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The Mines and Minerals Act
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C.C.S.M. c. M162

The Mines and Minerals Act

(Assented to July 26, 1991)

HER MAJESTY, by and with the advice and consent of the Legislative Assembly of Manitoba, enacts as follows:

PART 1

INTERPRETATION AND APPLICATION

Definitions

1(1)        In this Act,

"advanced exploration project" means

(a) excavation of an exploration shaft, adit or decline,

(b) construction of an all-weather access road to an advanced exploration site,

(c) diversion, alteration or damming of a natural watercourse for purposes of bulk sampling, mine development or mining,

(d) de-watering of a shaft, adit or decline for underground exploration and development purposes,

(e) removal of a bulk sample of at least 500 tonnes of material for testing, and

(f) any other project that is prescribed as an advanced exploration project; (« ouvrage d'exploration avancée »)

"aggregate" means a quarry mineral that is used solely for construction purposes or as a constituent of concrete other than in the manufacture of cement and includes sand, gravel, clay, crushed stone and crushed rock; (« agrégat »)

"aggregate quarry" means a quarry from which aggregate is produced; (« carrière d'agrégat »)

"assistance" means assistance of a monetary nature and, without limiting the generality of the foregoing, includes a grant, advance, loan, guarantee, forgiveness of interest or principal in respect of a loan or debt, capital investment, purchase of share options and a purchase of assets of a corporation, syndicate or limited partnership; (« aide »)

"board" means the Mining Board established under subsection 28(1); (« Commission »)

"borehole" means a hole that is made in the surface of the ground by drilling or boring and that, for the purpose of exploring for minerals or gathering scientific information, penetrates Phanerozoic rock formations situated above Precambrian rock formations, but does not include a well; (« trou de sonde »)

"cash deposit" includes a certified cheque drawn on, or an irrevocable letter of credit given by, a bank or a trust company, credit union or caisse populaire licensed to carry on business in Manitoba; (« dépôt de garantie »)

"chief mining engineer" means the chief mining engineer appointed under subsection 6(3); (« ingénieur en chef des mines »)

"claim" means a parcel of Crown mineral land, that is staked out, acquired or held as a claim for the purpose of mineral exploration and development under Part 5; (« claim »)

"closure plan" means a plan that sets out a program for protection of the environment during the life of a project and for rehabilitation of the project site upon closing of the project and that includes the provision of security to the Crown for performance of rehabilitation work; (« plan de fermeture »)

"council" means the Minerals Research Advisory Council established under subsection 23(1); (« Conseil »)

"Crown" means, unless otherwise specified, Her Majesty The Queen in right of the province; (« Couronne »)

"Crown land" means land that is vested in the Crown and includes Crown mineral land; (« terre domaniale »)

"Crown mineral" means a mineral on, in or under Crown mineral land; (« minéraux domaniaux »)

"Crown mineral land" means land in which the Crown holds a mineral interest with or without surface rights in respect of the land; (« bien-fonds de minéraux domaniaux »)

"Crown quarry mineral" means a quarry mineral on, in or under Crown mineral land; (« minéraux de carrière domaniaux »)

"department" means the department of the government established under subsection 6(1); (« ministère »)

"development" means a proving or opening up of a mineral deposit in preparation for mining and, without restricting the generality of the foregoing, includes surface and underground diamond drilling, surface stripping, surface and underground excavation and the erection of buildings or structures appurtenant to a development that are used in the mining or processing of minerals; (« préparation »)

"director" means the Director of Mines appointed under subsection 6(2) and includes an acting director appointed under subsection 10(2); (« directeur »)

"exploration" means a search for minerals by prospecting, by geological, geophysical or geochemical surveys, by trenching, stripping, excavating or drilling or by any other method; (« exploration »)

"hear" means to hear orally, whether with or without receiving written submissions;

"hearing" means an oral hearing, whether with or without receiving written submissions; (« audience »)

"holder" means, in relation to a recorded lease or mineral disposition, the person shown by the recorder as the holder of the lease or mineral disposition, but does not include a person who holds an interest in a lease or mineral disposition as security for a debt; (« titulaire »)

"in place" means, in reference to a mineral, in the place or position in the solid rock in which the mineral is originally formed and does not apply to a mineral that is in loose, fragmentary or broken rock or in boulders, float, beds or deposits of metal-bearing sand, earth, clay, gravel or placer mineral; (« en place »)

"individual" means a natural person and does not include a corporation, organization, association, partnership or other entity having legal status as a person; (« particulier »)

"inspector" means

(a) the director,

(b) an officer of the department who is acting as a recorder, claims inspector, mining engineer or geologist, or

(c) a person who, for purposes of this Act, is designated by the minister as an inspector; (« inspecteur »)

"Interdepartmental Planning Board" means the Interdepartmental Planning Board appointed under The Planning Act; (« Commission interministérielle d'aménagement »)

"land" means land as defined in The Real Property Act and includes land covered by water; (« bien-fonds »)

"lease" means a mineral lease or a quarry lease or both, but does not include a surface lease; (« bail »)

"lease area" means an area of land that is the subject of a mineral lease or a quarry lease; (« périmètre d'exploitation du bail »)

"licensee" means a holder of a prospecting licence issued under Division 1 of Part 4; (« titulaire de permis »)

"limited use land" means land designated by the minister as suitable only for mining; (« bien-fonds à occupation limitée »)

"Manitoba Hydro" means the Manitoba Hydro-Electric Board continued under The Manitoba Hydro Act; (« Hydro-Manitoba »)

"mine" means an opening or excavation in the ground that is established or maintained for the purpose of mining and includes

(a) a quarry,

(b) machinery, plant, buildings, premises, stockpiles, storage facilities, waste dumps or tailings, whether below or above ground, that are used for, or in connection with, mining,

