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Laws of Pakistan

Sindh Mines and Minerals Governance Act, 2021 (Sindh Act No. XXXIV of 2021)

Made 2021-12-28 · Text as of 2026-10-01

Public law and official guidance, published as research. Not legal, tax or financial advice.

About this law

Language
English
Kind
Act
Country
Pakistan · Sindh
Subjects
Mineral resources
Keywords
authorization/permit, fees/royalties, governance, lease, minerals, mining, offences/penalties, ownership, contracts
Categories
metals-base, metals-precious, minerals-critical

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Text

The law's own text, section by section, as held. Each section has its own link.

  1. 1. (1) This Act may be ca 'ed the S rdn i'.1 nes al"d t·1"e"a s Short title, covernance Act, 2021. extent and commencement. (2) It sha e .tend to who e of thoe Prov "lee of 510dh (3) It sna I come Into 'oree at once.

  2. 2. In this Ace, unless there s anvtn ng repuqnent n tro Definitions. subject or context . (I) Abetment" means abetrnent LlS defined under sect on 107 of the Pa stan Penal Code (XLV of 1860); . (II) "Abettor means a person who abets an offeree as described under section 108 of the Pakistan Penal Code (XLV of 1860); (III) "Appe ate Authonty" means the secretarv :0 Gov ern ment of r 1 nes and II.Imerals Sindh for Development Department to hear appea saga nst tne orders o: Licensing Author ty ., re at on to Swall Sea e and Larq= Scale "lin I1g; (IV) "Assign' snail, witn ts gr-arnmatica, var attons anc cognate expressions, Include transfer or mortgage of r-uneral title or permit; (v) 'ASSignee" means a person, a nrrn or a corr-oanv to whom a rcense ease or perm t is assigned, transferred or mortgaged under tnls Ac:; (VI) "Authorized Officer', 1'1 re atron to anv provisron 0': this Act, means any officer authorized by the Ucenslr.g Authority; (vii) "Co'mpany" means a Company as defined in t'ie Companies Act, 2017 (Act No,XIX of 2017), or a oodv incorporated in Pakistan under any law for the (me being In force; (viii) "Corio "IOr:S" ncludes terms, limitations and stipulations; (ix) "Department" means tne Mines & ~11;1eral Development Departrne-rt of Government of Sindh; (x)"Director Exploration" means Director Exploration o· Mines and Minerals Development, Smdh: (xi) "Director General" means tne Director Genera' ""I"es end Minerals Development, SI"ldh; PART-I\ TIIF SI"DH (;0\"1'. GAZETTE EX l. I)F(. 2S, 2()2.__1 61 C< I) "Director Title and Licensing" means the Director Title and licensing In the Directcrate Ger.eral Mines and Mtnerals Sindh; (xlll) "Enforcement Officer" means the Enforcement Officer of "'lines and Mln~ral Development, 51ndn for carrying out the duties under th s Act and rules; (xlv) "Envlronrnent" means the environment associated with mining and Its auxiliary operations VIZ crushing, gnndlng transportation and f'nlshlnq processes and It Includes both working environment and adjacent environment' (xv) "Exploration" means search for minerals, and Includes the determination of their extent and economic value and evaluation; (xvi) 'Exploration Area" means the area of land, Including Its lateral limits, to which an exploration license relates; (xvll) "Exolorettor License" means an exploration license Issued under tnrs Act; (.vlil) , Exp,c"a· 0,1 Ooeranon" or 'prospecting operat on', as .he case rna y be means and Includes any operat on 'or exploration and orospectlnq purposes tor access to me icensed areas geo og cal mapping and the collection o' surface and sub-surface minerai samples for the purpose c· m nera ogical examination, assavmc anc the test worx but 5....:'"' NOr ... shall not ndude cornmerc al IT' neral extracnon for r-varketmq: (XIX) 'Force" means the Mines and ,...1lnerals Force established under thrs Act; (xx) "Functrons" Includes powers and duties or various authortres and officers as prescribed tinder this Act and rules; (xxl) "Good Reconnaissance Practices "Good ExploratIOn I Practices" or "Good Mining Practices" means practices which are generally accepted internationally by persons Involved In reconnaissance operations, exploration operatlons, or minOngooerations as the case may be, as good, safe and necessary in carrying out such operations; (.x .. u) Government mears the Governrnent of Sindho (xxllr) "Group of -runerals" means a group of rmnera s found In min ng area, (xxiv) "Default r1eaClS breach of any provision of this Act or of any condition of a mineral title or mineral permit; =62"- ~THE SI]\'DII GOVT. GAZETTE EXT. DEC. 28, 2"",O=2~1 -"-P..!...:A~R,T-IV (xxv) "Land" includes surface bearing any mineral, land beneath water and the subsoil of lard; (xxvl) "Large Scal~ Mining". means a proc:~s of.mining requiring reconnaissance license, explo~atlon icense, mining lease or mineral deposit retention license; (xxvii) "Lateral limits" in relat'on to an a~~a of land pertaining to a mining lease or a prospectinq lice~se means the vertical lines towards t~~ earth passmq through tne sides by which that area is bounded; (xxviii) "Lease" means a mining tease gra'1(ed 2S rnal be prescribed; (xxlx) "Lessee" means a pe-scn to whom a lease IS granted under this act and rules; (xxx) "License" mears a prospecting license, a reconnaissance license, an exploration license or as the case may be, a minera deposit retention license anc license granted as may be prescribed; (XXXI)"Licensee" mea-is a person to whom a license s granted under the rules; (XXXII) 'Licensing Autnorirv means me 0 rector General, Mines and M'nerals Development, Sindh to whom applications for m neral title, m '1era oer=nt, ternoora-v permit for leveling of land for the purpose of extraction and lifting of rninera' 0- app cation for insta'ling of crush plant or application for stocking of minerals are to be sobrnttted: (xxxiii) "Mine", when used as a noun, means any surface or underground excavation, ''1cludlllg quarry: where any operation for the purpose of searching for or obtaining or mining a mire'"al has been or 's being carried on, and Includes all works, machinery, track, rope-ways, headings and siding, whether above or below ground, In or adjacent or be o'1ging to or appurtenant to a mine, but does not include the manufacturing or orocessing plant; or when used as " verb, means co earn. on mining operations; (xxxiv) "Mineral" means all surface and sub-surface natural deposits of ores and metals and other metallic and non-metallic substances, including naturellv occurring aqueous solutions, commercially extractable quantity, containing more than one percent mineral salt in solution, but does not include - (i) radioactive minerals necessa-v ~or the generation of nuclear energy except Beryl; (ii) mineral oil; (iii) natural gas; and (iv) coal; =PA,__,_._.R-,,-T-~n--,-7 THE SH~nH GOYT. GAZETlE EXT. Drc. 28,2021'-- _ (xxxv) "Minerai Aqreer'ient' means an eqreernent to be executed under the provisions of the act and ru es; (xxxvi) "Mineral Operation" Means geological and geochemical exploratlon operations or mining operations or both; (xxxvii) "Mineral Deposit Retention License" mea-is a mineral deposit retention license issued under this Act; (xxxvlll) "Mineral Dressing" means processing, crushing and grinding of minerals; (XXXIX) "Minerai Permit" means an exploration perrnt" or a mining perm t Issued under the rules; (xl) "Mineral Title" rreans a reconnaissance license, an exploration icense, a M nera' depos : retentron rcer se or a mining lease; \ ''') ·\.1ines Comrllttee mea-s a Cornrruttee co=stttuteo under section 5; (xlii) ""lines and Mine al Force" Mea1S force appointed under this Act; (xliii) "Mining Area" means an area of lane 11clucOng Its lateral limits Within the mi"ing lease <orpermit limits; (xliv) "l'<llning Operation" means any operation carried out h connection with the development of a rn rie, or t'1e production of minerals from the -nine, or both; (xlv) "Prescribed" means prescrioed by rules rrade under this Act; (xlvi) "Province" means (he Province 0< S nch; (xlVII) "Reconnaissance License" rreans a reconnaissance license issued under the act and rules; (xlvlil) "Reconnaissance Operations" means anv operations carried on 1" a general search for anv mineral by means of aerial senstno techniques, including geophysical surveys, photo-geologica Mapping or imagery carried on from the air, and reconnaissance shall be constructed accordingly; (xlix) "Rent" means a rent for an area granted and demarcatec for a rn'nera! title. or m neral cermit to the owner of the land; (I) "Retention Area" means the area 0: land, irduding Its lateral limits, to which a mineral deposit retention licer'lse relates; Till" SI~I)U. GO\'T, G \ZETTf EXT. DEC. 28, 2021 P \I{I:.I' (Ii) "Rules" means rules made under th s Acr: (III) "Small Scale ,...1Inlng"means a mining other than the large scale m ring; (Iii) "Stock of Minerals" means accumulation of minerals including Reti (Sand) and Bajn made at any place in Sindh for the purpose of selling or markefng; (IIV) "Temporary Permit" means the temporary permit ssued uncer the rules for leveling and liFting 0; m neral, leve ng of land and rernovrnc of debris CHAPTER-II ADMINISTRATION 3 1; Except with the DPO; sanct on of the Ucens'nq Grant of Licences Authority, no license to prospect for minerals or quarry ng of leases and mineral, for exploration of mineral, lease of mines and permits. Minerals, pe=ntt of mines and mineral, permit for making stocks of minerals and license for establishing minerai dressing unit (processing, crushing, grinding) shall be granted, otherwise than in accordance w th the provtslons of this .Actor rules made under tnls Act (2) No sanction shall be accorded if it adversely affects the topography, archaeolog { ecology and env ron-r-ent of that area. 4 Any Minerai title. prospecting license or Quarry license existing licences, or mining lease or Mineral perrn.r grantee' 0- renewed o , ''"Ie leases and competent authority under any law or rules for time be rg In permits to force. before the commencement OF this Act, shall be continue. deemed to have been g'an:ed or renewed I'" accordance w tr the provisions of thrs Act and shall contmue to remain In operation for a oeriod for which it is granted.

