subject to
conditions that the Minister may on the advice of
the Commission determine.
52. Change of control of company holding mining
lease
(1) A person may not become a controller of a mining
company unless
(a) the person has served on the Minister notice in
writing stating that the person intends to become a
controller of the mining company, and
(b) the Minister has, before the end of a period of
two months beginning with the date of service of
that notice, notified the person in writing that
there is no objection to the person becoming a
controller of the mining company or that period has
elapsed without the Minister having served on the
person a written notice of objection to the person
becoming a controller of the mining company.
(2) A notice under paragraph (a) of subsection (1)
shall contain information that the Minister may
reasonably direct and the Minister may, after
receiving a notice from a person, by notice in
writing, require the person to provide additional
information or documents the Minister may reasonably
require to decide whether to serve a notice of
objection or not.
(3) Where additional information or documents are
required from a person under subsection (2), the
time between the giving of the notice and the
receipt of the information or documents shall be
added to the period specified in paragraph (b) of
subsection (1).
(4) A notice served by a person under paragraph (a)
of subsection (1) shall not have effect if the
person fails to acquire the controlling interest
within a period of one year from the date of service
of the notice.
53. Objection to new or increased control
(1) The Minister shall serve a written notice of
objection under this section on a person who has
given a notice under section 52 if the Minister
considers on reasonable grounds that the public
interest would be prejudiced by the person concerned
becoming a controller of the mining company.
(2) Where a person required to give a notice under
section 52 (1) (a) in relation to the person
becoming a controller, becomes a controller of that
description without having given the notice, the
Minister shall serve the person with a written
notice of objection under this section within a
period of six months after becoming aware of that
fact and may, for the purpose of deciding whether to
serve the notice, require the person by notice in
writing to provide information or documents that the
Minister may reasonably require.
(3) A dispute between the Minister and a person upon
whom a notice of objection is served under
subsection (1) shall be referred for resolution
under section 27.
54. Contraventions by controller
(1) A person who contravenes section 52 by
(a) failing to give the notice required under
paragraph (a) of subsection (1) of that section, or
(b) becoming a controller of a description to which
that section applies, before the end of the period
specified in paragraph (b) of that subsection,
unless the Minister has previously notified the
person in writing that there is no objection to that
person becoming such a controller, commits an
offence.
(2) A person who,
(a) contravenes section 53 by becoming a controller
of any description after being served with a notice
of objection to that person becoming a controller of
that description, or
(b) having become a controller of any description,
in contravention of that section, whether before or
after being served with a notice of objection,
continues to be the controller after the notice has
been served on the person, commits an offence.
(3) A person convicted of an offence under this
section is liable on summary conviction to a fine
not more than the cedi equivalent of US$ twenty
thousand or imprisonment for a term not more than
three years or to both.
55. Restriction and sale of shares
(1) The powers conferred by this section shall be
exercised where a person,
(a) has contravened section 53 by becoming a
controller after being served with a notice of
objection to the person becoming a controller, or
(b) having become a controller in contravention of
section 53 continues to be one after the notice has
been served on the person.
(2) The Minister acting on the recommendation of the
Commission may, by Executive Instrument, order that
specified shares to which this section applies
shall, until further order is made, be subject to
one or more of the following restrictions:
(a) a transfer of, or agreement to transfer those
shares or, in the case of un-issued shares, a
transfer of or agreement to transfer the right to be
issued with them shall be void;
(b) no voting rights shall be exercisable in respect
of the shares;
(c) no further shares shall be issued in right of
them or in pursuance of an offer made to their
holder;
(d) except in a liquidation, no payment shall be
made for sums due from the mining company on the
shares, whether in respect of capital or otherwise.
(3) The Minister may make an application to the High
Court for the sale of specified shares to which this
section applies.
(4) On an application to the Court under subsection
(3), the Court may order the sale of specified
shares and where the shares are for the time being
subject to restrictions under subsection (2), order
that they shall cease to be subject to those
restrictions.
(5) For the purpose of effecting a sale under
subsection (4), the Court may order the holder or
another person to execute a necessary transfer on
behalf of a holder and may order the directors of
the relevant mining company to enter the name of the
transfers in the appropriate register, despite the
absence of a share or other relevant certificate
being lodged in respect of the shares and to issue a
new certificate to the transferee, and an instrument
of transfer executed by the person pursuant to the
order shall be as effective as if it had been
executed by the registered holder of the specified
shares.
(6) Neither the Minister nor any other person is
liable to a holder or a person who has an interest
in the specified share or other person for an act
done pursuant to an order of the Court or for the
consequences of the act.
(7) Where shares are sold in pursuance of an order
under this section, the proceeds of sale, less the
costs of the sale, shall be paid into Court for the
benefit of the persons beneficially interested in
them and the person may apply to the Court for the
whole or part of the proceeds to be paid to that
person.
(8) This section applies
(a) to the shares or rights to be issued with shares
in the mining company of which the person in
question is a controller which are held by the
person or an associate of the person and which were
not held immediately before the person became a
controller, and
(b) where the person in question became a controller
of a mining company as a result of the acquisition
by the person or an associate of the person of
shares in another company, to all the shares or
rights to be issued with shares in that company
which are held by the person or an associate of the
person which were not held before the person became
the controller.
(9) A copy of the instrument referred to in
subsection (2) shall be served on the person and on
the mining company to whose shares it relates and,
if it relates to shares held by an associate of that
person, on the associate, except that there is no
obligation to serve a copy of the order if the
Minister does not know both the identity and the
address of the person to be served.
56. Notification of ceasing to be a controller
A person shall notify the Minister in writing prior
to or within fourteen days of ceasing to be a
controller of the mining company.
57. Notification by mining company
(1) A mining company shall give written notice to
the Minister of the fact that a person has become or
ceased to be a controller of the company.
(2) A notice required to be given under subsection
(1) shall be given within fourteen days of the
mining company becoming aware of the relevant facts.
(3) A mining company which fails to give the notice
required under subsection (1) is liable to an
administrative penalty of the cedi equivalent of US$
one thousand payable to the Commission.
58. Investigation on behalf of the Minister
(1) Where the Minister considers it desirable to do
so in the public interest, the Minister may appoint
one or more competent persons to investigate and
report to the Minister on the ownership or control
of a mining company.
(2) The Minister shall promptly give to the mining
company, written notice of the appointment.
(3) A person who is or was a director, controller,
employee, agent, banker, auditor or solicitor of a
company which is under investigation must
(a) produce to the person appointed under subsection
(1), within the time and at the place in the country
that the Minister may require, the documents which
are in that person’s custody or power, relevant to
the shareholding and board of directors to the
company,
(b) attend before the person appointed at the time
and place in the country that the investigator may
require, and
(c) give the investigator the assistance in
connection with the investigation which the person
is reasonably able to give, and the investigator may
take copies of or extracts from documents produced
under paragraph (a) of this subsection.
