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STEEL & MINES DEPARTMENT

NOTIFICATION
The 14th December, 2016
ODISHA MINOR MINERAL CONCESSION RULES, 2016

S.R.O. No. 601/2016— In exercise of the powers conferred by sub-section (1) of Section 15
of the Mines and Minerals (Development and Regulation) Act, 1957 (67 of 1957) and in
supersession of the provisions contained in the Odisha Minor Mineral Concession Rules, 2004,
except as respects things done or omitted to be done before such supersession, the State
Government hereby makes the following rules for regulating the grant of mineral concessions in
respect of minor minerals and for the purposes connected therewith, namely:—
CHAPTER-I
PRELIMINARY
1. Short title and commencement:— (1) These rules may be called the Odisha Minor
Mineral Concession Rules, 2016.
(2) They shall come into force on the date of their publication in the Odisha Gazette.
2. Definitions:— (1) In these rules, unless the context otherwise requires,—
(a) “Act” means the Mines and Minerals (Development and Regulation) Act, 1957;
(b) “Additional charge” means the amount payable by a successful bidder on unit
quantity of minerals towards auction money in addition to other charges leviable
under these rules;
(c) “Authorized Officer” means the Director of Mines and Geology or any officer duly
authorized by the Government in writing for the purpose;
(d) “Captive use” means use of the entire quantity of mineral(s) extracted from the
mining lease in a mineral processing unit or mineral beneficiation unit owned by the
lessee excluding the mineral of substandard quality or mineral rejects;
(e) “Collector” means the Chief Officer-in-Charge of the revenue administration of a
district and also includes the Additional District Magistrate;

(f) “Competent Authority” means officer mentioned in column (4) of Schedule IV for
the purpose and jurisdiction specified against each of them in Columns (2) and (1)
respectively thereof;
(g) “Controlling Authority” means officer mentioned in column (3) of Schedule III for
the purpose and jurisdiction specified against each of them in column (1) thereof;
(h) “Decorative Stone” means all types of granites as defined in the Granite
Conservation and Development Rules, 1999 and any other rock suitable for
decorative or export purpose including dimension stone;
(i) “Deputy Director” means the Deputy Director of Mines, Odisha;
(j) “Director” means the Director of Mines and Geology, Odisha for Specified Minor Minerals
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and the Director of Minor Minerals, Odisha for Minor Minerals other than Specified Minor
Minerals;
(k) “Form” means Form appended to these rules;
(l) “Government” means the Government of Odisha;
(m) “GramaPanchayat” means the Executive Committee of the “GramaSasan”
established under section 7 of the Odisha Gram Panchayat Act, 1964;
(n) “Granite” means dolerites, granite gneisses, migmatities, gabbros, anorthosites,
rhyolites, syenites, leptynites, charnockites and other igneous and orthometamorphic
rock types which are —
(i) amenable to be recovered as dimensional stone,
(ii) capable of taking polish, and
(iii) commercially exploitable;
(o) “Joint Director” means the Joint Director of Mines, Odisha;
(p) “Minimum guaranteed quantity” means,in respect of sources for which the mining
plan has been approved, the quantity of extraction approved for the year
concerned as per the mining plan and in respect of sources for which mining plan
has not been prepared and approved, such extractable quantity as may be assessed
by the Competent Authority with approval of the Controlling Authority as the
reasonable quantity that may be extracted from the source considering its
potential.
(q) “Mining lease” means a lease granted under these rules for specified minor
minerals over a compact area;
(r) “Mining Plan” in relation to specified minor minerals means a mining plan
prepared under the ‘Granite Conservation and Development Rules, 1999’ and in
relation to all other minor minerals means a mining plan prepared under these
rules;
(s) “Own Industry” means an industry of which the lessee is the owner or in which he
holds not less than fifty percent of controlling interest.

(t) “Prospecting license-cum-mining lease” means a two stage concession granted for
the purpose of undertaking prospecting operation in respect of specified minor
minerals followed by mining operation over a compact area;
(u) “Quarry lease” means a lease granted on tenure basis for extraction, collection
and/ or removal of minor minerals other than specified minor minerals over a
compact area;
(v) “Quarrying operation” means any operation undertaken for the purpose of
winning any minor mineral other than specified minor minerals and shall include
erection of machinery, laying of tramways, construction of roads and other
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preliminary operations for the purpose of quarrying;
(w) “Quarry permit” means a permit granted for extraction, collection and/ or removal
of any specified quantity of minor minerals other than specified minor minerals
under Chapter V of these rules;
(x) “Recognised person” means a qualified person granted recognition under these
rules for preparation of mining plan;
(y) “Schedule” means a Schedule appended to these rules;
(z) “ Scheduled Areas” means the Scheduled Areas as referred to in Clause (1) of
Article 244 of the Constitution of India;
(aa) “Specified minor minerals” means all minor minerals including decorative stones
other than the minor minerals listed at serial No.2 of Schedule-III;
(dd) “Director of Mines” means the Director of Mines and Geology, Odisha.
(2) Words and expressions used herein but not defined in these rules shall have the
meanings as respectively assigned to them in the Act, and rules made thereunder.
3. Restriction on prospecting or mining or quarrying operation:— (1) No person
shall undertake any prospecting operation or mining operation or quarrying operation for minor
minerals in any area except under and in accordance with the terms and conditions of a prospecting
license-cum-mining lease or a mining lease or a quarry lease or a quarry permit, as the case may
be, granted under these rules:
Provided that extraction, collection and/or removal of minor minerals by a person from
his own land for normal agricultural operations or other bonafide domestic consumptions shall
not be construed as mining or quarrying operation:
Provided further that nothing in this sub-rule shall affect any prospecting or mining or
quarrying operation undertaken in any area in accordance with the terms and conditions of a
prospecting license or mining lease or quarry lease or quarry permit before commencement of
these rules which is in force at such commencement:
Provided also that nothing in this rule shall apply to prospecting operations undertaken
by any agency or organization of the State or the Central Government.
(2) No person shall transport or store or cause to be transported or stored any minor
mineral for the purpose of selling or trading otherwise than in accordance with these
rules.
(3) In the interest of mineral development, preservation of natural environment, prevention
of pollution or to avoid danger to public health or communication or to ensure safety
to buildings, monuments or other structures or to protect national security or for such
other purposes, the Competent/Controlling Authority may, by an order in respect of
any minor mineral, make premature termination of prospecting license-cum-mining
lease or mining lease or quarry lease or quarry permit after giving the holder of
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license or lease or permit a reasonable opportunity of being heard:
Provided that the Deputy Director of Mines or Mining Officer or Divisional
Forest Officer having jurisdiction, may in an emergent situation or in case of irreparable
loss, pass necessary orders as deemed proper in the interest of mineral development,
preservation of natural environment, prevention of pollution, protection of national
security, or to avoid danger to public health or communication or to ensure safety to
buildings, monuments or other structures or for such other purposes.
4. Restriction on grant of prospecting license-cum-mining lease or mining lease or
quarry lease or quarry permit:– (1) Notwithstanding anything contained in these rules, the
State Government may, by an order, declare that no prospecting license-cum-mining lease or
mining lease or quarry lease or quarry permit shall be granted in any area or in respect of any
minor mineral(s) except on such terms and conditions as may be specified from time to time.
(2) No prospecting license-cum-mining lease or mining lease or quarry lease or quarry
permit shall be granted to any person other than an Indian citizen and without prior approval of
the Competent Authority.
(3) No prospecting license-cum-mining lease or mining lease or quarry lease or quarry
permit shall be granted over areas which, in the opinion of the State Government are of
historical, cultural, archaeological and scientific importance.
(4) No prospecting license-cum-mining lease shall be granted for a specified minor
mineral over any area unless it is satisfied that the reconnaissance survey (G4 level) has been
carried out over the area applied for to establish availability of mineral therein or evidence of
mineral in the area has been established otherwise:

Provided that this provision shall not be applicable for areas in which mining has been
carried out in the past under a mining lease.
(5) No mining lease shall be granted over any area for a specified minor mineral unless it
is satisfied that the prospecting operations (G3 level) has been carried out over the area applied
for to establish availability of mineral therein or evidence of mineral in the area has been
established otherwise.
(6) No prospecting license-cum-mining lease or mining lease or quarry lease shall be
granted in Scheduled Areas without recommendation of the concerned Grama Panchayat.
(7) No prospecting license-cum-mining lease or mining lease or quarry lease or quarry
permit shall be executed in any forest land without prior approval of the Government of India as
required under the Forest (Conservation) Act, 1980.
(8) No quarry lease or quarry permit for brick earth shall be granted for manufacture of
clay bricks or tiles or blocks for use in construction activity within a radius of fifty kilometers from
coal based thermal power plant unless an undertaking is furnished to the effect that at least
twenty-five percent of ash (fly ash, bottom ash or pond ash) shall be used with brick earth on
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weight to weight basis.
(9) No prospecting license-cum-mining lease or mining lease or quarry lease or quarry
permit shall be granted to a person who is a defaulter in payment of Government dues under the
Act and the rules made thereunder, unless recovery of such dues has been stayed by any Court or
an Authority, before whom an appeal is pending under sub-rule (1) of rule 46 of these rules.
(10) No quarry lease or quarry permit for road metals including ballast and ordinary
boulders shall be granted within the area for which a license-cum-lease or lease has been granted
for specified minor minerals.
(11) No prospecting license-cum-mining lease or mining lease or quarry lease or quarry
permit shall be granted to any person over any private land unless consent of the land owner in
the form of a duly sworn in affidavit is obtained by the Controlling Authority before initiating
the procedure for grant of such concession.
(12) All applications for prospecting license and mining lease for specified minor
minerals received prior to the date of commencement of these rules shall become ineligible.
(13) Notwithstanding anything contained in sub-rule (12), the following applications
shall remain eligible for grant of mining lease under these rules:
(a) Where before the commencement of these rules, a prospecting licensee has
been granted in respect of any land for any specified minor mineral, the licensee shall
have the right to obtain mining lease in respect of that mineral in that land, if the State
Government is satisfied that the licensee,

(i) has undertaken prospecting operations to establish the existence of

mineral contents in such land in accordance with the provisions
applicable during the period of license,
(ii) has not committed any breach of the terms and conditions of the license,
(iii) has not become ineligible for grant of mining lease,
(iv) has not failed to apply for grant of mining lease within a period of three
months after the expiry of prospecting license or such further period as
may be extended by the State Government.
(b) Where the State Government has communicated order (terms and conditions)
to grant a mining lease before commencement of these rules, the mining lease shall be
granted subject to fulfillment of terms and conditions of the grant order within the time
stipulated in the grant order or such further time, not exceeding two years, as may be
extended by the State Government.
5. Maximum area for which a prospecting license-cum-mining lease or amining
lease may be granted:– No person by himself or with any person having joint interest shall
hold:—
(a) one or more prospecting license-cum-mining lease covering a total area of
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more than five square kilometers(five hundred hectares) for specified minor
minerals:
Provided that the area granted under a single prospecting license-cum-
mining lease shall not exceed one square kilometer (one hundred hectares);
(b) one or more mining leases for specified minor minerals covering a total area
of more than five square kilometers (five hundred hectares):
Provided that the area granted under a single mining lease shall not
exceed one square kilometer (one hundred hectares).
(2) For the purpose of this rule, a person acquiring, by or in the name of another
person, a prospecting license-cum-mining lease or mining lease which is intended for him
shall be deemed to be acquiring it himself.
(3) For the purpose of determining the total area referred to in sub-rule (1) the area
held under a prospecting license-cum-mining lease or mining lease by a person as a member
of a co-operative, society, company or other corporation or a Hindu Undivided Family or
a partner of a firm shall be deducted from the area referred to in sub-rule(1) so that the
sum total of the area held by such person under a prospecting license-cum-mining lease
or mining lease, whether as such member or partner of individually, may not, in any case,
exceed the total area specified in sub-rule (1).

6. Minimum area for which a prospecting license-cum-mining lease or mining lease

may be granted:—The minimum area that may be granted under prospecting license-cum-
mining lease or mining lease shall not be less than one hectare:
Provided that the State Government, if it is satisfied on the basis of proposed production
level, geological or topographical conditions may, for the reasons to be recorded in writing,
grant prospecting license-cum-mining lease or mining lease over an area more than the maximum
area as specified in rule 5 or less than the minimum area as specified in this rule.
7. Boundaries below the surface:— The boundaries of the area covered by a
prospecting license-cum-mining lease or a mining lease or quarry lease shall run vertically
downwards below the surface towards the centre of earth.
8. Periods for which prospecting license-cum-mining lease, mining lease and quarry lease
be granted for the specified minor minerals –
(1) On and from the commencement of these rules, all prospecting license-cum-mining
leases for specified minor minerals shall be granted in two stages, namely,
prospecting license for one year followed by mining lease for thirty years.
(2) On and from the commencement of these rules, all mining leases for specified minor
minerals shall be granted for a period of thirty years.
(3) On the expiry of the lease period, the lease shall be put up for auction as per the
procedure specified under these rules.
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(3A) Any holder of a lease granted, where mineral is required for captive use, shall have the
right of first refusal at the time of auction held for such lease.
(4) The maximum period for which a quarry lease may be granted shall not exceed ten
years and shall be subject to such terms and conditions as may be specified by the
Competent Authority:
Provided that the minimum period for which any such lease may be granted shall
be five years.
8A. Special provisions for lessees of decorative stones, - Notwithstanding anything contained in
these rules, any holder of the mining lease for decorative stone granted before the date of commencement of
Odisha Minor Mineral Concession Rules’2016 shall be entitled for extension of lease period up to a period
ending on 31st March’2020 with effect from the date of expiry of the period of lease or of renewal last made
or till completion of renewal period, if any, or a period of thirty years from the date of grant of such mining
lease with the same terms and conditions, which ever is later, subject to the condition that the terms and
conditions of the lease have been complied with and the lessee has set up an industry in the State based on
the decorative stone extracted from the said lease hold area:
Provided that the provisions of this rule shall not apply to a mining lease for which renewal has
been refused or which has been determined or cancelled.
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CHAPTER-II
GRANT OF PROSPECTING LICENSE-CUM-MINING LEASE FOR SPECIFIED MINOR
MINERALS
9. Procedure for grant of prospecting license-cum-mining lease:—(1) The State
Government shall notify the areas over which prospecting license-cum-mining lease shall be
granted for any specified minor mineral, the terms and conditions subject to which such
prospecting license-cum-mining lease shall be granted and any other relevant conditions.
(2) The selection of persons for grant of prospecting License-cum-Mining Lease shall
be made through auction by a method of competitive bidding..
(3) The persons selected through competitive bidding shall execute the prospecting
license deed in Form B or in a form as near thereto as circumstances in his case may require,
within three months of the order issued by the State Government or within such further period as
the State Government allow in this behalf.
(4) If no such deed is executed within the said period due to any default on the part of the
person selected, the State Government may revoke its decision for grant of prospecting license-
cum-mining lease and in that event the earnest money as deposited by the auction holder shall be
forfeited to the State Government.
(5) The holder of prospecting license shall be required to complete the prospecting
operations satisfactorily within a period of one year or such other period as may be allowed by
the State Government.
(6) The holder of prospecting license shall send to the Government, Director of Mines
and Deputy Director of Mines or Mining Officer concerned under whose jurisdiction, the area is
located, an intimation in Form-C of the commencement of prospecting operation so as to reach
them within a period of fifteen days from the date of such commencement.
(7) The holder of a prospecting license, who completes the prospecting operations
successfully and establishes the existence of mineral contents in the area (up to at least G3 level)
in conformity with the United Nations Framework Classification (UNFC) system, shall be required
to apply for a mining lease in Form D for such area and shall have the right to get the mining
lease and thereafter undertake mining operations.
(8) On receipt of the application for mining lease the Government shall take decision to
grant precise area for the said purpose and communicate such decision to the applicant and on
receipt of communication from the Government of the precise area to be granted, the applicant
shall submit a duly approved mining plan within a period of six months or such other period as
may be allowed by the Government.
(9) On being satisfied with the submissions made by the applicant in respect of approved
mining plan and such other documents or clearances or approvals, as desired by the
Government, the mining lease shall be granted in favour of the applicant and a deed to that effect
shall be executed in Form E.
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10. Procedure for auction of prospecting license-cum-mining lease:—(1) The State
Government may auction a prospecting license-cum-mining lease over an area where general
exploration up to G4 level (as per UNFC guidelines) has been carried out.
(2) [xxx]
(3) The auction shall be conducted as per the terms and conditions, as specified under
sub- rule (1) and (2).
(4) The applicant having a net worth of less than 10% of the value of mineral resource
shall not be eligible for participating in the auction process for grant of a prospecting license-
cum- mining lease.
Explanation:—
(i). The net worth of an individual shall be the value of the immovable
property as reflected in the solvency certificate.
(ii). In case of a company the net worth shall be the sum of the paid up
share capital and the free reserves as per the audited balance sheets
of the immediately preceding financial year.
(iii).In case of a partnership firm the net worth will be the sum of net worth of all
partners individually.
(5) The value of estimated mineral resource under sub-rule (4) shall be calculated by
multiplying the quantity of estimated mineral resource with the average ex-mine price of the
mineral for the preceding one year as fixed by the Director of Mines.
(6) The quantity of the estimated mineral resource for the purpose of sub-rule (5) shall be
the quantity of mineral resource as assessed through geological investigation, or in the case of an
area covered under the proviso to sub-rule (4) of rule 4, the actual average annual production of
the area during the period in which the mine was in operation (in any year in past covering a
period of ten years) multiplied by thirty.
(7) The minimum amount of additional charge for the auction shall be specified by the
State Government in the notice inviting applications for grant of prospecting license-cum-mining
lease and in case the prospecting license-cum-mining lease is considered for more than one
mineral, uniform minimum additional charge shall be applicable for all the minerals in the lease
area.
(8) The additional charge as mentioned in sub-rule (7) shall be bid as a percentage of
actual sale value during the relevant time of actual sale of mineral (s).
(9) The intending applicants participating in the auction shall submit the following
documents in a sealed cover along with the Form specified for the purpose duly filled in:—
(i) treasury challan showing deposit of the application fee as decided by the State
Government;
(ii) an affidavit stating that no mining due payable under the Act and the rules
made thereunder, is outstanding against the applicant;
(iii) proof of payment of earnest money as to be specified by the Government;
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(iv) a solvency Certificate reflecting a minimum net worth of the amount prescribed
in sub-rule (4).
(v) an affidavit stating that the applicant is not convicted for any offence
committed for violation of any of the provisions of the Mines and Minerals
(Development and Regulation) Act, 1957 and rules made thereunder.
(10) Subject to the provisions of these rules, the prospecting license-cum-mining lease
shall be granted in favour of the applicant who has quoted the highest rate of additional charge:
Provided that if more than one applicant have quoted the highest rate of additional
charge, then the applicant shall be selected by draw of lots.
(11) The selected bidder shall be intimated by the Government within seven days in
Form-F about the selection and terms and conditions of the prospecting license-cum-mining lease.
(12) The selected bidder shall, convey his acceptance of the terms and conditions within
fifteen days from the date of such intimation and deposit one lakh rupees towards part of
security deposit which along with the earnest money, shall be held as, interest-free security
deposit for due observance of the terms and conditions of the prospecting license-cum-mining
lease.
(13) In the event of default by the selected bidder, the Competent Authority may issue an
intimation as specified in sub-rule (11) to the next highest bidder who shall then be required to
convey his acceptance and to make the security deposit as specified in sub-rule (12).

(14) If the second highest bidder does not convey the acceptance within the time
stipulated for such acceptance, fresh notice inviting applications for auction shall be issued by
the Government.
(15) Immediately after compliance of the selected bidder, the earnest money of the
unsuccessful bidders shall be refunded.
(16) Security deposit shall be refunded after expiry of the license-cum-lease period, if
the applicant has fulfilled all conditions of prospecting license-cum-mining lease and in case of
violation of any of the conditions of prospecting license-cum-mining lease, the security deposit
shall be forfeited in whole or in part, as directed by the Competent Authority.
(17) The State Government shall have power to cancel the bid duly recording the reasons
thereof, if it is considered expedient to do so.
(18) Where the applicant, who quoted the highest rate of additional charge, dies after
deposit of the amount specified under sub-rule (12) or after execution of prospecting license-
cum- mining lease deed by him, such deposit or agreement shall be deemed to have been made
or executed by the legal heir or legal representative, if they so like.
(19) Notwithstanding anything contained in these rules, the State Government may earmark
an area for grant of prospecting license-cum-mining lease to be allocated only to such applicants
who have set up value addition facilities for processing the minerals won from the area for a
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particular end-use as may be specified in the auction notice or who undertake to set up such
facilities within a stipulated time period and only such applicants who satisfy these conditions shall
be eligible to participate in the auction.
(20) The prospecting license-cum-mining lease granted under sub-rule (19) shall be liable
to be determined if the selected bidder fails to set up the value addition facility for the specified
end-use within the stipulated period for which he has submitted an undertaking under sub-rule
(19).
(21) The selected bidder who has been granted prospecting license-cum-mining lease for the
area earmarked under sub-rule (19) shall not be allowed to sell or dispose or transfer directly or
indirectly any unprocessed mineral obtained from the area and shall utilize the entire production
only for captive use.
11. Prospecting operation:— (1) Every holder of a prospecting license-cum-mining
lease shall submit to the Director of Mines and concerned Deputy Director of Mines or Mining
Officer under whose jurisdiction the area is located, a scheme of prospecting within a period of
sixty days from the date of execution of the prospecting license-cum-mining lease indicating the
manner in which he proposes to carry out the prospecting operation in the area.

