Mines and Minerals (Amendment) Act, 2003 (No. 5 of 2003)

1. (1) This Act may be cited as the Mines and Minerals Short title (Amendment) Act, 2003 and shall be read as one with the Mines and commence- and Minerals Act, in this Act referred to as the principal Act. ment Cap. 213 (2) This Act shall come into operation on the 1st April, 2003.

2. Section thirty of the principal Act is amended in subsection Amendment of section 30 ( 1) by the deletion of paragraph (b) and the substitution therefor of the following: (b) shall be in the prescribed form and shall be accompanied by- (i) the prescribed fee; and (ii) a tax clearance certificate issued under section eighty-one B of the Income Tax Act. Cap. 323

3. Section thirty-five of the principal Act is amended by the Amendment deletion of subsection (2) and the substitution therefor of the of section 35 following: (2) An application for a small-scale mining licence shall be in the prescribed form and shall be accompanied by- ( a) the prescribed fee; and (b) a tax clearance certificate issued under section eighty- one B of the Income Tax Act. Cap. 323

4. Section forty-one of the principal Act is amended- Amendment • of section 41 (a) in subsection (1) by the insertion between the word "fee " and the coma of the words "and a tax clearance certificate "; and (b) by the insertion immediately after subsection (1) of the following new subsection: Copies of this Statutory Instrument can be obtained from the Government Printer, P. 0. Box 30136, JOJO] Lusaka. Price K500 each 22 No. S of 2003] Mines and Minerals (Amendment) (2) In subsection H)" tax clearance certificate" means a tax clearance certificate issued under section Cap 323 eighty-one B of the Income Tax Act. Repeal and 6. The principal Act is amended by the repeal of section sixty- replacement six and the substitution therefor of the following: of section 66 Royalties on 66. (1) The holder of a mining licence shall, in accordance production of minerals with the licence, this Act and the terms of any relevant development agreement, pay to the Republic a royalty on gross value of minerals produced under the licence at the rate of two per centum except that in the case of the former Zambia Consolidated Copper Mines Limited or any other company involved in copper and cobalt production the rate shall be zero point six per centum. (2) The holder of a gemstone licence or a small-scale mining licence or an artisan's mining right to mine gemstones, base metals or precious metals shall, in accordance with the licence or mining right, this Act and the terms of any relevant development agreement, pay to the Republic a royalty on gross value of minerals or metals produced under the licence or mining right at the rate of five per centum. (3) In this section- " gross value " means the realised price for a sale free- on-board, at the point of export from Zambia or point of delivery within Zambia: Provided that if the Minister considers that the realised price does not correspond to the price that would have been paid for the minerals if they had been sold on similar tenns in a transaction, at anns length, between a willing seller and a willing buyer, a notice may be given to that effect to the licensee_; and the amount of the gross value shall be determined in accordance with mechanism Cap.323 contained in section ninety-sevenA to ninety-seven D of the Income Tax Act. Repeal of section 98 7. The principal Act is amended by the repeal of section ninety- eight.