(4) For the purpose of exercising the powers under
this section, a person appointed under subsection
(1) accompanied by a police officer, may enter the
premises occupied by a company which is being
investigated by the person under this section; but
the investigator shall not do so without prior
notice in writing unless the investigator has
reasonable cause to believe that if notice were
given, documents whose production could be required
under this section, would be removed, tampered with
or destroyed.
(5) A person exercising power by virtue of an
appointment under this section shall, if so
required, produce evidence of authority.
(6) A person who,
(a) without reasonable excuse fails to produce
documents which it is that person’s duty to produce
under subsection (2),
(b) without reasonable excuse fails to attend before
the investigator appointed under subsection
(1) when required to do so,
(c) without reasonable excuse fails to answer a
question which is put to the person by the
investigator with respect to the company which is
being investigated, or
(d) intentionally obstructs a person in the exercise
of the rights conferred by subsection (4), commits
an offence and is liable on summary conviction to a
fine not more than the cedi equivalent of US$ ten
thousand or a term of imprisonment not exceeding
three years or to both.
(7) A statement made by a person in compliance with
a requirement under this section may be used in
evidence against the person.
(8) Nothing in this section requires disclosure of
an information or document by a person which the
person is entitled to refuse to disclose or provide
under the Evidence Decree, 1975 (N.R.C.D. 323) or
under some other enactment.
59.
Mine support services
Persons or companies providing prescribed services
to a holder of a mineral right and registered with
the Commission may be granted concession as
prescribed.
60. Special share to Republic
(1) The Minister may by notice in writing to a
mining company require the mining company to issue
to the Republic a special share, by whatever name
called in the company for no consideration.
(2) A special share shall constitute a separate
class of shares and shall have the rights that shall
be agreed between the Minister and the company, but
in the absence of the agreement shall have the
following rights:
(a) a special share is a preference share and shall
carry no right to vote but the holder is entitled to
receive notice of and to attend and speak at a
general meeting of the members of the company or a
separate meeting of the holders of a class of shares
in the company;
(b) the special share may only be issued to, held by
or transferred to the President, the Minister or
another person acting on behalf of the Republic and
authorised in writing by the President or the
Minister;
(c) the special share shall not confer a right to
participate in the dividends, profits or assets of
the company or a return of assets in a winding-up or
liquidation of the company;
(d) the holder of the special share may require the
company to redeem the special share at any time for
no consideration or for a consideration determined
by the company and payable to the holder on behalf
of the Republic;
(e) each of the following matters shall be taken to
be a variation of the rights that attach to the
special share, and shall accordingly be effective
only with the prior written consent of the holder of
the special share, which consent may not be
unreasonably delayed or withheld or made subject to
unreasonable conditions,
(i) an amendment to or removal of a provision in the
constitution, regulations, by-laws, articles of
association, or other equivalent document regulating
the company which reflect or further the intention
of all or any of the provisions of this section or
of sections 51 to 60;
(ii) the voluntary winding-up or voluntary
liquidation of the company;
(iii) the disposal of a mining lease granted under
this Act or a repealed law upon which mining
operations are conducted or of the whole or a
material part of the assets of the company which are
attributable to the company’s operations in Ghana
but are not held in the country.
(3) A mining company which fails to comply for a
period of two months with a notice served under
subsection (1) commits an offence and is liable on
summary conviction to a fine not more than the cedi
equivalent of US$ ten thousand.
(4) A dispute between the Minister and a holder in
respect of a matter that arises under this section
shall be referred for resolution under section 27.
61. Modification of application of Companies Code
(Act 179)
The provisions of sections 51 to 60 shall apply and
be implemented despite
(a) provisions of the Companies Code, 1963 (Act
179),
(b) provisions in the constitution, regulations,
by-laws or articles of association of any company,
or
(c) an agreement to which a company is a party,
other than an agreement between a company and the
Republic that relates to the application of the
sections.
Radio-active Minerals
62. Radio-active minerals
(1) The provisions of this Act which relate to
reconnaissance, prospecting and mining of minerals
shall, subject to the provisions contained in
sections 62 to 66, apply to radio-active minerals
with the modifications that may be necessary.
(2) Where a radio-active mineral is discovered in
the course of exercising a right under this Act or
under another enactment, the holder of the mineral
right or another person shall immediately notify the
Commission and the Geological Survey Department of
the discovery.
(3) Where a radio-active mineral is discovered on
land other than land subject to a mineral right, the
owner of the land shall immediately notify the
Commission and the Geological Survey Department of
the discovery.
63. Holder of radio-active mineral right to report
operations
A holder of a licence or lease under section 62
shall within the first week of each month furnish
the Commission and the Geological Survey Department
with a true report in writing of the prospecting and
mining operations conducted by the holder in the
immediately preceding month with respect to
radio-active minerals.
64. Export of radio-active mineral
(1) A person shall not export a radio-active mineral
except under and in accordance with the terms and
conditions of a permit granted by the Minister for
that purpose.
(2) A permit issued under subsection (1) shall be in
the form and shall be subject to the payment of the
fee that the Minister may on the advice of the
Commission determine.
65. Offence and penalties under sections 62 to 64
(1) A person who contravenes sections 62 to 64 or
obtains a permit by means of a false statement or
representation commits an offence and is liable on
summary conviction to a fine not more than the cedi
equivalent of US$ fifty thousand or to imprisonment
for a term not exceeding two years or both.
(2) The court before which a person is convicted of
an offence under subsection (1) shall order the
forfeiture to the State of any radio-active mineral
obtained by the person convicted.
Powers of search
and arrest
66.
A police officer
not below the rank of an Inspector, a senior
official of the Inspectorate Division of the
Commission, and an officer authorised by the
Minister may, for the purpose of enforcing section
62 to 66 without warrant,
(a)
enter and search a
place where the officer has reasonable grounds to
suspect that an offence under section 65 has been or
is about to be committed,
(b)
search and arrest a
person who the officer has reasonable grounds to
suspect to have committed or is about to commit an
offence under section 65,
(c)
seize radio-active
mineral which the officer suspects to have been
obtained contrary to sections 62 and 63,
(d)
seize prospecting
or mining apparatus, which is used or about to be
used in the commission of an offence under section
64.
Surrender:
suspension and cancellation of a mineral right
Surrender of a
mineral right
67.
(1) A holder of a
mineral right who wishes to surrender all or a part
of the land subject to the mineral right shall apply
to the Minister for a certificate of surrender not
later than two months before the date on which the
holder wishes the surrender to take effect.
(2) An application
under subsection (1) shall be in accordance with
prescribed Regulations.
(3) Subject to
subsection (4), upon an application duly made under
subsection (I), the Minister shall issue a
certificate of sun-ender in respect of the land to
which the application relates.
