Section 5
License For The Mining Operations:
5. License for the Mining Operations:
(1) Any person desirous to undertake mining operations, subject to this Act and the Rules framed
hereunder, shall submit an application in the prescribed format to the Department for obtaining a license for prospecting operations at first, in the case of minerals where quality and quantity thereof have not yet been determined, and for excavation in the case of minerals where quality and quantity thereof have already been determined along with the proposed scheme of excavation.
(2) The Department shall, after receiving an application under Subsection (1), make necessary inquiries and may grant a license for mining operations in the format and charging fees as prescribed, if it is found that the applicant has financial and technical capacity as well as qualifications required for undertaking mining operations.
(3) Notwithstanding anything contained in Sub-section (1), the Department may, in the case of any specified minerals, conclude a mining contract with any person who has financial and technical capacity and qualifications required for undertaking mining operations and grant him a license for mining operations in a format and charging fees as prescribed.
(4) If a person who has obtained a license for prospecting operations under this section desires to obtain a license for excavation he/she shall be required to submit an application to the Department in the prescribed format before the expiry of the period of prospecting operations along with a detailed report of such operations and a scheme for action relating to excavation.
(5) The Department shall, after receiving an application under Subsection (4), make necessary inquiries, and may grant a license for excavation in the prescribed format upon charging prescribed fees if it finds
that the scheme of excavation is fit.
(6) Government of Nepal may, if it so desires, obtain the cost amounted to the expenses incurred directly on such prospecting operations or equivalent shares thereof from any person desirous to obtain a license for excavation of minerals where quality and quantity thereof have already been determined through prospecting operations undertaken by the Department.
(7) The Department shall, while issuing a license for mining operations under this Section, specify the area, period of the mining operations, and related matters if Government of Nepal has to become a
partner in such mining operations.