Mining Law in the Northern Territory of Australia

Mining law in the Northern Territory is unique. To take into account the variation in land ownership, the NT Government has through the Mineral titles Act developed a legal process to ratinalise a wide range of mining tenements by converting these titles so that they can be more actively explored. The Northern Territory Government recognises that the private sector is the most able developer of mineral resources, and hence through the Mineral Titles Act allows the private sector and open access to develop mineral resources. The Government does not require equity participation, or any other form of direct involvement in mineral development projects.

The Act allows exploration through a mining administration system which is open and unbiased. The guiding principle is that exploration and mining rights are given to any candidate, who by merit, can show that they have the capability to carry out an agreed upon work programme. In the case of multiple applicants rights are allocated to the first qualified applicant. This system supports and protects the rights of all investors, both local and foreign, to prospect, explore and mine their mineral discoveries. Investors rights to mineral tenements, and their security of title are enshrined in the Mineral Resources Act.

Exporation Licence holders who exercise due diligence in carrying out, and comply with the proposed activities detailed in their Licence, including maintaining a vigorous exploration programme, and accurate, timely comprehensive reporting in accordance with the Act, are guaranteed continuity of title, implying a right to proceed to project development. Over time, Licence holders are expected to relinquish a portion of their prospecting area.

Through the Act the Northern Territory Government is very keen to encourage legitimate prospectors and mineral explorers, it does not want to see prospective land tied up by companies that are only interested in speculative ventures.The Act will