Mineral and Petroleum Resources Development Act, 2002 (Act No. 28 of 2002)Chapter 4 : Mineral and Environmental Regulation11. Transferability and encumbrance of prospecting rights and mining rights |
| (1) | A prospecting right or mining right or an interest in any such right, or any interest in a close corporation or unlisted company or any controlling interest in a listed company (which corporations or companies hold a prospecting right or mining right or an interest in any such right), may not be ceded, transferred, let, sublet, assigned, alienated or otherwise disposed of without the written consent of the Minister. |
[Section 11(1) substituted by section 8(a) of the Mineral and Petroleum Resources Development Amendment Act, 2008]
| (2) | The consent referred to in subsection (1) must be granted if the cessionary, transferee, lessee, sublessee, assignee or the person to whom the right will be alienated or disposed of— |
| (a) | is capable of carrying out and complying with the obligations and the terms and conditions of the right in question; and |
| (b) | satisfies the requirements contemplated in section 17 or 23, as the case may be. |
| (3) | The consent contemplated in subsection (1) is not required in respect of the encumbrance by mortgage contemplated in subsection (1) of right or interest as security to obtain a loan or guarantee for the purpose of funding or financing a prospecting or mining project by— |
| (a) | any bank, as defined in the Banks Act, 1990 (Act No. 94 of 1990); or |
| (b) | any other financial institution approved for that purpose by the Registrar of Banks referred to in the Banks Act, 1990 (Act No.94 of 1990), on request by the Minister, |
if the bank or financial institution in question undertakes in writing that any sale in execution or any other disposal pursuant to the foreclosure of the mortgage will be subject to the consent in terms of subsection (1).
| (4) | Any transfer, cession, letting, subletting, alienation, encumbrance by mortgage or variation of a prospecting right or mining right, as the case may be, contemplated in this section must be lodged for registration at the Mineral and Petroleum Titles Registration Office within 60 days of the relevant transaction. |
[Section 11(4) substituted by section 8(b) of the Mineral and Petroleum Resources Development Amendment Act, 2008]
| (5) | Any cession, transfer, letting, subletting, assignment, alienation or disposal of prospecting or mining right or an interest in a corporation or company made in contravention of subsection 1 is void. |
[Section 11(5) inserted by section 8(c) of the Mineral and Petroleum Resources Development Amendment Act, 2008]