  3. 5. There shall be a """,nesCo-nrruttee, which shall advise Mines the Ucenslng Authority, in relation to such matters Committee. concerning the administration of tnis Act and the rules made there under with respect - . (a) to grant or renew or refuse or cancel a reconnaissance, an exploration prospecthg, or mineral deposit retention license, a mining lease an exploration permit, a mining permit, a temporary permit "or I"fti'1g o' m neral for the purpose of ~evelfng of .and, a permit for making stock of minerals, a license for establishing mireral dreSSing urit (VIZ: processing crushing and grinding); (b) to amend the terms and conditions of any reconnaissance, a prospecting, an exploratto-i or mineral deposit retention license, a mining lease, an exploration permit, a mining permit, a PART-IV. _ tempcrary pe''''',,: '::lr I "tlng 0: minerai for ~he purpose of ie/ellng of rene, a permit for maKlrg stock of minerals and a license ior establish .,~ of ~1neral Dressing Unit (viz processing, crushmq and grinding); Cc) to mvtre competitive !JiGS in case there are more tnar- nne applICation of minerai title" or perml" as deemed appropriate in pLbl c interest: (d) to grant a reconnaissance, an explorat.on, prospecting, 0:- minerai deposit retenc'on license a mIning lease, an exploration permit or a mining permit to a person or company in excess of the limit; (e) to grant an additional area for reconnaissance in excess of the allowed area but not exceeding the area described under the rules and policy; (f) to convert, assign, amend, approve, surrender, the reconnaissance, an exploration, prospecting, or mineral deposit retention license, a miring lease or a mining permit, (9) oversee the enforcement of laws, rules and regulations relating to rnines and minerals; (h) review and determine the rates of fee and royalty, from time to time, with the approval of Government; (I) assist the Ucensing Authority In per'orrnance 04' Its functions under tf)is Act or rules made thereunder, (2) Government may by notificat on In the Officia' Gazette, deterrune the composition of the Mines Committee. (3) The quorum of meeting shall be two-th'rc of ItS rnerr-bers and all the decisions shall be taken by simple majority of total numbers of votes of the Mines Committee, (4) No proceedings or ceosron of tre "'r"es Cornrruttee shall be nvalid b I reason only of the existence of a vacancy or defect In the constitution of the Committee. 66 ~T~H'_!=E,__"SINl)It GO\T. GAZETTE EXT. DE.C. 28. 2021 PART-IY \5) While deciding the grant of rmr-eral titles ana perm ts, the Mines Committee may take into consroerenon the ractors of ownership of land surface, identification of mineral, technical soundness of the proposal and financial capacity of the applicant. (6) The M nes Committee may ceteqate any of ts functions (Q a sub-committee of a minimum of three members of the Committee. 0) The office of Director General, Mmes and Minerals, Sinoh shall provide secretariat support to me Committee.

