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Core Purpose

Notification of the Ministry of Mines amending the Second Schedule to the Mines and Minerals (Development and Regulation) Act, 1957 to prescribe royalty rates for several critical and strategic minerals.

Detailed Summary

The Ministry of Mines issued notification G.S.R. 152(E) dated 1st March 2024 under sub-section (3) of Section 9 of the Mines and Minerals (Development and Regulation) Act, 1957 (67 of 1957), further amending the Second Schedule (which prescribes royalty rates) as previously amended vide G.S.R. 175(E) dated 31st March 1975 and last amended vide G.S.R. 736(E) dated 12th October 2023; the amendment inserts a new item 4A prescribing a 2% royalty on Beryllium, revises item 5 wording for Ilmenite and Rutile occurring in beach sand minerals, substitutes item 6 to set Cadmium royalty at 4% (primary) and 2% (by-product), inserts item 10A for Cobalt at 4%/2%, item 19A for Gallium at 4%/2%, item 23A for Indium at 2%, item 38B for Rhenium at 2%, item 41A for Selenium at 4%/2%, item 47A for Tantalum at 4%/2% and item 47B for Tellurium at 2%, item 48A for Titanium at 4%/2%, substitutes item 49 to set Tungsten royalty at 3% of the average sale price of Tungsten Trioxide (WO3) on a pro rata basis, substitutes item 51 to set Vanadium royalty at 4% (primary)/2% (by-product) of Vanadium Pentoxide (V2O5) on a pro rata basis, and inserts item 54A for Zircon at 2% ad valorem; the notification is signed by Dr. Veena Kumari Dermal, Joint Secretary, under File No. M.VI-16/47/2023-Mines VI.

Full Text

REGD. No. D. L.-33004/99 The Gazette of India CG-DL-E-02032024-252561 EXTRAORDINARY PART II—Section 3—Sub-section (i) PUBLISHED BY AUTHORITY No. 140] NEW DELHI, FRIDAY, MARCH 1, 2024/PHALGUNA 11, 1945 MINISTRY OF MINES NOTIFICATION New Delhi, the 1st March, 2024 G.S.R. 152(E).—In exercise of the powers conferred by sub-section (3) of section 9 of the Mines and Minerals (Development and Regulation) Act, 1957 (67 of 1957), the Central Government hereby makes the following further amendments in the Second Schedule to the said Act, namely:— 2. In the Second Schedule to the Mines and Minerals (Development and Regulation) Act, 1957,— (i) after item 4 and the entries relating thereto, the following item and entries shall be inserted, namely:— +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ | 4A. Beryllium | Two per cent. of the average sale price of Beryllium metal chargeable on the Beryllium metal | | | contained in the ore produced. | +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ (ii) in item 5, for the words, “Ilmenite, Rutile and Zircon", the words "Ilmenite and Rutile occurring in Beach Sand Minerals found in teri or beach sands" shall be substituted. (iii) for item 6 and the entries relating thereto, the following item and entries shall be substituted, namely:— +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ | 6. Cadmium: | | | (i) Primary | Four per cent. of the average sale price of Cadmium metal chargeable on the Cadmium metal | | | contained in the ore produced. | | (ii) By-product | Two per cent. of the average sale price of Cadmium metal chargeable on the by-product Cadmium | | | metal contained in the ore produced. | +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ (iv) after item 10 and the entries relating thereto, the following item and entries shall be inserted, namely:— +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ | 10A. Cobalt: | | | (i) Primary | Four per cent. of the average sale price of Cobalt metal chargeable on the Cobalt metal | | | contained in the ore produced. | | (ii) By-product | Two per cent. of the average sale price of Cobalt metal chargeable on the by-product Cobalt | | | metal contained in the ore produced. | +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ (v) after item 19 and the entries relating thereto, the following item and entries shall be inserted, namely:— +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ | 19A. Gallium: | | | (i) Primary | Four per cent. of the average sale price of Gallium metal chargeable on the Gallium metal | | | contained in the ore produced. | | (ii) By-product | Two per cent. of the average sale price of Gallium metal chargeable on the by-product Gallium | | | metal contained in the ore produced. | +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ (vi) after item 23 and the entries relating thereto, the following item and entries shall be inserted, namely:— +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ | 23A. Indium | Two per cent. of the average sale price of Indium metal chargeable on the Indium metal | | | contained in the ore produced. | +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ (vii) after item 38A and the entries relating thereto, the following item and entries shall be inserted, namely:— +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ | 38B. Rhenium | Two per cent. of the average sale price of Rhenium metal chargeable on the Rhenium metal | | | contained in the ore produced. | +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ (viii) after item 41 and the entries relating thereto, the following item and entries shall be inserted, namely:— +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ | 41A. Selenium: | | | (i) Primary | Four per cent. of the average sale price of Selenium metal chargeable on the Selenium metal | | | contained in the ore produced. | | (ii) By-product | Two per cent. of the average sale price of Selenium metal chargeable on the by-product Selenium | | | metal contained in the ore produced. | +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ (ix) after item 47 and the entries relating thereto, the following item and entries shall be inserted, namely:— +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ | 47A. Tantalum (produced from ores other than | | | Columbite-tantalite): | | | (i) Primary | Four per cent. of the average sale price of Tantalum metal chargeable on the Tantalum metal | | | contained in the ore produced. | | (ii) By-product | Two per cent. of the average sale price of Tantalum metal chargeable on the by-product Tantalum | | | metal contained in the ore produced. | +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ | 47B. Tellurium: | Two per cent. of the average sale price of Tellurium metal chargeable on the Tellurium metal | | | contained in the ore produced. | +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ (x) after item 48 and the entries relating thereto, the following items and entries shall be inserted, namely:— +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ | 48A. Titanium (produced from ores other than Brown | | | Ilmenite (Leucoxene), Ilmenite and Rutile | | | occurring in Beach Sand Minerals found in teri | | | or beach sands): | | | (i) Primary | Four per cent. of the average sale price of Titanium metal chargeable on the Titanium metal | | | contained in the ore produced. | | (ii) By-product | Two per cent. of the average sale price of Titanium metal chargeable on the by-product Titanium | | | metal contained in the ore produced. | +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ (xi) for item 49 and the entries relating thereto, the following item and entries shall be substituted, namely:— +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ | 49. Tungsten: | Three per cent. of the average sale price of Tungsten Trioxide (WO3) on contained WO3 per | | | tonne of ore on pro rata basis"; | +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ (xii) for item 51 and the entries relating thereto, the following item and entries shall be substituted, namely:— +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ | 51. Vanadium: | | | (i) Primary | Four per cent. of the average sale price of Vanadium Pentoxide on contained V2O5 per tonne of | | | ore on pro rata basis. | | (ii) By-product | Two per cent. of the average sale price of Vanadium Pentoxide on contained V2O5 per tonne of | | | ore on pro rata basis."; | +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ (xiii) after item 54 and the entries relating thereto, the following items and entries shall be inserted, namely:— +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ | 54A. Zircon: | Two per cent. of average sale price on ad valorem basis.". | +------------------------------------------------------------+--------------------------------------------------------------------------------------------------+ [F. No. M.VI-16/47/2023-Mines VI] Dr. VEENA KUMARI DERMAL, Jt. Secy. Note: The Second Schedule to the Mines and Minerals (Development and Regulation) Act, 1957 (67 of 1957) was amended vide G.S.R. 175(E), dated the 31st March, 1975 and was lastly amended vide G.S.R. 736(E), dated 12th October, 2023. Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064 and Published by the Controller of Publications, Delhi-110054.

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