Fewer mining licenses means less revenue for State - News.MN

Fewer mining licenses means less revenue for State

Old News! Published on: 2010.08.04

Fewer mining licenses means less revenue for State

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Г. Нэргүй
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Kh.Batbaatar, director of statistics
of Geology and Mining Cadastre Department, talks about the temporary suspension
on issue of mining licenses imposed by President   Ts.Elbegdorj on April 20.

How
many exploration licenses did you give before the ban?

The National Security
Council modified the President’s decision on April 30 and the ban now applies only
to issue of exploration licenses. Transfers, mortgages and extensions are now possible.
As of April 20, 24.7 percent of the total territory of Mongolia was under
mining licenses. Altogether 4,762 licenses were registered, 1105 of them being
exploitation licenses, covering 0.3 percent of the land. The others were
exploration licenses.

How
many holders had their license canceled?

With exploration licenses not
being issued, the number of companies applying for exploitation licenses has increased.
So far, there are 4,320 special licenses. On April 20, the number of exploitation
licenses was 1105, but it is 1,116 
today. There are 3,205 exploration licenses today. We are working to
reduce the number of inactive licenses. So far we have canceled 452 licenses on
grounds of violation of terms. This means the area of land under license has
fallen to 17.8 percent from 24.7 percent. This is a good thing, but it also
means less revenue for the state.

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