RULE-57

BALOCHISTAN MINERAL RULES, 2002 BALOCHISTAN MINERAL RULES, 2002 [Gazette of Balochistan, Extraordinary, 9th March, 2002] No. S.O.(MR)4-6/2002, dated 8-1-2002.--In exercise of the powers conferred by section 2, of the Regulation of Mines and Oil-Fields and Mineral Development (Government Control) Act, 1948, (XXIV of 1948) the Government of Balochistan is pleased to make the flowing Rules:-- PART III MINERAL TITLES AND MINERAL CONCESSIONS Division-6 Cancellation and surrender of mineral titles or mineral concessions 57. Cancellation of mineral titles or mineral concessions. (1) Subject to this Rule and to Rule 65, where the holder of a mineral title or a mineral concession; (a) fails to use in good faith the land subject to the title or concession for the purpose for which the title or concession was granted; (b) uses that land for any purpose other than the purpose for which the title or mineral concession was granted; (c) fails to comply with any requirement of these Rules with which the holder is bound to comply; (d) fails to comply with a condition of the title; (e) fails to comply with a direction lawfully given under these Rules or with a condition on which any certificate of surrender is issued or on which any exemption or consent is given under these Rules; (f) fails to pay royalty and annual rental payable under Rule 104 (2) and 108 (3) until the expiry of the fourth month after the amount becomes due; or (g) persistently contravenes measures implemented by the licensing authority pursuant to Rule 110(3), the licensing authority may cancel the title or the concession on that ground, by notice in writing served on the holder of the title on the concession. (2) Before cancelling a tile under sub-rule (1), on a ground referred to in that sub-rule, the licensing authority shall - (a) by notice in writing served cut the holder of the title or the concession give not less than thirty days notice of its intention to so cancel the title or the concession on that ground; (b) specify in the notice, a date before which the holder of the title or the concession may, in writing, submit any matter which the holder wishes the licensing authority to consider; and (c) take into account - (i) any action taken by the holder of the title or the concession to remove that ground or to prevent the recurrence of similar grounds; and (ii) any matter submitted to the authority by the holder of the title or the concession pursuant to paragraph (b). (3) The licensing authority shall not cancel a title or concession under sub-rule (1) on a ground referred to in paragraph (f) of that sub-rule if, before the date specified in a notice referred to in sub-rule (2), the holder of the title or the concession pays the amount of money concerned together with any penalty arising pursuant to the relevant Rule. (4) The licensing authority may, by notice in writing served on the holder of a mineral deposit retention licence, cancel the licence if the holder fails to make application for a mining lease. (5) The licensing authority may, by notice in writing served on the holder of a mineral title or the mineral concession cancel the title or concession - (a) if the holder (being an individual) is - (i) adjudged bankrupt; or (ii) enters into any agreement or scheme of composition with creditors or takes advantage of any law for the benefit of debtors; (b) if, in the case of a holder that is a company, an order is made or a resolution is passed for winding up the affairs of the company, unless the winding tip is for the purpose of amalgamation or reconstruction and the Licensing authority has been given notice thereof; or (c) if the mineral title or the mineral concession was obtained by fraud or misrepresentation. (6) Where an application has been made under Rule 64 for the transfer of a mineral title or a mining concession or of rights or interests to or in a mineral title or mining concession consequent on the death of an individual who is the holder of the title or concession, the licensing authority shall not cancel the title or the concession unless the authority has refused to grant the transfer. (7) Where a mineral title or a mineral concession is held by two or more persons, the licensing authority shall not, under sub-Rule (5), cancel the title or mineral concession, in relation to one or some only of the persons on the occurrence of an event entitling the licensing authority to so cancel the mineral title or the mineral concession unless the authority is satisfied that any other person or persons who hold that title or concession are unwilling, or would be unable, to carry out the duties and obligations of the holder of that mineral title or mineral concession. (8) On the cancellation of a mineral title or a mineral concession the rights of the holder thereunder shall cease, but the cancellation does not affect any liability incurred before the cancellation and any legal proceedings that might have been commenced or continued against the former holder of the title or concession may be commenced or continued against that former holder.