(4) The Minister
shall not issue a certificate of surrender (a)
to an applicant who is in default,
(b)
to an applicant who
fails to give records and reports in relation to the
applicant's mineral operations,
(c)
where the Minister
is not satisfied that the applicant will surrender
the land in a condition which is safe and accords
with good mining practice, or (d) in respect
of land, if the remaining area of the land after the
surrender would not be less than one block.
(5) Where a
certificate of surrender is issued under this
section, the Minister shall, where only part of the
land subject to the mineral right is surrendered,
amend the relevant licence accordingly or cancel the
mineral right where the surrender is in respect of
the whole area covered by the mineral right.
(6) Land in
respect of which a certificate of surrender is
issued, shall be treated as having been surrendered
with effect from the date on which the
certificate of surrender is issued under
subsection (3).
(7) The surrender
of land under this section shall not affect a
liability incurred by a person in respect of that
land before the date on which the surrender took
effect.
Suspension and
cancellation a mineral right
68.
(I) The Minister on
the recommendation of the Commission may suspend or
cancel a mineral right if the holder,
(a)
fails to make
payment on the due date, whether due to the Republic
or another person, required by or under this Act,
(b)
becomes insolvent
or bankrupt, enters into an agreement or scheme of
composition with the holder's creditors, or takes
advantage of an enactment for the benefit of its
debtors or goes into liquidation, except as part of
a scheme for an arrangement or amalgamation,
(c)
makes a statement
to the Minister in connection with its mineral right
which the holder knows or ought to have known to be
materially false, or
(d)
for a reason,
becomes ineligible to apply for a mineral right
under this Act.
(2) The Minister
shall, before suspending or canceling a mineral
right under subsection (I), give notice to the
holder and shall in the notice, require the holder
to remedy a breach of the condition of the mineral
right within a reasonable period, being not less
than one hundred and twenty days in the case of a
mining lease or restricted mining lease or sixty
days in the case of another mineral right and where
the breach cannot be remedied, to show cause to the
reasonable satisfaction of the Minister why the
mineral right should not be suspended or cancelled.
(3) On cancellation
of a mineral right under this section, the right of
the holder shall cease but without prejudice to the
liabilities or obligations incurred by another
person in relation to the mineral right prior to the
date of the cancellation.
Suspension or
cancellation of mining lease or restricted mining
lease
69.
(I) Without
limiting the scope of section 68, the Minister may
on the recommendation of the Commission suspend or
cancel a mining lease or a restricted mining lease
if the holder has failed other than for good cause,
for a period of two years or more, to carry out any
or a material part of the holder's programme or
mineral operations.
(2) The Minister
shall before suspending or canceling a mining lease
give notice to the holder and shall in the notice,
require the holder to remedy the breach
(2) Subsection (1)
does not preclude the Government from any other or
further participation in mineral operations that may
be agreed with the holder.
(2) A holder of a
mineral right may apply to the Minister for the
enlargement of the area to which the lease relates
by the inclusion of additional contiguous blocks and
the Minister may, subject to this Act, approve the
application if the Minister is satisfied on
reasonable grounds that the additional area is
required for the holder's operations.
(3) A dispute
between the Minister and a holder in respect of a
matter that arises under this section, sha1l be
resolved under section 27.
Vesting of
property on termination of mineral right
70.
(1) When for a
reason a mineral right terminates,
(a)
the person who was
the holder of the mineral right immediately prior to
the termination, or
(b)
another person,
who is entitled to
a mining plant lawfully erected or brought onto the
land to which the mineral right relates by the
former holder, or a predecessor in title, may,
within six months of the termination of the mineral
right or a further period a1l0wed by the Minister,
remove the mining plant if the mining plant is
removed solely for the purpose of use by the former
holder or a person deriving title through the former
holder, in another relevant mining activity in the
country.
(2) A mining plant
not removed by the former holder within two months
after notice is given by the Minister to the former
holder at any time after expiration of the period
referred to in subsection (1), shall vest in the
Republic on the expiration of the two month notice
period, but the Minister may not give a notice under
this subsection if the land upon which the mining
plant is located is the subject of a new mineral
right held by the former holder of the terminated
mineral right.
(3) Nothing in this
section removes or diminishes an obligation that the
former holder may have under this Act, another
enactment or a condition of a mineral right, to
remove a mining plant and rehabilitate the land.
Delivery of
documents to Minister on termination of a mineral
right
71.
(1) On the
termination of a mineral right, the former holder
shall deliver to the Minister or as the Minister
directs,
(a)
the records which
the holder is obliged under this Act or Regulations
made under this Act to maintain,
(b)
the plans and maps
of the area covered by the mineral right prepared by
the holder or at the holder's instructions, and
(c)
other documents,
including in electronic format, if available that
relate to the mineral right.
(2) A person who
fails to deliver, within thirty days from the
date of being called upon to do so by the Minister,
a document which is required to be delivered under
subsection (1) commits an offence and is liable on
summary conviction to a fine not more than the cedi
equivalent of US$ ten thousand or imprisonment for a
term not more than three years or to both.
Surface rights
72.
(I) The holder of a
mineral right shall exercise the lights under this
Act subject to limitations that relate to surface
rights that apply under an enactment and further
!imitations reasonably determined by the Minister.
(2) In the
case of a dispute between a holder of a mining lease
and the Minister concerning the !imitations
determined by the Minister under this subsection,
the dispute shall be refereed for resolution under
section 27.
(3) The lawful
occupier of land within an area subject to a mineral
right shall retain the right to graze livestock upon
or to cultivate the surface of the land if the
grazing or cultivation does not interfere with the
mineral operations in the area.
(4) In the
case of a mining area, the owner or lawful occupier
of the land within the mining area shall not erect a
building or a structure without the consent of the
holder of the mining lease, or if the consent is
unreasonably withheld, without the consent of the
Minister.
(5) The owner of a
mining lease shall, in the presence of the owner or
lawful occupier or accredited representative of the
owner or lawful occupier of land, the subject of a
mining lease and in the presence of an officer of
the Government agency responsible for land valuation
carry out a survey of the crops and produce a crop
identification map for the compensation in the event
that mining activities are extended to the areas.
(6) An owner or
lawful occupier of land shall not upgrade to a
higher value crop without the written consent of the
holder of the mining lease, or if the consent is
unreasonably withheld, without the consent of the
Minister.
Compensation for
disturbance of owner's surface rights
73.
(1) The owner or
lawful occupier of any land subject to a mineral
right is entitled to and may claim from the holder
of the mineral right compensation for the
disturbance of the rights of the owner or occupier,
in accordance with section 74.
(2) A claim for
compensation under subsection (I) shall be copied to
the Minister and the Government agency responsible
for land valuation.