(c) a crusher, mill, concentrator, furnace, refinery, processing plant or place that is used for, or in connection with, washing, crushing, sifting, drying, oxidizing, reducing, leaching, roasting, smelting, refining, treating or conducting research on mineral bearing substances, and

(d) an abandoned mine and abandoned mine tailings; (« mine »)

"mineral" means a non-living substance that is formed by natural processes and is found on or under the surface of the ground, irrespective of chemical or physical state and before or after extraction, and includes mine tailings and substances that are prescribed as minerals for purposes of this Act but does not include agricultural soil, oil, natural gas or any other gas, any surface or ground water or other substance that for purposes of this Act is prescribed not to be a mineral; (« minéral »)

"mineral access rights" means, in respect of a lease or mineral disposition, the right to enter, use and occupy the surface of land to prospect or explore for or develop, mine and produce minerals, but does not include surface rights; (« droits d'accès aux minéraux »)

"mineral disposition" means a claim, a mineral exploration licence or a quarry permit; (« aliénation minière »)

"mineral exploration licence" means a licence issued under section 51 for the purpose of exploring for minerals, other than quarry minerals, on, in or under Crown mineral land specified in the licence; (« permis d'exploration »)

"mineral interest" means a legal or equitable interest in minerals or mineral rights under a mineral disposition or a lease; (« intérêt minier »)

"mineral lease" means a lease granted under subsection 14(6) in respect of Crown minerals or a mineral lease granted under subsection 103(1), but does not include a quarry lease granted under subsection 139(2); (« bail minier »)

"mineral location" means a parcel of Crown mineral land in respect of which a disposition is made for the purpose of mining; (« emplacement minier »)

"mineral product" means a product that is derived from a mineral or group of minerals or from mineral bearing substances and includes a product or substance that is milled, smelted, refined, recrystallized or otherwise processed to a state suitable for manufacturing or acceptable to the Royal Canadian Mint; (« substance minérale »)

"mineral resource" means a deposit of mineral on, in or under land, but does not include a reservoir of oil or natural gas or a reservoir of oil and natural gas; (« ressources minérales »)

"mineral rights" means rights to produce minerals that are found on, in or under land, whether or not title to the minerals in the land is severed from title to the land; (« droits miniers »)

"mining" means a mode, method or process whereby soil, earth, rock, stratum or a mineral bearing substance is disturbed, removed, crushed, washed, sifted, dried, reduced, oxidized, leached, roasted, smelted, refined or otherwise dealt with for the purpose of extracting a mineral or metal from it; (« exploiter » ou « exploitation »)

"minister" means the member of the Executive Council charged by the Lieutenant Governor in Council with the administration of this Act; (« ministre »)

"occupant" means, in relation to a parcel of land, a person, other than an owner of the land, who is in actual and lawful possession of the land; (« occupant »)

"off-property diamond drilling" means diamond drilling that is carried out on a mineral disposition or mineral lease and from which production is not taking place; (« forage au diamant non productif »)

"on-property diamond drilling" means diamond drilling that is carried out on a mineral disposition or a lease and from which production is taking place; (« forage au diamant productif »)

"open Crown mineral land" means Crown mineral land that is not staked or in respect of which there is no existing lease or mineral disposition; (« bien-fonds de minéraux domaniaux ouvert »)

"operator" means a person, including a Crown corporation, who, as the owner or lessee of mineral rights or the holder of a quarry permit or registration certificate, operates a mine, but does not include

(a) a person who receives only a royalty or rent from the person who operates the mine,

(b) an owner of a mine that is subject to a lease, grant or license in favour of the person who operates the mine, where the owner does not participate in the operations of the mine,

(c) an owner of land on which a mine is operated or an owner of the surface rights pertaining to such land, where the owner has no right or title to minerals situated in the land and does not participate in the operations of the mine; (« exploitant »)

"patented mining claim" means a parcel of land granted under the Land Titles Act (Canada) without a reservation in favour of the Crown in right of Canada in respect of minerals found in, on or under the land; (« claim minier patenté »)

"person" includes a corporation, partnership, limited partnership or syndicate and the heirs, executors, administrators or other legal representatives of a person; (« personne »)

"pooling agreement" means an agreement between working interest owners of contiguous tracts whereby the respective interests of the owners are joined or pooled to form a unit operation; (« accord de mise en commun »)

"prescribed" means prescribed by regulation under this Act;

"proceeding" means, in relation to the board, a proceeding commenced by referral to the board of a question, dispute, matter or claim under subsection 29(2); (« instance »)

"production" means the extraction, recovery or removal of a mineral or mineral product, for the purpose of sale, barter or stockpiling, from

(a) a mine, a parcel of land or land that is the subject of a mineral disposition or a lease, or

(b) land that is authorized under the regulations as a location for the operation of an aggregate quarry; (« production »)

"project" means a mine, other than an aggregate quarry, and the operations of a mine, but does not include, except in Part 14, an advanced exploration project; (« ouvrage »)

"project site" means land on which a project is located; (« chantier »)

"proponent" means an operator of a project or a person who proposes to operate a project; (« promoteur »)

"public agency" means

(a) a department of government of the province,

(b) a municipality,

(c) a community council,

(d) a local government district,

(e) Manitoba Hydro, and

(f) a Crown corporation,

and includes an agency or entity that is prescribed as a public agency for purposes of this Act; (« organisme public »)

"quarry" means a mine that is an open excavation from which quarry mineral is removed; (« carrière »)

"quarry lease" means a lease granted under subsection 14(6) in respect of a Crown quarry mineral or a quarry lease granted under subsection 139(2) but does not include a quarry permit issued under subsection 133(2); (« bail d'exploitation de carrière »)

"quarry mineral" means a mineral, other than a diamond, ruby, sapphire or emerald, that is obtained from a quarry, and includes