  4. 6. (1) Where any matter is referreo to the Mines Committee Meetings and for its advice and the licensing Authority decides to dispose Procedure for of the mater in accordance with the advice o" the Mines Meetings of the Committee, the t.lcenstnq Authority shall, berore disposing of Mines the matter, furnish the committee with a statement of its Committee. reasons for so doing. (2) Minutes shall be recorded Of ali meetings of tne mines committee and shall be signed by all members of the committee who attended the meeting. (3) Subject to the provisions of this Act, the Mines Committee shall determine its own procedures as may be prescribed in the rules; provided that the Committee shall meet at-least once in ninety days.

  5. 7. (1) Government may, by notification In the Official Delegation of Gazette, delegate any of its powers under t!'IS Act or rules powers. made there ..mder to any officer of tie Department. (2) The licenSing Authority may by general or special order and subject to such conditions may delegate its powers under this Act or rules to any officer of the Department with the permission of the Department but such powers shall not be the powers delegated to it by any other authority.

  6. 8. (1) Information disclosed under this Act to the Licensing Confidentiality. Authority or the Department, shall not be disclosed to any unauthorized person without prior approval of the Department, except to the extent tr at- (a) disclosure is authorized or required by law; PART.::..-..:..{\~ __ -.!lw.·Hr. Sl~()H GQ\T. GAZETTE EX 1'. DEC. 28,2021 67 (b) disclosure is required by order of a competent court, or for the purpose of any arbitration or litigation involving covernment: (c) disclosure relates to InformatIon contained In the title regIster or Perrr t register; (d) disclosure Is necessary to compile and publish official statistical Information concerntsq the geology and minerai resou-ces of Sindh; (e) disclosure is for the purpose- (i) Implementing thts Act or rules made thereunder or a minerai title or minerai agreement; (tl) the formatron and Implementation of policy relating to development of minerai resources In tne Province of Sindh, minerai policy or of giving advice to other Government Departments or agencies, or (iii) any dtscussion or dealing with the Federal Government: (f) disclosure IS effected with the prior perrnlsston in writing of the Minister Incharge of the Department granted In respect of any matter which, ir the opinion of the Min ster, is of a ge'1eral nature and may be disclosed In the public Interest; or (g) disclosure is In accordance with a relevant mineral agreement or a mineral title; and (h) the person providing the information authorized its disclosure at the time of providing Information. (2) If the Licensing Authority or an officer employed in or by the Department uses, for the purpose of personal gain, any information disclosed under this Act, that comes to the Licensing Authority or that officer In the course of, or by reason of that employment, that authority or officer is guilty Of an offence and shall be punishable under the Efficiency and Discipline Rules In force In the Government. (3) Where a mineral title or minerai permit ceases to nave effect In relation to an area of land and the holder of the title or permit does not acq.nre a further title or permit over that a-ea. the govemment shall nave the right to disclose any information which it has received from the no.der in respect of that area =68"-- -!THE SINDR GOVT. GAZETTE EXT. DEC:.!.....2~8;U., ~20~2~1 _ ___..P-"-'A=R'-"'T--"'-f\-'-T

  7. 9. (1) No liability shall attach to an officer employed in or by Immunity of the Mines and Mineral Development Department, the Officers, etc. licensing authority or an authorized officer, in respect of the exercise or performance, or purpose of exercise or performance in good faith of any function under this Act or rules made thereunder. (2) No suit, prosecution or other legal proteedings whatever shall lie against any officer or official for anything which is done or intended to be done in good faith under this Act or rules made there under.

  8. 10. For the purpose of development of mineral resources Licenses, leases In the Province, the following shall oe granted or issued, as or permits for the case may be, by the Licensing Authority on advice of the minerals. Mines Committee as per the procedure prescribed by rules:- (i) mineral title for large scale mining and mineral permits for small scale mining respectively as provided in the rules; (ii) temporary permit for lifting of mineral for the purposes of Leveling of land; (iii) license for establishment of mineral dressing unit (viz: processing, crushing and grinding); (Iv) permit for making stock of minerals for purpose of selling or marketing at any place in the Province.

  9. 11. Notwithstanding anythIng contained In this Act or Exception. rules, the Licensing Authority on the recommendations of Mines Committee may, by general or special order, grant license and mining lease or mining permit for such period and for such area on such terms and conditions as may be specified in the order to such public organization, as deemed appropriate in the public interest.

  10. 12. For the purpose of smali scale mining, preferential Preferential rights may be given to the persons residing In that local area Rights. subject to the condition that the person of that local area has applied for such small scale mining.

  11. 13. (1) The holder of a mineral title or mineral permit shall, Rights Over Data. with the permission of the LlcensinqAuthority, have the right to access or use the data such as geological, geo-chemical, petro-physical, engineering, cores and production data, as well as all interpretative and derivative data including PART-IV THE SINDH GOVT. GAZETTE f;XT. 1}E~C~.-"",28"-,,-,,,,2=02,,-,,1 _ 69 reports, studies, analysis, interpretations, bulk sampling results, assaying results, evaluations and other Information in respect of exploration or mining operations. (2) The data under sub-section (1) may be accessed or used, free of cost, for the purpose of exploration or mining operations and to retarn copies or samples of material or information constituting the data. CHAPTER-III FINANCIAL

  12. 14. (1) The holder of a mineral title, mineral permit or Royalties payable temporary permit other than holder of reconnaissance on minerals. license who has won the bid of any mineral in the course of any exploration or mining operations carried in by him, shall pay to Government, in respect of any such mineral disposed of by him, royalty as may be prescribed by rules. (2) Any mineral shall be deemed to have been disposed of if it is - (a) sold, donated or bartered; (b) appropriated to treatment or other processing; or (c) exported without having been dealt with as provided in clauses (a) or (b), prior to export. (3) The holder of an exploration license or prospecting license, or as the case may be, minerals deposit retention license, shall pay to Government in respect of any such mineral or group of minerals removed from the exploration or prospecting, or as the case may be, retention area for the purpose of testing, assaying or pilot plant studies and royalty as may be prescribed. (4) Rate of royalty on minerals shall be determined as provided under cfause (j) of section S.