(2) The Scheme shall incorporate the following, namely:—

(i) particulars of the area;
(ii) the scale of the plan and the area of geological mapping;
(iii) the number of pits, trenches and boreholes which he proposes to put in the
area and the locations thereof;
(iv) the particulars of the machines to be used;
(v) the details of the exploratory mining, if any, proposed to be undertaken;
(vi) the number of samples proposed to be drawn and analyzed or tested;
(vii) baseline information of prevailing environmental conditions before the
beginning of the prospecting operations;
(viii) the beneficiation studies, if any, proposed to be undertaken;
(ix) steps proposed to be taken for protection of environment which will
include prevention and control of air and water pollution, progressive
reclamation and rehabilitation of the land disturbed by the prospecting
operations, a scheme for plantation of trees and such other measures, as
may be directed by the Director of mines from time to time for minimizing
the adverse effect of prospecting operations on the environment;
(x) any other matter relevant for the preparation of a scheme as directed by the
Director of Mines or any officer authorized by him from time to time.
(3) The holder of a prospecting license-cum-mining lease shall submit to the State
Government within two months of expiry of prospecting period or abandonment of operations or
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termination of prospecting license-cum-mining lease, whichever is earlier, a full report of work
done by him and all information relevant to mineral resources acquired by him in course of
prospecting operation.
(4) The final prospecting report shall be evaluated by the State Government or any
officer authorized in this behalf and if it is found satisfactory, the holder of the prospecting
license-cum- mining lease will be required to prepare a mining plan based on the prospecting
report and in case the report is found unsatisfactory, the prospecting license-cum-mining lease
shall be cancelled:
Provided that no such order will be passed without giving the holder of prospecting
license-cum-mining lease an opportunity of being heard.
(5)The holder of prospecting license-cum-mining lease shall submit to the Director and
Deputy Director or Mining Officer concerned reports of prospecting operations in Form G.
12. Mining operation:— (1) The holder of prospecting license-cum-mining lease shall
commence mining operation in the area, if he has obtained:—

(a) Mining plan duly approved by the authorised officer,

(b) Clearance under the Forest (Conservation) Act, 1980 in case the area contains
forest land;
(c) Environment Clearance as applicable under the provisions of the Environment
(Protection) Act, 1986 and rules made thereunder;
(d) Consent to establish and consent to operate such mine under the Air (Prevention
and Control of Pollution) Act, 1981 and the Water (Prevention and Control of
Pollution) Act, 1974 and the rules made therender; and
(e) Permission for surface operations from the concerned District Collector.
(2) No mining plan shall be approved, unless it is prepared by a qualified person
recognized in this behalf as specified under rule 19.
(3) Grant of recognition of qualified person for preparation of mining plan shall be in
accordance with rule 20:
(4) Submission of mining plan to the authorised officer for approval shall be undertaken
by the holder of prospecting license-cum-mining lease in accordance with rule 22.
(5) Submission of approved mining plan to the State Government shall be in accordance
with rule 23.
(6) The holder of a prospecting license-cum-mining lease shall send to the Director and
Deputy Director of Mines or Mining Officer concerned, under whose jurisdiction the
area is located and Director of Mines Safety, Bhubaneswar an intimation in Form-H
of the opening or reopening of the mine so as to reach them within a period of
fifteen days from the date of such commencement.
13. Termination or surrender of prospecting license-cum-mining lease:— (1) (a)
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Where the State Government is of the opinion that it is expedient in the interest of regulation of
mines and minerals development, preservation of natural environment, control of floods,
prevention of pollution, or it is felt necessary to avoid danger to public health or
communications or to ensure safety of building, monuments or other structures or for such other
purposes, as the State Government may deem fit, it may, by an order, in respect of any minor
mineral, make premature termination of prospecting license-cum-mining lease with respect to
the area or any part thereof covered thereunder.
(b) If the holder of a prospecting license-cum-mining lease makes any default in the
payment of royalty or dead rent as required under rule 32 or commits a breach of any of the
conditions of the prospecting license-cum-mining lease, the State Government shall give notice
to the lessee requiring him to pay the royalty or dead rent or remedy the breach, as the case may
be, within sixty days from the date of the receipt of the notice and if the royalty or dead rent
is not paid or the breach is not remedied within the said period, the State Government may,
without prejudice to any other proceedings that may be taken against him, determine the
prospecting license-cum- mining lease and forfeit whole or part of the security deposit.
(c) No order making a premature determination of a prospecting license-cum-mining lease
shall be made without giving the holder of the prospecting license-cum- mining lease a
reasonable opportunity of being heard.
(2) The lessee shall not surrender the prospecting license-cum-mining lease or part thereof
except after notice in writing of not less than six calendar months to the State
Government.
(3) The State Government may, by an order, allow such surrender subject to the following
conditions, namely:—
(i) the area is barren or the deposits of minerals have since exhausted or depleted
to such an extent that it is no longer economical to work such area;
(ii) the leasehold area to be surrendered has been properly surveyed and
demarcated and is contiguous;
(iii) the lessee has adopted closure of the mine or part thereof in line with the
provisions prescribed for major minerals and obtained a certificate to this effect
from the authority competent to approve the mining plan;
(iv) the lessee has paid all dues payable by him to the Government under the
prospecting license-cum- mining lease up to the date of application; and
(v) the application for surrender is accompanied by a document showing deposit of
Rs.1000/- for meeting the expenditure of survey and demarcation of the area to
be surrendered.
14. Conditions of a prospecting license-cum-mining lease:— (1) The holder of a
prospecting license-cum-mining lease shall pay in advance, the prospecting fee at the rate of one
 14
thousand rupees per hectare of land or part thereof covered by the prospecting license-cum-
mining lease for each year or part of a year of the period for which the holder of the prospecting
license- cum-mining lease shall carry out prospecting operation.
(2) The holder of a prospecting license-cum-mining lease may win and carry for the
purpose other than commercial purposes ten cubic meter of decorative stones or ten metric tonne
of specified minor minerals other than decorative stones during the period of prospecting on
payment of advance royalty with permission from the Deputy Director or Mining Officer:
Provided that if the quantity of the minor minerals won, is in excess of the quantity
specified above and is carried away, the Deputy Director or Mining Officer concerned may recover
from the holder of the prospecting license-cum-mining lease the value of such excess quantity.

(3) With the written approval of the Director, the holder of a prospecting license-cum-
mining lease may carry away quantities of specified minor mineral(s) in excess of the limits
specified in sub-rule (2), on payment of advance royalty for testing purposes during the period of
prospecting.
(4)The holder of prospecting license-cum-mining lease shall report to the Director, the
discovery of any other specified minor mineral not specified in the license-cum-lease within a
period of thirty days from the date of such discovery and consequent upon such reporting, the
newly discovered specified minor minerals shall be allowed to be included in the prospecting
license-cum-mining lease;
Provided that, if any major minerals other than the specified minor mineral is discovered
in course of prospecting of the area, the holder of prospecting license-cum-mining lease shall not
be entitled to any preference for the purpose of obtaining a prospecting license-cum- mining
lease or mining lease for such major mineral by reason only of the lands being included in his
prospecting license-cum- mining lease for specified minor minerals and in such cases the
prospecting license- cum- mining lease shall be determined without payment of any
compensation to the holder of prospecting license-cum-mining lease:
Provided further that, if any minor mineral other than the specified minor minerals is
discovered in course of prospecting operation of the area, the holder of prospecting license-cum-
mining lease shall be preferred for grant of a quarry lease in respect of such newly discovered
minor minerals and in such case if the holder of prospecting license-cum-mining lease refuses to
avail a quarry lease for the said minor mineral, then a quarry lease for the newly discovered
minor mineral may be granted by the Competent Authority in accordance with rule 34, subject to
the condition that neither of the lessees shall cause any hindrance to the other lessee in respect of
mining operations therein.
(5)The holder of prospecting license-cum-mining lease shall not pay a wage less than the
minimum wage prescribed by the Central Government or the State Government from time to
time under the Minimum Wages Act, 1948.
 15
(6)The holder of prospecting license-cum-mining lease shall observe the provisions of the
Mines Act, 1952.
(7)The holder of prospecting license-cum-mining lease shall take immediate measures for
planting in the same area or any other area selected by the State Forest Department not less than
ten times the number of trees destroyed in course of prospecting operation, and will ensure
survival of at least eighty per cent of the trees planted at the end of three years from planting.
(8)The holder of prospecting license-cum-mining lease shall comply with the provisions
of the Granite Conservation and Development Rules, 1999 in respect of decorative stone.

(9)The holder of prospecting license-cum-mining lease shall allow reasonable facilities of

access to other bona fide concessionaires;
(10) The holder of prospecting license-cum-mining lease shall obtain prior permission of the
Competent Authority of the Forest Department to carry on any operation in forest land as
required under the provisions of the Forest (Conservation) Act, 1980.
(11) The holder of prospecting license-cum-mining lease shall pay to the State
Government compensation for all damages, injuries or disturbances which have been caused by
in the course of operating the prospecting license-cum-mining lease and shall indemnify
Government against all claims which may be made by third parties in respect of such damages,
injuries or disturbances.
(12) The holder of prospecting license-cum-mining lease shall carry out the prospecting
operations in accordance with the scheme for prospecting operation submitted or with such
modifications in the scheme as directed by the Director or any officer authorized by him in this
behalf.
(13) The holder of prospecting license-cum-mining lease shall keep correct account of
specified minor mineral raised during the course of prospecting operation and submit yearly
report of prospecting operation carried out in Form-I to the Director and the Deputy Director or
Mining Officer having jurisdiction within two months of the closure of the period to which it
relates or abandonment of prospecting operations whichever is earlier.
(14) The holder of prospecting license-cum-mining lease shall afford reasonable facilities
for inspection of the area, accounts and records pertaining to prospecting operation to the
Controlling Authority, Competent Authority and Director or any other officer authorized by any
of them and such authority or officer may issue directions to the holder of the prospecting
license- cum-mining lease for systematic and scientific prospecting operation and shall ensure
observance of the provisions of the rules and directions, within a period not exceeding sixty days
from the date of issue of such direction.
(15) The holder of prospecting license-cum-mining lease shall carry out prospecting
operations with appropriate environmental safeguards.
(16) The holder of prospecting license-cum-mining lease shall not carry on or allow to be
 16
carried on, any prospecting operation at any point within a distance of —
(a) one hundred meters from any railway line except under and in accordance with
the written permission of the Railway Administration concerned, and in case of
National Highway, State Highway or any reservoir; except in accordance with
the previous permission of the Collector.

(b) fifty meters from any tank, canal, road (other than a National or State Highway or
other public works of buildings or inhabited sites), except in accordance with the
previous permission of the Collector.
(17) The Railway Administration or the Collector, as the case may be, may grant the
permission as required under clause (a) or (b) of sub-rule (16) on such conditions as may be
specified.
(18) The State Government or Central Government shall have the right to construct any
road, railway, canal, reservoir or to lay electric or telephone lines or over the lands held under
the prospecting license-cum-mining lease:
Provided that the holder of the prospecting license-cum-mining lease shall be given at
least thirty days prior notice before the right is exercised and the area thus utilized shall be
excluded from the area held under the prospecting license-cum-mining lease.
(19) The holder of prospecting license-cum-mining lease shall, at his own expense, erect
and at all times maintain and keep in good condition boundary marks and pillars necessary to
delineate the area.
(20) The holder of prospecting license-cum-mining lease shall abide by the provisions of all
laws for the time being in force, relating to prospecting and mining operations, matters affecting
safety, health and convenience of the employees and public and shall also obey all existing laws
of way, water and other easement and shall not use power cutter or other machineries in laterite
quarries.
(21) All accidents involving injury or loss of life or loss or damage to property shall be
reported forthwith to the Collector of the District and the Director.
(22) In the case of breach of any condition of prospecting license-cum-mining lease, the
Government may give notice of sixty days to the holder of the prospecting license-cum-mining
lease to rectify the defects and if the holder of the prospecting license-cum-mining lease fails to
rectify the defects within the specified time, the Government may, by order in writing, cancel the
prospecting license-cum-mining lease, and forfeit, in whole or part, the amount deposited by the
holder of the prospecting license-cum-mining lease towards security deposit:
Provided that no such order shall be made without giving the holder of the prospecting
license-cum-mining lease a reasonable opportunity of being heard.
(23) The Government may, impose such further conditions in the prospecting license-
cum- mining lease, it may think necessary, in the interest of mineral development and protection
 17
of environment.
(24) The holder of prospecting license-cum-mining lease shall abide by the provisions
prescribed under rule 17 and Rules 19 to 26.
 18

CHAPTER-III
GRANT OF MINING LEASE FOR SPECIFIED MINOR MINERALS
15. Procedure for grant of mining Lease:— (1) In areas where existence of specified
minor minerals is established, the State Government shall notify such areas for grant of mining
lease indicating the terms and conditions subject to which such mining lease shall be granted.
(2) For the purpose of granting a mining lease in such areas, the State Government shall
select, through auction by the method of competitive bidding, including e-auction, an applicant
who fulfils the specified eligibility conditions.
(3) The State Government shall specify the terms and conditions, and procedure, subject
to which the auction shall be conducted, including the bidding parameters for the selection
which may include any payment linked to the royalty payable, size and area of mineral deposits,
or any other relevant parameters.
(4) The Government shall grant a mining lease for specified minor mineral to an
applicant selected in accordance with the procedure laid down in this rule in any notified area
subject to submission of mining plan duly approved by the authorized officer and forest
clearance under the provisions of the Forest (Conservation) Act, 1980, if required.
(5) The persons selected through competitive bidding shall execute the mining lease deed in
Form-E, within three months from the date of the issue of the order by the State Government or
within such further period as the State Government allow in this behalf and if no such deed is
executed within the said period due to any default on the part of the person selected, the State
Government may cancel the mining lease and in that event the earnest money shall be forfeited
to the State Government.
(6) Any holder of a mining lease granted, where mineral is used for captive purpose, shall
have the right of first refusal at the time of auction held for such lease after the expiry of the
lease period.
(7) Notwithstanding anything contained in this rule,
(a) where before the commencement of these rules a prospecting license has been
granted in respect of any land for any specified minor mineral, the holder of the
prospecting license shall have a right for obtaining a mining lease in respect of that
minor mineral in that land, if the Government is satisfied that the licensee,—
(i) has undertaken prospecting operations to establish the existence of
mineral contents in such land in accordance with such parameters as
was prescribed by the Government;
(ii) has not committed any breach of the terms and conditions of the
prospecting license;
 19

(iii) has not become ineligible under the provisions of the rules which were
in force before commencement of these rules; and
(iv) has not failed to apply for grant of mining lease within a period of
three months after expiry of the prospecting license;
(b) where order for grant of mining lease has been issued by the Government for
grant of mining lease, before the commencement of these rules, the mining lease
may be granted subject to the condition that the applicant has fulfilled all
conditions for the grant in terms of the said grant order within the period specified
therein, or such further period as may be allowed for the reasons to be recorded in
writing.
16. Procedure for auction of mining lease:— (1) The State Government may auction a
mining lease over an area where general exploration up to G3 level (as per UNFC guidelines)
has been carried out.
(2) [xxx].
(3) The applicant having a net worth of less than one percentum of the value estimated
mineral resources shall not be eligible for participating in the auction process for grant of a
mining lease.
Provided that, the net worth requirement shall not exceed fifty crore rupees.
Explanation:—
(a) In case of an individual, the net worth shall be the value of the immovable
property as reflected in the solvency certificate.
(b) In case of a company, the net worth shall be the sum of the paid up share
capital and the free reserves as per the audited balance sheets of the
immediately preceding financial year.
(c) In case of a partnership firm, the net worth shall be the sum of net worth of
all partners individually.
(4) The value of estimated mineral resource under sub-rule (3) shall be calculated by
multiplying the quantity of estimated mineral resources as per exploration report with the
average ex-mine price of the mineral for the preceding one year as fixed by the Director of
Mines.
Explanation:—Ex-mine price should represent the sale value of the mineral at the pit
head. In case of sale affected on F.O.R or F.O.B or any other basis, the Ex-
mine price should be arrived at after deducting all the expenses incurred
from mine to railway station or port or other point of sale, as the case may
be (such as expenses on transportation, loading and unloading, railway
freight, sampling and analysis, port handling, export duty, cess etc.).
(5) The quantity of the estimated mineral resource for the purpose of sub-rule (4) shall be
the quantity of mineral resource as assessed through geological investigation, or, in the case of
an area covered under the proviso to sub-rule (4) of rule 4, the actual average annual production
of mineral in the area during the period in which the mine was in operation (in any year in past
covering a period of ten years) multiplied by thirty.
 20
(6) (a) The minimum amount of additional charge for the auction shall be specified by
the State Government in the notice inviting applications for grant of mining
lease.
(b) In case the mining lease is considered for more than one mineral, uniform
minimum additional charge shall be applicable for all the minerals in the lease
area.
(c) The additional charge shall be bid as a percentage of sale value during the
relevant time of actual sale of mineral.
(7) The intending applicants participating in the auction shall submit the following
documents in a sealed cover along with the specified form duly filled in, namely:—
(i) treasury challan showing deposit of the application fee as decided by the State
Government;
(ii) an affidavit stating that no mining due payable under the Act and the rules,
made thereunder, is outstanding against the applicant;
(iii) proof of payment of earnest money as to be specified by the Government;
(iv) a solvency Certificate reflecting a minimum net worth of the amount prescribed
in sub-rule (3); and
(v) an affidavit stating that the applicant is not convicted for any offence
committed for violation of any provision of the Act, and the rules made
thereunder.
(8) Subject to the provisions of these rules, the mining lease shall be granted in favour of
the applicant who has quoted the highest rate of additional charge, as a percentage of sale value
during the relevant time of actual sale of mineral.
Provided that, if more than one applicant have quoted the highest rate of additional
charge, then the applicants shall be selected by draw of lots.
(9) The selected bidder shall be intimated by the State Government within seven days in
Form-F about the selection and terms and conditions of the mining lease.
(10) The selected bidder shall, convey his acceptance of the terms and conditions within
fifteen days of such intimation and deposit a sum equivalent to zero point two five percentum
(0.25) of the value of estimated mineral resources, subject to a maximum of ten crore rupees,
towards part of security deposit and such deposit along with the earnest money, shall be held as
interest-free security deposit for due observance of the terms and conditions of the mining lease.

(11) In the event of default by the selected bidder, the Competent Authority may issue
intimation as specified in sub-rule (9) to the next highest bidder who shall then be required to
convey his acceptance and to make the security deposit as specified in sub-rule (10).
(12) If the second highest bidder does not convey the acceptance within the time
stipulated for such acceptance, fresh notice inviting applications for auction shall be issued by
 21
the State Government.
(13) Immediately after compliance of the selected bidder, the earnest money of the
unsuccessful bidders shall be refunded.
(14) Security deposit shall be refunded after expiry of the lease period if the lessee has
fulfilled all conditions of mining lease and in case of violation of any of the conditions of mining
lease, the security deposit shall be forfeited in whole or in part, as directed by the Competent
Authority.
(15) The State Government shall have power to cancel the bid duly recording the reasons
thereof, if it is considered expedient to do so, on the grounds that the publicity, participation of
bidders and amount of additional charge quoted is less than the minimum additional charge.
(16) Where the applicant, who quoted the highest rate of additional charge, dies after
deposit of the amount specified under sub-rule (10) or after execution of lease deed by him, such
deposit or the lease deed shall be deemed to have been made or executed by the legal heir or
legal representative, if they so like.
(17) Notwithstanding anything contained in these rules, the State Government may earmark
an area for grant of a mining lease to be allocated only to such applicants who have set up value
addition facilities for processing the minerals won from the area for a particular end-use as may
be specified in the auction notice or who undertake to set up such facilities within a stipulated
time period and only such applicants who satisfy these conditions shall be eligible to participate
in the auction.
(18) The mining lease granted under sub-rule (17) shall be liable to be determined, if the
selected bidder fails to set up the value addition facility for the specified end-use within the
stipulated period for which he has submitted an undertaking under sub-rule (17).
(19) The selected bidder who has been granted a mining lease for the area earmarked
under sub-rule (17) shall not be allowed to sell or dispose of any unprocessed mineral obtained
from the area and shall utilize the entire production only for captive use.
17. Mining operation:— (1) No mining operation shall be undertaken by the holder of a
mining lease unless he obtains:
(a) Mining plan duly approved by the authorized officer;
(b) Forest clearance under the provisions of the Forest (Conservation) Act, 1980; if
applicable,
(c) Environmental clearance as applicable under the provisions of the Environment
(Protection) Act, 1986 and rules made thereunder,
(d) Order of consent to operate issued by the State Pollution Control Board under the
provisions of the Air (Prevention and Control of Pollution) Act, 1981 and the
Water (Prevention and Control of Pollution) Act, 1974; and
(e) Permission for surface operations from the concerned District Collector.
 22
(2) The holder of a mining lease shall send to the Director and Deputy Director of Mines
or Mining Officer concerned, under whose jurisdiction the area is located and Director of Mines
Safety, Bhubaneswar, an intimation in Form H of the opening/reopening of the mine so as to
reach them within a period of fifteen days from the date of such commencement.
18. Termination or surrender of mining lease:— (1) (a) Where the State Government
is of the opinion that it is expedient in the interest of regulation of mines and minerals,
development, preservation of natural environment, control of floods, prevention of pollution, or,
to avoid danger to public health or communications or to ensure safety of buildings, monuments
or other structures or for such other purposes, as the State Government may deem fit, it may, by
an order, in respect of any minor mineral, make premature determination of mining lease with
respect to the area or any part thereof.
(b) If the holder of a mining lease makes any default in the payment of royalty or dead
rent as required under rule 25 or commits a breach of any of the conditions of the mining lease,
the State Government shall give notice to the lessee requiring him to pay the royalty or dead rent
or remedy the breach, as the case may be, within sixty days from the date of the receipt of the
notice and if the royalty or dead rent is not paid or the breach is not remedied within the said
period, the State Government may, without prejudice to any other proceedings that may be taken
against him, take steps to determine the mining lease and forfeit the whole or part of the security
deposit.
(c) No order making a premature determination of a mining lease shall be made without
giving the holder of the mining lease a reasonable opportunity of being heard.
(2) (a) The lessee shall not surrender the lease or part thereof, except after notice in
writing of not less than twelve calendar months to the State Government.
(b) The State Government may, by an order, allow such surrender subject to the
following conditions, namely:—
(i) the area is barren or the deposits of minerals have been exhausted or depleted to
such an extent that, it is no longer economical to work such area;

