Introduction: The Ministry of Mines, through a recent notification dated 20th February 2024, has introduced significant amendments to the Minerals (Other than Atomic and Hydro Carbons Energy Minerals) Concession Rules, 2016. These changes, detailed in the G.S.R. 118(E), particularly impact the determination of average sale prices for various minerals. This article delves into the key modifications and their implications.
Detailed Analysis:
1. Short Title and Commencement: The amendment, titled “Minerals (Other than Atomic and Hydro Carbons Energy Minerals) Concession (Second Amendment) Rules, 2024,” takes effect upon its publication in the Official Gazette.
2. Amendments to Rule 45: In Rule 45, several noteworthy changes have been introduced:
(i) Tungsten Trioxide (WO3) Pricing: – Sub-rule (3) sees a substitution defining the methodology for determining the average sale price of Tungsten Trioxide. The Indian Bureau of Mines will use the United States Geological Survey or other reputed publications’ prices for Tungsten concentrate in the latest calendar year, applying specific multipliers.
(ii) New Sub-rules for Various Minerals: – Sub-rules (7) to (10) detail the determination of average sale prices for Cadmium, Gallium, Indium, Rhenium, Selenium, Tellurium, Titanium, Beryllium, Tantalum, and Vanadium Pentoxide. The methodology involves multiplying the prices from reputable sources with the average reference rate of the Reserve Bank of India for the relevant calendar year, along with specific conversion factors.
3. Official Gazette Publication: The amendment, denoted as F. No. M.VI-16/47/2023-Mines VI, has been signed by Dr. Veena Kumari Dermal, Joint Secretary. It also provides historical context by mentioning the previous amendments made on the 4th March 2016 and the 21st January 2024.
Conclusion: The recent amendment to the Minerals (Other than Atomic and Hydro Carbons Energy Minerals) Concession Rules, 2016, brings significant changes to the determination of average sale prices for various minerals. The precise methodologies outlined for each mineral aim to ensure transparency and accuracy in pricing. Stakeholders in the mining sector should closely monitor these amendments to align their operations with the revised regulations. This notification reflects the Ministry of Mines’ commitment to maintaining a fair and well-regulated minerals market in India.
***
MINISTRY OF MINES
NOTIFICATION
New Delhi, the 20th February, 2024
G.S.R. 118(E).—In exercise of the powers conferred by section 13 of the Mines and Minerals (Development and Regulation) Act, 1957 (67 of 1957), the Central Government hereby makes the following rules further to amend the Minerals (Other than Atomic and Hydro Carbons Energy Minerals) Concession Rules, 2016, namely:
1. Short title and commencement. —(1) These rules may be called the Minerals (Other than Atomic and Hydro Carbons Energy Minerals) Concession (Second Amendment) Rules, 2024.
(2) They shall come into force on the date of their publication in the Official Gazette.
2. In the Minerals (Other than Atomic and Hydro Carbons Energy Minerals) Concession Rules, 2016, in rule 45,—
(i) for sub-rule (3), the following sub-rule shall be substituted, namely:—
“(3) The Indian Bureau of Mines shall publish average sale price of Tungsten Trioxide (WO3) in Indian Rupees on the basis of prices published by the United States Geological Survey or other reputed publications for Tungsten concentrate for the latest available calendar year by multiplying such price of Tungsten concentrate with the following, namely:—
(i) average reference rate of Reserve Bank of India for the said calendar year, and
(ii) the conversion factor of 1.54.”;
(ii) after sub-rule (6), the following sub-rules shall be inserted, namely:
“(7) The Indian Bureau of Mines shall publish average sale price of Cadmium, Gallium, Indium, Rhenium, Selenium, Tellurium and Titanium in Indian Rupees on the basis of prices published by the United States Geological Survey or other reputed publications for the Cadmium metal, Gallium metal, Indium metal, Rhenium metal pellets, Selenium powder, Tellurium metal and Titanium sponge metal, as the case may be, for the latest available calendar year by multiplying such price with average reference rate of Reserve Bank of India for the said calendar year.
(8) The Indian Bureau of Mines shall publish average sale price of Beryllium in Indian Rupees on the basis of prices published by the United States Geological Survey or other reputed publications for the Beryllium-copper master alloy for the latest available calendar year by multiplying such price with the following, namely:
(i) average reference rate of Reserve Bank of India for the said calendar year, and
(ii) the conversion factor of 25.
(9) The Indian Bureau of Mines shall publish average sale price of Tantalum in Indian Rupees on the basis of prices published by the United States Geological Survey or other reputed publications for Tantalite for the latest available calendar year by multiplying such price with the following, namely:
(i) average reference rate of Reserve Bank of India for the said calendar year, and
(ii) the conversion factor of 1.22.
(10) The Indian Bureau of Mines shall publish average sale price of Vanadium Pentoxide in Indian Rupees on the basis of prices published by the United States Geological Survey or other reputed publications for the Vanadium Pentoxide for the latest available calendar year by multiplying such price of Vanadium Pentoxide with average reference rate of Reserve Bank of India for the said calendar year.”.
[F. No. M.VI-16/47/2023-Mines VI]
Dr. VEENA KUMARI DERMAL, Jt. Secy.
Note : The Minerals (Other than Atomic and Hydro Carbons Energy Minerals) Concession Rules, 2016 were published in the Gazette of India, Part-II, Section 3, Sub-section (i) vide number G.S.R. 279(E), dated the 4thMarch, 2016 and lastly amended vide number G.S.R. 50(E), dated the 21st January, 2024.