  13. 15. The Licensing Authority may, for the purpose of Establishment of verification or collection of royalty on minerals dispatched check posts. from the licensed or leased area or areas under mining permit, establish check posts at suitable places, authorize any officer or official to check the mineral in transit and recover royalty. (2) The Licensing Authority may order the collectlon of royalty on minerals dispatched from the licensed or leased area or areas under mining permit, as the case may be -'-'70"-- -'T'-"H~E~s~rNDH GOVT. GAZETTE tXT. DEC. 28-,,~2~02!:-,1,-- P~ART-l\ through competitive and transparent process that may include sealed tenders or open auction or any other method as may be decided by Government on the terms and conditions determined by it.

  14. 16. (1) The holder of a minerai title or a mineral permit shall Rental and pay an annual rent fee as may be prescribed in respect of Renewal Fees the area to which the minerai title or permit relates - (a) in the case of the land belonging to Government in accordance with the rate as may be prescribed, (b) if the land belongs to a private person, a title or permit holder shall pay surface rent to the owner of the land actually used or occupied superficially at such rate and in such manner as may be mutually agreed upon between the lessee or permit holder and the land owner, and in case of disagreement between them, at such rate and In such manner as may be determined by Licensing Authority or the Surface Rent Committee appointed by the licensing Authority. (2) Payment of the annual surface rent in respect of a mineral title or mineral permit shall be made within thirty days after the date of issue of the mineral title and thereafter shall be made on the same date of each year. (3) Where any person has failed to pay any amount of annual surface rent under this section, he shall be liable to pay fine equal to fifty percent of the actual annual rent as prescribed under the rules. (4) The holder of a minerals title or minerai cerrrtt shall also pay to Government, in respect of private land occupied or used by that holder for the purpose of mineral operation, the water rates, if any, assessable under any law or rules regulating the irrigated water, which would have applied to the land if It had been occupied for that purpose. (5) A renewal fee in respect of the renewal of a mineral title or a mineral permit shall be paid in accordance with the rules.

  15. 17. (1) Every licensee, lessee or mining permit holder shall Annual fee. pay such annual fee as notified by Government on the recommendations of the Mines Committee from tIme to time for the area covered by the license, lease or mineral permit. PART-IV THE SI~DH GOYT. GAZETTE EXT. QEC. 28...]02!_1__ ~ 7~1 (2) The fee sna I be pa -able "or each mineral separately even jf the area u"'lde- license, lease of mineral permit for different minerals remains the same. CHAPTER-IV MINERAL PRODUCTION AND DISPATCH

  16. 18. (1) The minerals excavated from any licensed or leased Dispatch of area under mining permit shall be dispatched from the area minerals. on prescribed dispatch slips printed by the Department through Government Printing Press' and duly authenticated by the Licensing Authority or its authorized officer. (2) The dispatch slips shall clearly Indicate the date, time, license lease, permit number, name of buyer, vehicle number, quantity of mineral and its destination. (3) Any vehicle or carrier found carrying mineral without dispatch slip under sub-sections (1) and (2) shall be considered as unauthorized excavated mineral and shall be dealt in accordance with this Act or any other law or rules which prohibit the excavation of minerals.

  17. 19. (1) If it is discovered that the holder of a mineral title or Underreporting rnnera! permit has under reported mineral production, the of mineral licensing Authority shall charge royalty up to ten times of production. the not/jed rate, on the quantity of mineral under reported, forfeit the security deposit and performance guarantee and may also cancel the mineral title or mineral permit considering the merits of the case; provided that no action under this section shall be taken without giving an opportunity of hearing to the holder of mineral title or minerai permit. (2) An entry in the record of the holder of the minerai title or permit shall be made regarding under-reporting. CHAPTER-V RESTRICTIONS, VIOLATION AND PUNISHMENTS

  18. 20. No mining concession shall be granted in any area Restriction on notlfled by Government as banned area, from time to grant of Mining time. Concession.

  19. 21. No person shall make mineral stock at any place in the Restriction on Province without prior permission in writing from the making of illegal licensing Autnority as may be prescribed. minerai stock. 72 THE SINDn GOVT. GAZETTE EX't DEC. 28, 2021 PART-TV 22, No person shall perform mineral dressing (viz, Restrictions o.n processing, crushing and grinding), without written mineral dressing. permission from the Licensing Authority as may be prescribed.

  20. 23. (1) Government or officer authorized by it may, by Stopping of mining order, require the person directly or indirectly involved in operation and Illegal mining, to immediately stop such illegal mining, Removal of remove the structure, machinery and equipment, if any, machinery from area under from the mining or exploration area. cancelled / explred mineral Explanation.- Lessee or licensee or permit holder concession. who after the expiry of the period of lease, license or permit on determination of such lease, license or permit, continues to retain unlawfully possession of mfnlng area shall, for the purpose of this sub-section, be deemed to be responsible for illegal or unauthorized mining or exploration. (2) The order under sub-section (1) may be served by- (a) giving or tendering it to the person responsible for illegal and unauthorized mining or exploration; or (b) affixing it at a conspicuous place on or near the ml'ning or exploration area to which It relates or sending ·it by registered post, reliable courier service or through publication In the leading newspapers. (3) If Government or officer authorized by it, if satisfied that illegal or un-authorized mining or exploration is being carried out despite the order served under SUb-section (2), the authority or authorized officer shall direct the person(s) responsible for Illegal mining or exploration to stop such illegal or unauthorized mining or exploration forthwith. (4) Whosoever Including abettor disobeys the orders under sub-section (3) shall be punished with imprisonment of either description for a period of six months or with fine not less than fifty thousand rupees or with both.