(3) The amount of
compensation payable under subsection (I) shall be
determined by agreement between the parties but if
the parties are unable to reach an agreement as to
the amount of compensation, the matter shall be
referred by either party to the Minister who shall,
in consultation with the Government agency
responsible for land valuation and subject to this
Act, determine the compensation payable by the
holder of the mineral right.
(4) The Minister
shall ensure that inhabitants who prefer to be
compensated by way of resettlement as a result of
being displaced by a proposed mineral operation are
settled on suitable alternate land, with due regard
to their economic well-being and social and cultural
value, and the resettlement is carried out in
accordance with the relevant town planning laws.
(5) The cost of
resettlement under subsection (4) shall be borne by
the holder of the mineral right,
(a)
as agreed by the
holder and the owner or occupier as provided under
subsection (3) or by separate agreement with the
Minister, or
(b)
in accordance with
a determination by the Minister, except that where
the holder elects to delay or abandon the proposed
mineral operation which will necessitate
resettlement, the obligation to bear the cost of
resettlement shall only arise upon the holder
actually proceeding with the mineral operation.
(6) Subject to this
section, the Minister and a person authorised by the
Minister may take the necessary action to give
effect to a resettlement agreement or determination.
Compensation
principles
74.
(1) The
compensation to which an owner or lawful occupier
may be entitled, may include compensation for,
(a)
deprivation of the
use or a particular use of the natural surface of
the land or part of the land,
(b)
loss of or damage
to immovable properties,
(c)
in the case of land
under cultivation, loss of earnings or sustenance
suffered by the owner or lawful occupier, having due
regard to the nature of their interest in the land,
(d)
loss of expected
income, depending on the nature of crops on the land
and their life expectancy,
but no claim for
compensation lies, whether under this Act or
otherwise
(e)
in consideration
for permitting entry to the land for mineral
operations, (f) in respect of the value of a
mineral in, on or under the surface of the land, or
(g)
for loss or damage
for which compensation cannot be assessed according
to legal principles in monetary terms.
(2) In making a
determination under section 73(3), the Minister
shall observe the provisions of article 20(2)(a)
of the Constitution which states that, in the
case of compulsory acquisition of property, prompt
payment of fair and adequate compensation shall be
made.
(3) An agreement or
determination in respect of a compensation to which
an owner or lawful occupier is entitled, shall take
account of payments and the value of benefits made
or given to the owner or occupier in the past or
undertaken to be made or given in the future by or
on behalf of the holder and which are in the nature
of compensation, including without limitation,
(a)
the cost of
resettlement,
(b)
the annual ground
rent, and
(c)
work that the
holder has carried out or undertakes to carry out to
make good damage to the land and improvements.
Access to the Court
in respect of compensation
75. (I) TI1e owner
or lawful occupier of land affected by a mineral
right shall not apply to the High Court for
determination of compensation to which the person is
entitled unless the person is dissatisfied with the
terms of compensation offered by the holder of the
mineral right or as determined by the Minister under
section 73(3) or 73(5)(b).
(2) The person
entitled to be compensated or the holder of the
mineral right may apply to the High Court for a
review of a determination by the Minister made under
section 73(3) or 73(5)(b).
(3) In proceedings
brought before the High Court under subsection (2),
the High Court shall be exercising its supervisory
jurisdiction.
Industrial
minerals
Licences and
leases for industrial minerals
76. (I) Subject to
section 78 a person may,
(a)
search for
industrial mineral by reconnaissance,
(b)
prospect for
industrial mineral, or
(c)
mine for industrial
mineral
by holding a
restricted reconnaissance licence, restricted
prospecting licence or restricted mining lease
respectively granted by the Minister or a person
authorised by the Minister.
(2) Except as
provided and subject to specific provision made in
this Act in respect of industrial minerals, the
provisions of this Act relating to mineral rights
apply to industrial minerals subject to the
exemptions and modifications that the Minister may
prescribe.
(3) An agreement or
determination in respect of a compensation to which
an owner or lawful occupier is entitled, shall take
account of payments and the value of benefits made
or given to the owner or occupier in the past or
undertaken to be made or given in the future by or
on behalf of the holder and which are in the nature
of compensation, including without limitation,
(a)
the cost of
resettlement,
(b)
the annual ground
rent, and
(c)
work that the
holder has carried out or undertakes to carry out to
make good damage to the land and improvements.
Access to the
Court in respect of compensation
75. (1) The owner
or lawful occupier of land affected by a mineral
right shall not
apply to the High
Court for determination of compensation to which the
person is entitled unless the person is dissatisfied
with the terms of compensation offered by the holder
of the mineral right or as determined by the
Minister under section 73(3) or 73(5)(b).
(2) The person
entitled to be compensated or the holder of the
mineral right may apply to the High Court for a
review of a determination by the Minister made
under section 73(3) or 73(5)(b).
(3) In proceedings
brought before the High Court under subsection (2),
the High Court shall be exercising its supervisory
jurisdiction.
Industrial
minerals
Licences and leases
for industrial minerals
76. (1)
Subjecttosection78 a person may,
(a)
search for
industrial mineral by reconnaissance,
(b)
prospect for
industrial mineral, or
(c)
Hilne for
industrial mineral
by holding a
restricted reconnaissance licence, restricted
prospecting licence or restricted mining lease
respectively granted by the Minister or a person
authorised by the Minister.
(2) Except as
provided and subject to specific provision made in
this Act in respect of industrial minerals, the
provisions of this Act relating to mineral rights
apply to industrial minerals subject to the
exemptions and modifications that the Minister may
prescribe.
Limits on
restricted licences and leases
77. (I) A
restricted reconnaissance licence, a restricted
prospecting licence and a restricted mining lease
may be granted by the Minister in respect of an
industrial mineral specified in the grant and maybe
amended to include other indusial minerals.
(2) A restricted
mining lease shall be valid for the period that is
specified in the lease but shall not be more than a
period of fifteen years and may on an application
made to the Minister be renewed by the Minister for
further periods not more than fifteen years at
anyone time.
Qualification
for application for restricted licence or restricted
mining lease
78. (I) A
restricted reconnaissance licence, restricted
prospecting licence or restricted mining lease shall
not be granted to a person who is not a citizen.
(2) The Minister
may on the recommendation of the Commission cancel a
mineral right granted under section 76-80, where the
Minister is satisfied that the holder has entered
into an arrangement with a person who is not a
citizen which arrangement has the effect of
transferring to that person the benefit of the
mineral right.
Non-citizen's
right to apply for industrial mineral right
79. (I) A person
who is not a citizen may apply for a mineral right
in respect of industrial mineral provided the
proposed investment in the mineral operations is US$
ten million or above.
(2) If the holder
of the mineral light fails, within the period of
time specified in the holder's programme of mineral
operations given with the application, or further
time permitted by the Minister, to expend an amount
equal to or greater than US$ ten thousand, the
Minister may suspend or cancel the mineral right in
accordance with section 68.
