Tiếng Việt
中文 (中国)
日本語
한국어In the previous article, Bi Law Firm has provided readers with forms of M&A in Vietnam. Today, we will learn more specifically about the conditions of the subject in the transfer of mineral exploitation rights.
Mineral exploitation is a conditional business line in accordance with the provisions of Vietnamese law. Organizations and individuals applying for mineral exploitation licenses must satisfy the principles and conditions for granting licenses and be approved by competent agencies. Similarly, when you want to transfer mineral exploitation rights from one organization or individual to another, you must satisfy the statutory conditions on the transferor and transferee as follows:
I. CONDITIONS OF THE TRANSFEREE
Pursuant to Articles 51 and 66 of the Law on Minerals 2010 and Article 37 of Decree 158/2016/ND-CP stipulating the conditions of organizations and individuals receiving the transfer of mineral exploitation rights as follows:
Firstly, organizations and individuals receiving the transfer of mineral exploitation rights must be established under the Enterprise Law.
Secondly, organizations and individuals receiving the transfer of exploitation rights have equity capital equal to at least 30% of the total investment capital of mineral exploitation investment projects.
Third, the transfer of mineral exploitation rights must be approved by the competent state management agency issuing the mineral exploitation license; in case of approval, the organization or individual receiving the transfer of mineral exploitation rights shall be granted a new mineral exploitation license.
II. CONDITIONS OF THE ASSIGNOR
Pursuant to the provisions of Articles 55 and 66 of the Law on Minerals 2010 and Article 37 of Decree 158/2016/ND-CP, the transferor of exploitation rights must meet the following conditions:
– Up to the time of transfer, organizations and individuals licensed to exploit minerals have completed basic construction work and put mines into operation;
– To pay money for granting mineral exploitation rights, fees for granting mineral exploitation licenses, taxes, fees and fulfilling other financial obligations as prescribed by law;
– To ensure the progress of basic construction of mines and mining activities defined in mineral exploitation investment projects and mine designs;
– To register the date of commencement of the basic construction of the mine and the date of commencement of exploitation with the competent State management agency for issuance of permits and notify the People’s Committees of all levels where the mines are located before implementation;
– Make the most of main minerals and accompanying minerals; protection of mineral resources; implement occupational safety and hygiene and environmental protection measures;
– Report mineral exploitation results to competent state management agencies according to regulations of the Ministry of Natural Resources and Environment;
– Compensation for damage caused by mineral exploitation activities;
– At the time of transfer there is no dispute about rights and obligations related to mineral exploitation activities;
– The organization or individual applying for the transfer has submitted sufficient dossiers to the dossier-receiving agency when the mineral exploitation license is valid for at least 90 days.
The above is our legal view on the conditions of the subject in the transfer of mineral exploitation rights. Feel free to contact us if you have any questions. Bi Law Firm is committed to being your trusted legal advisor.