  21. 24. (1) If any person refuses or fails comply the order under Eviction from sub-section (1) of section 23 after thirty days from the mineral site and receipt of order, he shall be evicted by such force as may be requiring necessary by an Enforcement Officer or officer authorized by assistance from Government in this behalf and the structure, machinery, local police equipment etc., if any, on the mining or exploration site, shall stand forfeited to Government. PART-IY THE SINDH GOVT. GAZETTE EXT. DEC. 28, 2021 73 (2) If any officer authorized to take action under sub-section (1), requires police assistance, if necessary, for eviction or removal, he may send such requisition to the officer Incharge of a police station within the local limits of which the mining or exploration site or area is situated and the police officer shall on such requisition render the required assistance.

  22. 25. Where any structure is demolished or machinery Cost of demolition removed on eviction under section 24, the cost of demolition :'nd removal of or removal of such structure or machinery etc. shall be borne structure. by the person carried out illegal mining or exploration on the site and shall be recovered from his security deposit with Government.

  23. 26. If arrears of rent or any other dues are payable in Recovery of arrears respect of any granted mine, permit or exploration license by of land rent and the person evicted therefrom, the amount of such arrears dues. with surcharge, if any, accrued thereon shall be recovered from such person from his security deposit.

  24. 27. (1) Any person involved in illegal reconnaissance, Unauthorised exploration, mining or stock of any minerai Including Reti Mining, Stock and (sand) and Bajrl without the valid license or permit issued by Dressing of Mineral and punishment. the Licensing Authority, shall be deemed to have committed offence and he shall be liable to punishment with imprisonment of either description for a term, which may extend to three years but not less than six months, or with a fine which may extend to Rs.I0,OO,OOO/-(rupees one million) or with a fine of rupees equivalent of the market value of the extracted mineral but not less than Rs.300,OOO/-(ruj:'ees three lacs), whichever is higher, or with both. Explanation.- The market price for the purpose of this section shall be determined by a Committee comprising the Director, Title and Lkenstnq, as its convener and members which may Include the Director, Exploration, Assistant Director, Concession, Deputy Director or Assistant Director of the concerned District or area and Mineral Development Officer concerned. ' (2) An abettor including a publlc servant who is directly or indirectly involved in assisting or abetting the offence of 'Ileqal mining or exploration or mineral stock, as the case may be, shall be punished with imprisonment for a term which may extend to one year but not less than three months, or with fine which may extend to five lac rupees or with both. .:_74-'-- --,-----"T~H"_"E"'_. ,,,,,,,SI,_,_N.;..,.D=-=.;Ii GOVT. GAZI~TTE EXT. DEC. 28, 2~O~2~1 _ _!.p..!:.!A~ln-IV (3) If the officer in-charge of police station willfully falls to provide the necessary police assistance under sub-section (2) of section 24, the matter shall be reported to the Inspector General of Police, Sindh to take disciplinary proceedings against such officer. (4) Any person purchases minerals Illegally mined out from any land, he shall be deemed to be accompllce and abettor of the persons mentioned in suo-sections (1) and (2) and tantamount to commit the same offense and shall be dealt with accordingly. (5) If any person obstructs free access of a holder of a minerai title or permit to the licensed or leased area or area under mineral permit or directly or indirectly tries to interfere with the prospecting or exploration or mining operations by a holder of a rruneral title, he shall be punished with Imprisonment for a term which may extend up to three years but not less than SIX months or a fine which may extend to two hundred thousand rupees but not less than one hundred thousand rupees or with both.

  25. 28. (1) If the holder such mineral title or mineral permit Repeated repeatedly violates the provisions of this Act or rules or any violations and terms and conditions of the rrineral title or mineral permit default in payment and has failed to rectify such violation within the period as of dues. fixed by the licensing Authority, the Licensing Authority shall, subject to notice, reserve the right to cancel the mineral title or mineral permit, as the case may be. (2) If any dues payable under a mineral title or mineral permit are not: paid within three months as may be specified by the Licensing Authority in the order, the LIcensing Authority may subject to notice, revoke the mineral title or minerai permit and take possession of the premises comprised therein.

  26. 29. (1) The licensing Authority, if is satisfied that there are Black listing. serious and repeated Violations of this Act being committeo by the mineral title or mineral permit holder, he shali, by order, blacklist such holder of mineral title or minerai permit, as the case may be. (2) The minerai title or permit held by such person, on account of his blackitsti'1g, shall stand terminated and such person shall not be granted or issued mineral title or mineral permit in future by the licensing Authority. PART-IV THE SINDH GOYT. GAZETTE EXT. DEC. 28, 202.~1 7~5 (3) In case such person or any partner of such firm or a director of such company forms a new firm or becomes a director of another company, he shall render such other firm or company ineligible for the grant of mineral title or mineral permit. CHAPTER-VI ENFORCEMENT

  27. 30. (1) Government may for the prevention of illegal and Establishment of unauthorized mining, to retrieve the possession of minerals Mines and Minerai from illegal miners or stocker and to enforce the provisions Force. of this Act, establish an Mines and Mineral Force which shall comprise of the followmc Senior and junior ranks officers, notified by Government:- SENIOR RANK (i) Director General of Mines and Mineral Development, Sindh (ii) Enforcement Officer JUNIOR RANK IN EACH DISTRICT (i) Inspector of Mines and Minerals Force (ii) Sub- Inspector(s), Assistant Sub-Inspector( s) of Mines and Minerals Force. (iii) Head Constables and Constables of Mines and Minerals Force. (2) Government may establish, as many Mines and Mineral Force stations, as are required for the efficient functioning for carrying out the purpose of this Act and rules made thereunder. (3) The members of the Staff shall be governed by the provisions of the Sindh Civil Servants Act and rules made thereunder.

