May 2004

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Minerals are the property oI the Crown in South
Australia. Access to land Ior prospecting and
mining is gained through provisions oI the Mining
Act 1971 and Regulations under the Act.
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and construction materials. 6RLO is not classed as a
mineral under the Act.
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as a recreation and which does not disturb the land
or water by machinery or explosives, is excluded
Irom the Act. A Iossicker can only enter land with
the owner`s permission.
There are specifc defnitions oI minerals,
prospecting, exploration and mining in the Act, and
these should be read.
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A person prospecting Ior minerals other than opal
must hold a Miners Right, which is valid Ior three
years. Subject to the provisions Ior Notice oI Entry
and Exempt Land (see below), the holder oI a
Miner`s Right may enter land to prospect and peg
out a mineral claim.
A Miner`s Right does not authorise mining or the
disturbance oI land by machinery or explosives.
A Precious Stones Prospecting Permit is required
to prospect Ior opal.
Separate notes are available on opal mining.
(175<21/$1'
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A miner must give a landowner 21 days notice on
a prescribed Iorm oI the intention to enter land
to prospect or mine. Alternatively, a miner may
negotiate an agreement with the landowner setting
out conditions oI entry, and this may be used in lieu
oI a Notice oI Entry. Such an agreement must be
negotiated between the miner and the landowner
and signed by both. A landowner may reIuse to
negotiate such an agreement and has the right to
insist that Notice oI Entry on the prescribed Iorm
be served.
The landowner, excluding a pastoral lessee, can
within three months object to entry by lodging a
plaint with the Warden`s Court. II the landowner
can demonstrate that the operations proposed
will cause undue hardship, the court may impose
conditions under which the miner can enter the
land, or may even stop entry.
A miner shoula always maintain gooa relations
with the lanaowner by proviaing information on
movements ana progress.
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Certain land is exempt Irom prospecting and
mining. Examples are cultivated felds, Iorest
reserves, or land within 400 m oI a house or
150 m oI a water supply. A miner may peg a
claim but cannot prospect or mine on exempt
lana until the owner agrees ana signs a waiver
of exemption form. II the parties cannot agree,
the matter can be reIerred to either the Warden`s
Court or the Environment Resources and
Development Court Ior determination.
Exempt land is Iully defned in Section 9(l) oI
the Mining Act and this should be read beIore
prospecting begins.
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A Mineral Claim provides an exclusive right Ior
12 months to prospect (see below) Ior minerals
within the claim area. The miner has 30 days
aIter the date oI pegging to apply to the Mining
Registrar Ior registration oI the claim.
Prospecting aoes not incluae operations which
aisturb the surface or water by machinery or
explosives.
The Director oI Mines` approval is required beIore
such methods can be used on a mineral claim.
Notice must also be given to the landowner, on
the prescribed Iorm, when declared equipment is
used (see below).
A mineral claim cannot be transIerred, nor can
minerals Irom the claim be sold or used Ior a
Di vi s i on of Mi ner al s and Ener gy Res our c es
Prospecting and mining Ior minerals
2
commercial or industrial purpose. No more than 1 tonne oI
minerals can be removed Irom a claim without the Director`s
approval.
A claim lapses iI an application Ior a mining or retention lease
is not made within 12 months aIter registration. II a claim
lapses the area cannot be re-pegged by the same person within
two years without the approval oI the Warden`s Court.
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Posts oI at least 7 cm diameter and projecting at least 75 cm
above the ground must be placed at each corner oI the
claim. The Miner`s Right number and date oI pegging must
be clearly marked near the top oI each post. II more than
one claim is pegged on the same day, each claim must be
numbered consecutively.
The directions oI the boundaries oI the claim are to be shown
at each corner by trenches, piles oI stones, or indicator arms
on the posts (Fig. 1). A mineral claim cannot exceed 250
hectares in area and its length must not exceed fve times its
width. The maximum length oI any side cannot exceed 2 km.
An irregularly shaped claim may be pegged in certain
instances with the approval oI the Mining Registrar.
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Only hand tools may be used when prospecting on a mineral
claim unless approval Ior other operations has been obtained
Irom the Director oI Mines. The miner must also give 21
days notice (on a prescribed Iorm) to the landowner when
declared equipment is to be used. An objection on the grounds
oI hardship may be made to the Warden`s Court within three
months oI service oI notice.
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II a mineral claim is Iound to have an economic deposit oI
minerals, a Mining Lease must be obtained beIore production
can commence.
A lease gives the exclusive right to mine and sell the minerals
specifed in conditions attached to the lease.
The Department gives notice oI all lease applications in the
Government Gazette and a State-wide newspaper, and a copy
is Iorwarded to the landowner and local council. In each case,
a time period is specifed to allow Ior written comments to be
lodged.