(ii) the leasehold area to be surrendered has been properly surveyed and demarcated
and is contiguous.
(iii) the lessee has adopted closure of the mine or part thereof in line with the
provisions prescribed for major minerals under rule 23C, 23D, 23E & 23F of the
Mineral Conservation and Development Rules, 1988;
(iv) the lessee has paid all dues payable by him to the Government under the lease up
to the date of application; and
(v) the application for surrender is accompanied by a document showing the deposit of
Rs.1000/- for meeting the expenditure of survey and demarcation of the area to
be surrendered.
 23
19. Mining plan to be prepared by a recognized person:— (1) No mining plan shall be
approved, unless it is prepared by a qualified person recognized in this behalf by the Director
under these rules.
(2) No person shall be granted recognition for the purpose of sub-rule (1) by the Director
unless the person holds:—
(i) a degree in mining engineering or a post graduate degree in Geology granted by
a university established or incorporated by or under an Act of Parliament or any
institution recognized by the University Grants Commission established under
Section 4 of the University Grants Commission Act, 1956 (3 of 1956) or any
qualification equivalent thereto; and
(ii) possesses professional experience of five years of working in a supervisory
capacity in the field of mining or mineral administration after obtaining the
qualification required under clause (i).
(3) A person recognized to prepare a mining plan may also carry out modifications of an
existing mining plan.
20. Grant of recognition for preparation of mining plan:—
(1) Any person, possessing the qualification and experience required under sub-rule
(2)of rule 19, may apply for recognition to the Director for the purpose.
(2) The Director, after making such enquiry, as it deems fit, may grant or refuse to
grant recognition and where recognition is refused, the Director shall record
reasons in writing and communicate the same to the applicant.
(3) Recognition shall be granted for an initial period of ten years and may be
renewed for further periods not exceeding ten years at a time:

Provided that the Director may refuse to renew the recognition for reasons to
be recorded in writing, after giving an opportunity of hearing to the person
concerned.
21. Preparation of mining plan:— (1) The mining plan shall incorporate:—
(i) the plan of the area showing the nature and extent of the ore body, spot or
spots where the excavation is to be done in the first year and its extent, a
detailed cross-section and detailed of spots of excavation based on the
prospecting data gathered by the applicant, a tentative scheme of mining for
the first five years of the lease;
(ii) details of the geology and lithology of the area including ore reserves of the
area;
(iii) the extent of manual mining or mining by the use of machinery and
mechanical devices;
(iv) the plan of the area showing natural water course, limits of reserved and
 24
other forest areas and density of trees, if any, assessment of impact of
mining activity on forest, land surface and environment including air water
pollution, details of scheme for restoration of the area by afforestation, land
reclamation, use of pollution control devices and of such other measures as
may be directed by the Central or the State Government from time to time;
(v) annual programme and plan for excavation on the precise area from year to
year for five years;
(vi) annual plan and programme for stacking of non-saleable or sub-grade
minerals from year to year for five years;
(vii) progressive mining closure plan in line with the provisions of rule 23B of
the Mineral Conservation and Development Rules, 1988 with financial
assurance for rupees twenty-five thousand for every hectare of area or part
thereof proposed to be put to use subject to a minimum amount of two lakh
rupees; and
(viii) any other matter which the authorized officer may require the applicant to
provide in the mining plan.
(2) Every mining plan under sub-rule (1) shall be accompanied by a non-refundable fee
of one thousand rupees for every ten hectares or part thereof of mining area covered under the
mining lease.

(3) The Director may issue guidelines from time to time, prescribing the procedure for site
inspection, format for mining plan or scheme of mining and procedure for approval in respect of
specified minor minerals.
22. Procedure for approval of mining plan and scheme of mining and modifications
thereof:— (1) On receipt of communication from the State Government of the precise area to be
granted, the applicant shall submit mining plan for specified minor minerals within a period of
one month of the date of receipt of such communication to the officer authorized in this behalf
for approval.
(2) The authorized officer may approve the mining plan submitted under sub-rule (1) or
may require modification to be carried out in the plan after due scrutiny and the applicant shall
resubmit the mining plan after carrying out necessary modifications, so desired, for approval.
Provided that if during the currency of a mining lease for major mineral any of such
minerals, is declared as Minor Mineral, the mining plan for the minor mineral in the
said lease may also be approved by the authority competent to approve the mining
plan for the major mineral concerned.
(3) The authorized officer shall, within a period of ninety days from the date of receipt of
the mining plan or the modified mining plan, convey approval or disapproval to the applicant
and in case of disapproval, the authorized officer shall also convey the reasons for disapproving
 25
the mining plan or the modified mining plan.
(4) If no decision is conveyed within the period stipulated under sub-rule (3), the mining
plan or the modified mining plan, as the case may be, shall be deemed to have been
provisionally approved and such approval shall be subject to the final decision whenever
communicated.
(5) The owner, agent, mining engineer or manager of every mine shall review the
approved mining plan and submit a scheme of mining for the next five years of the lease to the
authorized officer at least one hundred twenty days before the expiry of the five years period, for
which it was approved on the last occasion.
(6) The provisions of sub-rule (2), (3) and (4) shall apply to the scheme of mining in the
same way as they are applicable to the mining plan.
(7) A holder of a prospecting license-cum-mining lease or a mining lease, desirous of
seeking modifications in the approved mining plan or scheme of mining as are considered
expedient, in the interest of safe and scientific mining, conservation of minerals or for protection
of environment, shall apply to the authorized officer setting forth the intended modifications and
explaining the reasons for such modifications.
(8) The authorized officer may approve the modifications or with such alteration as he
may consider expedient within a period of ninety days and in case the authorized officer
disapproves the modifications so intended, he shall convey the reasons for such disapproval to
the holder of a prospecting license-cum-mining lease or a mining lease, as the case may be.
23. Submission of mining plan to the State Government:— The applicant shall submit
the mining plan, duly approved by the authorized officer, within six months from the date
ofreceipt of the communication under sub-rule (8) of rule 9, to the State Government to grant the
mining lease over that area.
24. Mining plan to be submitted by the existing lessee:— Where mining operation for
specified minor minerals has been undertaken before the commencement of these rules without
an approved mining plan, the lessee shall submit a mining plan duly approved by the authorized
officer within a period of six months from the data of commencement of these rules and such
operations shall be undertaken in accordance with the duly approved mining plan.
25. Liability for payment of royalty, dead rent, amount for District Mineral
Foundation, additional charge etc.:— (1) The holder of prospecting license-cum-mining lease or
a mining lease shall be liable to pay dead rent, surface rent, royalty, additional charge, amount
for District Mineral Foundation, an amount towards Environment Management Fund and fees
for compensatory afforestation.
(2) The holder of a prospecting license-cum-mining lease or a mining lease shall pay to
the State Government every year the dead rent and surface rent at the rates specified in
Schedule-I for all the areas included in the lease deed.
 26
(3) The rates specified in Schedule I may be revised by the Government from time to
time by an amendment made to the said Schedule, but no such revision shall be made before the
expiry of three years from the date when the rates were last fixed.
(4) Where the holder of the prospecting license-cum-mining lease or a mining lease
becomes liable for payment of royalty for any minor mineral removed or consumed by him or
his manager and employees or the contractor from the leased area, he shall be liable to pay either
such royalty or the dead rent in respect of that area, whichever is higher.
(5) Royalty shall be liveable on minor minerals removed from the leased area at the rates
specified in Schedule-II.
(6) The rates of royalty may be revised by the State Government, from time to time, by
amendment made to the said Schedule but no such revision shall be made before the expiry of
three years from the date when the rates were last fixed.
(7) The lessee shall pay, in addition to the surface rent, dead rent, or royalty, as the case
may be, an amount towards the fund for District Mineral Foundation of the District as specified
in sub-rule (6) of rule 26 in which the mining operations are carried on.
(8)The lessee shall pay an amount towards Environment Management Fund as stipulated
in sub-rule (2)of rule 49 and fees for compensatory afforestation at rates as may be specified by
the State Government from time to time.

(9) The lessee shall pay the additional charge for each unit quantity of mineral removed
or consumed by him or his manager and employees or the contractor from the leased area at the
rate finalized in the auction process along with the royalty payable by him.
(10) Every mine owner, his agent, manager, employee, contractor or sub-lessee shall
compute the amount of royalty on minor minerals as mentioned in sub-rule (11), where such
royalty is charged on ad valorem basis.
(11) The sale price of the minor minerals sold in the domestic market or consumed in
captive plants or exported by the mine owners shall be the sale price as published by the
Director every month which shall be the basis for computation of royalty in respect of any minor
mineral dispatched anytime during a month and the royalty shall be computed as per the formula
given below:—
Royalty = Sale price of minor mineral (grade-wise, wherever applicable) published by
the Director X Rate of Royalty (in percentage) X Total quantity of mineral
(grade- wise, wherever applicable) dispatched.
26. Conditions of mining lease:— (1) The lessee shall pay to the State Government
surface rent within a fortnight of the execution of the lease-deed for the remaining period of the
year and thereafter pay such rent on or before 15th January of every year.
(2) The lessee shall pay dead rent for the remaining period of year within a fortnight of
the execution of the lease-deed and thereafter pay yearly dead rent on or before 15th January of
 27
every year.
(3) An account of the royalty payable by the lessee shall be kept by the Deputy Director
or Mining Officer concerned and as soon as the royalty payable by him becomes equal to or in
excess of the dead rent already paid by him, he shall remove the specified minor minerals only
after payment of the royalty in advance.
(4) Advance dead rent paid by the lessee shall be deemed to have been merged into the
amount of royalty he was liable to pay.
(5) No permission for removal of specified minor minerals shall be issued unless all the
Government dues in respect of the lease are paid.
(6) The lessee shall pay an amount for District Mineral Foundation of the District in
which the mining operations are carried on as prescribed under rule 9 of the Odisha District
Mineral Foundation Rules, 2015.
(7) The lessee shall pay to the Government compensation for all damages, injuries or
disturbance which has been caused in course of mining operation and shall indemnify
Government against all claims which may be made by third parties in respect of such damage,
injury or disturbances.

(8) The lessee shall commence mining operations within two years from the date of
execution of the lease deed which shall be carried on in a proper, skillful and workman-like
manner in accordance with the duly approved mining plan which shall remain valid for the
entire lease period.
(9) If the lessee does not work upon the lease for a continuous period of two years, the
lease shall be liable to be lapsed, unless prior permission has been granted by the Competent
Authority for such stoppage on reasonable grounds:
Provided that the Competent Authority may, on an application made by the lessee, before
it is lapsed and on being satisfied that it will not be possible for the lessee to undertake mining
operations or to continue such operations for reasons beyond his control, make an order within a
period of three months from the date of receiving such application and subject to such conditions
as may be specified, to the effect that such lease shall not be lapsed:
Provided further that the State Government may, on an application made by the lessee
within a period of six months from the date of its lapsing and on being satisfied that such
stoppage of mining operation was due to reasons beyond the control of the lessee, revive the
lease within a period of three months from the date of receiving the application from such
prospective or retrospective date as it thinks fit, but not earlier than the date of lapsing of the
lease:
Provided also that no lease shall be revived for more than twice during the entire lease
period.

(9-a) Every application under sub-rule 9 shall be accompanied with a fee of rupees ten thousand.
 28

(10) The
lessee
shall
allow
reasona
ble
facilitie
s of
access
to other
bonafid
e
concess
ionaires
.
(11) The
lessee
shall
not
carry
on or
allow
to be
carried
on,
any
mining
operati
on at
any
 29

point within a distance of —

(a) one hundred meters from any Railway line, except in accordance with the
written permission of the Railway Administration concerned and in ease of
National Highway, State Highway, monuments, heritage sites or any reservoir;
except in accordance with the previous permission of the Collector.
(b) fifty meters from any tank, canal, road, other than National or State Highway or
other public works or buildings or inhabited sites except in accordance with the
previous permission of the Collector.
(12) The Railway Administration or the Collector, as the case may be, may grant
permission as required under clause (a) or (b) of sub-rule (11) on such conditions as may be
specified.
(13) The State or Central Government shall have the right to construct any road, railway
or canal or reservoir or to lay electric or telephone lines in or over the lands held under the lease:

Provided that the lessee shall be given at least thirty days prior notice before the right
is exercised and the area thus utilized shall be excluded from the area held under the lease.
(14) The lessee may erect on the area granted to him any building and structure required
for the purpose of mining operations, without violating any lawful orders issued by the officer or
authority competent to issue such orders.
(15) The lessee shall, at his own expense, erect and at all times maintain and keep in
good condition boundary marks and pillars necessary to delineate the leased area.
(16) The lessee shall obtain permission of the Competent Authorities of the Forest
Department, Odisha to carry on any operations in forest areas.
(17) The lessee shall abide by the provisions of all laws for the time being in force,
relating to the working of mines and matters affecting the safety, health and convenience of the
persons employed for mining and of the public and he shall also obey all existing laws of way,
water and other easements and shall not use power cutter and other machinery in laterite
quarries.
(18) The lessee shall keep correct accounts of specified minor minerals mined and
dispatched and shall furnish a monthly and a half-yearly return in Form-J and annual return in
Form-K to the Deputy Director or the Mining Officer having jurisdiction and also to the Director.
(19) The lessee shall afford reasonable facilities for inspection of the mines, accounts and
records pertaining to the mining operation to the Competent Authority and Director or any other
officer authorized by any of them and such officer may issue directions to prevent wasteful
extraction of minerals and to ensure observance of the provisions of rules and specify the time
limit within which the directions shall be complied with.
(20) If the lessee does not allow the inspecting officer reasonable facilities for inspection
or fails to comply with the directions within the specified time-limit not exceeding sixty days,
 30
the Competent Authority may forfeit the whole or part of the security deposit paid by the lessee
or impose penalty not exceeding rupees fifty thousand and may cancel the lease and forfeit the
security deposit.
(21) The lessee shall report about all accidents involving injury or loss of life or loss or
damage to property forthwith to the Collector of the District and the Director.
(22) If any Government dues payable under the lease deed remain unpaid for one month
beyond the date fixed in the lease deed for such payment, the Competent Authority or any
officer authorized by him may enter into the leased area and seize all or any of the specified
minor minerals or other movable properties and may dispose of such seized minor minerals or
properties towards sufficient satisfaction of the Government dues and all costs and expenses
occasioned by the non-payment thereof and if any such government dues remain unpaid over
two months beyond the date fixed in the lease deed for such payment, the Competent
Authority may determine the lease and take possession of the leased area on re-entry without
prejudice to such action as may be taken under the provisions of the Odisha Public Demands
Recovery Act, 1962 for recovery of such dues.
(23) The Controlling Authority shall have the right to pre-emption at current market rates
over all specified minor minerals extracted or collected by the lessee and shall be indemnified by
the lessee against the claims of any third parties in respect of such minerals.
(24) The lessee shall remove all specified minor minerals extracted before the end of the
lease period or its determination, if it is determined earlier, and all other materials and structures
within such reasonable period not exceeding two months or as the Competent Authority may
allow.
(25) All minor minerals, machineries, buildings and other structures, left in the leased
area after the date-line fixed or time allowed by the Competent Authority shall be deemed to be
the property of the Government and such property may be disposed of by public auction and the
sale proceeds shall be credited to the Government account.
(26) If any minor mineral not specified in the lease is discovered in the leased area, the
lessee shall report it forthwith to the Competent Authority and the Director and the lessee shall
not win or dispose of any such minor mineral unless such minor mineral is included in the lease
or a separate prospecting license-cum-mining lease or mining lease or quarry lease, as the case
may be, is granted in favour of the lessee.
(27) If he fails to apply for a prospecting license-cum-mining lease or mining lease or
quarry lease, as the case may be, to extract the newly discovered minor mineral within three
months from the date of discovery or if he declares his intention not to work upon the discovered
minor mineral, the State Government or the Competent Authority, as the case may be, may grant
prospecting license-cum-mining lease or mining lease or quarry lease in respect of that minor
mineral to any other person after observing the procedure prescribed under these rules for the
 31
purpose.
(28) If the mineral discovered is not a minor mineral, the lessee shall not be entitled to
any preference for the purpose of obtaining a lease for the new mineral, by reason only of the
lands being included in his earlier lease for extraction of minor mineral.
(29) If any mineral other than the minor minerals is found in the area in course of mining
operations for specified minor minerals, the lessee shall intimate in writing the fact to the
Competent Authority and the Director within thirty days of such discovery and the lease shall be
determined without payment of any compensation to the lessee.

(30) The lessee shall ensure proper maintenance of hill slopes so as to prevent major
erosion and observe all such safeguards as provided in the Mines Act, 1952, and the rules and
regulations framed thereunder.
(31) The lessee may dispose of waste materials generated in course of mining operations
for specified minor minerals on payment of royalty and other Government dues prescribed for road
metals including ballast-ordinary boulders, as the case may be.
(32) The lessee shall carry out mining activities with appropriate environmental
safeguards and shall take such steps for reclamation and raising of plantations in the lease area.
(33) The lessee shall keep the Government indemnified from any liabilities,
compensation, damage etc. arising out of his acts or omissions as a lessee during the subsistence
of the lease.
(34) The lessee shall submit all returns and notices to Director as provided under provisions
of the Granite Conservation and Development Rules, 1999 in respect of decorative stones and
for specified minor minerals other than decorative stones, as prescribed under these rules.
(35) The lessee shall not without any previous consent of the State Government –
(a) assign, sublet, mortgage, or in any other manner, transfer the mining lease, or any
right, title or interest therein; or
(b) enter into or make any agreement, contract or understanding whereby the
lessee will or may be directly or indirectly financed by any person or body of
persons other than the lessee.
(36) In case the lessee, selected through auction by the method of competitive bidding, is
a person other than the holder of prospecting license over the area, the lessee shall pay to the
holder of the prospecting license, the amount spent by the licensee for carrying out prospecting
operation before execution of mining lease.
(37) The lessee shall furnish financial assurance as specified under clause (vii) of sub-rule
(1) of rule 21 to the authorized officer in the form of a Bank Guarantee before approval of the
mining plan.
(38) All mineral transaction within the State in respect of specified minor minerals shall
be carried out as per the provisions of the Odisha Minerals (Prevention of Theft, Smuggling and
Illegal Mining and Regulation of Possession, Storage, Trading and Transportation) Rules, 2007.
(39) The owner, agent or manager of every mine shall send a notice in Form-L to the
 32
Government and the Director intimating of any change in the name of mine within thirty days of
such change:
Provided that no change in the name of owner of the mine shall be effected without prior
permission from the State Government.
(39A) The holder of a mining lease shall complete the detailed exploration (G1 level) and
prepare a detailed feasibility report conforming to United Nations Framework classification of
Mineral Reserves and Resources (UNFC) guidelines over the entire lease area within a period of
three years from the date of commencement of such mining lease.
(40) The State Government may impose such further conditions in the lease as it may
think necessary in the interest of mineral development and protection of environment.
 33

CHAPTER – IV
GRANT OF QUARRY LEASES

27. Grant of quarry lease:— (1) The area of the quarry lease shall be delineated and
notification inviting application(s) for grant of quarry lease(s) through auction including e-auction
shall be published in two daily newspapers, at least one of which shall be a State level and other
having wide publicity in the area, where the lease is located and such notification shall be
published at least fifteen days before the intended date of inviting applications and shall contain
the date and time within which applications shall be received. The State Government shall
prescribe the terms and conditions and procedure subject to which the e-auction shall be
conducted.
(2) The notice inviting applications for grant of quarry lease shall be issued by the
Competent Authority and shall specify the minimum guaranteed quantity of the minor mineral to
be extracted in a year by the applicant and the minimum amount of additional charge payable for
the same as determined under sub-rule (15).
(3) In case the mining plan or Environment Clearance for the proposed lease has been
obtained by the Competent Authority, this fact, along with the cost of obtaining thereof shall be
recoverable from the selected bidder which shall also be mentioned in the notice.
(4) Subject to other provisions of these rules for settlement of quarry lease, the intending
applicant may apply to the Competent Authority in a sealed cover for grant of quarry lease for
such area or areas in Form-M in triplicate accompanied by the following documents and
particulars, namely:—
(i) Treasury challan showing deposit of one thousand rupees (non-refundable)
towards the application fee;
(ii) An affidavit stating that no mining due payable under the Act and the rules made
thereunder, is outstanding against the applicant;
(iii) Proof of payment of earnest money equivalent to five percentum of the minimum
amount of additional charges specified in the notice and the amount of royalty,
both calculated on the basis of minimum guaranteed quantity for one whole year
for the minimum guaranteed quantity of minor mineral to be extracted in one full
year; and
(iv) Income Tax Return of previous financial year showing annual income for amount
not less than the amount of additional charge offered and the royalty payable for
the minimum guaranteed quantity for one whole year or Bank guarantee valid for
a period of eighteen months for the amount not less than the amount as above.
(5) Subject to the provisions of these rules, the quarry lease shall be granted in favour of
the applicant who has quoted the highest rate of additional charge:
 34

Provided that, if more than one applicant have quoted the highest rate of additional
charge, then the applicant shall be selected by draw of lots.
(6) The selected bidder shall be intimated by the Competent Authority within seven days
in Form-F about the selection and terms and conditions of the lease.
(7) Within fifteen days of such intimation, the selected bidder shall be required to convey
his acceptance of the terms and conditions and to deposit an amount which shall be calculated in
such a way that it shall be equivalent to one-fourth of the total amount of royalty and additional
charge and the amount of contribution payable to the District Mineral Foundation on the annual
minimum guaranteed quantity, taken together, reduced by the amount of earnest money, which,
along with the earnest money, shall be held as interest-free security deposit.
(8) The selected bidder shall also deposit the costs of obtaining the mining plan and
environmental clearance approvals, in case those have been obtained by the Competent Authority
(non-refundable) before executing the lease deed.
(9) In the event of default by the selected bidder, the Competent Authority may issue
intimation as specified in sub-rule (6) to the next highest bidder who shall then be required to
convey his acceptance and to make the security deposit calculated in the manner mentioned in
sub- rule (7).
(10) If the second highest bidder has quoted unusually low price in comparison to the
highest bidder of the same source or other sources in the vicinity, the competent authority may
bring it to the notice of the Controlling Authority, who after proper verification and with due
justification may cancel the bid and direct for fresh auction.
(11) If the second highest bidder does not convey the acceptance within the time
stipulated for such acceptance, or if the Controlling Authority has cancelled the bid under sub-
rule (10), fresh notice inviting application for grant of quarry lease shall be issued with the
approval of the next higher authority.
(12) Immediately after compliance of the foregoing provisions by the selected bidder, the
earnest money of the unsuccessful bidders shall be refunded and the bank guarantees, if any,
furnished by them, shall stand discharged.
(13) The selected bidder shall be required to execute quarry lease in Form-N within three
weeks from the date of intimation of his selection, if the approval of the mining plan and
environment clearance has been obtained before auction, and in other cases, three months from
the date of intimation, failing which, the intimation shall stand cancelled and the security deposit
shall stand forfeited:

Provided that the Controlling Authority may, for genuine and sufficient reasons, extend
the said period, if it is satisfied that the delay in execution of lease deed is not due to reasons
attributable to the selected bidder.
(14) Security deposit shall be refunded after expiry of the lease period if the lessee has
 35
fulfilled all conditions of lease and in case of violation of any of the conditions of lease, the
security deposit shall be forfeited in whole or in part by the Competent Authority.
(15) The minimum amount of additional charge to be quoted shall be such as the
Competent Authority, in consultation with the Controlling Authority, decide and specify in the
notice inviting applications for grant of quarry lease:
Provided that the minimum amount of additional charge so fixed should not be less than
5% of the rate of royalty.
(16) The Controlling authority as defined in Schedule-III shall have power to cancel the
bid duly recording the reasons thereof, if he is not satisfied with the publicity, participation of
bidders and amount of additional charge quoted.
(17) Where the lessee, who has quoted the highest rate of additional charge, dies after
deposit of the amount specified under rule 42 or after execution of lease deed by him, such
deposit or deed shall be deemed to have been made or executed by the legal heir or legal
representative, if they so like.
28. Mining plan as a pre-requisite to the grant of quarry lease: — (1) No quarry lease
shall be granted by the Competent Authority unless there is a mining plan prepared by the
recognized person and duly approved by the authorized officer for the development of the
mineral deposits in the area concerned.
Provided that the recognized person shall not charge any amount in excess of the ceiling
on fees specified by the Director.
(2) The Competent Authority may cause the mining plan to be prepared and approved.
(3) In case the approval under sub-rule (2) has not been obtained by the Competent
Authority, the selected bidder shall cause a mining plan to be prepared from a recognized person
and approved by the authorized officer having jurisdiction.
(4) The recognized person shall prepare the mining plan in Form-O within thirty days
from the date of receipt of communication from the selected bidder or Competent Authority and
submit the same to the authorized officer for approval.
(5) The authorized officer shall, after receipt of the mining plan from the recognized
person, approve the same within thirty days from the date of receipt of the mining plan or its
modification (s), if any, desired by him.

