Exploration Licence (EL) (SA)
The Department of State Development DSD web site contains information on Exploration Licencing and in the Information Sheet but in summary:
An EL can have a maximum term of 5 years, after which time a new application for the area may be lodged using Form 29 – Mineral Exploration Licence application
A application for renewal must be lodged at least three months prior to expiry of the existing EL.
Renewal of term is normally granted in increments of 1 or 2 years. Where the licencee seeks a renewal of term (within the maximum term of 5 years), an application for renewal must be lodged a minimum of one month prior to expiry of the EL. A late lodgment is subject to the holder seeking Ministerial Consent.
I licencee may surrender a portion of an EL at any time (though it is not compulsory unless an AEA is imposed) if all regulatory obligations are complied with.
The minimum expenditure requirement is nominally $30,000 plus $97/km2 per year and rounded to the nearest $5,000. A licence holder can apply to the DSD for a Amalgamated Expenditure Arrangement (AEA) but a usually a 10% reduction in area is required annually.
A licensee may apply in writing, at any time during the term of an EL, for a variation of expenditure or work commitments. Any such application must include full supporting detail and be accompanied by a fee.
Within 30 days of every six month anniversay of a licence being granted a Summary Report along with a expenditure statement must be lodged.
Exploration Technical reports are due with 60 days after:
- annually after an anniversay;
- after an expiry;
- partial surrender or surrender;
- after the joint reporting due date.
for all exploration on ELs, RL and MCs
Guidelines ouline the requirements for exploration reporting including Summary Reports.
Schedule of Fees and Charges outlines the rents and administration fees.
Details for accessing land Before accessing land the licencess is required to issue to the landholder:
- a Notice of Entry and waiting 21 days before accessing,
- Notice of declared equipment
- Waiver of Exemption
or reach agreement with the lanholder.
Dealing in a EL
It is worth quoting the DSD web site: Where a licensee wishes to promote a public company to take over an EL as the whole or part of its objectives, the total consideration to the licensee, either in cash or shares, shall not exceed the cost of the work performed, including the cost of the investigation of any tenements granted pursuant to the EL. Also EL can not be transferred in its first year of tenure. The transferee must show technical and financial ability to under the exploration.