Special right of
owner or occupier with regard to industrial minerals
80. Nothing in this
Act prevents
(a)
a local authority
on land owned by it,
(b)
the owner or lawful
occupier of land owned or occupied by the person, or
(c) the holder of a mineral right on land to
which the right relates,
trom prospecting
for and mining an industrial mineral to be used by
the owner, occupier or holder solely for building,
road construction or agricultural purposes on the
land, so long as the exercise of the right is not
inconsistent with or detrimental to the right of
another person holding a mineral right in respect of
the land.
Small scale
mining
Application
81. Section 82 to
99 apply to small scale mining only.
Licence for
small scale mining
82.
(1) Despite a law
to the contrary, a person shall not engage in or
undertake a small scale mining operation for a
mineral unless there is in existence in respect of
the mining operation a licence granted by the
Minister for Mines or by an officer authorised by
the Minister.
(2) An application
for a licence shall be made in a form the Minister
may direct to the office of the Commission in the
designated area and shall be submitted with a fee
the Minister may determine.
(3) Where a mineral
licence has been granted over a parcel of land,
another mineral licence of the same kind shall not
be granted in respect of the same land.
Qualification of
applicant for small scale mining licence
83.
A licence for
small-scale mining operation shall not be granted to
a person unless that person
(a))
is a citizen of
Ghana ,
(b)
has attained the
age of eighteen years, and
(c)
is registered by
the office ofthe Commission in an area designated
under section 90 (1).
Conditions for
the grant of a licence
84.
Except otherwise
provided in section 82 to 99, a licence granted by
the Minister shall be in respect of the mineral
specified in the licence and shall be subject to
conditions specified in the licence.
Duration of a
licence
85.
(l) A licence
granted under section 82 (1) to a person, a group of
persons, a co-operative society or a company shall
be for a period not more than five years from the
date of issue in the first instance and may be
renewed on expiry for a further period that the
Minister may detel111ine.
(2) The Minister
may by legislative instrument and on the advice of
the Commission, prescribe the fees payable for the
grant and renewal of licences for smal1-scale
mining.
Areas covered by
licence
86.
The size of the
area in respect of which a licence may be granted
for small scale mining shallbe in accordance with
the number of blocks prescribed.
Revocation of
licence
87.
The Minister may
revoke a licence granted under section 82 (1) where,
(0)
the Minister is
satisfied that the licensee has contravened or
failed to comply with a term or condition of the
licence or a requirement applicable to the licensee,
(b)
the licensee is
convicted of any offence relating to the smuggling
or illegal sale or dealing in minerals, or
(c)
the Minister is
satisfied that it is in the public interest to do
so.
Transfer of
licence
88.
A licence granted
under section 82 (1) may be transferred only to a
citizen and with the consent of the Minister.
Designated areas
89.
Where the Minister,
after consultation with the Commission considers
that it is in the public interest to encourage small
scale mining in an area, the Minister may by notice
in the Gazette, designate that area for small
scale mining operations and specify the mineral to
be mined.
Establishment of
District
offices of the Commission
90.
(1) The Commission
may establish in an area designated for mining
operations, an Office to be known as the District
Office of the Commission referred to in this Act as
the "District Office".
(2) There shall be
appointed by the Commission a District Officer who
shall be the head of the District Office of the
Commission.
(3) A District
Office shall among other functions
(a)
compile a register
of the small scale miners and prospective small
scale miners specifying particulars that may be
determined by the Minister;
(b)
supervise and
monitor the operation and activities of the small
scale miners and prospective small scale miners;
(c)
advise and provide
training facilities and assistance necessary for
effective and efficient small scale mining
operations,
(d)
submit to the
Commission in a form and at intervals directed by
the Commission, rep0l1s or other documents and
information on small scale mining activities within
the District; and
(e)
facilitate the
formation of Small Scale Miners Associations.
Registration of
prospective licensees
91.
(1) A person
engaged in or wishing to undel1ake a type of small
scale mining operation shall register with the
District Office of the designated area where the
person operates or intends to operate.
(2) A person shall
not be granted a licence under section 82 (1) unless
the person is registered under this section.
Small Scale
Mining Committees
92.
(1) There is
established in every designated area a Small Scale
Mining Committee.
(2) The Committee
consists of the following members:
(a)
the District Chief
Executive or the representative of the District
Chief Executive who shall be the chairperson of the
Committee;
(b)
the District
Officer appointed under section 90(2);
(c)
one person
nominated by the relevant DistJ1ct Assembly;
(d)
one person
nominated by the relevant Traditional Council
(e)
an officer from the
Inspectorate Division of the Commission; and (j)
an officer from the Environmental Protection
Agency.
(3) The Committee
shall assist the District Office to effectively
monitor, promote and develop mining operations in
the designated area.
(4) The members of
the Committee shall be appointed by the Minister and
shall hold office for a period and on terms and
conditions determined by the Minister.
Operations of
small scale miners
93.
A person licensed
under section 82 may win, mine and produce minerals
by an effective and efficient method and shall
observe good mining practices, health and safety
rules and pay due regard to the protection of the
environment during mining operations.
Compensation for
use of land
94.
Where a licence is
granted in a designated area to a person other than
the owner of the land, the licensee shall pay
compensation for the use of the land and destruction
of crops to the owner of the land that the Minister
in consultation with the Commission and the
Government agency with responsibility for valuation
of public lands may prescribe.
Use of
explosives
95.
A small-scale miner
shall not without the written permission of the
Minister on the recommendation of the Commission use
explosives in the area of operation.
Purchase of
mercury
96.
A small-scale miner
may purchase from an authorised mercury dealer the
quantities of mercury that may be reasonably
necessary for the mining operations of the small
scale miner.
Sale of minerals
97.
(1) The sale of a
mineral won by a licensed small-scale miner shall be
subject to Rules and Regulations prescribed by the
Minister.
(2) A person is
presumed to be lawfully in possession of minerals
until the contrary is proved.
(3) Shipment of
rough diamonds to and from the country shall be
subject to rules and regulations as prescribed by
the Minister and sha1l be in accordance with the
Kimberley Process Certification Scheme.
Sale of
jewellery
98. (1)
Nothing precludes a person from disposing of
personal jewellery to an auth0l1sed dealer or
another person.
(2) A person shall
dispose of a gold aJ1ifact or gold coin only to an
authorized dealer.
Offences and
penalties under section 81 to 99
99. (1) A person
who buys or sells minerals without a licence granted
under section 81 to 99 or without a valid authority
granted under an enactment for the time being in
force commits an offence and is liable on summary
conviction to a minimum fine of three thousand
penalty units or to imprisonment for a term not more
than five years or to both.
