Natural Resources Office Document No. [2023] 223
Departments of Natural Resources and Finance (Bureaus) of all provinces, autonomous regions, and municipalities directly under the central government; Bureau of Natural Resources and Bureau of Finance of the Xinjiang Production and Construction Corps:
To ensure a smooth transition between the mineral rights payment system and the revenue collection system for the transfer of mineral rights, to refine the policy on the collection of revenues from the transfer of mineral rights, and to clarify the issue of collecting revenues from the transfer of exploration rights, mining rights, and exploration rights obtained through the “first-to-apply” approach—where payments were previously made in proportion to the government’s financial contribution—we hereby issue the following notice regarding relevant matters:
1. In accordance with the “Notice of the Ministry of Finance and the Ministry of Natural Resources on Strengthening the Management of Mineral Deposits and Rights Identified through State-Funded Exploration” (Cai Jian [2010] No. 1018) and other relevant documents, exploration rights and mining rights that have been evaluated and for which the payment has been fully settled according to the proportion of fiscal investment represent resources whose reserves have already undergone paid disposal and thus are not subject to further payment of mining rights transfer revenues. As for the remaining resource reserves that have not yet undergone paid disposal, when such reserves are utilized, the provisions regarding newly identified resource reserves set forth in the “Notice of the Ministry of Finance and the Ministry of Natural Resources on Issuing the Provisional Measures for the Collection and Administration of Mining Rights Transfer Revenues” (Cai Zong [2017] No. 35, hereinafter referred to as Document No. 35) shall be followed, and the corresponding mining rights transfer revenues shall be paid accordingly.
2. Exploration rights obtained on a first-application basis and not involving mineral deposits identified with state-funded exploration do not constitute completed paid disposal if they are subject to the calculation and collection of “consideration fees” based on area, in violation of the regulations issued by the Ministry of Finance and the Ministry of Natural Resources. In cases involving the transfer of mining rights, the proceeds from the transfer of mining rights shall be paid in accordance with the relevant provisions of Document No. 35. If a mining rights holder applies for a refund of the “consideration fees” already collected, such fees shall be refunded as prescribed.
3. In cases involving the scenarios mentioned above, the revenue from the transfer of mining rights shall be collected in the form of a royalty rate applicable to mining rights that meet the prescribed requirements. Localities should review previously issued local policies and ensure smooth institutional alignment.
General Office of the Ministry of Natural Resources
General Office of the Ministry of Finance
February 3, 2023