(6) The mining plan for quarry lease shall contain,—

(i) the plan of area showing the nature and extent of the mineral body, spot or spots
where the mining operations are proposed to be carried out by the applicant;
(ii) details of mineral reserve of the area;
(iii) the extent of manual mining or mining by the use of machinery and mechanical
devices on the area;
(iv) the plan of the area showing natural water course, limits of reserve and other
 36
forest areas and density of trees, if any, assessment of impact of mining
activities on forest, land surfaces in the vicinity of the spot of mining, details of
the scheme of restoration of the area by afforestation, if required, land
reclamation and use of pollution control devices;
(v) annual programme and plan for excavation on the area; and
(vi) a progressive mines closure plan.
(7) The selected bidder shall bear the cost for preparation of the mining plan.
(8)A holder of a quarry lease desirous of seeking modification in the approved mining
plan for quarry lease as considered expedient in the interest of safe and scientific mining,
conservation of minerals, or for the protection of the environment, shall apply to the authorized
officer, setting forth the intended modifications and explaining the reasons for such
modifications.
(9)The authorized officer may approve the modifications under sub-rule (8) within a
period of thirty days from the date of receipt of the application.
(10) The modification of the mining plan for quarry lease shall remain valid for the
remaining period of the quarry lease.
29. Environment clearance for grant of quarry lease: –
(1)No quarry lease for minor minerals other than the specified minor minerals shall be
granted without the approval of the appropriate authority under the provisions of
the Environment (Protection) Act, 1986.
(2) The Competent Authority may apply for and obtain the environmental clearance.
(3) In case the clearance under sub-rule (2) has not been obtained by the Competent
Authority, the selected bidder shall obtain the environmental clearance before
executing the lease deed.
(4) The lessee shall be responsible for obtaining environment clearance and
implementing the environment management plan.
30. Grant of quarry lease for river bed sand mining: — (1) In case of grant of quarry
leases for river bed sand mining, specific river stretches shall be identified and quarry lease shall
be granted stretch wise.
 37

(2) The depth of the quarry shall be restricted to three meters or water level, whichever is
less.
(3) The Competent Authority, in consultation with the local official not below the rank of
Assistant Engineer of Water Resources Department shall work out appropriate safety zone taking
into account the structural parameters, locational aspects, flow rate etc. for carrying out mining
operation in proximity with any bridge or embankment.
(4) No mining operation shall be carried out in the safety zone so worked out.
31. Adoption of cluster approach in small quarries:— (1) Individual quarries covering
an area less than five hectares and in total not more than one hundred hectare in a development
block may be clubbed and declared as cluster by the Competent Authority.
(2) For a cluster of mineral concession, an environment management plan shall be got
prepared by the Competent Authority and submitted to the appropriate authority authorized to
grant the environmental clearance under the provisions of the Environment (Protection) Act,
1986.
(3) After obtaining environmental clearance for the entire cluster of sources, the whole
source may be leased out as a single source or individual sources within a cluster may be leased
out separately, as will be decided by the Competent Authority. However, the terms and
conditions provided in the environmental clearance have to be obeyed by all the lessees.
32. Liability for payment of royalty, dead rent, surface rent, additional charge, amount
of contribution payable to the District Mineral Foundation, amount of contribution payable to
the Environment Management Fund:—
(1) All the lessees for minor minerals other than specified minor minerals shall be liable
to pay royalty or dead rent, surface rent, additional charge, amount of contribution payable to the
District Mineral Foundation, amount of contribution payable to the Environment Management Fund
and fees for compensatory afforestation.
(2)The lessee shall pay to the State Government every year dead rent and surface rent at
the rates specified in Schedule-I for all the areas included in the lease deed and royalty at the rates
specified in Schedule-II:
Provided that the rates specified in Schedule-I and Schedule-II may be revised by the
Government, from time to time, by an amendment made to the said Schedules, but no revision
shall be made before the expiry of three years from the date when the rates were last fixed:
Provided further that where the lessee becomes liable for payment of royalty for any
minor mineral removed or consumed by him or his agent, manager and employees or the
contractor from the leased area, he shall be liable to pay either such royalty or the dead rent
whichever is higher.
(3) In addition to the surface rent, dead rent or royalty, as the case may be, the lessee
shall be liable to pay additional charge, amount of contribution payable to the District Mineral
 38

Foundation and an amount of contribution payable to the Environment Management Fund in

advance, on annual basis on the minimum guaranteed quantity of minor minerals even if the
actual extraction falls short of such quantity.
(4) In case the actual extraction exceeds the minimum guaranteed quantity, such mineral
may be removed from the lease area only after payment of royalty, additional charge, amount of
contribution payable to the District Mineral Foundation and an amount of contribution payable to
the Environment Management Fund on pro-rata basis.
(5) The royalty, additional charge, amount of contribution to the District Mineral
Foundation and amount of contribution payable to the Environment Management Fund for the
period up to commencement of the next year shall be paid on a pro-rata basis before the execution
of lease deed.
(6) For the purpose of determination of minimum guaranteed quantity in the cases where
the lease has been executed on or after the 1st April, the minimum guaranteed quantity for the
first financial year shall be equal to the minimum guaranteed quantity divided by twelve and
multiplied by the number of months remaining in the first year of the lease, treating part of any
month as full month.
(7) The lessee shall pay, in addition to the surface rent, dead rent or royalty, additional
charge, amount of contribution payable to the District Mineral Foundation and to the
Environment Management Fund, fees for compensatory afforestation at rates as may be specified
by the Government from time to time.
33. Conditions of quarry lease:— (1) The lessee shall pay to the State Government
surface rent before the execution of the lease-deed for the remaining period of the year and
thereafter pay such yearly rent on or before the 15th January of every year.
(2) The lessee shall pay dead rent for the remaining period of the year before the
execution of the lease deed and thereafter pay yearly dead rent on or before the 15th January of
every year and an account of the royalty payable by him shall be kept by the Competent
Authority and as soon as the royalty payable by him becomes equal to or in excess of the dead
rent already paid by him, he shall remove the minor minerals only after payment of the royalty
and in such cases advance dead rent paid by him shall be deemed to have been merged into the
amount of royalty he was liable to pay.
(3) The lessee shall pay to the Government, compensation for all damages, injuries or
disturbance which has been caused by him in the course of mining operation and shall indemnify
the Government against all claims which may be made by third parties in respect of such damage,
injury or disturbances.
 39

(4) The lessee shall commence quarrying operations within three months from the date of
execution of the lease deed which shall be carried on in a proper, skillful and workman-like
manner and the lessee shall send to the Director and Deputy Director or Mining Officer
concerned, under whose jurisdiction the area is located and to the Director of Mines Safety,
Bhubaneswar an intimation in Form H of the opening or reopening of the quarry so as to reach
them within a period of fifteen days from the date of such commencement.
(5) If the lessee does not work upon the quarry for a continuous period of six months, the
lease shall be liable to be cancelled, unless prior permission has been granted by the Competent
Authority for such stoppage on reasonable grounds:
Provided that the Competent Authority may, on an application made by the lessee before
it is cancelled and on being satisfied that it will not be possible for the lessee to undertake mining
operations or to continue such operations for reasons beyond his control, make an order within a
period of one month from the date of receiving such application and subject to such conditions as
may be specified to the effect that such lease shall not be cancelled.
(6) The lessee shall allow reasonable facilities of access to other concessionaires of major
and minor minerals, as may be directed by the competent authority.
(7) If any minor mineral not specified in the lease deed is discovered in the leased area,
the lessee shall report it forthwith to the Competent Authority and the Director and the lessee
shall not win or dispose of any such minor mineral unless such minor mineral is included in the
lease deed or a separate prospecting license-cum-mining lease or mining lease or quarry lease, as the
case may be, is granted in favour of the lessee. If he fails to apply for a prospecting license-cum-
mining lease or mining lease or quarry lease, as the case may be, to extract the newly discovered
minor mineral within three months from the date of discovery or if he declares his intention not to
work upon the discovered minor mineral, the State Government or the Competent Authority, as
the case may be, may grant prospecting license-cum-mining lease or mining lease or quarry lease
in respect of that minor mineral to any other person after observing the procedure specified under
these rules for the purpose:
Provided that, if the mineral discovered is not a minor mineral, the lessee shall not be
entitled to any preference for the purpose of obtaining a lease for the new mineral, by reason only of
the lands being included in his earlier lease for extraction of minor mineral.
(8) The lessee shall not carry on or allow to be carried on, any quarrying operation at any
point within a distance of:—
(a) one hundred meters from any Railway line (except under and in accordance with
the written permission of the Railway Administration concerned) and in case of
 40

National Highway, State Highway, monuments, heritage sites, or any reservoir;

except in accordance with the previous permission of the Collector.
(b) fifty meters from any tank, canal, road(other than a National or State Highway
or other public works or buildings or inhabited sites), except under in
accordance with the previous permission of the Collector.
(9) The Railway Administration or the Collector, as the case may be, may grant such
permission as required under clause (a) or (b) of sub-rule (8) on such conditions as may be
specified.
(10) The State or Central Government shall have right to construct any road, railway or
canal or reservoir or to lay electric or telephone lines in or over the lands held under the lease:
Provided that the lessee shall be given at least sixty days prior notice before the right
is exercised and the area thus utilized shall be excluded from the area held under lease.
(11) The lessee, with prior written permission of the competent authority, can erect at his
own cost, temporary structures including buildings required for the purpose of quarrying
operation within the leased area, without violating any law or obstructing any natural flow,
community access or without causing damage to any embankment or public property, which shall
be dismantled by the lessee at his own cost on completion of the lease term or on determination
of the lease. The competent authority can pass orders to dismantle such structures if found erected
illegally or causing damage to public.
(12) The lessee shall, at his own expense, erect and at all times maintain and keep in good
condition boundary marks and pillars necessary to delineate the leased area.
(13) The lessee shall obtain permission of the competent authorities of the Forest
Department, Odisha to carry on any operation in forest area.
(14) The lessee shall abide by the provisions of all laws for the time being in force,
relating to the working of quarries and matters affecting the safety, health and convenience of the
persons employed for quarrying and of the public and he shall also obey all existing laws of way,
water and other easements and shall not use power cutters and other machinery in case of laterite
quarries.
(15) The lessee shall keep correct accounts of minor minerals other than specified minor
minerals quarried and dispatched and shall furnish a quarterly return in Form-P and annual return
in Form-K to the Competent Authority and the Director.
(16) The lessee shall afford reasonable facilities for inspection of the quarries, accounts
and records pertaining to quarrying operation, to the Competent Authority and Director or any
other officer authorized by any of them and such officer may issue directions to prevent wasteful
extraction of minerals and to ensure observance of the provisions of rules and specify the time
limit not exceeding sixty days within which the directions shall be complied with.
 41

(17) If the lessee does not allow the inspecting officer reasonable facilities for inspection
or fails to comply with the directions within the specified time limit, the Competent Authority
may forfeit the whole or part of the security deposit paid by the lessee or impose penalty not
exceeding rupees fifty thousand and may cancel the lease and forfeit the security deposit.
(18) The lessee shall report about all accidents involving injury or loss of life or loss or
damage to property forthwith to the concerned Competent Authority and Collector of the District.
(19) If any Government dues payable under the lease deed remain unpaid for one month
beyond the date fixed in the lease deed for such payment, the Competent Authority or any officer
authorized by him may enter into the leased area and seize all or any of the minor minerals or
other movable properties and may dispose of such seized minor minerals or properties towards
sufficient satisfaction of the Government dues and all costs and expenses occasioned by the non-
payment thereof and if any such government dues remain unpaid over two months beyond the
date fixed in the lease agreement for such payment, the Competent Authority may determine the
lease, and take possession of the leased area on re-entry without prejudice to such action as may
be taken under the provisions of the Odisha Public Demands Recovery Act, 1962 for recovery of
such dues.
(20) The Controlling Authority shall have the right to pre-emption at current market rates
over all minor minerals extracted or collected by the lessee and shall be indemnified by the lessee
against the claims of any third party in respect of such minerals.
(21) The lessee shall remove all minor minerals extracted before the end of the lease
period or of its determination, if it is determined earlier, and all other materials and structures
within such reasonable period not exceeding two months or as the Competent Authority may
allow.
(22) All minor minerals, materials, machineries, buildings and other structures, left in the
leased area after the date-line fixed or time allowed by the Competent Authority shall be deemed
to be the property of the Government and the Competent Authority may dispose of such property
by public auction and the sale-proceeds shall be credited to Government account with the
approval of Controlling Authority.
(23) If any mineral other than minor mineral is found in the area in course of quarrying
of minor minerals, the lessee shall intimate in writing the fact to the Competent Authority and the
Director forthwith and the lease shall be determined without payment of any compensation to the
lessee.
(24) The lessee shall ensure proper maintenance of hill slopes so as to prevent major
erosion and observe all such safeguards as provided in the Mines Act, 1952 and the rules and
regulations framed thereunder from time to time.
 42

(25) The lessee shall carry out quarrying operation with appropriate environment
safeguards and shall take such steps for reclamation and raising of plantations in the lease area in
line with the prescriptions under rules 29 to 37 of the Granite Conservation and Development
Rules, 1999.
(26) The lessee shall keep the Government indemnified from any liability, compensation
damage etc., arising out of his acts or omissions as a lessee during the subsistence of the lease.
(27) No rejected/off grade major mineral shall be removed on payment of royalty as minor
mineral, under this rule.
(28) The Competent Authority may include such other conditions in the lease deed with
the approval of the Controlling Authority.
(29) The lessee shall abide by the provisions of the Mines Act, 1952 and rules and
regulations framed thereunder, the Explosives Act, 1884 and rules made thereunder for
development of the source of minor minerals in workman like manner and for avoidance of any
danger arising out of such winning of minor mineral.
 43

CHAPTER – V
GRANT OF QUARRY PERMITS
34. Application for quarry permit:— An application for grant of quarry permit shall be
made to the Competent Authority in Form-Q and shall be accompanied by:–
(a) treasury challan showing deposit of rupees two hundred (non-refundable)
towards application fee;
(b) description of the land shown in a plan from which the mineral is to be extracted
and removed;
(c) consent of the owners of the land, if a private land permitting diversion of his
land for extraction of minor mineral is proposed to be removed; and
(d) an undertaking by the applicant to the effect that he agrees to abide by the
conditions governing extraction and removal of minor minerals under a quarry
permit:
Provided that no quarry permit shall be granted to anybody other than the State Agencies
or Project Proponents for public purposes.
Explanation I.-“State Agency” shall mean any Department of the State or Central
Government or company or corporation under the control of the State
or Central Government and shall include any Government organization
as defined in sub-rule (3) of rule 39.
Explanation II. - “Project Proponent for public purposes” shall mean any person or
firm or company executing any Government project and shall include
schematic beneficiaries under Government scheme like IAY, RAY etc.
35. Authority to grant quarry permit:— (1) The Competent Authority or any officer
authorized by him may grant quarry permit in Form-R for extraction and removal from any
specified land, any minor mineral not exceeding five thousand cubic meters under any one permit
on payment of dues such as surface rent and royalty calculated at the rates specified in Schedule-I
and Schedule-II, additional charge and compensatory afforestation fees, contribution to District
Mineral Foundation and Environmental Management Fund, as prescribed, in advance.
Provided that the Competent Authority may grant quarry permit in excess of one thousand
cubic meters for any minor mineral when used for public work.
(2) If the application is rejected, the Competent Authority shall inform the applicant,
stating the reasons of such rejection.
(3)The Additional charge provided under sub-rule (1) will be the average of highest bid price
received and executed in respect of five nearest sources of the same minor mineral during last three to
five years in the same Tahasil or nearby Tahasil of the same District or the nearby Districts.
 44
36. Duration of quarry permit:—The period of quarry permit shall be as per the project
period and shall be usually for three (3) months which can be extended up to one year or more by
the competent authority not exceeding the project period relating to which the permit has been
granted. In case of extension of the project period the permit can be re-issued by the Competent
Authority for the extended period.