(a) sand, gravel, clay, shale, kaolin, bentonite, gypsum, salt, coal and amber,

(b) rock or stone that is used for a purpose other than as a source of metal, metalloid or asbestos, and

(c) a mineral that is prescribed as a quarry mineral; (« minéraux de carrière »)

"quarry mineral disposition" means a quarry permit or a quarry lease; (« aliénation de minéraux de carrière »)

"quarry permit" means a permit issued under subsection 14(7) or subsection 133(2) in respect of exploration for quarry minerals on Crown mineral land; (« licence d'exploitation de carrière »)

"recorder" means the mining recorder appointed under subsection 6(3); (« registraire »)

"registration certificate" means a certificate issued under section 197 to authorize the operation of an aggregate quarry; (« certificat d'enregistrement »)

"rehabilitation" means, in respect of a project site or an aggregate quarry, the actions to be taken for the purpose of

(a) protecting the environment against adverse effects resulting from operations at the site or quarry,

(b) minimizing the detrimental impact on adjoining lands of operations at the site or quarry,

(c) minimizing hazards to public safety resulting from operations at the site or quarry, and

(d) leaving the site or quarry in a state that is compatible with adjoining land uses and that conforms, where applicable, to a zoning by-law or development plan under The Planning Act and to the specifications, limits, terms and conditions of a licence issued under The Environment Act in respect of the project; (« remise en état »)

"required work" means, in respect of a mineral disposition or mineral lease, work of a prescribed kind and minimum value that must be performed by the holder or lessee; (« travaux obligatoires »)

"royalty owner" means a person who has an enforceable right to receive

(a) a portion of the minerals that are produced by a mine, or

(b) a portion of the proceeds that are realized from the sale of the minerals or a portion of the minerals that are produced by a mine,

including a right based on

(c) a reversionary interest,

(d) a royalty interest reserved to the person as lessor under a mineral lease,

(e) an overriding royalty interest, or

(f) an interest in a payment under, or an encumbrance on, a lease or other contract relating to minerals

that does not carry with it the right to search for or produce the minerals; (« titulaire de redevance »)

"surface lease" means a surface lease under section 149; (« bail de surface »)

"surface rights" means, in respect of a parcel of land, rights to enter, use and occupy the surface of the land for purposes other than the exercise of mineral rights, but does not include mineral access rights; (« droits de surface »)

"tract" means a mineral location or a parcel of land that contains minerals that are owned by a person other than the Crown and includes part of a mineral location or such parcel of land; (« parcelle »)

"unit area" means an area of land comprising contiguous tracts that are the subject of a pooling agreement or a pooling order and where a pooling agreement or pooling order applies to a unit operation in respect of strata or zones within a unit area, the strata or zones constitute a unit area; (« espace d'exploitation unitaire »)

"unit operation" means a mining operation where, for purposes of a pooling agreement or a pooling order, contiguous tracts are consolidated, merged, pooled, integrated or otherwise combined and are operated as a unit without regard to boundaries between the contiguous tracts; (« exploitation unitaire »)

"urban centre" means an incorporated city, or an urban municipality, local urban district, and includes any settlement recognized as an urban centre by the government; (« centre urbain »)

"well" means a well as defined in The Oil and Gas Act; (« puits »)

"working interest owner" means, in respect of a tract, a person who has a right to explore for, develop and produce minerals from the tract; (« titulaire d'un intérêt économique direct »)

"year" means a period of 12 consecutive months. (« année »)

Regulations included

1(2)        In this Act, a reference to "this Act" includes the regulations made under this Act.

S.M. 1993, c. 4, s. 231; S.M. 1995, c. 17, s. 2; S.M. 1998, c. 39, s. 75; S.M. 2002, c. 28, s. 2; S.M. 2014, c. 27, s. 64.

Object and purpose of Act

2(1)        The object and purpose of this Act is to provide for, encourage, promote and facilitate exploration, development and production of minerals and mineral product in Manitoba, consistent with the principles of sustainable development.

Sustainable development

2(2)        For purposes of subsection (1), the principles of sustainable development include the following:

(a) that decisions respecting the economy and mining activities be integrated with decisions respecting protection and management of the environment so that mining activity is commenced with due regard for its impact on the environment and environmental programs or initiatives are instituted with proper regard for their economic impact;

(b) that government and industry, in their respective policies and practices, acknowledge their stewardship of the mineral resources of the province, and work with local communities, so that the economy is developed and the environment is preserved, for the benefit of present and future generations of Manitobans;

(c) that responsibility for sustaining a sound and healthy environment alongside development of a sound and healthy mining industry is a responsibility that is shared by government and industry, working with local communities;

(d) that hazards to the environment and impediments to mineral development be prevented or, if not prevented, minimized by avoiding policies, programs and decisions that have significant adverse environmental or economic impact;

(e) that conservation policies and practices be applied to enable the extraction and production of minerals in the province in a manner that is wise and efficient in both environmental and economic terms;

(f) that the recycling of mining waste by-products be encouraged to enable re-use, reduction or recovery of the by-products;

(g) that mining activities and economic development, as well as government regulation, be conducted with a view to protecting and enhancing the ecosystems of the province;

(h) that land that, in environmental terms, is damaged or diminished by mining activity be rehabilitated;

(i) that scientific and technological research in respect of the processes and methods of mineral extraction and production continue, on the part of government and industry, with a view to improving the productivity, efficiency and competitiveness of the mining industry and to preventing or reducing adverse impact on the environment; and

(j) that the ecological interdependence of the provinces and territories of Canada and of the nations of the world increasingly requires integration of the decisions of government, industry and citizens, in respect of the environment and the economy.

Application

3(1)        This Act applies to

(a) minerals in the province that are vested in or belong to the Crown;

(b) Crown mineral land;

(c) the operations of mines in the province and the lands on which such mines are located; and

(d) mineral resource primary production in the province.