  28. 31. The Force shall have the following functlons:- Functions of the Mines and Minerai (a) to lodge first information report (F.I.R.), inquire Force. into, Investigate and prosecute all offenders relating to illegai and unauthorized mining or stock including an attempt or conspiracy to commit, or an abetment of any such offence or any offence committed under this Act or rules; 76 THE SL"IDH GOVT. GAZETTE EXT. DEC. 28, 2021 PART-IV (b) to retrieve possession from the illegal and unautr-ortzed mining and stock; (c) to use such arms, ammunition and equipment as are supplied to them by the Government through the Director General or Enforcement Officer; (d) to perform any other related functions which may be assigned to it by Government.

  29. 32. (1) The officers of the Force shall for the purpose of any Powers of Mines inquiry or Investigation under this Act, have within his and Mineral Force. jur-Isdiction, such powers, including the powers relating to . search, arrest of persons, seizures of property and such duties, privileges and liabilities as a pollee officer has in respect of offences under the Code of Criminal Procedure, 1898 (Act V of 1898) or any other law for the time being in force. (2) Save when the Difector General otherwise directs, an officer of the Force not below the rank of an Inspector may, for the purpose of any inquiry or investigatlon under this Act, exercise all the powers of an officer-In-charge of the Police station In any area ln which he is for the time being and, when so exercising such powers, shall be deemed to be the officer-incharge of police station discharging his functions as such within the iimlts of hls station including the lodging of the First Information Report. (3) Without prejudice to the generality of the provisions of sub-section (1) and sub-section (2), any officer of the FOt"ce not below the rank of Sub Inspector authorized by the Director General In this behalf, may arrest without warrant, any person who has committed or against whom a reasonable suspicion exists that he has committed any of the offences relating to the Illegal or unauthorized mining referred to in this Act or any other law for the time being in force, no person shall be kept in police custody for more than twenty four hours, unless a remand is obtained from a Judicial Magistrate. (4) An officer of the Force not below the rank of Sub Inspector authorized by the Director General may inquire and investigate and trace the person or persons responsible for the illegal or unauthorized mining. PART-[V THE SI~DH GOVT. GAZETTE EXT. DEC.JB... 2021'-- ---'7...!_7 (5) Government rr av, in respect of any case registered by, • or under investigation, of police or any other investigation agency or authority, by order in writing, entrust inquiry or such investigation to the Force, and thereupon the police or other investigation agency or authority shall transfer the record of the case to the Mines and rv1ineralsForce. (6) Any member of the Force, not below the rank of Sub Inspector may in performance of his functions, powers and duties, seek assistance from the concerned police and the concerned police shall render all possible assistance.

  30. 33. All officers, excluding Enforcement Officer and Wearing of ministerial staff of the Force, employed on enforcement Uniform. duties shall wear such uniform as may be prescribed.

  31. 34. The Sindh Pollce shall arrange training to the Training. members of the Force on usual charges notified by the Government.

  32. 35. Every officer of the Force in discharging its functions, Public Servant. powers and duties shall be a public servant within tne meaning of section 21 of the Pakistan Penal Code (Act No. XLV of 1860).

  33. 36. (1) It snal be the duty of every officer and member Of Liabilities of the Force to obey and execute all orders and Instructions officers and issued to him by the Director General. members. (2) Every officer shall be liable to serve wherever he Is required to serve by the Director General. (3) Every officer who is guilty of any violation of duty or willful breach or neglect of any of the provision of this Act or rules or lawful order made by a licensing Authority, or who withdraws from his duties without permission, or who, being absent on leave, fails, without reasonable cause, to report himself for duty on the expiration of such leave, or on being recalled to duty earlier or who is engaged without authority in any employment other than his duty under this Act, or who Is guilty of cowardice, or who applies any unwarrantable personal violence to any person in his custody, shall be liable to be proceeded against departmentally, or, on conviction before a Judicial Magistrate, to imprisonment for a term which may extend to six months, or with fine which may extend to ten thousand rupees, or with both. 78 THE SINDH GOVT. GAZETTE EXT. DEC. 28, 2021 PART-TV

  34. 37. (1) No Court other than the Special Court for Mines and Cognizance of Minerals established under section 38 shall try offences offences. under this Act. (2) Notwithstanding anything contained in the Code of Criminal Procedure, 1989, every offence under this Act shall, for the purposes of the said Code, be deemed to be non- cognizable. (3) No prosecution under this Act shall be lodged without the previous sanction of the Licensing Authority or any officer authorized by him, which shall not be given except after serving a notice on the party concerned and giving him a reasonable opportunity of being heard.

  35. 38. (1) For the purpose of speedy justice, Government shall Special Court for in consultation with High Court of Sindh, by Notification, Mines and specify for each Division, an existing Court of Civil Judge / Minerals. Assistant Sessions Judge to be a "Special Court for Mines and Minerals" to try the offences under this Act. (2) On establishment of Special Courts under sub-section (1), the cases falling within the purview of this Act pending in any court shall be transferred to the Special Court for trial: Provided that until the Special Courts are established under sub-section (1), the cases pending before any court shall continue to trial. (3) The Special Court established under sub-section (i), on taking cognizance of a case shall proceed with the trial from day-to-day and shall decide the case within one hundred and twenty days.

  36. 39. An appeal against the order passed by a Special Court Appeal against shall lie to the District and Sessions Court of the concerned order of special district. court.

  37. 40. (1) There shall be established as many Police Stations of Establishment of Mines and Minerai· In the Province, as may be considered Police Stations necessary, for achieving the objectives of this Act. for Mines and Minerals. (2) The jurisdiction of the Police Stations under sub- section (1) shall be determined on the basis of administrative boundary and shall be notified by Government from time to time (3) The Police Stations established under sub-section (1) shall comprise the officer and staff of the Force as provided under the heading "Junior Rank" of sub-section (1) of section 30. • . 4 ~PAR~T..!o..:-2IV,!__ T~H~E""-,,,S=IN--,-,D~H GOVT. GAZETTE EXT. DEC. 28.2:.=02"-"1'-- 72

  38. 41. (1) The production In any criminal or civil proceedings in Evidence. any court of law of any certificate purporting to have been signed by Licensing Authority or an authorized officer certifying whether or not on a date specified in the certificate that - (a) a mineral title or mineral permit was issued renewed or transferred to a person so specified; (b) any interest in such a title or permit has been granted, transferred or assigned to person so specified; (c) any conditions so specified is or was a condition of a title or permit; (d) a person mentioned in the certificate is or the holder of a mineral title or mineral permit; (e) a title or a permit has been in respect of an area of land so specified, shall, unless' the contrary is proved, be received in evidence as conclusive proof of the fact so certified. (2) The production in any civil or criminal proceedings in any court, an extract of an entry in the title register, certified by an authorized officer to be a true and correct extract of such an entry shall, unless the contrary is proved, be taken as conclusive proof of the entry.