The maximum term Ior which a lease may be granted is 21
years, but it may be renewed iI conditions oI the lease have
been complied with. Departmental policy is an initial grant oI
up to seven years.
There is an annual rental on each lease payable in advance to
the Department. On Ireehold land, the annual rental (less 5)
is reIunded to the landowner. There are two types oI leases
one Ior extractive minerals (construction materials) and
one Ior other minerals (excluding precious stones).
On Ireehold land, claims and leases Ior extractive minerals
can only be obtained by the landowner, unless the Ireehold
landowner gives written consent to another party to peg a
claim Ior extractive minerals.
8089 8089
4748 4748
18.12.96 18.12.96
Trenches
Piles of stone
Miner's Pight No.
Surface line
Date of pegging
Peg. No. (following
Pegistration)
8089
4748
18.12.96
lndicator arm
VALID PEGGING METHODS
FOR MINERAL CLAIMS
VALID CLAIMS
INVALID CLAIMS
1 Must not exceed 250 hectares
2 Length to breadth must not exceed 5:1
3 Longest side must not exceed 2 kiIometres
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2
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1
5
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15OO m
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Prospecting and mining Ior minerals
3
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Claims and leases must be worked Ior the minimum hours
(100 hours per calender month) specifed in the Regulations.
Failure to do so could lead to action in the Warden`s Court by
another miner Ior IorIeiture oI the tenement.
The Court may suspend working obligations Ior short periods
and the Minister may approve applications to vary the
working conditions specifed in the Regulations, iI it is Ielt
that such an application is justifed.
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Large-scale exploration by mining companies is conducted
on an Exploration Licence. This has a maximum area oI
1000 km
2
and requires a specifed technical program and a
substantial fnancial commitment.
Note that a mineral claim cannot be registered within the area
oI an exploration licence without prior written approval oI the
exploration company. This also applies to claims Ior minerals
other than extractives on areas under application Ior a licence.
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A Retention Lease may be granted when, Ior economic or
other reasons, it is not possible to work a deposit immediately.
Retention leases may be granted Ior a term oI up to fve years
and may be renewed. Annual rental must be paid in advance.
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Land used Ior treatment plants, accommodation, business,
dumps or any other purposes connected with mining may be
covered by a Miscellaneous Purposes Licence. These may
be granted Ior a term oI seven years and may be renewed.
Annual rental must be paid in advance.
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Note that the provisions oI native title legislation, as set
out under Part 9B oI the Mining Act, 1971, and Part 5 oI
the Native Title (South Australia) Act, 1994 may apply to
your area oI interest. Please reIer to PIRSA Earth Resources
InIormation Sheet M31 Ior Iurther inIormation.
52<$/7,(6
A royalty is payable on all minerals, to which the Ireehold
landowner may be entitled in certain circumstances. Details
oI rates may be obtained Irom the Department.
In the case oI economic hardship, royalty payments may be
reduced or waived. Appeals against royalty assessment can
be lodged with the Environment Resources and Development
Court.
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Details oI production and other operations conducted on
a claim, lease or private mine must be provided every six
months. The Department sends out a return Iorm Ior each
period. Failure to complete and send the Iorm back can lead
to a penalty being imposed and cancellation oI the tenement.
II there has been no production, the Iorm must still be
returned stating this.
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The landowner is entitled to compensation Ior fnancial loss,
hardship or inconvenience resulting Irom prospecting or
mining. This may be negotiated directly between the owner
and operator or determined by either the Warden`s Court
or the Environment Resources and Development Court iI
agreement cannot be reached.
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1. A bond may be required by the Minister to ensure that
land disturbed by mining is rehabilitated. Failure to lodge
a bond may lead to suspension or cancellation oI the
tenement.
2. Land can be divided into strata to allow separate
exploration oI areas below a given depth. In the opal felds,
a surIace stratum oI 50 m has been proclaimed to allow
exploration Ior other minerals below that level.
3. A penalty oI up to $2000 or two years imprisonment can
apply Ior illegal mining.
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The Warden`s Court deals specifcally with matters
concerning any right claimed in, under or in relation to a
tenement, Miner`s Right or permit. (A separate brochure is
available Irom the Court).
Note. all corresponaence relating to Court matters must be
forwaraea airect to the Court.
Ground Floor
Sir Samuel Way Building
Victoria Square
ADELAIDE SA 5000
Ph: (08) 8204 0285
)857+(5,1)250$7,21
Mining legislation is a complex subject and this inIormation
sheet is provided as a guide only. A miner must reIer to the
Act and Regulations to Iully understand and comply with the
various rights, obligations and procedures.
Copies oI the legislation, the various prescribed Iorms and a
schedule oI charges can be obtained Irom:
Minerals and Energy Division, PIRSA
Mineral Tenements
5th Floor, 101 GrenIell Street, Adelaide
Ph: (08) 8463 3103; Fax: (08) 8463 3101