Definition

3(2)        For purposes of clause (1)(d), "mineral resource primary production" means

(a) the production of minerals in the form in which they exist upon recovery or severance from their natural states; or

(b) the production of mineral product after processing or refining but before manufacturing.

Private minerals

3(3)        Section 4, Part 4, Part 5 (other than sections 81 and 81.1 in respect of patented mining claims), Parts 7 and 8, sections 147 to 151, 164 and 165 of Part 9 and Parts 11, 16 and 19 do not apply to, or in respect of, minerals that are not vested in, or do not belong to, the Crown.

S.M. 2004, c. 35, s. 2.

Mineral dispositions and leases

4            A mineral disposition or a lease, including mineral access rights, may be issued only in accordance with this Act.

S.M. 1995, c. 17, s. 3.

Crown bound

5           The Crown is bound by this Act.

PART 2

ADMINISTRATION

DEPARTMENT

Establishment of department

6(1)        The Lieutenant Governor in Council may, under section 8 of The Executive Government Organization Act, establish a department of the government over which the minister is to preside and through which this Act is to be administered.

Departmental appointments by L.G. in C.

6(2)        The Lieutenant Governor in Council may, as provided in The Civil Service Act, appoint a deputy minister, an assistant deputy minister, a Director of Mines and a Director of the Geological Survey to carry on the business of the department.

Administrative appointments

6(3)        A mining recorder, chief mining engineer and such other officers and employees as may be required shall be appointed as provided in The Civil Service Act.

S.M. 2002, c. 28, s. 3.

MINISTER

7(1)        [Repealed] S.M. 2002, c. 28, s. 4.

Minister may enter into agreements

7(2)        Notwithstanding section 16 of The Executive Government Organization Act, the minister may, with the approval of the Lieutenant Governor in Council, enter into or amend agreements, including agreements with the government of Canada, a government of another province or territory of Canada or a municipality or other local authority in Canada, with respect to exploration for minerals, development or production of minerals or any other matter for purposes of this Act.

Assistance agreements

7(3)        Without restricting the generality of subsection (2), the minister may, with the approval of the Lieutenant Governor in Council, enter into agreements for the purpose of providing

(a) assistance in respect of exploration, within such limits and under such conditions, if any, as are prescribed;

(b) assistance in respect of the mining, recovery or processing of minerals or mineral products;

(c) assistance or incentives to support undertakings that, in the opinion of the minister, are likely to broaden, strengthen or diversify the mineral resource industry in the province.

Annual report

7(4)        Upon completion of each fiscal year of the government, the minister shall prepare a report on the activities, actions and accomplishments of the department under this Act during the fiscal year and shall table the report in the Legislative Assembly no later than September 30 in each year except that where the Legislative Assembly is not then in session or a session is adjourned, the minister shall table the report in the Legislative Assembly no later than the 15th day following the day on which the next session commences or the adjourned session resumes sitting.

S.M. 1995, c. 17, s. 4; S.M. 2002, c. 28, s. 4.

Acquisition of interests in land by Crown

8(1)        The minister may, for and in the name of the Crown, acquire private mineral rights or surface rights in land by purchase, lease, expropriation or otherwise, where the minister deems that interest in land to be necessary for the development of a mineral deposit and the development to be in the public interest.

Minister may hold and manage interests

8(2)        The minister may hold, manage and develop an interest in land that has been acquired under subsection (1).

S.M. 2002, c. 28, s. 5.

MINES BRANCH

Establishment

9           The department shall include a branch to be known as the "Mines Branch".

DIRECTOR OF MINES

Duties of the director

10(1)       The director shall

(a) exercise general supervision over the Mines Branch, including the office of the recorder;

(b) maintain the files, books and records of the Mines Branch;

(c) promote the sound management of the mines and mineral resources of the province;

(d) preserve as a permanent record the plans, records and exploration data submitted under this Act; and

(e) perform such other functions as are required of the director under the regulations; and

(f) do all things as are necessary to give best effect to the object and purpose of this Act.

Acting director

10(2)       Where the director is absent because of illness or for any other reason is unable to perform the duties of the director, the minister may appoint a person to act as acting director and the person appointed shall have all the powers and duties of the director under this Act.

INSPECTORS

Appointment of inspectors

11(1)       The minister may appoint persons, including persons who are employees of the Crown, as inspectors.

Powers of inspectors

11(2)       An inspector may,

(a) at any reasonable time, enter a mine or upon land that is subject to a lease or mineral disposition and make such inspection, examination or inquiry as the inspector deems necessary to determine whether a holder, lessee or operator is in compliance with this Act;

(b) with the approval of the director or the chief mining engineer, order the cessation of work in, and the departure of persons from, a mine or portion of a mine that the inspector considers unsafe or allow persons to work in a mine or portion of a mine upon precautions being taken as the inspector deems appropriate;

(c) take ore or mineral samples or carry out tests or examinations in respect of a mine, mineral disposition, lease or mining operation;

(d) request that a holder, lessee or operator provide information or documentation relating to the exploration, development or production of mineral product by the holder, lessee or operator or relating to rehabilitation, having due regard to the confidentiality of the information or documentation where the information or documentation might benefit a third party at the expense or loss of the person from whom the information or documentation is requested;

(e) enter upon private land and use private roads free of tolls otherwise applicable;

(f) be accompanied and assisted by persons having special, expert or professional knowledge of a matter under examination;

(g) take photographs of mineral locations and mines;

(h) after giving a receipt for documentation referred to in clause (d), remove the documentation for the purpose of making copies;

as is necessary to carry out the duties of the inspector under this Act.