37. Conditions of quarry permit:— (1) The holder of a quarry permit shall obey the
following conditions, namely:—
(a) The depth of the quarry below the surfaces shall not exceed six meters;
(b) The quarry permit shall be non–transferable;
(c) Minor mineral, other than that for which quarry permit has been granted, shall not
be excavated or removed without prior approval of the Competent Authority;
(d) If any mineral other than minor mineral is found during quarrying operations, the
holder of the quarry permit shall report the matter to the Competent Authority and
the Director forthwith and the quarry permit shall be determined without payment
of any compensation to the holder of the quarry permit;
(e) The holder of the quarry permit shall maintain complete and correct accounts of the
minor mineral excavated and quantity removed from the area;
(f) The holder of the quarry permit shall immediately report all accidents to the
Competent Authority and the Collector of the district;
(g) The holder of the quarry permit shall have no right over the quarried material and
other properties lying in the permit area after expiry of the validity of the quarry
permit;
(h) The holder of the quarry permit shall not undertake any operation in forest area
without obtaining the permission from the Competent Authority of the Forest
Department, Odisha;
(i) The permit holder of the quarry permit shall not carry on the quarrying operation
within a distance of fifty meters from any public roads, public buildings, temples,
reservoirs, dams, burial grounds, railway track monuments, heritage sites, etc. and
shall not cause any damage to any public and private properties.
(2) The holder of the quarries shall allow the Director, Controlling Authority and
Competent Authority or any officer authorized by any of them to inspect the quarrying operations
and to check the accounts and verify the details of dispatches from the registers maintained by
him.
(3 )If any minor mineral is removed in excess of the quantity permitted, such material
shall be confiscated and the holder of the quarry shall be liable for punishment under the
provisions of the Indian Penal Code 1860, Act and these rules.
 45
(4) As soon as removal of the mineral granted under the permit is completed, the holder of
the quarry permit shall surrender the permit to the Competent Authority and furnish the
particulars of permit contained in Form-S indicating the quantities of minor minerals removed
and other information as may be required by the Competent Authority.
38. Register of quarry permit:—The Competent Authority shall maintain a register of
quarry permits in Form-T.
 46

CHAPTER – VI
SPECIAL PROVISIONS FOR GOVERNMENT ORGANISATIONS
39. Reservation of mines for Government organizations:— (1) Notwithstanding anything
contained in these rules, the State Government may, by a written order, reserve any area for
prospecting operation or mining operation or quarrying operation by a Government organization,
subject to such terms and conditions as may be specified in the said order.
(2) Upon such reservation, prospecting license-cum-mining lease or mining lease or a
quarry lease as the case may be, for the area so reserved, shall be granted to the Government
organization in whose favour the reservation has been made subject to such terms and conditions,
as may be decided by the Government.
(3) Government organization, for the purpose of these rules, shall mean Government, a
Corporation established by any Central, State or Provincial Act or a Government Company
within the meaning of Clause (45) of Section 2 of the Companies Act, 2013 and includes State
level apex cooperatives, such other agencies, authorities or organization controlled substantially
by the Government, as may be decided by the Government.
(4) The prospecting license-cum-mining lease or the mining lease, as the case may be,
granted under this rule shall be granted for a period not exceeding thirty years and may be
renewed for such period not exceeding twenty years at a time, as may be decided by the
Government.
(5) The lessee, to whom a lease has been granted under this rule, shall pay to the
Government all amounts payable by a lessee under these rules and such additional charges as may
be decided by the Government from time to time.
 47

CHAPTER – VII
MISCELLANEOUS
40. Status of grant on death of applicant for prospecting license-cum-mining lease or
mining lease or quarry lease:— (1) Where a successful bidder, for grant of prospecting license-
cum-mining lease or mining lease or quarry lease, dies before the order of such grant is passed,
such order shall be passed in the name of his legal heir or representatives.
(2) Where a successful bidder, in respect of whom an order granting a prospecting license-
cum-mining lease or mining lease or quarry lease is passed, dies before the lease deed is
executed, the order shall be deemed to have been passed in the name of legal heir or
representative of the deceased and such legal heir or representative shall have the right to execute
the deed required for the purpose.
41. Survey of the area licensed or leased:— Arrangement shall be made by the
Competent Authority at the expense of the grantee for survey and demarcation of the area granted
under prospecting license-cum-mining lease or mining lease or quarry lease, on receipt of fees for
the purpose at the rate of rupees one hundred per hectare or part thereof.
42. Security deposit:— The successful bidder shall deposit rupees one lakh for a
prospecting license-cum-mining lease, rupees two lakh for mining lease and ten thousand for
quarry lease before the deed is executed as security for due observance of the terms and
conditions of prospecting license-cum-mining lease, or mining lease, or quarry lease, as the case
may be.
43. Execution and registration of license or lease:— (1) A prospecting license-cum-
mining lease, mining lease and quarry lease shall be executed in its specified form as mentioned
in sub-rule (3) of rule 9, sub-rule (9) of rule 9, sub-rule (5) of rule 15 and sub-rule (13) of rule 27
respectively within three months of the order for granting such lease or within such further period as
may be allowed by the Controlling Authority.
(2) The date of commencement of the period for which a prospecting license-cum-mining
lease or mining lease or quarry lease is granted shall be the date on which a duly executed deed is
registered.
(3) If no deed for prospecting license-cum-mining lease or mining lease or quarry lease is
executed within the time specified, due to any default on the part of the selected bidder, the
Controlling Authority may revoke the grant order and forfeit the security deposit, if any.
(4) No minor mineral shall be extracted or removed before registration of the lease deed
except with prior approval of the Controlling Authority.
(5) The Director shall maintain register for prospecting license-cum-mining lease in
Form-U, for mining lease in Form-V and the Competent Authority shall maintain register for quarry
lease in Form-W.
 48

44. Submission of report and information to Indian Bureau of Mines:— The holder of
prospecting licensee-cum-lessee or the holder of a mining lease for decorative stone shall furnish
to the Indian Bureau of Mines, all reports, returns and information, in respect of the areas as
specified under the Granite Conservation and Development Rules, 1999.
45. Transfer of license or lease:— (1) Where a prospecting license-cum-mining lease or
mining lease or quarry lease has been granted, the holder thereof may transfer the same in the
manner mentioned hereinafter.
(2) Any transfer as mentioned in sub-rule (1) may be made with prior approval of the
Controlling Authority, to any person eligible to hold a prospecting license-cum-mining lease or
mining lease or quarry lease in accordance with the Act and these rules, subject to the following
conditions, namely:—
(i) The transfer shall be valid only for the unexpired portion of the validity of the
prospecting license-cum-mining lease or mining lease or quarry lease, as the case
may be.
(ii) The transferee shall make a fresh security deposit himself for the purpose of
transfer.
(iii) The Controlling Authority shall not give the approval for such transfer of the
prospecting license-cum-lease or mining lease or quarry lease unless the
transferee has accepted all the conditions and liabilities, which the transferor was
having in respect of such prospecting license-cum-mining lease or mining lease
or quarry lease, as the case may be:
Provided that prior approval of the Controlling Authority shall not be necessary, if the
prospecting license-cum-mining lease or mining lease or quarry lease is mortgaged to a
Nationalized Bank or Government Industrial Corporation or Government Financial Corporation
or Government Financial Institutions to obtain financial assistance, and such period of mortgage
shall be co-terminus with the period of prospecting license-cum-mining lease or mining lease or
quarry lease and right of the State Government to collect Government dues from the lessee shall
be the first charge on the mortgaged property.
(3) A transfer deed for the prospecting license-cum-mining lease or mining lease or quarry
lease, in a form as near to the original executed deed as possible, shall be executed within three
months from the date of approval of the Controlling Authority registered under the Registration
Act, 1908.
(4) The Controlling Authority may, by an order in writing, terminate any prospecting
license-cum-mining lease or mining lease or quarry lease, as the case may be, at any time if the
lessee has transferred any lease or any right, title or interest therein otherwise than in accordance
with sub-rule (2).
 49

46. Procedure for filing appeal:— (1) Any person aggrieved by an order of the
Competent Authority, may, within one month form the date of communication of the order, prefer
an appeal in Form-X against such order, to the Conservator of Forest, if the order is passed by the
Divisional Forest Officer, to the Deputy Director, if the order is passed by the Mining Officer, to
the Director, if the order is passed by the Deputy Director and to the State Government in the
Department of Steel and Mines, if the order is passed by the Director:
Provided that in case of matters related to specified minor minerals, the State Government
may review its order on receipt of review petition from any aggrieved person or suo moto within
ninety days of communication of such order and correct or modify their order.
(2) No appeal shall be admitted unless the amount, if any, assessed in accordance with the
provisions of these rules as per the orders, has been deposited.
(3) The Appellate Authority mentioned under sub- rule(1) may call for relevant records
and other information from the concerned authority and may, if considered necessary, stay the
operation of the order of the authority in any particular case till the appeal is finally disposed or
until further orders are passed, as the case may be.
(4) Every application for appeal shall be accompanied by a non-refundable fee of rupees
one thousand.
(5) In the event of any dispute relating to the area, conditions, the dues payable or any
other matters under the prospecting license-cum-mining lease or mining lease or quarry lease executed
for the purpose, the suits or appeals shall be filed only in the civil courts in whose jurisdiction
such area falls.
47. Interest on delayed payment:— If the holder of prospecting license-cum-mining lease
or mining lease or quarry lease fails to make payment of royalty, rent, fee or any sum payable by
him under these rules within the due time, simple interest at the rate of twenty four percentum per
annum on such dues shall be charged until payment of such dues is made.
48. Disposal of minor mineral:—Any minor mineral won illegally and seized, or deemed
to be property of the Government after expiry or termination of prospecting license-cum-mining
lease or mining lease or quarry lease or won in course of executing public work, shall be disposed
of through public auction including e-auction by the authority competent for grant of permit as
specified in Schedule-IV and in accordance with the provisions of the Code of Criminal
Procedure, 1973.
49. Environment Management Fund:— (1) The Environment Management Fund shall
be created at the State level for reclamation, and rehabilitation of mined out areas of minor
minerals and conservation of environment thereof.
 50

(2) An amount equal to five percentum of the royalty payable shall be collected from the
lessee and shall be paid to the Environment Management Fund in such manner, as may be
specified in the notification, issued by the Government and such amount shall be realized along
with the royalty.
(3) The Environment Management Fund shall be utilized for following objects, namely:—
(i) restoration;
(ii) repair, reclamation and rehabilitation work required to be undertaken for
adjoining or external damage, outside the quarry, caused by mining activities:
Provided that any casualty by the lessee due to his negligence or non-compliance
of conditions made in the lease deed shall be compensated or rehabilitated by the
lessee;
(iii) provision of common facilities for the benefit of community in and around the
areas where mining activities are undertaken;
(iv) development of infrastructure facilities for orderly growth of the mining
operations and allied activities e.g. roads, stone crusher estates, water supply etc;
(v) funding of the studies commissioned or activities related to the mining sector e.g.
survey, exploration and prospecting operation of minerals, procurement of
equipment and machinery required to support such activities;
(vi) education, awareness and training of the lessees and the Staff of the Department
through field visits and exposure to the best mining practices;
(vii) funding of expenditure incurred on implementation of any scheme of incentives
that the Government may frame for recognition and awards for scientific mining
operation undertaken with the highest regard to mineral conservation,
rehabilitation measures, along with environment safeguards and other measures;
and
(viii) any other objects which the Government may consider appropriate.
(4) The Environment Management Fund shall be managed by such officer, authority or
organization as may be specified in the notification issued by the Government.
50. Revenue assessing authority:— The assessment and demand of rents, royalty, fee or
any such due payable under these rules shall be made by the Deputy Director or Mining Officer
or Divisional Forest Officer having jurisdiction.
51. Penalties:— (1) (i) Whenever any person is found extracting or transporting any
minor mineral or on whose behalf such extraction or transportation is being made otherwise than
in accordance with these rules, shall be presumed to be a party to the illegal extraction or removal
of such minor minerals and every such person shall be punishable with simple imprisonment for a
term which may extend to two years or with fine which may extend to five lakh rupees or with
both and in case of a continuing contravention, with an additional fine which may extend to
 51
five
 52

thousand rupees for every day during which such contravention continues after conviction for the
first such contravention.
(ii) The Director or Joint Director or Deputy Director or Mining Officer or Senior
Inspector of Mines or Divisional Forest Officer or Assistant Conservator of Forest
or Range Officer or Police Officer not below the rank of Sub-Inspector of Police
may seize the minor minerals and its products together with all tools, equipments
and vehicles used in committing such offence within their respective jurisdiction.
(iii) No court shall take cognizance of any offence punishable under these rules except
upon complaint in writing made by such officer or authority mentioned under
clause
(ii) of this sub-rule having jurisdiction.
(iv) Where the offender agrees in writing to compound the offence punishable under
these rules, the Deputy Director or Mining Officer or Divisional Forest Officer,
within their respective jurisdiction, shall, either before or after filing the complaint,
compound the offence on payment of such sum, as determined by the officers
mentioned under clause (ii), not exceeding the maximum amount of fine
prescribed under these rules and value of the mineral and other properties seized
and on payment of such fine and value, the seized mineral and properties shall be
released forthwith:
Provided that the accused shall be liable to furnish an undertaking or bond
to the effect that he shall not commit such offence in future:
Provided further that, in case the offender fails to pay the value of mineral
and any other property, such properties shall be confiscated to Government and
disposed of through public auction.
(v) Where an offence under these rules is compounded, no proceeding or further
proceeding, as the case may be, shall be initiated against the offender in respect of
the offence so compounded and the offender, if in custody, shall be released
forthwith.
(vi) If no person claims the mineral and other property, if any, so seized within a period
of thirty days, the authority competent to compound the offence may confiscate the
same to the State and dispose of the same through public auction.
(2) Whenever any person trespasses into any land in contravention of the provisions of
these rules, such trespasser may be served with an order of eviction by Deputy Director or
Mining Officer or Assistant Mining Officer or Divisional Forest Officer or Assistant Conservator
of Forest or Range Officer within their respective jurisdiction and
 53

such Government Officer, if necessary, may obtain the help of the police to evict the trespassers
from the land.
(3) Any mineral, tool, equipment, vehicle or any other things seized under these rules in
respect of which complaint has been filed under clause (iii) of sub-rule (1), shall be liable to be
confiscated by an order of the court competent to take cognizance of the offence and shall be
disposed of in accordance with the directions of such court.
(4) Whenever the person wins, without any lawful authority, any mineral from any land,
the Mining Officer or Deputy Director or Divisional Forest Officer, as the case may be, may
recover from such person the mineral so won, or, where such mineral has already been disposed
of, the price thereof, and may also recover from such person, rent, royalty or tax, as the case may
be, for the period during which the land was occupied by such person without any lawful
authority.
(5) If the person committing an offence under these rules is a company, every person,
who at the time the offence was committed, was in charge of and was responsible to the company
for the conduct of business of the company, shall be deemed to be guilty of the offence and shall
be liable to be proceeded against and punished as per the provisions of the Act and these rules:
Provided that nothing contained in this sub-rule shall render any such person liable to any
punishment, if he proves that the offence was committed without his knowledge or that he
exercised all due diligence to prevent the commission of such offence.
(6) Notwithstanding anything contained in sub-rule (5), where an offence under these
rules has been committed with the consent or connivance of any Director, Manager, Secretary or
other officer of the company, such Director, Manager, Secretary or other officer shall be deemed
to be guilty of that offence and shall be liable to be proceeded against and punished accordingly.
Explanation: – For the purposes of this rule –
(a) “Company” means anybody, corporate and includes a firm or other
association of individuals;
(b) “Director” in relation to a firm means a partner in the firm.
(7) In case of breach of any condition of the lease deed, the Competent Authority may
give notice of sixty days to the lessee to rectify the defects within the time specified and if the
lessee fails to rectify the defects within the specified time, the Competent Authority may cancel
the lease and/or levy a penalty not exceeding rupees fifty thousand.
(8) In case of breach of any condition mentioned in rule 37 of these rules and other
conditions which the Competent Authority might have specified while granting a quarry permit,
the Competent Authority may impose a penalty which may extend to rupees five thousand per
day and in the event of continuing contravention, the Competent Authority may cancel the
permit and in
 54

such case the minerals lying on the land from which the same are extracted shall thereafter
become the property of the Government and be disposed of by public auction.
52. Payment of compensation to owner of surface rights etc.:— (1) The holder of a
prospecting license-cum-mining lease or mining lease or quarry lease shall be liable to pay to the
occupier of the surface of the land over which he holds the prospecting license-cum-mining lease
or mining lease or quarry lease, as the case may be, such annual compensation as may be
determined by an officer appointed by the State Government by notification in this behalf in the
manner provided in sub-rules (2) to (4).
(2) In the case of agricultural land, the amount of annual compensation shall be worked
out on the basis of the average annual net income from the cultivation of similar land for the
previous three years.
(3) In the case of non-agricultural land, the amount of annual compensation shall be
worked out on the basis of the average annual letting value of similar land for the previous three
years.
(4) The annual compensation referred to in sub-rule (1) shall be payable on or before the
1st July of every year.
53. Assessment of compensation for damage:— (1) After the termination of a lease, the
State Government shall assess the damage, if any done to the land by the prospecting or mining
or quarrying operations, as the case may be, and shall determine the amount of compensation
payable by the lessee, as the case may be, to the occupier of the surface land.
(2) Every such assessment shall be made within a period of one year from the date of
determination of the lease and shall be carried out by an officer appointed by the State
Government, by notification, in this behalf.
54. Search for mineral, document or thing:— If the Mining Officer or Deputy Director
or Assistant Mining Officer or Director or Joint Director or Deputy Director (Head Qrs.) or
Divisional Forest Officer or Assistant Conservator of Forest or Range Officer has reasons to
believe that any mineral has been won in contravention of the provisions of these rules or any
document or thing in relation to such mineral is kept in any place or vehicle, he may search for
such mineral, document or thing and the provisions of the Section 100 of the Code of Criminal
Procedure, 1973 shall apply to every such search.
55. Power to rectify apparent mistakes:—Any clerical or arithmetical mistake in any order
passed by the Government or any other authority under these rules and any error arising therein
from accidental slip or omission, may, within six months from the date of issue of the order, be
corrected by the Government or the authority, as the case may be:
Provided that no order prejudicial to any person shall be passed unless such person has
been given a reasonable opportunity of being heard.
 55

56. Removal of minor mineral from an area leased out for major mineral:— (1) If
any minor mineral is found in an area leased out for major mineral, the minor mineral can be
removed with permission of the Government in the Steel & Mines Department in the case of
specified minor minerals and with the permission of the concerned Deputy Director or the Mining
Officer in the case of other minor minerals, on payment of advance royalty and other dues
prescribed for the said minor mineral.
(2) In case of any doubt whether any particular mineral is a minor mineral or otherwise,
the matter shall be referred to the Director for the decision and in case of any doubt whether a
minor mineral can be used as decorative stone or for industrial and prescribed purpose or for
export, the Competent Authorities of the Steel & Mines Department and the Forest, Environment
& CC Department would obtain the specific views of the Government in Steel & Mines
Department.
57. Power of entry and inspection:— (1) The Controlling Authority, Competent
Authority or any officer authorized in this behalf, shall have the power to –
(a) enter and inspect any area granted under a prospecting license-cum-mining lease
or mining lease or quarry lease;
(b) survey and take measurements in any such workings;
(c) examine the registers showing the quantity of minor minerals extracted and
removed and other documents, records connected with grant of license-cum-lease
or lease or permit and order production of any or all such records and take extracts
from such documents, records and registers; and
(d) weigh and take measurements of the stocks of minor minerals lying in any quarry,
in the process of removal or transit.
(2) The Director or any officer authorized by him shall have the power to inspect any area
held under a prospecting license-cum-mining lease or mining lease or quarry lease so as to –
(a) ensure systematic, scientific and safe prospecting operation or mining operation;
(b) prevent extraction and removal of major minerals in the guise of minor mineral;
(c) ensure observance of rules and devices for storage and use of explosives, if any; and
(d) examine registers, documents, records and order production of any or all such
records and take extracts from such registers, documents, records connected with
grant of the lease.
(3) In case any deficiency is observed as a result of inspection conducted as per sub-rule
(2), the lessee shall be intimated, not to carry out any operation in the area under lease unless the
deficiencies are made good which shall be brought to the notice of the Competent Authority,
Controlling Authority or the Director, as the case may be by the Inspecting Officer.
 56

58. Miscellaneous:— (1) No holder of prospecting license-cum-mining lease or mining

lease or quarry lease or quarry permit or auction purchaser shall despatch any minerals from an
area without a valid transit pass in Form-Y issued by Competent Authority –
(a) the Deputy Director or Mining Officer having jurisdiction in case of specified
minor minerals; and
(b) the Competent Authority in case of other minerals.
(2) The transit pass should be printed and machine numbered in the Government Press
and supplied by the respective authority as aforesaid on payment of the cost thereof as fixed by
the Director of Mines with the approval of the Government.
(3) The Government may impose such restrictions on sale of minor minerals to places
outside the State as it may consider expedient in the public interest.
(4) No authority in charge of execution of public work shall pass any bill for
reimbursement of royalty paid on any minor mineral unless, the person claiming such
reimbursement produces the transit pass referred to in sub-rule (1).
(5) The provisions of sub-rule(2) shall apply mutatis mutandis to cases for any bill
claiming the reimbursement of the cost for purchase of any minor mineral and is submitted before
any authority in charge of execution of public work and such authority shall not pass the bill
unless the receipts of the amount so paid is produced.
Provided that in case the executant fails to produce transit pass and money receipt in
support of payment of royalty, the public works authority shall deduct the royalty and the cost of
mineral and remit it to Government account in the Government Treasury.
(6) Where an authority referred to in sub-rule (4) or sub-rule (5) is requested by a
Competent Authority or Controlling Authority to furnish information on quantity of minor
minerals supplied to him, he shall furnish such information without delay.
(7) The competent authority shall send an annual return in Form-Z showing mineral-wise
production and dispatch of minor minerals and the revenue earned there from to the Controlling
Authority and the Director to enable him to assess the total income derived by the State and to
furnish such information to the Indian Bureau of Mines.
(8) With a view to check illegal mining, transportation and storage of minor mineral, the
State Government may impose restrictions on such activity, if necessary, and may also issue
guidelines for the purpose.
59. Prospecting license-cum-mining lease or mining lease or quarry lease obtained in
contravention of the Act and rules:— Any prospecting license-cum-mining lease or mining
lease or quarry lease granted, renewed or acquired in contravention of the provisions of the Act or
any rules or orders made thereunder shall be void and of no effect.
 57

60. Action taken in good faith: — No suit, prosecution or other legal proceedings shall
lie against any person for anything which is, in good faith, done or intended to be done under
these rules.
61. Head of accounts for payments:—All payments made under these rules shall be
credited to the following Head of Account, namely:—
“0853-Non-ferrous Mining and Metallurgical Industries-102-Mineral Concession
Fees, Rents and Royalties-”
62. Recovery of the amount due to Government:—All dues payable to the Government
under these rules, if remain unpaid, shall be recoverable as an arrear of land revenue.
63. Refund of revenue:—Any amount paid in excess of the amount payable by the holder
of a prospecting license-cum-mining lease or mining lease or quarry lease or quarry permit under
these rules shall be refunded to him within the following financial year by the Competent
Authority with prior approval of the Controlling Authority.
Provided that the holder of a prospecting license-cum-mining lease or mining lease or quarry
lease or quarry permit under these rules claiming such refund shall submit an application for the
said refund to the Competent Authority within a period of six months from the date of such
excess payment failing which the prayer for refund of such excess payment shall not be
entertained.
Provided further that in case the holder of a prospecting license-cum-mining lease or
mining lease or quarry lease prays for refund of any excess payement made by him, the
Competent Authority may adjust such excess payment towards the dues payable by him during
subsequent period of mining/quarrying operations.

64. Power of the Government to relax the rules:—The Government may, in the interest
of mineral development, relax any of the provisions of these rules in deserving cases in such
manner as they deem proper.
65. Power to issue instructions: — The Government may issue instructions not
inconsistent with the provisions of the Act and these rules from time to time, with a view to
remove difficulties.
66. Transitory provisions:—(1) Notwithstanding anything contained in these rules, the
existing lessees of such of the specified minor minerals which were major minerals on the date of
coming into force of the Mines and Minerals (Development and Regulation) Amendment Act,
2015 (11 of 2015) shall be eligible for extension of the validity period of lease for such period
and subject to such conditions as provided in Section 8A of the Mines and Minerals
(Development and Regulation) Act, 1957.

(2) Notwithstanding anything to the contrary contained in these rules, the applicants for
mineral concessions in respect of such of the specified minor minerals, which were major
minerals on the date of coming into force of the Mines and Minerals (Development and
 58
Regulation)
 59

Amendment Act, 2015 (11 of 2015), and whose applications have remained eligible under the
provisions of the sub-section (2) of Section 10A of the Act, shall remain eligible for grant of
mineral concession for such period as prescribed under rule 8 of these rules subject to satisfaction of
conditions prescribed in sub-rule (13) of rule 4 of these rules.

