Lok Sabha Question No. 2438 (UNSTARRED), answered on 2017-03-16
Subject: New Mineral Exploration Policy
Ministry: MINES
Asked by: RANGASWAMY DHRUVANARAYANA

## GOVERNMENT OF INDIA MINISTRY OF MINES

## LOK SABHA UNSTARRED QUESTION NO. 2438 TO BE ANSWERED ON THE 16 TH  MARCH, 2017

## NEW MINERAL EXPLORATION POLICY

## 2438.  SHRI R. DHRUVA NARAYANA:

Will the Minister of MINES be pleased to state:

- (a) the details of the New Mineral Exploration Policy and the number of blocks to be allotted to the private and Government sector thereunder, separately;
- (b) whether a time-bound target has been fixed for the exploration, if so, the details thereof;
- (c) the  reasons  behind  poor  progress  of  the  country  on  exploration  of  minerals including copper bauxite and iron ore despite having huge reserves of them;
- (d) the manner in which exploration rights are to be awarded to different players; and
- (e) whether a reconnaissance permit is allowed to be converted into a prospective licence and mining lease under the new Mines and Minerals (Development and Regulations) (MMDR) Amendment Act, 2015, if so, the details thereof?

## A  N   S  W  E  R

## MINISTER OF STATE (INDEPENDENT CHARGE) FOR MINES, POWER, COAL AND NEW & RENEWABLE ENERGY (SHRI PIYUSH GOYAL)

- (a) & (b): The National Mineral Exploration Policy (NMEP) has been approved by the Government and is available at the website of Ministry of Mines (http://mines.nic.in/writereaddata/Content/NMEP.pdf). The policy, inter-alia, proposes:
1.  The Government will create baseline geoscientific data as a public good and will make available pre-competitive baseline geoscientific data of the highest standards free of charge in public domain.
2.  The  Government  will  carry  out  aero-geophysical  survey  of  the  country  in  a mission  mode  initially  in  the  potential  areas  of  around  8  lakh  sq.  kms  and subsequently in the rest of the areas.
3.  The  Government  will  assist  State  Governments  in  allotment  of  identified exploration  blocks  through  competitive  bidding  for  exploration  by  private sector entities on an incentive scheme.

Geological Survey of India [GSI], an attached office of Ministry of Mines, has identified  100 potential mineral blocks for  exploration. Out of these 100 blocks, 30 blocks each have been allotted to GSI and Mineral Exploration Corporation Limited [MECL], 19 blocks have been allotted to Central and State Public Sector Undertakings [PSUs] and the balance 21 blocks have  been  earmarked for exploration by private exploration agencies through incentive scheme.

GSI and MECL have initiated survey work in the allotted mineral blocks and these  agencies  will  complete  work  by  September  2017  and  December  2017 respectively.  The  Central  and  State  PSUs  have  initiated  work  in  7  blocks  to  be completed by March 2018. The National Mineral Exploration Trust has initiated work for  empanelling  private  exploration  entities  who  will  undertake  exploration  in  21 mineral blocks earmarked for private exploration.

(c):  Government  agencies  including  PSUs  have  been  carrying  out  exploration  of minerals including copper, bauxite and iron ore in the country. However, the private investment in exploration has not been very encouraging.

(d)  &  (e):  Under  the  Mines  and  Minerals  (Development  and  Regulations)  (MMDR) Amendment  Act  2015,  Non-exclusive  Reconnaissance  Permit  [NERP]  can  be granted for exploration. However, a holder of NERP shall not be entitled to make any claim for the grant of any Prospecting Licence-cum-Mining Lease [PL-cum-ML] or a Mining Lease [ML].

However, where before the commencement the MMDR Amendment Act 2015, a  Reconnaissance  Permit  [RP]  has  been  granted  in  respect  of  any  land  for  any mineral, the permit holder shall have a right for obtaining a PL followed by a ML in respect of that mineral in that land if the State Government is satisfied that the permit holder;-

- (i) has  undertaken  reconnaissance  operations  to  establish  the  existence  of minerals contents in such land in accordance with such parameters as may be prescribed by the Central Government;
- (ii) has not committed any breach of the terms and conditions of the RP;
- (iii)  has not become ineligible under the provisions of this Act; and
- (iv)  has not failed to apply for grant of PL within a period of three months after the expiry of RP or within such further period not exceeding six months as may be extended by the State Government.

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