Cooperation with inspectors

11(3)       Where an inspector, for purposes of an inspection, examination or inquiry, seeks to enter a mine or onto land that is subject to a lease or mineral disposition, the operator, including an employee or agent of the operator, shall render assistance to and cooperate with the inspector and shall answer all questions of the inspector in respect of any matter relevant to the inspection, examination or inquiry.

Notice by inspector for non-compliance

11(4)       Where an inspector under clause (2)(a) determines that a person is not in compliance with this Act, the inspector may give the person notice of the non-compliance and may require the non-compliance to be remedied within a period specified in the notice.

Stop orders

11(5)       Where the circumstances under subsection (4) require immediate remedial action or a person served with a notice under subsection (4) fails to remedy a non-compliance within the period specified in the notice, an inspector may, with the approval of the director or the chief mining engineer, issue a stop order requiring the person to stop some or all of the activities or operations of the person until the non-compliance is remedied to the satisfaction of the inspector.

Identification cards

11(6)       An inspector exercising a power under subsection (2) shall, upon request by the holder, lessee or operator against whom the power is exercised, produce the identification card of the inspector.

S.M. 1995, c. 17, s. 5; S.M. 2002, c. 28, s. 6.

COMMISSIONERS

Appointment of commissioners

12          Subject to the approval of the Lieutenant Governor in Council, the minister may appoint a person as a commissioner to enquire into a matter that affects or might affect, or that relates or might relate to, the object and purpose of this Act as provided in subsection 2(1) and for the purpose of the enquiry, the person appointed has the protection and powers of a commissioner appointed under Part V of The Manitoba Evidence Act, other than the powers of a commissioner under section 88 of The Manitoba Evidence Act.

MINERAL MANAGEMENT AREAS

Mineral management area designations

13          For the purpose of giving priority to mineral exploration and development in an area of high mineral potential in the province and after consulting the Interdepartmental Planning Board, the Lieutenant Governor in Council may, by regulation, designate areas of the province as mineral management areas.

WITHDRAWAL OF LAND

By order of minister

14(1)       The minister may, by order, withdraw open Crown mineral land from exploration, staking out and lease.

Re-opening withdrawn mineral land

14(2)       The minister may, by order, re-open for exploration, staking out and lease Crown mineral land that is withdrawn under subsection (1).

Partial withdrawal or re-opening

14(3)       Crown mineral land may be withdrawn or re-opened only in respect of such minerals as are specified in the order withdrawing or re-opening the land.

Effect of withdrawal

14(4)       Subject to subsections (5), (6) and (7), Crown mineral land that is withdrawn under subsection (1) may not, unless re-opened under subsection (2), be explored, staked out, occupied or worked in respect of any minerals or such minerals as are specified in the withdrawal order, except by or on behalf of the Crown.

Working on behalf of the Crown

14(5)       The minister may by order direct that Crown mineral land that is withdrawn under subsection (1) may, in whole or in part, be explored, staked out, occupied or worked by or on behalf of the Crown or a public agency, subject to such conditions as the minister stipulates.

Disposition of withdrawn land

14(6)       Crown mineral land that is withdrawn under subsection (1) may be leased by the Crown or worked under an agreement or arrangement with the Crown.

Quarry mineral on withdrawn lands

14(7)       The director may, upon such terms and conditions as the director may stipulate, including the payment of prescribed royalties and a rehabilitation levy under subsection 200(1), issue a quarry permit for the removal of quarry mineral from Crown mineral land in respect of which an order is made under subsection (1).

S.M. 2011, c. 36, s. 7; S.M. 2014, c. 27, s. 64.

EXTENSIONS OF TIME

Minister may grant extension of time

15(1)       Where, in the opinion of the minister, sufficient cause is shown, the minister may, upon application being made for the purpose, grant an extension of time for compliance with this Act.

Cash deposit may be required

15(2)       In granting an extension of time under subsection (1), the minister may, after giving due regard to the relevant circumstances and the possible economic impact of granting an extension, require the applicant, in accordance with the regulations, to provide a cash deposit as security for compliance within the extended time.

Cash deposit refundable

15(3)       Where an applicant provides a cash deposit under subsection (2) and complies within the extended time granted under subsection (1), the minister shall refund the cash deposit to the applicant.

Cash deposit forfeited

15(4)       Where an applicant provides a cash deposit under subsection (2) and fails to comply within the extended time granted under subsection (1), the cash deposit is forfeited to the Crown.

Application 21 days before expiry

15(5)       An application under subsection (1) must be filed with the minister not less than 21 days before the date on which the time fixed or allowed under this Act expires.

S.M. 1995, c. 17, s. 6.

RELIEF FROM FORFEITURE

Application to minister

16(1)       Where a person suffers a forfeiture or loss of rights by reason of a failure of the person to comply with this Act, the person may apply to the minister for relief from the forfeiture or loss of rights and the minister may, by order, upon such conditions as the minister deems just, relieve the person from the forfeiture or loss of rights.

Interests or rights again vested

16(2)       Upon compliance with the conditions, if any, imposed by the minister under subsection (1) and subject to the rights of third parties acting in good faith that arise subsequent to the forfeiture or loss and prior to the date on which application is made under subsection (1), the interest or rights forfeited or lost are vested in the person relieved.

RECORDER

Recorder

17(1)       The recorder is the chief administrative officer of the office of the recorder established under subsection 18(1) and is to exercise general supervision of the operations of the office and perform such other duties and functions as are required of the recorder under this Act.

Acting recorder

17(2)       If the recorder is absent or unable to perform his or her duties, the director may appoint a person as acting recorder, and that person has all the powers and the duties of the recorder.

Delegation of powers

17(3)       The recorder may, in writing, delegate to any person any power, authority, duty or function of the recorder under this Act, and for the purpose of exercising the delegated power, authority, duty or function, that person is deemed to be the recorder.

S.M. 2002, c. 28, s. 7.