(2) A person who,
(a)
without a licence
granted by the Minister undertakes a small scale
mining operation contrary to section 1, or
(b)
acts in
contravention of provision of this Act in respect of
which an offence has not been specified, commits an
offence and is liable on summary conviction to a
minimum fine of one thousand penalty units or to
imprisonment for a term not more than three years or
to both.
(3) A court before
which a person is convicted under this Act may in
addition to a penalty that it may impose, order the
forfeiture to the State of the mineral in respect of
which the offence was committed.
Administration
and Miscellaneous Provisions
Power
of Minerals Commission
100. (1) The
Commission shall exercise the powers and perform the
functions specified under this Act in relation to
the Commission and shall under the direction 0 f the
Minister generally supervise the proper and
effective implementation of the provisions of this
Act and Regulations made under this Act.
(2) The Minister
shall obtain the advice and recommendation of the
Commission before exercising a power, discretion or
making a deten11ination or agreement pursuant to
this Act and Regulations made under this Act.
(3) Except as
provided under section 82 to 99 in respect of small
scale mining, an application for a mineral right and
mineral licence shall be submitted to the Commission
for processing.
Inspectorate
Division of the Commission
101. There is
established in the Minerals Commission, a division
of the Commission to be known as the Inspectorate
Division of the Commission.
Functions of the
Inspectorate Division
102. (1) The head
of the Inspectorate Division or an officer
authorized by the head may at reasonable times enter
a reconnaissance, prospecting, or mining area or
premises in the area other than a dwelling house to
(a)
break up the
surface of land in the area for the purpose of
ascertaining the rocks or minerals in or under the
land,
(b)
take samples or
specimen of rocks, ore or concentrates, tailings or
minerals situated in an area under a mineral right
for inspection or assay,
(c)
inspect the
explosives magazine on a mine and direct in what
manner an explosive shall be stored,
(d))
inspect the area of
mineral operations to ascertain whether a nuisance
is created in the area by the mineral operations,
(e)
examine documents
and records required to be kept under this Act,
Regulations made under the Act or the terms and
conditions of a mineral right and take copies of the
documents,
(f)
enter into or upon
land through which it may be necessary to pass for
the purpose of a survey, or
(g)
give directions and
effect acts that are incidental or conducive to the
attainment of functions of the head of the
Inspectorate Division under this law.
(2) The
Inspectorate of the Division of the Commission shall
perform functions as are conferred on the Division
by law for the effective implementation of this Act.
(3) The head of the
Inspectorate Division of the Commission or an
officer authorised by the head of the Division may
hold an inquiry whenever there is an occurrence on
land which is subject to a mineral right.
Register of
mineral rights
103.
(I) The Commission
shall, in accordance with Regulations, maintain a
register of mineral rights in which shall be
promptly recorded applications, grants, variations
and dealings in, assignments, transfers, suspensions
and cancellations of the rights.
(2) The register
shall be open to public inspection on payment of a .
prescribed fee and members of the public shall upon
request to the Commission and on payment of the
prescribed fee, be given a copy of the records.
Licence to buy
and deal in minerals
104.
Without limiting
the effect of an enactment empowering a person or
body to purchase and deal in a mineral, the Minister
in consultation with the Commission may in writing,
licence persons the Minister considers fit, to buy
and deal in the types and forms of minerals and
under terms and conditions specified in the licence.
Preference for
local products and employment of Ghanaians
105.
(1) The holder of a
mineral right shall in the conduct of mineral
operations, and in the purchase, construction and
installation of facilities, give preference to
(a)
materials and
products made in Ghana,
(b)
service agencies
located in the country and owned by (i) citizens,
(ii) companies or
partnership registered under the Companies Code 1963
(Act 179) or the Incorporated Private Partnerships
Act, 1962 (Act 152), and
(iii) public
corporations
to the maximum
extent possible and consistent with safety,
efficiency and economy.
(2) The holder of a
mineral right shall, in phases of its operations,
give preference in employment to citizens to the
maximum extent possible and consistent with safety,
efficiency and economy.
Offences
106.
A person who
(a)
conducts
reconnaissance, prospects for or mines minerals
otherwise than in accordance with the provisions of
this Act,
(b)
in making
application for mineral right or renewal of mineral
light, knowingly makes a statement which is false or
misleading in any material particular,
(c)
in a report, return
or affidavit submitted in pursuance of the
provisions of this Act, knowingly includes
information which is false or misleading in a
material particular,
(d)
removes or disposes
of a mineral contrary to the provisions of this Act,
(e) removes a building, fixed machinery or
other movable propel1y contrary to this Act,
(I)
places or deposits,
or causes to be placed or deposited, a mineral in a
place with the intention to mislead another person
as to the mineral possibilities of the place,
(g)
mingles or causes
to be mingled with samples or ore, substances which
will enhance the value or in a way change the nature
of the ore with the intention to cheat, deceive or
defraud,
(h)
being engaged in
the business of milling, leaching, sampling,
concentrating, reducing, assaying, transporting or
dealing in ores, metals or minerals, keeps or uses a
false or fraudulent scales or weights for weighing
the ores, metals or minerals, or uses a false or
fraudulent assay scales or weights or enriched
fluxes used for ascertaining the assay value of
minerals, knowing them to be false or fraudulent,
(i)
fails, neglects or
refuses to comply with a direction lawfully given
under this Act,
0)
fails
neglects or refuses to allow or provide reasonable
facilities and assistance to an officer exercising a
power under this Act,
(k)
obstructs, hinders
or delays an authorised officer in the performance
of the officer's duties under this Act, or
(I)
contravenes a
provision of this Act or Regulations made under this
Act, commits an offence and is liable on summary
conviction to a fine not more than the cedi
equivalent of US$ five thousand and in the case of a
continuing offence after first conviction, to a
penalty of the cedi equivalent of USS five hundred
for each day the offence is continued.
Offences by
bodies of persons
107. (I) Where an
offence is committed under this Act or under
Regulations made under this Act by a body of
persons,
(a)
in the case of a
body corporate, other than a partnership, each
director or an officer of the body shall also be
considered to have committed the offence, and
(b)
in the case of a
pm1nership each partner or officer of that body
shall be considered to have committed that offence.
(2) A person shall
not be considered to have committed the offence by
virtue of subsection (1) if the person proves that
the offence was committed without the person's
knowledge or connivance and that the person
exercised due care and diligence to prevent the
commission of the offence having regard to all the
circumstances.
General penalty
108. (1) A person
found guilty of an offence under this Act for which
a penalty has not been provided is on summary
conviction liable, on first conviction, to a penalty
of a fine not more than the cedi equivalent of USS
five thousand.
(2) On a second or
subsequent summary conviction for an offence under
this Act, the court may impose a penalty which is
not more than twice the penalty referred to in
subsection (1).
