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6[5. Restrictions on the grant of prospecting licences or mining leases.

7[(1) A State Government shall not grant a 8[reconnaissance permit, prospecting licence or mining lease] to any person unless such person

1. Subs. by Act 37 of 1986, s. 3, for section 4A (w.e.f. 10-2-1987).

2. The words ", after consultation with the Central Government," omitted by Act 25 of 1994, s. 2 (w.e.f. 25-1-1994).

3. Proviso omitted by Act 38 of 1999, s. 6 (w.e.f. 18-12-1999).

4. Subs. by Act 25 of 1994, s. 2, for "one year" (w.e.f. 25-1-1994).

5. Subs. by Act 10 of 2015, s. 4, for the provisos (w.e.f. 12-1-2015).

6. Subs. by Act 37 of 1986, s. 4, for section 5 (w.e.f. 10-2-1987).

7. Subs. by Act 25 of 1994, s. 3, for sub-section (1) (w.e.f. 25-1-1994).

8. Subs. by Act 38 of 1999, s. 7, for "prospecting licence or mining lease" (w.e.f. 18-12-1999).

(a) is an Indian national, or company as defined in 1[clause (20) of section 2 of the Companies Act, 2013 (18 of 2013)]; and

(b) satisfies such conditions as may be prescribed:

2[Provided that in respect of any mineral specified in Part A and Part B of the First Schedule, no reconnaissance permit, prospecting licence or mining lease shall be granted except with the previous approval of the Central Government.]


For the purposes of this sub-section, a person shall be deemed to be an Indian national,

(a) in the case of a firm or other association of individuals, only if all the members of the firm or members of the association are citizens of India; and

(b) in the case of an individual, only if he is a citizen of India.]

(2) No mining lease shall be granted by the State Government unless it is satisfied that

3[(a) there is evidence to show the existence of mineral contents in the area for which the application for a mining lease has been made in accordance with such parameters as may be prescribed for this purpose by the Central Government;]

(b) there is a mining plan duly approved by the Central Government, or by the State Government, in respect of such category of mines as may be specified by the Central Government, for the development of mineral deposits in the area concerned:]

4[Provided that a mining lease may be granted upon the filing of a mining plan in accordance with a system established by the State Government for preparation, certification, and monitoring of such plan, with the approval of the Central Government.]

Mines and Minerals (Development and Regulation) Act, 1957 Back

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