OFFICE OF THE RECORDER

Office of the recorder

18(1)       The office of the recorder is hereby established and may be located at more than one location as the minister considers appropriate and each location shall serve as the office of the recorder for purposes of this Act.

Records and documents to be kept

18(2)       The recorder shall

(a) maintain a permanent record of mineral dispositions and leases;

(b) preserve on file documents and instruments relating to mineral dispositions and leases; and

(c) prepare and maintain on file maps showing the location of recorded mineral dispositions and leases.

Records and documents open to public

18(3)       Unless otherwise provided under this Act, a person may, at no charge and during normal office hours, inspect the records and documents kept or maintained by the recorder under subsection (2) and, upon request, the recorder shall

(a) provide copies of extracts from the records or copies of documents or maps on file; and

(b) certify as true copies the copies provided under clause (a).

Certified copy of certificate may be provided

18(4)        Where a certificate of a mineral disposition, mineral lease or quarry lease is lost or destroyed, the recorder shall, upon receipt of a statutory declaration from the holder affirming the loss or destruction, issue a certified copy of the certificate.

Evidence of records, documents etc.

18(5)       Where a copy of a record, document, instrument or map described in subsection (2) is certified by the recorder under clause (3)(b), the copy may be received by the board or a court as proof of the record, document, instrument or map without proof of the appointment, authority or signature of the recorder.

S.M. 1995, c. 17, s. 7.

Note of order or decision on record

19          If an order or decision affecting a lease or mineral disposition is made under this Act, the recorder must enter a note on the record of that lease or mineral disposition setting out

(a) the date of the order or decision;

(b) if applicable, the effective date of the order or decision; and

(c) the date the note was entered upon the record.

S.M. 2002, c. 28, s. 8.

Maps to show withdrawn and reserved lands

20          The recorder shall record or mark on maps prepared and maintained under clause 18(2)(c)

(a) land that is withdrawn under subsection 14(1);

(b) land that is part of an Indian Reserve;

(c) land set aside as

(i) a provincial park under The Provincial Parks Act,

(ii) a park under the National Parks Act (Canada),

(iii) a wildlife management area designated under The Wildlife Act,

(iv) a water power reserve established under The Water Power Act,

(v) a provincial forest established under The Forest Act, or

(vi) a mineral management area designated under section 13;

(d) land that is designated as a heritage site under The Heritage Resources Act; and

(e) land that is designated as a provincially significant peatland under The Peatlands Stewardship Act.

S.M. 1993, c. 39, s. 37; S.M. 2002, c. 28, s. 9; S.M. 2014, c. 27, s. 64.

21          [Repealed]

S.M. 1995, c. 17, s. 8.

CONFIDENTIAL INFORMATION

Prohibition

22(1)       No person who acquires confidential information in the course of performing official duties or exercising official powers under this Act or for purposes of this Act shall, except on the order of a judge of the Court of Queen's Bench, disclose the information to a third party other than for purposes of administration and enforcement of this Act, the regulations or the terms and conditions of a permit, licence or lease issued or granted under this Act or for purposes of research in respect of mineral resources or mining in the province unless

(a) the owner of the information, or an authorized agent of the owner, in writing permits disclosure, in which case disclosure may be made on such terms as the owner stipulates; or

(b) the prescribed period of confidentiality applicable to the information is expired.

Confidential information

22(2)       For purposes of subsection (1), information is confidential where,

(a) in the opinion of the director, it ought not, for purposes of this Act, to be disclosed; or

(b) disclosure could reasonably be expected to injure the interests of a person other than the person requesting the information.

Experts and professionals

22(3)       A person referred to in clause 11(2)(f) who accompanies and assists an inspector and an expert referred to in subsection 38(1) are, in respect of confidential information obtained in the discharge of their powers or duties under this Act, deemed to have acquired the confidential information in the course of performing official duties or exercising official powers under or for the purposes of this Act.

THE MINERALS RESEARCH ADVISORY COUNCIL

Council established

23(1)       There is hereby established a council, to be known as "The Minerals Research Advisory Council", whose members shall be appointed by the Lieutenant Governor in Council.

Membership

23(2)        The council shall have no more than 11 members of whom the majority must be professionals, or persons having a professional background, in the mineral industry.

Role of council

23(3)       The council shall

(a) promote and assist scientific and technological innovation through basic and applied research and development in respect of mineral exploration and mining; and

(b) advise the minister in respect of matters relating to minerals research and such other matters as the minister may refer to the council for consideration.

Powers of the council

23(4)       The council may make recommendations to the minister with respect to

(a) opportunities to develop, encourage, sustain and improve efficiency in the mineral industry through basic and applied research;

(b) minerals research funding;

(c) co-ordination of minerals research programs and practices;

(d) promoting public awareness of minerals research and its importance to the economy of the province; and

(e) such other matters as the minister may refer to the council for consideration.

Council to consult with other groups

23(5)       For purposes of exercising its powers under subsection (4), the council may consult freely with individuals and groups having a special interest and expertise in matters related to mineral resource development.

Presiding member and deputy

23(6)       The Lieutenant Governor in Council shall appoint a member of the council to act as the presiding member of the council and another member to act as the deputy presiding member of the council and each shall hold office for a period not exceeding three years.

Term of office of council members

23(7)       Members of the council, other than the presiding member and the deputy presiding member, shall hold office for terms not exceeding three years in such arrangement that the terms of office of not more than half of the members expire each year.

Eligibility for re-appointment

23(8)       A retiring member, including a retiring presiding member or a retiring deputy presiding member, is eligible for re-appointment in the same or another capacity for one additional term.

Remuneration and expenses

23(9)       Members of the council may be paid remuneration for their services as members of the council as provided by the Lieutenant Governor in Council and shall receive reimbursement for out-of-pocket expenses incurred in the course of performing official functions under this Act.