Penalty to be
civil debt
109. Except
otherwise provided in this Act, where a fine is
imposed on a person under this Act or Regulations
made under this Act and there is failure to pay the
fine, the amount shall be recoverable as a civil
debt owed to the State.
Regulation
110 The Minister
may, by legislative instrument, make Regulations for
the purpose of giving effect to this Act.
(2) Without
limiting the generality of subsection (1),
Regulations made under this section may provide for,
(a)
in circumstances
where the Minister is exercising a discretionary
power under this Act, specific criteria which, if
satisfied by the holder or other person bringing an
application before the Minister, obliges the
Minister to approve the application;
(b)
a matter which, in
accordance with this Act, is or may be provided for
by Regulations or which is to be or may be
prescribed;
(c)
the making of an
application for a mineral right or extension of the
term of an application or an application for another
purpose under this Act;
(d)
the establishment
and operation of a mining cadastre;
(e)
the lights and the
priority between registered dealings in the register
of mineral rights;
(f)
the functions of
the Inspectorate Division of the Commission;
(g)
the examination of
a mine or mineral by the Inspectorate Division of
the Commission or a person authorised by the
Minister;
(h)
the retention of an
ore or specimen of a mineral by a person in charge
of a mine or connected with a mine for the
identification of that ore or a sample of the ore
and for sampling of the ore by an authorised officer
of the Minister, the Commission and the Inspectorate
Division;
(i) directions to
be given to a person in charge of a mine or
connected with a mine by an authorised officer of
the Minister, the Commission and the Inspectorate
Division for the conservation and development of
mines and minerals;
(J)
the making of
returns of minerals won and for the valuation of the
minerals;
(k)
the returns to be
rendered in relation to accounts, books and plans
required to be kept by holders;
(I)
the submission by a
person in charge of a mine or connected with a mine
of returns and for the maintenance by the person of
the records;
(m)
the nature and
adequacy of a map or plan required for the purposes
of this Act;
(n) the restriction
of mineral operations in or near a river, dam, lake,
forest or stream;
(0)
the grazing of
cattle or other animals on an area subject to a
mineral right;
(P)
the gathering of
firewood and the cutting down and use of timber for
the purpose of carrying on prospecting and mining
operations;
(q)
the renewal,
transfer, assignment, mortgaging, suspension,
cancellation and surrender of mineral rights;
(r)
the protection of
pits, shafts and other dangerous places;
(s) the reporting
of accidents;
(t)
fees payable under
this Act; and
(u)
forms of
applications and licences to be made or issued under
this Act.
(3) The Minister
may make Regulations fixing all or any fees payable
under this Act, at concessionary rates for mineral
rights held by citizens where,
(a)
the mineral right
is of an area not greater than 2 blocks, and
(b)
the total area the
subject of mineral right, in which the citizen holds
a legal or beneficial interest does not exceed 20
blocks.
(4) Without
limiting the generality of subsection (I),
Regulations made under this section may provide for
matters concerning environmental protection, health
and safety including,
(a)
ensuring the safety
of the public and the safety and welfare of persons
employed in mines and the carrying on of mineral
operations in a safe, proper and effective manner,
(b)
preventing the
employment of incompetent persons to be in charge of
machinery,
(c)
preventing injury
to persons or property in a mining area by
chemicals; (d) regulating the use of
explosives in mineral operations, and
(e)
the powers and
procedures of the Inspectorate of Mines with respect
to matters of health and safety in mining areas
particularly as regards small scale mining.
(5) Despite the
Statutory Instrument Act 1959 (No.52), Regulations
made under this Act may impose a penalty not
exceeding the cedi equivalent of US$ ten thousand.
Interpretation
111.
(1) In this Act,
unless the context otherwise requires,
"associate" in
relation to a person entitled to exercise or control
the exercise of voting power in relation to, or
holding shares in, a company means, (a) the
wife or husband or son or daughter of that person
and for this purpose "son" includes stepson, and
"daughter" includes stepdaughter;
(b)
the trustees of any
settlement including a disposition or arrangement
under which property is held in trust under which
that person has a life interest in possession;
(c)
a company of which
that person is a director;
(d)
a person who is an
employee or partner of that person;
(e) if that
person is a company;
(i) a director of
that company;
(ii) a subsidiary
or holding company of that company;
(iii) a director or
employee of the subsidiary or holding company of
that company; and
(j)
that person has
with some other person, an agreement or arrangement
with respect to the acquisition, holding or
disposal 0 f shares or other interests in that
undertaking or body corporate or under which they
undertake to act together in exercise of their
voting power in relation to it, that other person;
"authorised buyer"
means a person authorised by the Minister to buy
minerals;
"authorised
officer" means a person authorised by the Minister,
the Commission or the Inspectorate Division to
exercise a power or function under this Act;
"block" means 21
hectares;
"citizen" means,
(a)
an individual who
is a citizen of Ghana by virtue of a law for the
time being in force in Ghana;
(h)
a partnership or
association which is composed exclusively of
individuals who are citizens of Ghana;
(c)
a body corporate
which is incorporated under the Companies Code, 1963
(Act 179); and
(i) which is
certified by the Minister to be controlled by the
Republic,
(ii) whose
membership is composed exclusively of persons who
are citizens,
(iii) whose
directors are exclusively citizens,
(iv) which
is controlled by individuals who are citizens; or
(d) a
public corporation that is established by or under
an enactment;
"Commission" means
the Minerals Commission established under section 1
of the Minerals Commission Act 1993 (Act 450);
"Committee" means a
Small Scale Mining Committee;
"company" means a
body corporate wherever incorporated; "continental
shelf' or
"the exclusive
economic zone" means the exclusive economic zone or
continental shelf as provided under the Maritime
Zones (Delimitation) Law 1986 (PNDCL 159);
"controller" in
relation to a company, means a person who, either
along or with an associate or associates, is
entitled to exercise, or control the exercise of
more than twenty per cent of the voting power at any
general meeting of the mining company or of another
company of which it is a subsidiary;
"Court" means the
High Court;
"designated area"
means an area designated as a small scale mineral
operation area by the Minister by a notice published
in the Gazette;
"equity shares" has
the meaning assigned to it under section 48 of the
Companies Code,
1963 (Act 179);
"head of
Inspectorate Division" means the Chief Inspector of
Mines; "holder" means the holder of a mineral right
under this Act;
"in breach" means
in breach of a provision of this Act;
"industrial
mineral" means basalt, clay, granite, gravel,
gypsum, laterite, limestone, marble, rock, sand,
sandstone, slate talc, salt and other minerals as
the Minister may from time to time declare, by
notice published in the Gazette, to be
industrial minerals;
"Kimberley Process"
means the international understanding among
participants that was recognized by Resolution
55/56 adopted by the General Assembly of the United
