Guizhou to implement new mineral resource regulation

A newly revised regulation on mineral resources will come into effect in Guizhou province on July 1, marking a significant step toward improving the governance and market-based allocation of mining rights in the province.

According to the Guizhou Mineral Resources Regulation, the allocation of mining rights will follow the principles of the market economy and geological work and will be based on socio-economic development needs, industrial trends, and geological research outcomes. The regulation aims to optimize the structure, scale, distribution, and timing of mineral resource releases to the market.

Mining rights must be granted through competitive procedures such as bidding, auctions, or public listings – except in specific cases stipulated by national laws or administrative regulations, which may allow for agreement-based transfers.

All transfers of mining rights must be conducted through the unified public resource trading platform, as mandated by national policies. Before offering mining rights, natural resources departments at or above the county level must coordinate with departments overseeing development planning, emergency management, environmental protection, industry, water, energy, transport, and forestry. This ensures alignment with land, forest, and grassland use approvals and compliance with environmental and safety standards.

The regulation entrusts natural resource authorities with the responsibility of drafting scientifically sound plans for mining rights offerings and coordinating the overall process. When offering rights through competitive means, departments must publicly disclose essential information in advance, including project details, competition rules, technical requirements for bidders, and legal obligations. Discriminatory or unreasonable practices directed at market participants are explicitly prohibited.

Mining rights must be formalized through written contracts between the granting authority and the selected recipient. These contracts must comply with national regulations on transfer revenue and payment methods.

Applicants must register their mining rights with the appropriate department, which will issue official certificates upon approval. Any changes, transfers, mortgages, or termination of mining rights must be registered to be legally effective, unless otherwise specified by law.

Exploration rights holders will enjoy exclusive rights to conduct surveys and may obtain corresponding mining rights. Mining rights holders have the right to extract and benefit from mineral resources within their registered area.

Authorities are obliged to fulfill their duties in accordance with the signed contracts. Meanwhile, exploration rights holders must carry out surveys on schedule and submit annual progress reports. Failure to conduct substantial exploration without a valid reason may result in denial of renewal upon contract expiration.

Mining rights holders must begin construction and extraction work in a timely manner, as agreed. Failure to do so without just cause will lead to liability under the contract terms. If mining rights are not renewed before expiry, or are denied renewal according to law, they will be considered terminated.

In cases where mining rights must be reclaimed for public interest before expiry, authorities may lawfully recover them and provide fair and reasonable compensation.

The regulation also stipulates that exploration and mining activities within protected natural areas are allowed if they meet environmental control requirements. Mining rights that do not meet these requirements must be phased out lawfully.

Certain activities do not require obtaining mining rights, including:

Personal extraction of sand, stone, or clay for home use as common construction materials.

Construction-related excavation of such materials within approved zones and timelines.

Other circumstances defined by the State Council or the Ministry of Natural Resources.

However, individuals or organizations involved in the above activities must still comply with the supervisory and regulatory requirements issued by the provincial government.

This regulation is expected to promote transparency, environmental sustainability, and efficient use of mineral resources, aligning with China's broader goals of green development and legal reform in the management of natural resources.