  39. 42. The orders passed under sections 23 and 24 shall, if Execution of the necessary, be got executed through the Force. orders. CHAPTER-VII REGISTRATION

  40. 43. (1) The Licensing Authority shall maintain a register of Registration of mine surveyors. to be known as registered mines surveyor, mines surveyor. who - (a) possesses such qualifications as prescribed under the rules; (b) apply to the licensing authority to be entered In the register; (c) in the op'nlon of the Licensing Authority is competent to carry out boundary demarcation and surveys both underground and above ground and prepare plans. T 80 THE SlNDH GOVT. GAZETTE EXT. DEC. 28,2021 PART-I\' (2) An application for registration under clause (b) of sub- section (1) shall be accompanied by the fees as may be prescribed. (3) Where it appears to the Licensing Authority that a registered mines surveyor has committed gross neglig€nce or misconduct in the discharge of any duties under this Act or rules, the licensing authority shall - (a) afford the reqistered mines surveyor a reasonable opportuniry to be heard on the matter; and (b) If satisfied, after hearing the registered mine surveyor, that gross negligence or misconduct was committed, remove the name of that mine surveyor from the register and blacklist him.

  41. 44. (1) The licensing authority shall maintain a register of Registration of technical persons, to be known as registered mining technical engineers or geologists, who - persons. (a) possess such qualifications in mining engineering or geology from recognized university; (b) apply to the Licensing Authority to be entered his name in the register; (c) in the opinion of the Licensing Authority is competent to prepare feasibility study report, exploitation scheme, development plan and mineral occurrence certificate or such other technical documents necessary for obtaining mining rights or carrying out mining operation. (2) An application for registration under clause (b) of sub- section (1), shall be accompanied by the fees as may be prescribed. (3) Where it appears to the Licensing Authority that a registered technical person has committed gross negligence or misconduct in the discharge of any duties under this Act/Rules the licensing authority shall - (a) afford the registered technical person a reasonable opportunity to be heard on the matter; and PART;..IV THE SINDH GOVT. GAZETTE EXT. DEC. 28, 2021 81 (b) if satisfied, after hearing the registered technical persons, that gross negligence or misconduct was committed, remove the nome of that technical person from the register. CHAPTER-VIII MISCELLANEOUS

  42. 45. (1) A holder of a mineral title or mineral permit or holder Employment of of license of mineral dressing unit shall employ such technical personnel technically qualified and competent personnel to carry out and training. the operation including but not limited to the preparation of account, maps, plans, programs, reports and studies and the execution of any work required under this Act or rules as is reasonably required by the Licensing Authority, under the laws, rules, and regulations regarding mines safety for the time being in force. (2) In the employment of all grades of employees, give preference to citizens of Pakistan and in particular, those possessing domicile of Sindh and who possess appropriate qualification, expertise and experience for the purposes ot the operations to be carried on under the mineral .title or permit. (3) A holder of a mineral title or mineral permit or mineral dresslnq unit shall, when asked to do so by the Licensing Authority. arrange and provide facilities for training to students of any M:ning Engineering Institution or to any other person associated with the profession of Engineering, Geology or other related sciences.

  43. 46. Nothing in this Act shall be construed as authorizing Compliance with the holder of a mineral title or a minerai permit or holder of other laws. license of mineral dressing unit to do anything - (a) which the holder is prohibited from doing under any law for the time being in force; or (b) otherwise than in accordance with any such law regulating the doing of that thing, and for that purpose obtaining any permit, License, approval Permission or other document required under any such law. _- = 82 THE SIXDH GOVT. GAZETTE EXT. DEC. 28! 2021 PART-IV =-------"'-'=

  44. 47. (1) Any failure on the part of the raider of r')lneral title Force Majeure. and mineral permit to fulfill any of the conditions of the title and permit, or to meet any requirement of this Act or rules, shall not be treated as a breach of holder's mineral title and permit or this Act or rules in so far as the failure arises from an act of war, hostility, insurrection, or an act of God, pandemic, epidemic or from any other cause specified in the conditions of the minerai title as constituting force majeure for the purpose of this Act. (2) Where the holder of a minerai title or mineral permit fails to fulfill any of the conditions of the minerai title or mineral permit as a result of the occurrence of any circumstance referred to In sub section (1), the holder shall forthwith give notice to the licensing authority giving particular of the failure and its causes. (3) The Licensing Authority may, on application made to It by the licensee, lessee or permit holder referred to in sub section (2) who has been prevented from exercising any rights under the license, lease, permit for the period in the circumstances referred to in sub section (1), extended by In notice in writing, the period for which the license, lease or permit, as the case may be, in the question has been issued by such reasonable period and on such as may be determined by the licensing Authorlty. (4) The licensing authority may refuse any application referred to in sub section (3) if the holder of the mineral title or mineral permit In question, could by taking any responsible steps, which were available to the holder, have exercised the rights concerned during the period of the minerai title or mineral permit. (5) The provisions of this Act shall not be constructed as exempting any holder of a mineral title or mineral permit from complvrnq with obligation under the mineral title or mineral permit or this Act to pay any royalties, annual charges rent or fees.