(3) Notwithstanding anything to the contrary contained in the amended provisions, till
the new system is put in place, the existing arrangement would continue. The State Government
may take necessary steps for effective transition of minor minerals form Revenue & DM
Department to Steel & Mines Department.

67. Special provisions:—-Notwithstanding anything to the contrary contained in these

rules, the applicants who have been granted prospecting license or mining lease or quarry lease,
prior to commencement of these rules, shall be entitled to execute the deed of license, or as the
case may be, lease within the period specified in the grant order or within such further period as
may be allowed by the Controlling Authority.

68. Special Provisions relating to atomic minerals as specified in Part-B of the First
Schedule to the Act:- Notwithstanding anything contained in these rules the prospecting of
mining operations shall also be subject to the following conditions, namely:-

(a) If the holder of the prospecting license-cum-mining lease or mining lease, as the case
may be, discovers any atomic minerals in the area granted, the discovery of such
minerals shall be reported to the Director, Atomic Minerals Directorate for Exploration
and Research, Hyderabad and also to the concerned Competent Authority, within thirty
days from the date of discovery of such minerals;

(b) The licensee or the lessee, as the case may be, shall not win and dispose of such atomic
minerals and the same shall be dealt within the manner prescribed in the Rules made
under section 11B.

(c) The quantities of atomic minerals recovered incidental to such prospecting or mining
operations shall be collected and stacked separately and a report to that effect shall be
sent to the Director, Atomic Minerals Directorate for Exploration and Research,
Hyderabad and also to the concerned Competent Authority, every three months for
further action by such licensee or the lessee, as the case may be, or in such manner as
may be directed by the Atomic Minerals Directorate for Exploration and Research.

****
 60

FORM – A
[xxx]
 61

FORM - B
Form of Prospecting license
[See rule 9(3)]

THIS INDENTURE made this………..day of………….20…..between the

Governor of Odisha..................................(hereinafter called the “Lessor”) of the one part
and (Name of person)…………………………...of (address and occupation)
………………….. (hereinafter called the “licensee-cum-lessee” which expression shall
where the context so admits be deemed to include his heirs, executors, administrators,
assignees) of the other part.

WHEREAS, the licensee-cum-lessee has applied to the Competent Authority

concerned for a prospecting license-cum-mining lease for………… (specified minor
mineral) in accordance with the provisions of the Odisha Minor Minerals Concession
Rules, 20…… (hereinafter called the “Rules”), in respect of the lands described in Part-I
of the Schedule and has deposited a sum of Rs...........as security.

WHEREAS, the licensee-cum-lessee shall be required to carry out and complete

prospecting operation satisfactorily within a period of.......................(year / month) under
the
provisions of sub-rule (5) of rule 9 of Odisha Minor Mineral Concession Rules, 20….

AND, WHEREAS, the Competent Authority has communicated his approval to

the grant of license-cum-lease on the terms, covenants and conditions hereinafter
contained.

NOW THIS INDENTURE witnesse as follows:

The less or hereby demises to the licensee-cum-lessee, the land described in Part-I
of the Schedule hereunder written and delineated in the map hereunto annexed.

The said demised piece(s) of land shall be held by the licensee-cum-lessee for a
term of………. (year / month) for carrying out prospecting operations from the date on
which this executed deed is registered under Indian Registration Act and Odisha
Registration Manual subject to the terms, covenants hereinafter provided.

IN WITNESS WHEREOF these presents have been executed in manner

hereunder appearing the day and year first above written.

The schedule above referred to

 62

PART-I
Location and area of the prospecting license-cum-mining lease
Village Plot Nos.
Village/Forest Block
Tahasil/Forest Range
Area (in hectares)/
As per plan annexed and bounded
On the North by
On the South
by On the East
by
And on the West by hereinafter called as “said laws”
PART II
Terms and conditions of the prospecting license-cum-mining lease
This prospecting license-cum-mining lease is subject to the conditions laid down in rule 14 and
also all other conditions pertaining to the license-cum-lease as provided in the Rules.
PART III
Liberties, powers and privileges to be exercised and enjoyed
by the licensee-cum-lessee
1. To enter upon and use the said lands, described in Part-I of the Schedule during the term
hereby demised to search for,bore, dig, drill for, dress, process or otherwise work all or
any....................(name of the specified minor minerals) lying within, under or through
the
said lands.
2. To make roads, tram ways, install machineries, lay electric and telephone line, on and
over the said lands.
3. To use water from streams, watercourses and springs in and upon the said lands in
natural state or by means of impounding with the written permission of the Collector of
the district.
PART IV
Restrictions and conditions as to the exercise of liberties,
powers and privileges in Part-III
1. No land shall be used for surface operations if objection is raised by the Competent
Authority or the Collector of the district to the effect that use of the land will be
detrimental to public interest.
2. The licensee-cum-lessee shall not cut or injure any tree in the licensed-cum-leased area
falling within Reserved/Protected forest without prior permission of the Divisional Forest
Officer or the officer authorized by him in this behalf and upon payment of royalty and
fees for compensatory afforestation as may be specified.
 63

3. The licensee-cum-lessee shall undertake prospecting operation only in accordance with

the scheme of prospecting or modifications thereof.
PART-V
Liberties, powers and privileges reserved to the State Government

The State Government or any officer or persons authorized by it in that behalf has
the liberty and power to enter into and upon the licensed-cum-leased area to carry on any
operation in connection with survey, sampling, testing, quarrying, processing, stacking
and transportation of mineral, as may be, deemed necessary.
PART-VI
Provisions regarding Rents and Royalties
1. The licensee-cum-lessee shall, during the subsistence of this license-cum-lease pay to
Government advance prospecting fee at the rate of one thousand rupees per hectare or
part thereof of land covered under license-cum-lease for each year or part of the year for
the entire period of license-cum-lease and royalty in respect of any specified minor
mineral removed by him from the license-cum-leased area at the rates prescribed in
Schedule-II and surface rent at the rate prescribed in Schedule-I.
2. All payments relating to rents, royalties, fees, etc., as provided under these rules shall be
paid to the State Government free from all deductions, at the District Treasury/ Sub-
Treasury and in such manner as the Competent Authority may prescribe.
3. For the purposes of computing the royalty, the licensee-cum-lessee shall keep correct
account of the mineral, produced, stacked and removed from the license-cum-lease area and
furnish such information and submit a monthly return to the Competent Authority and
Director in FORM-J and other relevant records to the concerned Deputy Director of
Mines/ Mining Officer.
4. The licensee shall pay royalty in advance and the different amount if any, on computation
shall be paid within fifteen days of completion of transportation of permitted quantity of
specified minor minerals.
5. The lessee shall pay surface rent in advance and not later than the 15th January and the
15th July of each year.
Signed by…………………………….
For and on behalf of Government of Odisha, in the presence
of 1.
2.
Signed by.................................................................Licensee in the presence of
1.
2.
 64

FORM – C
Intimation for commencement of Prospecting operation
[See rule 9(6)]
To
1. (a) The Deputy Director of Mines/ Mining Officer..........................(location).
(b) The Director of Mines, Odisha, Bhubaneswar.
(c) The Collector.............................(District).
(d) The Director of Mines Safety, Bhubaneswar/ Chainbasa.
2. Name of the mineral or minerals for which the prospecting license-cum-mining lease
has been granted.
(a)................. (b)..........................
(c)................. (d)...........................
3. Name and address of the licensee-cum-lessee.
..........................................................
PIN.....................................................
4. In case of licensee-cum-lessee is a company or partnership firm or Co-operative, please
indicate:

(i) Name and address of the Director-in-charge

.........................................................
PIN........................................................
(ii) Address of the Registered Office
..........................................................
PIN..........................................................
5. Particulars of prospecting license-cum-mining lease:
(i) Date of Execution: .......................
(ii) Period: ………. Years, From................ To..............
(iii) Area under Licence..........................hectares.
6. Location :
(i) Topo Sheet Number: ...............................
(ii) Cadastral Survey of Khasra Number: ............................
(iii) Village: ..........................................................
(iv) (a) Post Office: ..........................................................
(b) Police Station: ..........................................................
(v) (a) Tahasil: ................................................
(b) District: ...............................................
(c) State: ......................................................
(vi) (a) Nearest Railway Station: ....................................
(b) The distance there from: ...........................................
(vii) (a) Nearest Rest House / DakBunglow: .................................................................
(b) Its distance from
(1) The Railway Station:...............................(kilometres)
(2) The Prospecting Area...................................(kilometres)
7. Particulars of Geologists or Mining Engineer employed
For the prospecting license-cum-mining leasearea:
(i) Name and Address
.........................................................
PIN....................................................
 65

(ii) Qualifications: ..............................................

(iii) Date of Appointment: ...........................................
(iv) Nature of Appointment: Whole time or Part time: ………………………..
8. Date of commencement of prospecting operation: .........................................
Place......................... Signature...........................................
Date.......................... Name in Full......................................
Designation.......................................
Owner/Agent/Mining Engineer/Manager
N.B:— This Form, duly filled in must reach the concerned authorities within fifteen days of
the commencement of prospecting operations.

FORM – D
Application for Mining Lease
[See rule 9(7), [xxx]]
To
The.........................to Government of Odisha
Steel & Mines Department, Bhubaneswar.
Through the Deputy Director/Mining Officer……
Sir,
1. I/We submit an application for a mining lease for ………….. (mineral) under
Odisha Minor Mineral Concession Rules, 20… may be granted to me/us.
2. A non-refundable sum of Rs………… (Rupees.........................................only)
being the fees in respect of the application payable under rule 16 (7) (i)of the
said rules has been deposited (vide enclosed original receipt challan
no……………dated………..of the State Bank of India/Treasury...................)
3. The required particulars are given below:-
i. Name of the applicant-
ii. Address-(Present)……………
(Permanent)…………………..
iii. In case the applicant is
(a) An individual, his nationality
(Nationality certificate to be enclosed)
(b) A company, an attested copy of the certificate of registration of the
company along with copy of Memorandum and Article of
Association of the Company shall be enclosed.
 66

(c) A firm, nationality of all the partners and partnership deed to be

attached.
iv. Profession or nature of business of the applicant.
v. Particulars of documents appended:
(a) Valid mining due clearance certificate issued by the Director of
Mines to be enclosed, or
(b) An affidavit in lieu of mining due clearance Certificate subject to
its production within one month of making application, or
(c) In case the applicant does not hold and has not held any mineral
concession for major and minor minerals in the State, furnishing of
an affidavit to that effect will suffice:
(d) Attested copy of up to date VAT clearance Certificate
vi. Period for which mining lease is required.
vii. Extent of area applied for mining lease.
viii. Details of the area applied for mining
lease. (a)
District Tahasil Village/Forest Survey Area in
Range No. hectares
(b) A plan in cadastral village map along with a key plan in Survey of India topo
sheet in scale 1:50,000, boundary description and land schedule of the area
applied for to enclosed:
(The plan should be on the relevant portion of the cadastral village map with scale
and should contain natural feature. Land marks or other feature to enable
identification of the area in the field or any other place of importance).
ix. (a) If the applicant has surface right over the area or he is the owner of land
applied for, document in support of surface right or patta of land, as the
case may be, shall be attached.
Or
(b) where the land applied for being to private persons written consent of
such tenant(s) for undertaking mining operation to be filed.
Or
(c) In case the applicant is the rayat of the land applied for, attested copies of
documents to establish this.
x. An affidavit starting particulars of areas which the applicant himself or any
person joint interest with him.
 67

a) Already holds under mining lease.

b) Has already applied for but not granted.
c) Being applied for simultaneously
xi. Attested copy of the document showing payment of earnest money:
xii. An affidavit stating that the applicant is not convicted for any offence
committed for any violation of any provision of Mines and
Minerals (Development & Regulation) Act, 1957 and rules made
thereunder:
xiii. Nature of joint interest
xiv Financial resources of the applicant:
(supported document to be enclosed)
a) Copy of the solvency Certificate and list of immovable properties from the
concerned Revenue Authority,
b) A recent certificate from the banker of the applicant stating the extent of
his credit worthiness.
xv. Technical knowledge or experience in mining operation for specified
minor minerals of the applicant (supporting document to be attached).
xvi. If the applicant is the rayat of the land applied for, an attested copy of the
patta of the land.
xvii. Has the applicant already set up or has a definite plan to put up an industry
based on specified minor minerals? If so, the detail thereof along with
documentary evidences.
xviii. In case of application for mining lease of specified minor minerals over the
area held under prospecting license-cum-mining lease:
Does the applicant hold a prospecting license-cum-mining lease over the
area applied for ? If so,
i) Number and date of grant order, date of execution and
registration, date on which it is due to expire.
ii) The report of prospecting operation carried out to be enclosed.
iii) Broad parameters of ore body/ bodies such as strike length,
average width, dip, geological disturbance (a geological plan of
the area showing details of geology and lithology to be attached)
and related geological, economical and feasibility parameters of
the deposit:
 68

xix. In case of application is made for mining over the area earlier held under
mining lease for specified minor minerals by person other than the
applicant:
a) Number of existing quarry pits with dimension:
b) Dimension of rock exposed in the pit (location of old working are to be
shown on the geological plan)
c) Details of rock exposed in the virgin area coming within area applied for.
d) Whether information generated from the working pits and exposed rocks
are sufficient to establish the existence of specified minor minerals content
therein and to prepare a mining plan.
xx. Method of working of the area applied for in brief:
xxi. Anticipated yearly financial investment in mining operation.
xxii. Manner in which the specified minor minerals raised to be utilized.
a) i) If for captive use, the location of the industry
ii) If for sale for indigenous consumption
b) If for export to foreign country, name of the countries:
xxiii. Name, qualification and experience of technical personnel available or to be
employed for supervision of the mines.
xxiv. Any other information, if any:

4. Additional charge quoted (higher than the minimum additional charge fixed vide
Govt. Notification No………….dt................):
I/We do hereby declare that the particulars furnished above are correct and
am/are ready to furnish any other details including documents and security
deposit as may be required by you before the grant of mining lease.

Yours faithfully

Signature of the applicant

Place:
Date:

N.B.:— If the application is signed by an authorized agent of the applicant, the

power of attorney should be attached.
 69

FORM - E
Form of Mining
Lease [See rule 9(9),
15(5)]
THIS INDENTURE made this………………day of……..20…….between the
GOVERNOR OF ODISHA (hereinafter called the “Lessor”) of the one part and
………………………… (Name of the person) …………..….. of (Address and occupation)
…………. ( hereinafter called the “Lessee” which expression shall where the context so
admits be deemed to include his heirs, executors, administrators, assignees) of the other
part.
WHEREAS, the lessee has applied to the Competent Authority concerned for a mining
lease for…………… (specified minor mineral) in accordance with the provisions of Odisha
Minor Mineral Concession Rules, 20……. (hereinafter referred to as ‘Rules’) in respect of
the lands described in Part I of the Schedule and has deposited a sum of Rs.............as
security.
AND, WHEREAS, the Competent Authority has communicated his approval to the grant
of lease on the terms, covenants and conditions hereinafter contained.
NOW THIS INDENTURE witnesseth as follows:—
The lessor hereby demises to the lessee the land described in Part I of the Schedule
hereunder written and delineated in the map hereunto annexed.
The said demised pieces of land shall be held by the lessee for a term of...................years
from the date on which this executed deed is registered under Indian Regulation Act and
Odisha Registration Manual , subject to terms, covenants, conditions hereinafter provided.
IN WITNESS WHEREOF these presents have been executed in manner hereunder
appearing the day and year first above written.
The schedule above referred to
PART-I
Location and area of the
lease
Village Plot Nos.
Village/Forest Block
Tahasil/Forest Range
Area (in hectares)/

As per plan annexed and bounded

On the North by
On the South
by On the East
by
And on the West by

hereinafter called as “said lands”

 70

PART-II
Terms and conditions of the lease
This lease is subject to the conditions laid down in rule 26 and also all other conditions
pertaining to lease as provided in the Rules.
PART-III
Liberties, powers and privileges to be exercised and enjoyed by the lessee
1. To enter upon and use the land, described in part I of the Schedule during the term
hereby demised to carry on all operations necessary for extraction, collection, stacking,
processing, transport or disposal of specified minor mineral/ minerals leased in natural or
in processed/converted form.
2. To make roads, tram ways, install machineries, lay electric and telephone line, on and
over the said lands.
3. To use water from streams, watercourses and springs in and upon the said lands in
natural state or by means of impounding with the written permission of the Collector of
the District.
PART-IV
Restrictions and conditions as to the exercise of liberties,
powers and privileges in Part-II

1. No land shall be used for surface operations if objection is raised by the Competent
Authority or the Collector of the District to the effect that use of the land will be
detrimental to public interest.
2. Before using for surface operations any land which has not already been used for such
operations, the lessee/lessees shall give to Deputy Commissioner/Collector of the District
two calendar months previous notice in writing specifying the name or other description
of the situation and the extent of the land proposed to be so used and the purpose for
which the same is required and the said land shall not be so used if objection issued by
the Deputy Commissioner/Collector within two months after the receipt by him of such
notice unless the objections so stated shall on reference to the State Government be
annulled or waived.
3. The lessee shall not cut or injure any tree in the leased area falling within
Reserved/Protected forest without prior permission of the Divisional Forest Officer or the
officer authorized by him in this behalf and upon payment of royalty and fees for
compensatory afforestation as may be specified.
4. The lessee shall undertake mining operation only in accordance with approved mining
plan or scheme of mining, as the case may be.
5. The lessee shall not transport or store or cause to be transported or stored any specified
minor mineral for the purpose of selling or trading otherwise than in accordance with
these Rules and as may be specified under Odisha Minerals (Prevention of Theft,
Smuggling and Illegal Mining and Regulation of Possession, Storage, Trading and
Transportation) Rules, 2007.
 71

PART-V
Liberties, powers and privileges reserved to the State Government

1. The State Government or any officer, or persons authorized by it in that behalf

has the liberty and power to enter into and upon the leased area to carry on any operation
in connection with survey, sampling, testing, mining, beneficiation/ processing, stacking
and transportation of mineral, as may be, deemed necessary.
2. Liberty and power for the State Government, or to any lessee or persons
authorised by it on that behalf to enter into and upon the said lands and to search for, win,
dig, raise, dress, process, convert and carry away minerals other than the said minerals
and any other substances and for those purposes carry out any operation as may be
deemed necessary or convenient.
Provided that in the exercise of such liberty and power, no substantial hindrance
or interference shall be caused to or with the liberties, powers and privileges of the
lessee/lessees under these presents and that fair compensation (as may be agreed upon
and in the event of disagreement as may be decided by the Government) shall be made to
the lessee/lessees for all loss or damage sustained by the lessee/lessees on such account.
PART -VI
Provisions regarding Rents and Royalties

1. The lessee shall, during the subsistence of this lease pay to Government royalty in respect
of any minor mineral removed by him from the leased area at the rates prescribed in
Schedule II and surface rent at the rate prescribed in Schedule I.
2. All payments relating to rents, royalties, fees, etc., as provided under these rules shall be
paid to the State Government free from all deductions, at the District Treasury/Sub-
Treasury and in such manner as the Competent Authority may prescribe.
3. For the purposes of computing the royalty, the lessee shall keep correct account of the
mineral, produced, stacked and removed from the lease area and furnish such
information and submit a monthly return to the Competent Authority and Director in
Form-J and other relevant records to the concerned Deputy Director of Mines/Mining
Officer.
4. The lessee shall pay royalty in advance and the differential amount, if any, on computation
shall be paid by the end of the first fortnight of each half-yearly period during the
subsistence of the lease.
5. The lessee shall pay surface rent in advance and not later than the 15th January and the
15th July of each year.
6. The lessee shall, in addition to the rents and royalties, also pay the contributions to the
District Mineral Foundation and the Environment Management Funds at the rates
specified in the Rules.
7. The lessee shall also pay the additional charges at the rate of ______ per cent of the sale
price of the minerals being the amount of additional charge bid by him in the auction.

Signed by……………..
For and on behalf of Governor of Odisha, in the presence
of 1.
2.
 72
Signed by...........................Lessee in the presence of
1.
2.
 73

FORM - F
Intimation to Successful Bidder
[See rule 10(11), 16(9), 27(6)]

Letter No. Dated

From

To

Sub: Intimation to successful bidder.