Nations on December, 1,2000, as amended from time to
time;
"Kimberley Process
Certificate" means a forgery resistant document with
particular format which identifies a shipment of
rough diamonds as being in compliance with the
requirements of the certificate scheme;
"mine" when used as
a noun, means a place, excavation or working where,
an operation connected with mining is carried on
together with all buildings, premises, erections and
appliance belonging or appertaining to it above and
below the ground for the purpose of winning,
treating or preparing minerals, obtaining or
extracting a mineral or metal by a mode or method or
for the purpose of dressing mineral ores, and
includes a quarry where building minerals are mined;
"mine" when used as
a verb, means intentionally to win minerals, and
includes an operation including prospecting directly
or indirectly necessary for mining or incidental to
mining, and "mining" shall be construed accordingly;
"mineral" means a
substance in solid or liquid form that occurs
naturally in or on the earth, or on or under the
seabed, formed by or subject to geological process
including industrial minerals but does not include
petroleum as defined in the Petroleum (Exploration
and Production) Law, 1984 (P.N.D.C.L. 84) or water;
"mineral
operations" means reconnaissance, prospecting or
mining for or of minerals;
"mineral right"
means a reconnaissance licence, a prospecting
licence, a mining lease, a restricted reconnaissance
licence, a restricted prospecting licence or a
restricted mining lease;
"mining area" means
the area designated from time to time by the holder
of a mining lease with the approval of the
Commission;
"mining company"
means a company which is or whose subsidiary is the
holder of a mineral right granted under this Act but
does not include,
(a)
a company listed on a stock exchange, or
(b)
a company of which
the market value of the assets held by the company
or its subsidiary in Ghana represent less than fifty
per cent of the market value of all assets owned by
the company;
"mining lease"
means a mining lease granted under section 39 or 44;
"mining operations"
means the mining of minerals under a mining lease or
restricted mining lease;
"mining plant"
means a building, plant, machinery, equipment,
vehicle, too] or other property whether affixed to
land or not affixed;
"Minister" means
the Minister responsible for Mines;
"participant" is in
relation to the Kimberley Process and means a State
or an organization comprised of Sovereign States, or
dependency territory of a State or customs
territory;
"pre-emption" means
the right to buy a mineral won or raised before it
is sold;
"prescribed" means
prescribed by Regulations;
"programme of
mineral operations" means a programme which
accompanies or follows an application for a mining
lease and includes an amendment to it made under
this Act;
"prospect" means to
intentionally search for minerals and includes
reconnaissance and operations to detem1ine the
extent and economic value of a mineral deposit;
"prospecting area"
means the land subject to a prospecting licence;
"prospecting
licence "means a prospecting licence granted under
section 34; "qualified person" means a person who
qualifies to apply for a mineral right under this
Act;
"radio-active
mineral" means a mineral which contains by weight at
least one-twentieth of one per cent (0.05 per cent)
of uranium or thorium or a combination of these
elements including but not limited to the following:
(a)
monazite sand and
other ores containing thorium;
(b)
carnotite,
pitchblende and other ores containing uranium;
"reconnaissance" means the search for minerals by
geophysical,
geochemical and
photo-geological surveys or other remote sensing
tec1miques and surface geology in connection with it
including collection of necessary environmental
data but does not include drilling or excavation;
"reconnaissance
area" means the land subject to a reconnaissance
licence; "Regulations" means Regulations made under
section 110;
"Republic" means
the Republic of Ghana;
"restricted mining
lease" means a lease to mine industrial minerals;
"restricted prospecting licence" means a licence to
prospect for industrial minerals;
"restricted
reconnaissance licence" means a licence to search
for industrial minerals by reconnaissance;
"rough diamonds"
means diamonds that are unworked or simply sawn,
cleaved or bruted and fall under the Relevant
Ham10nized Commodity Description and Coding System
7102.10, 7102.21 and 7101.31;
"shares" in
relation to a company incorporated in Ghana, means
equity shares and in relation to any other company,
means shares in the share capital of a company, and
includes stock except where a distinction between
stock or shares is expressed or implied; and the
expression "shareholder" includes a stockholder;
"shipment" means
one or more parcels of diamonds that are physically
imported or exported;
"small scale mining
operation" means mining operation over an area of
land in accordance with the number of blocks
prescribed; and
"termination" means
the lapse of mineral right by expiry of time,
surrender or cancellation.
(2) The definition
of "subsidiary" , "holding company" and "preference
share" in the First Schedule of the Company Code,
1963 (Act 179) shall apply for the purpose of this
Act.
Repeal, savings
and transitional provisions
112.
(1) The following
enactments are repealed
(a)
Minerals and Mining
Law 1986 (PNDCL 153);
(b)
Minerals and Mining
(Amendment) Act 1994 (Act 475);
(c)
Administration of
Lands (Amendment) Decree 1979 (AFRCD 61); (d)
Minerals Export Duty (Abolition) Law 1987 (PNDCL
182);
(e)
Mining Operations
(Government Participation) (Repeal) Act 1993 (Act
465);
(f)
Mining Rights
Regulations (Amendment) Ordinance (No. 31 of1957);
and
(g)
Mining Health Area Ordinance 1935;
(h)
Small Scale
Gold Mining Law, 1989 PNDCL 218; (i) Diamond
Decree, 1972 (NRCD 32); and
(j)
Diamonds
(Amendment) Law 1989 (PNDCL 216).
(2) Despite the
repeal of the enactments mentioned under subsection
(1), a licence, lease or permit granted or issued
under an enactment and subsisting immediately before
the coming into force of this Act shall continue
under the laws applicable immediately before the
commencement of this Act, except that the Minister
may by legislative instrument make specified leases,
licences permit and agreements subject to this Act
or subject to specific provisions of this Act as
shall be stated.
(3) An instrument
issued by the Minister under subsection (2) shall
not have the effect of imposing or increasing annual
holding costs in respect of mining rights held or
otherwise impose an additional financial burden on
the holder for a period of five years from the date
of the coming into force of this Act.
(4) A dispute that
arises between the Minister and a holder of a
licence, lease or permit pursuant to an instrument
issued by the Minister under subsection (2) shall be
referred for resolution under section 27.
(5) Regulations or
Rules made under the repealed enactment and in force
immediately before the commencement of this Act are
hereby continued in force until other wise dealt
with under this Act.
(6) The Chief
Inspector of Mines and other persons employed in the
Office of the Chief Inspector of Mines immediately
before the commencement of this Act shall upon the
commencement of this Act be considered to be
employees in the Inspectorate Division of the
Commission.
(7) A reference in
an enactment, document or writing in existence
immediately before the commencement of this Act to
the Inspector of Mines or Chief Inspector of Mines
shall on the commencement of this Act be considered
as a reference to the
Inspectorate Division of the Commission
provided for under section 101.
Date of Gazette
notification: 31st March, 2006.
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