FIRST SCHEDULE
4. Reconnaissance or Prospecting or mining operations to be under licence or lease
(3) Any State Government may, after prior consultation with the Central Government and in accordance with the Rules under Section 18, [undertake reconnaissance, prospecting or mining operations with respect to any mineral specified in the First Schedule in any area within that State which is not already held under any reconnaissance permit, prospecting licence or mining lease.]
5. Restrictions on the grant of reconnaissance permits or prospecting licences or mining leases
(1) A State Government shall not grant a [reconnaissance permit, prospecting licence or mining lease] to any person unless such person –
(a)is an Indian national, or a Company as defined in sub-section (1) of Section 3 of the Companies Act, 1956; and
(b)satisfies such conditions as may be prescribed :
Provided that in respect of any mineral specified in the First Schedule, no prospecting licence or mining lease shall be granted except with the previous approvals of the Central Government.
Explanation – For the purposes of this sub-section, a person shall be deemed to be an Indian national, –
(a)in the case of a firm or other association of individuals, only if all the members of the firm or members of the association are citizens of India; and
(b)in the case of an individual, only if he is a citizen of India;]
7. Periods for which reconnaissance permits or prospecting licences may be granted or renewed
(2) A prospecting licence shall, if the State Government is satisfied that a longer period is required to enable the licensee to complete prospecting operations be renewed for such period or periods as that Government may specify:
Provided that the total period for which a prospecting licence is granted does not exceed five years;
Provided further that no prospecting licence granted in respect of [a mineral included in Part A and Part B to] the First Schedule shall be renewed except with the previous approval of the Central Government.]
8. Periods for which mining leases may be granted or renewed
(2) A mining lease may be renewed for [a period not exceeding twenty years]