Sir/Madam,
This is to intimate that you have been selected as the successful bidder for the
prospecting license-cum- mining lease/mining lease/ quarry lease (strike off the lease not
intended for) described below, namely:—

(Name of lease, area, period of lease) based on your application for the said lease. The
amount of additional charge bid by you and accepted is Rs. per
tonne/cubic metre (strike off whichever is not applicable).
The mining plan and the environment clearance for the said lease has been obtained/ has
not been obtained (strike-off whichever is not applicable). The tentative selection is subject to
the provisions of the OMMC Rules, 20……. and to the terms and conditions annexed with this
letter.
You are directed to convey your acceptance to the terms and conditions and to deposit an
amount as prescribed under rule 10(12) & (13)/ 16(10) & (11)/ 27(7) & (9) (strike-off whichever
is not applicable). Proof of deposit of the aforesaid amount along with acceptance should reach
the undersigned within fifteen days of the date of issue of this letter failing which this intimation
shall stand automatically revoked without any further notice and the earnest money shall stand
forfeited.
You are also directed to execute deed in respect of the prospecting license-cum-mining
lease/ mining lease/ quarry lease (strike-off whichever is not applicable) for the aforesaid area
within the period specified in sub-rule (1) of rule 43 of the Odisha Minor Mineral Concession
Rules, 20…….
Yours faithfully

(Name/ Designation)
(Competent Authority)
 74

FORM – G
Final Report of Prospecting operation
[See rule 11(5)]
To
1. (a) The Deputy Director of Mines/ Mining Officer..........................(location).
(b) The Director of Mines, Odisha, Bhubaneswar.
(c) The...............................(Secretary) to Government, Department of Steel & Mines,
Odisha, Bhubaneswar.
2. Name of the Mineral or minerals
For which prospecting licence has been granted. (a)..................
(b)...................
(c).................. (d)..................
3. Name and address of the Licensee
.............................................
.............................................
PIN........................................
4. Particulars of prospecting license-cum-mining lease:
(i) Date of Execution: .......................
(ii) Period: ...…Years, From................ To..............
(iii) Area under Licence..........................hectares.
5. Location :
(i) Topo Sheet Number: ...............................
(ii) Cadastral Survey of Khasra Number: ............................
(iii) Village: ..........................................................
(iv) (a) Post Office: ..........................................................
(b) Police Station: ..........................................................
(v) (a) Tahasil: ................................................
(b) District: ...............................................
(c) State: ......................................................
6. Number and date assigned by State Government to
prospecting license-cum-mining lease.
(a) Number.............................................
(b) Date .............................................
7. Particulars of the Geologists /Mining Engineer-in-charge of prospecting operations:
(i) Name and Address.............................................
..........................................................................................PIN...............................
(ii) Qualifications.............................................
(iii) Date of Appointment .............................................
(iv) Nature of Appointment....................................(Whole time/ Part time)
8. Date of completion of prospecting operation or abandonment ..........................................
9. Total surface area covered by prospecting work............................(hectares).
10. Completion of prospecting work:
(a) Pitting
(i) Number of Pits .........................
(ii)Depth (metres): Average............................
Maximum........................
Minimum.........................
(b)Trenching
(i) Number of Trenches.........................
(ii) Length (metres): Average............................
 75

Maximum........................
Minimum.........................
(c) Drilling: Surface Underground
(i) Number of boreholes completed ................. .......................
(ii) Total Drilling (metres) ................. ........................
(d) Particulars of Drilling Machine: Type Make Capacity Number of Drills
…....... ............... .................... ..............
(e) Exploratory mining, if any:
(1) Number of Levels.......................
(2) Total Development (metres)..........................
(3) Mode of Entry ...........................................
(4) Quantity of ore produced with grade............................................
(f) Number of samples analyzed: …………….
(1) Main constituent (please specify): .............................................
(2) Complete Analysis of all samples: .............................................
11. Parameters of the ore body identified:
(a) Number of bands/ seams:
(b) Dip:
(c) Strike:
(d) Structural details, if any (folds, faults, joint & fracture pattern etc.):
(e) Percentage of recovery of ore & sub-grade mineral:
(f) Ore: Waste ratio:
12. Reserves assessed (In UNFC format):

Place......................... Signature..................................
Date.......................... Name in Full...................................................
Designation....................................................
Owner/Agent/Mining Engineer/Manager
Note: - Please enclose a geological report describing the prospecting operations undertaken so
far along with the detailed geological plans and sections showing locations of (a) boreholes, (b)
pits,(c) trenches, (d) shafts, (e) Underground exploratory workings, (f) outcrops,(g) ore zones,
(h) faults, (i) folds and other geological features.

The report shall contain in the borehole logs and interpretation and the inference drawn
as a result of the study of the geology of the areas and the interpretation of the borehole cores,
pits, trenches, assay data, reserves ago ore and contain results of complete analysis of at least
two representative samples of ore and the blocks proposed for mining operations. The report
shall also contain the results of any beneficiation study carried out on the ores or minerals of the
area.
 76

FORM - H
Intimation of opening/reopening of the mine/quarry
[See rule 12(6), 17(2) & 33(4)]
To
1. (a) The Deputy Director of Mines/ Mining Officer..........................(location).
(b) The Director of Mines, Odisha, Bhubaneswar.
(c) The...............................(Secretary) to Government, Department of Steel & Mines,
Odisha, Bhubaneswar.
(d) The Collector.....................................(District).
(e) The Director of Mines Safety, Bhubaneswar/ Chainbasa.
2. (i) Name of the mineral :
(ii) Name(s) of other minerals if any, for which lease has been granted :
3. Name of the Mine/Quarry :
4. Name and address of the Lessee /Owner:
5. Ownership of the mine
(a) Public Sector (b) Joint Sector (c) Private Sector
6. Date of Opening /Reopening of Mine/Quarry ………………………………….
7. In case of Reopening, date of discontinuation…………………………..
8. Particulars of the Mining Lease (ML)/ Quarry Lease (QL):
(i) Date of Execution:
(ii) Period years, from To
(iii) Areas under Lease hectares.
9. Location of the Mining Lease /Quarry Lease:
(i) Village Dist Tahasil
(ii) Post Office P.S. Dist
(iii) Nearest Railway Station Distance
10. Name and address of the Previous Owner, if any, and the date of abandonment:

11. Particulars of Agent:

Name and Address:
12. Particulars of Mining Engineer employed in the mines:
(i) Name and Address:
(ii) Qualification:
(iii) Date of Appointment:
(iv) Status of Employment: (Whole time or Part Time)
13. Particulars of the Mines Manager:
Name and address:
Certificate of Competency (1st Class/2nd Class/ Permit):
14. Letter No. And date through which the mining plan was approved
Letter No. Date:

Place: Signature
Date: Name in Full:
Designation: Owner/Agent/Mining
Engineer/Manager
 77

FORM – I
Yearly report of Prospecting operation
[See rule 14(13)]
1. Type of specified minor minerals for which prospecting license-cum-mining lease has been
granted:
(a)
(b)
2. Name and address of the licensee-cum-lessee:
3. Particulars of the prospecting license-cum-mining lease:
i) Date of execution:
ii) Period : Years: From: To:
iii) Area under license-cum-lease: Hectares
4. Location of the area under prospecting license-cum-mining lease:
i) Toposheet No:
ii) Village:
iii) Post office:
iv) Tahasil:
v) District:
vi) Nearest railway station Distance (Km.)
5. Particulars of the Geologist or Mining Engineer employed, if any,
i) Name and address:
ii) Qualification :
iii) Date of appointment:
iv) Status of employment: Whole time Part time
6. Status of prospecting operation – In progress:
Completed:
Abandoned:
7. Total surface area covered by prospecting work (hectare):
8. Prospecting work completed during the year:
a. Geological mapping: Area (hectare): Scale:
b. Pitting (i) Number of pits:
ii) Grid pattern:
iii) Depth (m) Average:
Maximum:
Minimum:
 78

c. Trenching i) Number of trenches (with interval):

ii) Length (m) Average:
Maximum:
Minimum:
d. Number and size of samples:
e. Drilling:
i) Number of boreholes completed during the year (with size of core):
ii) Number of boreholes in progress:
iii) Total yearly drilling (m):
f. Particulars of drilling machine – Type:
Make:
Capacity:
Number of drills:
g. Details of samples tested:
i) Number of samples tested:
ii) Complete report:
Place: Signature
Date: Name in full:
Designation:
Note:- Please enclose a geological report describing the prospecting operations undertaken so
far accompanied by the detailed geological plans and sections showing structural details
such as joints, fractures, folds, faults, grain size, texture, etc. and also showing location of
(a) boreholes, (b) pits, (c) trenches, (d) sampling positions, etc. The report shall also
contain borehole logs and the inferences drawn as a result of the study of the geology of
the area and the interpretation of the borehole cores, pits, trenches, reserves of specified
minor minerals and complete report of at least two representative samples indicating
quality and suitability of the mineral for mining operations.
 79

FORM - J
Monthly & Half yearly Return by the licensee-cum-lessee/ lessee
[See rule 26(18)]
For the month/half year ending................20…..
Name(s) of the mineral:
1. Name and location of the
Prospecting license-cum-mining lease/Mining lease:

(a) Name of the Mine/Prospect:

(b) Village:
Taluka/Tahasil:
District:
State:
2. Name and address of Concessionaire:
Name:
Address:
3. Area in hectare: Date of Execution:
Period (years): Date of starting of operations:
5. Number of days for which the mine/prospect was under operation during the month/half-
year:
6. Indicate reasons(s) for work stoppage
due to strike, lock-out, monsoon, non-availability of labour, less demand etc. and
number of days of work stoppage for each of these factors.
7. Production of mineral,dispatches, stocks and pit’s mouth value (Unit: cubic meter/ tonne):

Items Total Grade-wise/Size-wise break-up

Opening Stock:
Production:
Despatches:
Direct exports
Domestic sale/ testing purpose
Closing Stock:
Pit’s Mouth Value (Rs):
 80

Waste and Rejects (Unit: cubic meter/ tonne)

Item During the month/half year
(a) Quantity of waste generated as overburden
(b) Quantity of incidental waste generated
(c) Quantity of waste generated as mineral rejects.
(d) Despatches of waste and rejects (in accordance with above classification)
8. Mining Machinery used during the month/half-yearly period

Type of Machinery No. Of units Engine Horse No of hours

Power of each unit worked
(a)
(b)
(c)
(d)

9. Details of prospecting operation, if any, undertaken during the month/half-yearly period:

(a) Pitting :
(b) Trenching :
(c) Drilling :
(d) Others :
10. Details of processing activity undertaken, if any:
11. Export of the mineral, if any :
Quantity (MT) Value (Rs.)
During the month
During the half-yearly period
12. Domestic sale of the mineral :
Quantity (MT) Value (Rs.)
During the month
During the half-yearly period
13. Reasons for increase/decrease in production during the current month/ half-year as
compared to the preceding month/ half-year:

I certify that the information furnished above is correct and complete in all respects.

Place: Signature
Date: Name (in full):
Designation-Owner/ Agent/
Mining Engineer/ Manager.
 81

FORM - K
Annual Return
[See rule 26(18), 33(15)]
(For the year 1st April, 20… to 31st March, 20…)
(To be submitted before 1st July of each year for the preceding year or within 90 days of the date of
abandonment/surrender)
1. Name of mineral/ minerals :
2. Name and location of the mine/quarry:
Name of the mine/quarry:
Village:
Tahasil:
District:
State:
3. Name and address of lessee/mine/quary owner:
Name:
Address:
4. Lease details
Area in hectares: Date of Execution:
Period (Years): Date of starting mining operations:
5. Number of days the mine/quarry worked during the year:
6. Indicate reason(s) for work stoppage:Reason No. of
days Due to strike lock-out, monsoon,
non-availability of labour less demand
etc. and number of days of work
stoppage for each these factors.

7. Employment of Qualification Personnel and Labour:

7.1 Number of Technical and Supervisory Staff:
Description Fully Employed Party Employed
a. Mines Manager
b. Graduate Mining Engineer
c. Diploma Mining Engineer
d. Other Technical Officer, if any
e. Geologist
f. Other administrative, clerical
and technical supervisory staff :
7.2 Labour Employment :
Male: Female: Total:
a. Average Daily Employment :
b. Man-days worked :
c. Wages(Rs.) :
8. Production, Dispatches, Stock and Pit’s Mouth Value:
 82

8.1. Production of raw blocks during the year, dispatches, stocks and Pit’s mouth value
(Unit: tonne/cum)

Items Total Grade-wise/Size-wise break-up

Opening Stock
Production
Despatches
Direct Exports
Domestic Sale
Closing Stock
Pit’s Mouth Value (Rs.)
8.2. Cumulative Production:
(Since opening of quarry in cum/tonne)
8.3. Sub-grade/ Presently non-saleable Ore:(Unit: cum/tonne)

Item During the year Cumulative Total

(a) Opening Stock

(b) Quantity of sub-grade/
Presently non-saleable Ore
generated
(c) Dispatches of sub-grade/
Presently non-saleable Ore,
if any.
(d) Closing Stock
8.4 Waste and Rejects (Unit: cum/tonne)

Item During the year Cumulative Total

(a) Quantity of waste

generated as overburden
(b) Quantity of waste generated
incidental to mining
(c) Dispatches of waste and
rejects, if any
9. Mining Machinery used during the year:

Type of Machinery No. of units Engine Horse No.of hours

Power of each unit worked

(a)
(b)
(c)
(d)
 83

10. Reserves (in UNFC format):

11. Quantity and cost of material consumed during the year:
(i) Fuel (Lt.)
(ii) Electricity (KWH):
(iii) Other Material:
12. Amount of rent and royalty paid (Rs.)
13. Annual Production (Last three years) (Quantity in tonne/cubic meter)
14. Exports (Last three years) (Quantity in tonne/cubic meter):
15. Reasons for increase/decrease in production during the current year as compared to the
preceding year :

I certify that the information furnished above is correct and complete in all respects.

Place: Signature
Date: Name (in full):
Designation-Owner/Agent/Mining
Engineer/Manager
Note:-
(a) In case there is stoppage of work indicate reasons for what stoppage and numbers of days
of work stoppage.
(b) Average daily employment is obtained by dividing the number of man-days worked by
the number of working days.
(c) Wage includes all cash payment including bonuses, employer’s contribution to provident
fund, welfare activities etc. Concessions in kinds should not be included in wages.
(d) The Pit’s Mouth Value should represent the sale value of the granite at the pit-head. In
case of sales effected on F.O.B. or any other basis, pit head sale value should arrived at
after deducting all the expenses incurred from quarry/mine to railway station or port or
other point of sale, as the case may be (such as expenses on transportation, loading and
unloading charges, railway freight, sampling and analysis post handing, export duty and
cess.)
 84

FORM - L
Notice of change in the name of
mine [See rule 26(39)]
To
1. (a) The Deputy Director of Mines/ Mining Officer..........................(location).
(b) The Director of Mines, Odisha, Bhubaneswar.
(c) The...............................(Secretary) to Government, Department of Steel & Mines,
Odisha, Bhubaneswar.
(d) The Collector.....................................(District).
2. (i) Name of the mineral :
(ii) Name(s) of other minerals if any, for which lease has been granted:
3. (i) Name of the Mine :
(ii) Change in the name of mines, if any:
(Indicate old name and reason of
change)
4. Name and address of the Lessee /Owner:
5. Ownership of the mine
(a) Public Sector (b) Joint Sector (c) Private Sector
6. Date of Opening /Reopening of Mine ………………………………….
7. In case of Reopening, date of discontinuation…………………………..
8. Particulars of the Mining Lease (ML):
(i) Date of Execution:
(ii) Period years, from To
(iii) Areas under Lease hectares.
9. Location of the Mining Lease:
(i) Village Dist Tahasil
(ii) Post Office P.S. Dist
(iii) Nearest Railway Station Distance
10. Name and address of the Previous Owner, if any, and the date of abandonment:

11. Particulars of Agent:

Name and Address:

12. Particulars of Mining Engineer employed in the mines

(i) Name and Address:
(ii) Qualification:
(iii) Date of Appointment:
(iv) Status of Employment: (Whole time or Part Time)
13. Particulars of the Mines Manager:
Name and address:
14. Letter No. And date through which the mining plan was
approved Letter No. Date:

Place: Signature
Date: Name in Full:
Designation: Owner/Agent/Mining
Engineer/Manager
 85

FORM – M
Application for grant of Quarry Lease
[See rule 27(4)]
To
………………………………………………………………………………………..
Dated the 20
Sir,
1. I/We submit an application for a quarry lease for…………..(mineral) for a term of
……………….. years over...............hectares of land in the area specified in the Annexure
given below:-
2. A sum of Rs.............payable as fee (Non-refundable) for grant of such lease under sub-rule
(4) of rule 27 of the Odisha Minor Mineral Concession Rules, 20…....has been paid in the
Government Treasury at………….and a receipted challan bearing No………. dated…. .is
enclosed.
3. The required particulars are given below:-
i) An affidavit stating that no mining due payable under the Act and Rules made
there under is outstanding against the applicant.
ii) Where land belongs to private persons, consent of all such persons for grant of
quarry lease.
iii) Solvency certificate and list of immovable property from the Revenue Authority.
4. (i) Name and address of the applicant……………………………………………...
(ii) Nationality of the applicant……………………………………………………...
(iii) Profession of the applicant……………………………………………………….
(iv) Particulars of the areas, mineral wise, within the State for which the applicant
or any person having joint interest with
him…………………………………………
a) Already holds a quarry lease………………………………………………
b) Has already applied for a quarry lease but not granted ………………………
c) Being applied for simultaneously………………………………………..
d) Nature of joint interest, if any……………………………………………
(v) Means by which the minor minerals is/are to be raised, i.e. whether manual
or mechanical.......................
(vi) Manner in which the minor mineral raised to be utilized-
(a) For manufacture.........................
(b) For sale.......................................
(c) Any other purpose......................
(vii) Details of the plan boundary description and land schedule of the area applied for
to be enclosed.
 86

(viii) Has the applicant any previous experience in quarrying/mining? If yes, details
should be given.................
(ix) Financial Resources of the applicant.
(a)
(b)
(x) Total investment in the operations anticipated.....................
(xi) Any other particulars which the applicant wishes to furnish:
(a) Name of the village/Forest Block
(b) Whether the area belongs to Scheduled Area.
(c) Details of the area applied for in each Survey Number
(d) Full description of the area applied for with regard to nature
features (e) District..................
5. Rate of additional charge (per cubic meter) quoted-
N.B: The application shall be summarily rejected if the rate of additional charge quoted is less than
the rate of additional charge specified in the notification.
I/We hereby declare that the particulars furnished above are correct and undertake to
furnish any other details, plan, etc., as may be required by you.

Yours faithfully,
Place.........
Date.......... Signature of the applicant

N.B: If the application is signed by an authorised agent of the applicant, the power of attorney
should be attached.
 87

FORM - N
Form of Quarry Lease
[See rule 27(13)]
THIS INDENTURE made this ............ day of ......20.........between the GOVERNOR OF
ODISHA...................... (hereinafter called the “Lessor”) of the one part and (Name of person)
..............................of (address and occupation)........... (hereinafter called the “lessee” which
expression shall where the context so admits be deemed to include his heirs, executors,
administrators, assignees) of the other part.
WHEREASE the lessee has applied to the Competent Authority concerned for a quarry
lease for .................(minor mineral) in accordance with the provisions of the Odisha Minor
Minerals Concession Rules, 20… in respect of the lands described in Part I of the Schedule and
has deposited a sum of Rs...............as security.
AND WHEREAS the Competent Authority has communicated his approval to the grant
of lease on the terms, covenants and conditions hereinafter contained.
NOW THIS INDENTURE witnesseth as follows:
The lessor hereby demises to the lessee the land described in Part I of the Schedule
hereunder written and delineated in the map hereunto annexed.
The said demised pieces of land shall be held by the lessee for a term of..........years from
the date on which this executed deed is registered under Indian Registration Act and Odisha
Registration Manual, subject to the terms, convents, conditions hereinafter provided.
IN WITNESS WHEREOF these presents have been executed in manner hereunder
appearing the day and year first above written.
The schedule above referred to
PART-I
Location and area of the lease
Village Plot Nos.
Village/Forest Block
Tahasil/Forest Range
Area (in hectares)

As per plan annexed and bounded

On the North by
On the South
by On the East
by
And on the West by
hereinafter called as “said lands”
 88

PART- II
Terms and conditions of the lease
This lease is subject to the conditions laid down in rule 33 and also all other conditions
pertaining to lease as provided in the Rules.
PART-III
Liberties, powers and privileges to be exercised and enjoyed by the Lessee
1. To enter upon and use the land, described in Part I of the Schedule during the term
hereby demised to carry on all operations necessary for extraction, collection, stacking ,
processing, transport and disposal of minor mineral/minerals leased in natural or in
processed/converted form.
2. To make roads, tram ways, install machineries, lay eclectic and telephone line, on and
over the said lands.
3. To use water from streams, watercourses and springs in and upon the said lands in
natural state or by means of impounding with the written permission of the Collector of
the district.
PART-IV
Restrictions and conditions as to the exercise of liberties, powers and privileges in
Part-II
1. No land shall be used for surface operations if objection is raised by the Competent
Authority or the Collector of the district to the effect that use of the land will be
detrimental to public interest.
2. The lessee shall not cut or injure any tree in the leased area falling within
Reserved/Protected forest without prior permission of the Divisional Forest Officer or the
officer authorized by him in this behalf and upon payment of royalty and fees for
compensatory afforestation as may be specified.
3. The lessee shall undertake mining operation only in accordance with approved mining
plan or scheme of mining, as the case may be.
4. The lessee shall not transport or store or cause to be transported or stored any specified
minor mineral for the purpose of selling or trading otherwise than in accordance with
these Rules and as may be specified under Odisha Minerals (Prevention of Theft,
Smuggling and Illegal Mining and Regulation of Possession, Storage, Trading and
Transportation) Rules, 2007.
PART-V
Liberties, powers and privileges reserved to the State Government
The State Government or any officer, or persons authorized by it in that behalf has
the liberty and power to enter into and upon the leased area to carry on any operation in
 89

connection with survey, sampling, testing, quarrying, processing, stacking and

transportation of mineral as may be deemed necessary.
PART-VI
Provision regarding Rents and Royalties
1. The lessee shall, during the subsistence of this lease pay to Government royalty in respect
of the minor mineral removed by him from the leased area at the rates prescribed in
Schedule II and surface rent at the rate prescribed in Schedule I.
2. All payments relating to rents, royalties, fees, etc., as provided under these rules shall be
paid to the State Government free from all deductions, at the District Treasury/Sub-
Treasury and in such manner as the Competent Authority may prescribe.
3. For the purpose of computing the royalty, the lessee shall keep correct account of the
mineral produced, stacked and removed from the lease area and submit a return to the
Competent Authority and Director in Form K & Form P.
4. The lessee shall pay royalty in advance and the differential amount, if any, on
computation shall be paid by the end of the first fortnight of each half yearly period
during the subsistence of the lease.
5. The lessee shall pay surface rent in advance and not later than 15th January and 15th July
of each year.
6. The lessee shall, in addition to the rents and royalties, also pay the contributions to the
District Mineral Foundation and the Environment Management Funds at the rates
specified in the Rules.
7. The lessee shall also pay the additional charge at the rate of Rs.______ per cubic meter.
8. The minimum guaranteed quantity for the quarry lease shall be ______ cum per annum.
Signed by....................
For and on behalf of Governor of Odisha, in the presence
of 1.
2.
Signed by...............................Lessee in the presence of
1.
2.
 90

FORM - O
Preparation of Mining Plan for Quarry Lease by RQP
[See rule 28(4)]
MINING PLAN FOR WINNING OF (RIVER SAND/LATERITE
SLABS/MORRUM/ORIDINARY/ROADMETAL etc.) FROM (NAME OF
THE VILLAGE/FOREST etc.) UNDER PANCHAYAT, TAHASIL OF
DISTRICT.