Rules of procedure

24(1)       The council may make procedural rules to govern the conduct of its business.

Staff and contracts for services

24(2)       The council may

(a) require from the department the administrative, technical or clerical services that it requires for the carrying out of its functions;

(b) enter into agreements for the provision of services to the council as the council considers necessary.

Grants to the council

25          The Minister of Finance, on the requisition of the minister, may make grants to the council from the Consolidated Fund of moneys authorized under an Act of the Legislature to be so paid and applied.

Annual report

26(1)       The council shall, on or before the 30th day of June each year, prepare and transmit to the minister a report relating to the activities of the council for the preceding year, and upon receiving the report, the minister shall lay a copy of it before the Assembly if then in session and if not then in session, within 15 days of the day of commencement of the next session or the day of resumption of an adjourned sitting.

Special reports

26(2)       In addition to the annual report under subsection (1), the council shall, on the request of the minister, provide a report to the minister on any matter relating to the activities of the council or the purposes of this Act.

ACTIONS IN GOOD FAITH

Protection

27          Where a member of the board or the council or an employee of the board or the department, acting on behalf of the board or the department or under the authority of this Act, acts in good faith in the performance of duties or the exercise of powers under this Act, the member or employee is not personally liable for loss or damage resulting from an act or omission of the member or employee.

PART 3

THE MINING BOARD

Establishment of board

28(1)       There is hereby established a board to be known as "The Mining Board" which shall consist of not less than three members appointed by the Lieutenant Governor in Council of whom

(a) none may be officers or employees of the government; and

(b) a majority are persons who have a specialized, expert or technical knowledge of mineral resources, mining and the administration of mineral rights.

Term of office

28(2)       Unless the member sooner dies, resigns or is removed from office, a member shall serve for such period as is specified in the order by which the member is appointed until the appointment is revoked and a successor is appointed.

Presiding member and deputy

28(3)       The Lieutenant Governor in Council shall designate a member of the board to act as the presiding member of the board and a second member to act as the deputy presiding member of the board.

Remuneration and expenses

28(4)       The presiding member, deputy presiding member and the remaining members of the board may be paid remuneration for serving as members of the board in such amount as provided by the Lieutenant Governor in Council and shall receive reimbursement for out-of-pocket expenses incurred in the course of performing official functions under this Act.

Acting members

28(5)       In the case of illness or absence of a member of the board, the minister may appoint a person to act in the place of the ill or absent member during the period of illness or absence and the person so appointed shall have and exercise the powers of the member of the board in whose place the person is appointed to act.

Quorum

28(6)       Subject to subsection (7), a majority of the members of the board, including the presiding member or the deputy presiding member, constitutes a quorum at a meeting of the board.

Composition of quorum

28(7)       More than half of the members who constitute a quorum under subsection (6) must be persons who have specialized, expert or technical knowledge of mineral resources, mining and the administration of mineral rights.

Deputy presiding member to act

28(8)       Where the office of the presiding member is vacant or in the case of an illness, absence or incapacity of the presiding member or a request by the minister or the presiding member, the deputy presiding member shall act as the presiding member and while so acting, the deputy presiding member has all the powers and authority and shall discharge all the duties of the presiding member.

Appointment of another person in case of interest

28(9)       Where a member of the board has an interest, whether direct or indirect, in a matter that is before the board, the member shall not act or vote as a member of the board with respect to the matter and the minister may, in respect of the matter only, appoint a person to act as a member of the board in place of the interested member.

Secretary and staff

28(10)      The minister may designate an officer of the department to act as secretary to the board, shall provide the board with such officers and other staff as may be required for conduct of the affairs of the board and may provide the board with such professional or technical assistance for temporary periods or for specific work where the board requests such assistance.

DUTIES AND POWERS OF THE MINING BOARD

Duties and powers of board

29(1)       In accordance with the object and purpose of this Act as set out in subsection 2(1), the board shall perform, execute and carry out the duties, powers and functions assigned to it under this Act or any other Act, including such duties or functions that the Lieutenant Governor in Council or the minister assigns to it and may, for such purposes, make such orders as it considers necessary and do any act or thing that is necessary for, or incidental to, the performance, execution or carrying out of a duty, power or function of the board.

Board to hear matters referred

29(2)       Without restricting the generality of subsection (1), the board shall, subject to subsection (3), hear and determine questions, disputes, matters or claims arising under this Act that are referred to it, including

(a) a question, dispute, matter or claim between

(i) holders of a lease or a mineral disposition,

(ii) a holder of a lease or a mineral disposition and the minister, the director, the recorder or an officer of the department,

(iii) a holder of a lease or mineral disposition and an owner or occupant of surface rights,

(iv) a holder of a claim and a person seeking surface rights in respect of the claim,

(v) a holder of a claim and an applicant for a quarry mineral disposition, or

(vi) a holder of a lease or mineral disposition and a holder of a peat exploration permit or peat harvesting licence under The Peatlands Stewardship Act;

(b) an application to the board under section 40 or 145 or a dispute referred to the board under section 94;

(c) the advisability or necessity of establishing a unit operation under Part 10;

(d) the advisability of designating land as limited use land under subsection 206(6).

Board may decide on hearing

29(3)       Where the board is satisfied that a question, dispute, matter or claim referred to it for determination under subsection (2) can be fully and fairly determined by the board without a hearing, the board may determine the question, dispute, matter or claim without conducting a hearing.

Prompt decision on holding hearing

29(4)       For purposes of subsection (3), the board shall, as soon as practicable after a question, dispute, matter or claim is referred to it, decide whether a hearing is required to determine the question, dispute, matter or claim.

Board to receive submissions

29(5)       Where the board decides under subsection (3) that a hearing is not required for the determination of a question, dispute, matter or claim, the board shall not determine the question, dispute, matter or claim without providing to each party an opportunity to make a written submission to the board on the question, dispute, matter or claim, including, where applicable, an opportunity to make a written submission in reply to the written submission of an adverse party.