  45. 48. (1) Any person dissatisfied by the order passed under Appeal. this Act by the licensing authority may, within thirty days from the service thereof, on payment of prescribed fee, prefer an appeal to Appellate Authority. (2) The appellate authority may, after perusing the appeal filed under sub-section (1) and giving an opportunity to the appellant or his duly authorized agent of being heard, confirm, modify or vacate the order within sixty days on receipt of appeal. PART-IV THE SINDH GOVT. GAZETTE EXT. DEC'. 28,2021 83

  46. 49. (1) Government shall establish for the purpose of, Establishment of prompt and accurate chemical analysis, identification and Minerai Testing processing and up gradation of minerals, a reliable and well Laboratory. equipped mineral testing laboratory in the Exploration wing of Directorate General of Mines and Mineral Development Department. (2) The Laboratory established under sub-section (1) shaU be manned with qualified and experienced staff for prompt and accurate chemical analysis of minerals, rock and Ore and shall, on payment of prescribed fees, facilitate mine owners, lease holders and all other parties interested in testing or analysis of rock, ore and mineral samples, mineral processing studies, Including research and development studies for up-gradation, processing or value addition.

  47. 50. (1) Government may, by notification, in the official Power to make gazette, make rules for carrying out the purposes of this Act. rules. (2) Without prejudice to the foregoing power, such rules shall provide for all or any of the following matters:- (a) the manner in which and the authority to whom, application for the grant or renewal of a reconnaissance, an exploration, prospecting, or mineral deposit Retention license, a mining lease, an exploration permit, a mining permit, a temporary permit for lifting of mineral for the purpose of leveling of land, a license for establishing mineral dressing unit (processing, crushing, grinding) shall be made, a permit for making stock of minerals and the prescribing of the fees to be paid on such application; (b) the condition in accordance with which the grant or renewal of a reconnaissance, an exploration, prospecting, minerai deposit retention license, a mining lease, an exploration permit, a mining permit, a temporary permit for lifting of mineral for the purpose of leveling of land, a license for establishing mineral dressing unit (processing, crush, grinding) and a permit for making stock of minerals, and the prescribing of forms for the execution or renewal of such lIcense, lease, permit, and concession; 84 THE SL"'JDIIGOVT. GAZETTE EXT. DEC. 28, 2021 PART-IV (c) the circumstances under which renewal of a license, lease, or permit as aforesaid may be refused, or any such license, lease or permit weather granted or renewed may be revoked; (d) the determination of the rates at which, and the condition subject to which, royalties, rents and taxes shall be paid by licensees, lessees, permit holder and grantees of mining concessions; (e) the refinement of ores and minerals: the control of production, storage and distribution of minerals; (f) the manner in which rewards may be given to the members of the Mines and Minerals Force or to the public for rendering commendable service; (g) and any matter ancillary or incidental to the matters set out in the foregoing clauses. (3) The rules made under sub-section (2) shall be subject to previous publication in the official gazette and shall unless some later date is appointed, come into force on the date of such publication.

  48. 51. Any rule made under this Act, and any order made under Effect of rules, etc., any such rule, shall have effect notWithstanding anything inconsistent with inconsistent therewith contained in any enactment or in any other enactments. instrument having effect by virtue of an enactment other than this Act.

  49. 52. All sums due under this Act may be recovered according Recovery of to the law and under the rules for the time being in force for arrears. the recovery of arrears of land revenue.

  50. 53. Government may, by notified order, declare that any Power to exempt. mineral or any class or description thereof shall be exempt from all or any of the provisions of the rules made under this Act, or that such provisions shall apply thereto with such modification or subject to such conditions as may be specified in the order. PART-IV THE STNDH GOVT. GAZETTE EXT. DEC. 28,2021 85

  51. 54. No suit, prosecution, or other legal proceedings shall lie Indemnity. against any person In respect of anything which is in good faith done or intended to be done under this Act.

  52. 55. (1) No Court shall have jurisdiction to entertain any Bar of jurisdiction proceedings, grant any injunction or make any order in and abatement of relation to a dispute relating to mining and exploration 0" suits stocking for the purpose of this Act, or anything done or intended to be done under this Act. (2) All suits, appeals and applications relating to, mining or exploration and dispute that any illegal mining or exploration or stock whatsoever for th€ purpose of this Act, shall abate on coming into force of this Act. Provided that a party to such suit, appeal or application may, within thirty days of the coming into force of this Act, file an appeal before a Secretary of the Department, in case of a dispute that any mining or exploration is not an illegal mining or exploration that any lease or license in respect of such mining area or exploration or stock has not been determined.

  53. 56. If any difficulty arises in givmg effect to the provisions of Removal of this Act, Government may, by order, remove such difficulty difficulty. in giving effect to the provisions of this Act.

  54. 57. (1) The following enactments shall, on the coming into Repeal and Saving. force of this Act, stand repealed to the extent of Province of Sindh:- (i) The Regulation of Mines and Oil field and Mineral Development (Government Control) Act, 1948 (XXIV of 1948); (i1) The Sindh Prohibition of Taking Minerals including Reti (Sand) and Bajri from any Land Act, 2003 and rules made thereunder. (2) Notwithstanding the repeal under sub-section (1) - (a) anything done, action taken, notification or order issued thereunder shall, so far as it is not Inconsistent with the provisions of this Act be deemed to have been done, taken, made or issued, under this Act and shall have effect accordingly; 86 THE SINDH GOVT. GAZETTE EXT. DEC. 28. 2021 PART-IV (b) any license or lease or permit granted or renewed under any law for the time being In force and existing immediately before the coming Into force of this Act shall be deemed to have been granted, renewed or saved for the subsisting period in accordance with the provisions of this Act as If this Act was in force at the time such license or lease or permit 'was granted, renewed or saved and shall be treated accordingly; (c) any appeal pending Immediately before the commencement of this Act, before the Appellate Authority constituted under any legal instrument, shall be considered In accordance with the provisions of this Act by the Appellate Authority empowered under this Act; (d) any application for the grant, conversion, assignment, amendment, surrender, renewal or cancellation of license or lease, as the case may be, pending before Licensing Authority, under the repealed Act or any legal instrument In this behalf, shall be considered by the licensing Authority in accordance with the provisions of this Act or rules made there under. BY ORDER OF THE SPEAKER PROVINCIAL ASSEMBLY OF SINDH G.M.UMAR FAROOQ SECRETARY PROVINCIAL ASSEMBLY OF SINDH Karachi: Printed at the Sindb Government Press 28-12-2021

Sindh Mines and Minerals Governance Act, 2021 (Sindh Act No. XXXIV of 2021) · Nelum