[CATEGORY : ( B1/B2)
As specified by MoEF vide Notification
No. J-13012/12/2013-IA-II (I) dated 24.12.2013]

1. Name & Address of the lessee:

2. Particulars of the Area (Acreage, Boundary
Description & Land Schedule): (Attach location map and surface plan showing the existing
features of the area with contours at 2m interval):
3. Status of the Lessee: (Private Individual/ Private Company/Public Sector Undertaking/
Joint Sector Undertaking / Others):
4. Period of the concession : (from to )
5. Mineral intended to be won :
6. Name, Address & Registration No. of RQP
preparing the mining plan with validity
of recognition:
7. Order No. & date of Competent Authority granting the concession : (copy of the order to
be attached) :
8. If, forest area, whether forest clearance obtained: (Attached copy of forest clearance)::
9. Reserves :
(Estimation to be based on the exploration, if any, carried out in the area or on the local
parameters)
10. Mining :
(a) Whether manual or semi-mechanized or mechanized :
(b) If semi-mechanized, number, type and capacity
of machines to be used :
(c) Whether drilling and blasting will be made use of
, if yes, state monthly quantity of explosives to
be
consumed :
(d) Benching pattern (Height x Width) :
(e) Face lay out (attached development plan) :
 91

(f) Quarry Floor level (RL) at the end of each

year and at the end of period of the concession :
(g) Quantity of mineral to be won (Annual Level
of Production) :
(h) Quantity of overburden to be removed(Show
location of such disposal in development plan :
(i) Whether heavy blasting to be adopted if
yes, location of nearest habitation
(to be shown in the surface plan) :
(j) Safety precautions to be adopted :
(k) Brief description on method of procurement
and storage of explosive :
11. Waste Disposal : :
(a) Location (show it in the development plan)
(b) Area covered :
(c) Environment safeguards for such disposal :
12. Mine Drainage:
(Give details of total make of water during dry and rainy
season and its method of handling) :
13. Mineral Processing : :
(Give details processing including sizing, sorting, generation of
Reject/fines etc. :
14. (a) No. of tress to be uprooted due to mining operation :
(b) Programme of Plantation :
15. Manpower : :
(a) Supervisory :
(inclusive of statutory personnel) :
(b) Non-Supervisory (skilled, semi-skilled & unskilled) :
(c) OMS :
16. Use of Mineral:
(Specification and monthly quantity to be dispatched to be furnished):
(a) For domestic use :
(b) For export :
 92

17. Mine Closure Plan:

(a) Describe the process/activities to be undertaken for
reclamation and rehabilitation in respect of the following :
i) Mined out land :
ii) Waste/reject dump :
iii) Top-soil stack and its utilization :
(b) Financial Assurance :
(To be furnished as a bank guarantee in respect of the area
to be put to use at the rate of Rs. per hectare) :
18. Certificate

I/We, the holder of (type of concession) for (mineral)

over hects.,in (village/forest)
under Panchayat, Tahasil of District hereby solemnly
affirm that the plans and programmes in this mining plan will be scrupulously implemented by
me/us and I/we will be strictly held responsible for any deviation thereof, I/We also hereby
certify that the provisions of Mines and Minerals (Development & Regulation) Act, 1957, and
the Mines Act, 1952 and Rules and Regulations made under these Acts, along with the
provisions of Odisha Minor Mineral Concession Rules, 20…. will be strictly adhered to while
implementing this mining plan and wherever specific permissions will be required, I/We will
approach the concerned authorities of Directorate General of Mines Safety and the State
Government, as the case may be.

(Signature of the Concessionaire)

 93

FORM - P
Quarterly return of Minor minerals other than specified minor minerals
[See rule 33(15)]
For the quarter ending................20…….

1. Name of the mineral:

2. Name and location of the
Quarry: Name of the Quarry:
Village:
Post office:
Tahasil:
District:
3. Name and address of lessee/Quarry owner:
Name:
Address:
4. Lease details:
Area in hectares: Date of Execution:
Period (Years): Date of starting quarrying Operations:
5. Number of days the quarry worked during the quarterly period:
6. Indicate reason(s) for work stoppage:
Number of days:
Reasons: (i)
(ii)
7. Production, despatches, Stocks and Pit’s mouth value (Unit: tonne/cubic meter):
Items Total in the quarter
Opening Stock Production Despatches Closing Stock
Pit’s Mouth Value (Rs.)

8. Quantity of waste and rejects generated, if any, (Unit: cubic meter)

9. Quantity consumed in the quarry lease area, if any. (Unit: cubic meter)
10. Particulars of machineries equipments used:
11. Particulars of explosives used, if any
 94

12. Average number of persons employed daily:

Male: Female: Total:

13. Rents and royalty paid (Rs.):

14. Dimension of the quarry (in meter)
Length: Width: Depth (Maximum):
15. Any other information:

I certify that the information furnished above is correct and complete in all respects.

Place: Signature
Date: Name (in full):

Designation-Owner/Agent/Manager

Note: The return shall be furnished by the 15th of the month succeeding the quarter.
 95

FORM - Q
Application for Quarry Permit
[See rule 34]
Dated the ...............20............
To
............................................................
..............................................................
Sir,
1. I/We submit an application for quarry permit for.............. (mineral) a term of
................... months over..............hectares of land in the area specified in item 3(viii)
below.
2. A sum of Rs……….. (rupees.............................only) (non-refundable) payable as fee
for grant of such permit under rule 34 of OMMC Rule, 20….. has been paid in the
Government Treasury at.........................and the receipted challan is enclosed.
3. The required particulars are given below.
(i) Name and address of the applicant:
(ii) Nationality of the applicant:
(iii) Profession of the applicant:
(iv) Quantity of minor mineral required to be extracted and removed (in tonnes/
cubic metres):
(v) Minor mineral is to be raised manually or mechanically:
(vi) Manner in which the minor mineral raised is to be utilised:
(vii) Particulars of the receipted treasury challan for the fee :
(viii) Plan in 16”=1 mile scale (Cadastral village map) and Land Schedule of the
area from which the minor mineral are to be extracted and removed is to be
enclosed :
(ix) If the land applied for belongs to private land owners, written consent of the
owners permitting diversion of his land for extraction of minor mineral under
quarry permit to be enclosed :
(x) An undertaking by the applicant that he agrees to abide by the conditions
governing extraction and removal of minor mineral under a quarry permit to
be enclosed :
(xi) Any other particulars which the applicant wishes to furnish:
I/We hereby declare that the particulars furnished above are correct and
undertake to furnish any other details, plan etc., as may be required by you.

Place: Yours faithfully,

Date:

Signature of the applicant

N.B. - If the application is signed by an authorized agent of the applicant, the power-of-
attorney should be attached.
 96

FORM - R
Grant of Quarry Permit
[See rule 35(1)]

Quarry Permit No................................

Date........................................................
Whereas, Shri.........................applied for grant of quarry permit for extraction and removal
of ...........tonne/cubic metre of ................(minor mineral) from Plot No...............of
.......................Village/Forest Division under rule 34 of the Odisha Minor Mineral Concession
Rules, 20……. and has paid an application fee of Rs................., permission is hereby granted to
quarry, collect and remove...........tonne/cubic metre of..............(mineral) from the aforesaid area
or areas indicated on the plan annexed hereto on the following condition and on payment of
advance royalty amounting to Rs ...................calculated at the rate of Rs..........................per
tonne/cubic metre (as specified in Schedule I to the Odisha Minor Mineral Concession Rules,
20…...
(1) The permit shall be valid for............... months/days from..........to..............
(2) The permit holders shall abide by the conditions provided in rule 37 of the Odisha
Minor Minerals Concession Rules, 20…….

Signature of the Competent Authority/authorized officer.

To
Shri....................
Copy to-
The Director of Mines, Odisha, Bhubaneswar
The Collector..................district,
The Divisional Forest Officer......................
 97

FORM - S
Particulars of Quarry Permit
[See rule 37(4)]
1. Quarry Permit No. Date:
2. Name of the Permit Holder(s) with address:
3. Name of mineral:
4. Quantity of mineral permitted for extraction and removal in cubic meter/tonne:
(a) Permitted Quantity: (b) Removed Quantity:
5. Period of validity of the permit: Form dt.: To dt.:
6. Production of mineral in cubic meter/tonne:
7. Despatch of mineral in cubic meter/tonne:
8. Royalty and Surface Rent due for payment (in Rs.):
9. Details of payment of royalty with treasury challan No. and
date:
10. Number of man-days worked for production:
11. Pit’s Mouth Value (Rs. Per cum/tonne.):
12. Sale Price at quarry site (Rs. Per cum/tonne.):
13. Date of surrender of the permit to the Competent Authority:

I/We declare that the above information are correct.

Place: Signature of the permit holder

Date:

Note- The particulars shall be furnished to the Competent Authority and authorized officer on his
behalf.
 98

FORM - T
Register of Quarry Permit
[See rule 38]

Name and No. and

Sl. Date of Mineral/ S.No. / Village/Forest
address of date of Tahasil
No. application Minerals S.Nos. Ranges
Permit Holder order of
grant
(8)
(1) (2) (3) (4) (5) (6) (7)

Quantity Whether
Details of Date of
removed all dues Signature
Quantity Permitted royalty expiry of Remarks
under the have been of officer
received Permit
Permit recovered
(9) (10) (11) (12) (13) (14) (15)
 99

FORM – U
Register of Prospecting license-cum-Mining lease
[See rule 43(5)]

Sl. Name and Date of No. and Date of Date of Period of Mineral/Minerals
No. address of applicat- date of execution registration Prospecting
the licensee- ion grant order
cum-
lessee
(1) (2) (3) (4) (5) (6) (7) (8)

Date of
Date of
Tahasil/ Details Commenc Details of
Village/ Area expiry/ Re
Sl. Subdivis- of ement refund of Signature
Forest in surrender/Dete ma
No. ion security of Security of officer
Ranges hects. rmination of rk
/District deposit prospecting deposit
the license-
operation.
cum-lease

(9) (10) (11) (12) (13) (14) (15) (16) (17) (18)
 100

FORM - V
Register of Mining Lease
[See Rule 43(5)]

Sl.No. Name and Date of No. and Date of Date of Period Mineral/
address of application date of Execution registration of Minerals
the lessee grant lease
order

(1) (2) (3) (4) (5) (6) (7) (8)

Village/ Tahasil/ Area Details Date of Date of Transfer of Details Signatu Remark
Forest Sub- in of commence expiry/Sur Mining Lease of re of
Range division/ Hects. security ment of render/Det refund Officer
District deposit mining ermination of
operations of lease security
Deposit
Date Name
and
address
of the
transfer
ee
(9) (10) (11) (12) (13) (14) (15) (16) (17) (18) (19)
 101

FORM - W
Register of Quarry lease
[See rule 43(5)]

Date of
Sl. Name and Date of No. and date of Date of Period Mineral/ Village/ Forest
registrati
No. address application grant order execution of lease Minerals Ranges
on
(1) (2) (3) (4) (5) (6) (7) (8) (9)

Date of Transfer of Quarry

Date of
Tahasil/ expiry/su Lease Details of
Area Detail of commenc
Sub- rrender/d Name and refund of Signature Remar
in security ement of
divisions/ etermina address of Security of Officer ks
Hects. deposit quarrying Date
District tion of the Deposit
operation
lease transferee
(10) (11) (12) (13) (14) (15) (16) (17) (18) (19)
 102

FORM - X
Form of
Appeal [See
rule 46(1)]
(To be submitted in triplicate)
1. Name and address of the individual /firm/company …………......................
2. (a) Full details of the order and the authority passing the order against which the appeal
or revision application is made (certified copy to be enclosed) ………….................
(b) Date of communication of the above order:
3. Minerals/Minerals forming the subject matter of the appeal......................
4. Details of the area in respect of which the appeal is filed (A plan of the area to be attached).
Tahasil/Forest Village/Forest
Sl. No. District/ Forest Division
Range Block

5. Is the appeal filed within one month of the date of the order of the Competent
Authority/Controlling Authority?
6. If not, the reasons for not presenting it within the prescribed time.
7. (a) Name and complete address of the party/parties impleaded.
(b) Reasons for impleading him/ them shall be mentioned.
(c) An additional copy of the appeal application for each impleaded party is to be
submitted.
8. Has the applicant deposited the amount, if any, assessed in accordance with provisions of
Odisha Minor Mineral Concession Rules, 20…..as per the orders appealed ? If so, the
details thereon.
9. If the application is signed by an authorized agent of the applicant, an attested copy of
power of attorney shall be attached.
10. Whether application fee of rupees one thousand has been deposited ? If so, original
receipted challan no............dated.................of the State Bank of India/Treasury.............is
enclosed.

Place:
Date:
Signature and designation of the applicant
 103

FORM - Y
GOVERNMENT OF ODISHA
...............DEPARTMENT
Transit Pass for Minor Minerals
[See rule 58(1)]
Book No............................ Pass No.............
Date...................
Name of the Mining Lease/ Quarry Lease..................
Name of the licensee-cum-lessee /lessee/Permit
Holder..................................................................................................
Destination........................Route...........................
Minor Mineral
Quantity Permitted (Cum /Tonne)
Measurement of Mineral in
The Carrier Length (m) Breadth(m) Height(m)
Cubic Content (Cum.)
Weight of the Vehicle (Tonne) Gross Tare
Weight of Mineral (Tonne)

Signature of the person Signature of the carrier Signature of the

Issuing with date driver with date checking staff with date

Signature of the person Signature of the supervising

Receiving with date officer/Competent Authority
With date

Office Seal
 104

FORM - Z
Annual return by the Competent Authority and Deputy Director or Mining Officer
[See rule-58(7)]
For the year 1st April 20…..to 31st March, 20……
District:
Sub-Division:
Tahasil:
Forest Division:
Mining Circle:
(For each revenue district separate forms shall be used)

Name of minor minerals (Use one column for each

mineral)
Sl. Item
No.
Specified Sand Laterite
minor
minerals
(1) (2) (3) (4) (5) (6) (7) (8)

1. No. of grant of
(a) Mining Leases
(b) Quarry Leases
(c) Quarry permit
2. No. of subsisting
(a) Mining Leases
(b) Quarry Leases
(c) Quarry permit
3. Production (cum/tonne)
(a) Mining Leases
(b) Quarry Leases
(c) Quarry permit

Total
 105

4. Despatches (cum/tonne)
(a) Mining Leases
(i) For export
(ii) For domestic use
(b) Quarry Leases
(c) Quarry permit

Total

5. Revenue (Rs.)
(a) Mining Leases
(i) Dead Rent/Royalty
(ii) Additional charge
(iii) Amount towards District Mineral Foundation
(b) Quarry Leases
(i) Dead Rent/Royalty
(ii) Additional charge
(iii) Amount towards District Mineral Foundation
(c) Quarry permit (Royalty)
(d) Surface Rent
(e) Application fee
(f) Miscellaneous

Total

6. Average number of persons employed daily during the year

7. Pit’s Mouth Value

Signature of the Competent Authority/

Deputy Director/Mining Officer
 106

SCHEDULE - I
[See Rule 25(2) and 32(2)]
Surface rent

For all minerals Rs.360.00

Dead rent
Per hectare
Per annum
(a) Specified minor minerals

(i) Specified minor minerals other than decorative stone Rs.5000.00

(ii) Black granite Rs.53,500.00
(iii) Coloured and multi-coloured granite Rs.35,500.00
(iv) Other stones/rocks like khondalite,
Sandstone, limestone other than
classified as major minerals used for Rs.28, 500.00
Decorative and monumental purposes

(b) All other minor minerals except specified minor minerals

(i) Boulders, metals, chips, ballast, sandstone, laterite, slab

and other rocks and minerals used in civil construction and
stone crushers for sizing; limestone lime shell and lime Rs.18,000.00
kankarother than classified as major mineral; bentonite,
fuller’s earth, stone used for household utensils

(ii) Ordinary clay, silt, ordinary sand, rehmatti, brick-each,

Ordinary earth, moorum, quartzite, slate shale, shingles,
gravels,pebbles and chalcedony Rs.10,500.00
 107

SCHEDULE - II
[See Rule 25(5) and 32(2)]
Royalty
Rate of Royalty
Per tonne/cubic meter

1. Agate Twelve percent of average sale price on ad valorem basis

2. Ball Clay
Crude Eight percent of average sale price on ad valorem basis
Processed Twelve percent of average sale price on ad valorem
basis
3. Barytes Six and half percent of average sale price on ad valorem basis
4. Calcareous Sand Twelve percent of average sale price on ad valorem basis
5. Calcite Fifteen percent of sale price on ad valorem basis
6. Chalk Twelve percent of sale price on ad valorem basis
7. China clay
Crude Eight percent of average sale price on ad valorem basis
Processed Twelve percent of average sale price on ad valorem
basis
8. Clay (Others) Rupees seventy per cubic metre
9. Corundum Twelve percent of average sale price on ad valorem basis
10. Diaspore Twelve percent of average sale price on ad valorem basis
11. Dolomite Seventy five rupees per tonne
12. Dunite or Pyroxenite Thirty rupees per tonne
13. Felsite Twelve percent of average sale price on ad valorem basis
14. Feldspar Fifteen percent of average sale price on ad valorem basis
15. Fireclay Twelve percent of average sale price on ad valorem basis
16. Fuschite Quartzite Twelve percent of average sale price on ad valorem basis
17. Gypsum Twenty percent of average sale price on ad valorem basis
18. Jasper Twelve percent of average sale price on ad valorem basis
19. Kaolin
Crude Eight percent of average sale price on ad valorem basis
Processed Twelve percent of average sale price on ad valorem
20. Laterite basis

Non-metallurgical gradeTwenty five percent of average sale price on ad valorem basis

(Other than in shape
of slabs)

Metallurgical grade Zero point six zero percent of London Metal Exchange
laterite (Other than price chargeable on the contained aluminium metal in ore
produced
for those despatched for use in alumina and aluminium metal in shape of slabs)
extraction.
 108

21. Limekankar Rupees one hundred thirty per tonne

(Other than that used
in kilns for manufacture
of lime used as
building material)
22. Mica Four percent of average sale price on ad valorem basis
23. Ochre Twenty four rupees per tonne
24. Pyrophyllite Twenty percent of average sale price on ad valorem basis
25. Quartz Fifteen percent of average sale price on ad valorem basis
26. Quartzite Twelve percent of average sale price on ad valorem basis
27. Sand (Others) Rupees seventy per tonne
28. Shale Eighty rupees per tonne
29. Silica Sand Ten percent of average sale price on ad valorem basis
30. Slate Forty five rupees per tonne
31. Steatite or Talc or Soapstone Eighteen percent of average sale price on ad valorem basis
32. Ordinary sand Rupees thirty five per cubic meter
33. Ordinary clay,slit, Rupees thirty five per cubic
meter rehmatti, brick-earth,
ordinary earth,moorum

34. Sandstone, Laterite and Slate Rupees one hundred and eighty per cubic
meter in shape of slabs and tiles

35. Bentonite,Fuller’earth Rupees four hundred and forty five per cubic meter
36. Chalcedony,shingles, Rupees one hundred and eighty per cubic
meter gravels,pebbles
of all types
37. Ordinary boulders used Rupees one hundred and thirty per cubic
meter for road and civil
constructions.
38. Road materials including Rupees one hundred and thirty per cubic
meter ballast and chips.
39. Bajri and crusher fines Rupees thirty five per cubic meter
40. Stones used for
household utensils Rupees two hundred and seventy per cubic meter

41. Limestone and limekankar Rupees one hundred and eighty per cubic
meter used in kilns for manufacture
of lime used as
building material and
limeshell
42. Stones chips and bajri Rupees two hundred and fifteen per cubic
meter other than of marble
used as mosaic
in flooring
43. (a) Marble blocks and slabs Rupees one thousand and six hundred per cubic meter
(b) Marble chips and power Rupees two hundred and seventy per cubic meter
 109

44. Decorative stone:

(i) Black granite Rupees three thousand nine hundred and twenty five per cubic
exceeding 0.50 cum. meter
(ii) Coloured and Rupees three thousand two hundred and fifteen per cubic meter
multi-coloured
granite exceeding
0.50 cum.
(iii) Cut or dressed granite Rupees one thousand four hundred and thirty per cubic
meter blocks useful for tiles
for size less than
0.50 cum.
(iv) All other rocks when Rupees five hundred and thirty five per cubic
meter used for decorative and
monumental purposes.

(v) Limestone other than Rupees one thousand and seventy per cubic
meter classified as major
minerals.
 110

SCHEDULE - III
[See rule 2(g)]

Sl. No. Type of Minerals Controlling Authority

(1) (2) (3)
1. Specified minor minerals and all minor Government in Steel & Mines
minerals occurring in areas granted under Department
mining lease for major minerals.
Ordinary clay, silt, rehmatti, ordinary sand
other than used for industrial and prescribed
purposes, brick-earth, ordinary earth, moorum,
laterite slabs, ordinary boulders, road metals
including ballasts, chips, bajri and rock fines
generated from stone crushers, gravels of
ordinary stones and river shingles and pebbles-
(a) When occurring in non-forest land Deputy Director of Mines of
respective jurisdiction

(b) When available in any forest area Principal Chief Conservator of

Forests, Odisha
 111

SCHEDULE – IV
[See rule 2(f), 48]

Jurisdiction Power to be Competent Department

Exercised Authority
(1) (2) (3) (4)

1. Specified Minor Minerals (a) For Mining Lease Deputy Director Steel & Mines
of Mines/Mining
Officers of respective
jurisdiction

(b)For Prospecting Deputy Director Steel & Mines

License-cum- of Mines/Mining
Mining Lease Officer of respective
jurisdiction
2. Minor Minerals other than
Quarry lease and Quarry
Specified Minor Minerals
permit
a. When occurring Mining Officer of Steel & Mines
within village respective
boundaries jurisdication

b. When occurring Divisional Forest Forest,

within forest area Officer Environment &
CC