Minister may request hearing

29(6)       If the minister so requests, the board must hold a hearing to determine a question, dispute, matter or claim arising under this Act.

Notice of hearing to all parties

29(7)       Where the board decides to hold a hearing or the minister requests the board to hold a hearing, the board shall, no later than 10 days after deciding to hold a hearing or after receiving the request of the minister, set a time, date and place for the hearing and shall, not less than 14 days before the scheduled time and date, give notice of the time, date and place in accordance with subsection 36(1) to the parties to the question, dispute, matter or claim and to the recorder.

Board to hold public hearing

29(8)       No later than 30 days after giving notice of a hearing under subsection (7), the board shall hold a public hearing in accordance with its rules of practice and procedure.

Board may proceed in absence of a party

29(9)       Where the board is satisfied that a party has received notice of a hearing, the board may proceed to conduct the hearing in the absence of the party and to make a determination of the question, dispute, matter or claim.

Decision where no hearing held

29(10)      Where the board does not hold a hearing in respect of a question, dispute, matter or claim that is referred to it, the board shall, no later than 60 days after the question, dispute, matter or claim is referred to it, render a written decision, together with reasons for the decision.

Decision where hearing held

29(11)      Where the board holds a hearing in respect of a question, dispute, matter or claim that is referred to it, the board shall, no later than 30 days after completion of the hearing, render a written decision, together with reasons for the decision.

Board order

29(12)      For purposes of this Act, the board shall render a written decision under subsection (10) or (11) as an order of the board or shall, when rendering a written decision under subsection (10) or (11), issue an order setting out the essentials of the decision of the board.

Powers under The Evidence Act

29(13)      Subject to subsection (14), for the purpose of carrying out its functions and duties, the board has the like protection and powers and is subject to like requirements as are conferred on, or required of, commissioners appointed under Part V of The Manitoba Evidence Act.

Section 88, The Evidence Act

29(14)      Section 88 of The Manitoba Evidence Act does not apply to the board.

S.M. 2002, c. 28, s. 10; S.M. 2014, c. 27, s. 64.

Rules of practice and procedure

30(1)       Subject to this section, the board shall make rules of practice and procedure governing the conduct of the business of the board.

Statutes and Regulations Act does not apply

30(2)       The Statutes and Regulations Act does not apply to rules of practice and procedure made under subsection (1).

Transcript of oral evidence

30(3)       The board shall arrange for the recording and transcription of oral evidence given at a hearing before the board.

Evidence under statutory declaration

30(4)       The board may receive evidence under statutory declaration.

Record of proceedings before board

30(5)       The board shall keep a record of proceedings before the board that includes, in respect of each proceeding,

(a) a copy of the document by which the proceeding is commenced;

(b) a copy of the orders, if any, made by the board in the course of the proceeding;

(c) a summary report on each decision of the board made in the course of the proceeding and that results in an order being made by the board in the proceeding, including, where reasons for the decision are given, a summary report of the reasons; and

(d) to the extent that the issues heard or considered by the board in determining a question, dispute, matter or claim are not already reflected in the record kept under clause (c), a summary report on the issues heard or considered by the board in determining the question, dispute, matter or claim.

S.M. 2013, c. 39, Sch. A, s. 74.

Orders filed with recorder, sent to parties

31(1)       Upon rendering a written decision as an order or issuing an order under section 29, the board shall immediately file a copy of the order in the office of the recorder and shall, by registered or certified mail, send a copy of the order to each of the parties to which the order relates.

Recording of orders and judgments

31(2)       If an order of the board or a judgment of a court affecting a lease or mineral disposition is filed in the office of the recorder, the recorder must record it against the lease or mineral disposition that is the subject of the order or judgment.

S.M. 2002, c. 28, s. 11.

Board order final

32          Subject to subsection 35(1), an order of the board on a matter within its jurisdiction is final and binding unless varied by the board.

Compensation and costs

33          In respect of a proceeding before the board, the board may order compensation be paid by a party in favour of another party and award such costs as the board considers appropriate in the circumstances.

Board order filed in Queen's Bench

34          A duplicate of an order by the board may be filed in the office of the Court of Queen's Bench and, upon being filed, becomes an order of the court and enforceable as an order of the court.

Appeal of board order

35(1)       An order of the board may be appealed to the Court of Queen's Bench upon the grounds that the board

(a) failed to observe a principle of natural justice;

(b) acted beyond or refused to exercise its jurisdiction; or

(c) made an error of law.

Queen's Bench judge may stay proceedings

35(2)       Where an order of the board filed under section 34 is the subject of an appeal under subsection (1), a judge of the Court of Queen's Bench may stay proceedings on the order.

S.M. 1995, c. 17, s. 9.

SERVICE OF NOTICES

Service of notice

36(1)       A notice to be served under this Part may be served personally or, subject to Canada Post confirmation of delivery, by mail sent to the last known address of the person to be served.

Effective date of service by mail

36(2)       A notice that is served by mail under subsection (1) is deemed to be served on the person to be served on the day that Canada Post confirms is the day on which the notice was delivered to the address to which it was mailed.

INSPECTIONS BY THE MINING BOARD

Inspections by the board

37(1)       The board or an inspector acting on behalf of the board, for the purpose of resolving a matter within the jurisdiction of the board, may, on notice to the operator or holder, enter upon and inspect a mineral disposition, lease or mine or the subject land to ascertain whether the operator of the mine or the holder of the mineral disposition, lease or mine is acting in compliance with this Act or with an order of the board applicable to the operator or holder.

Inspection report to be filed

37(2)       An inspector who conducts an inspection under subsection (1) shall submit a written report on the investigation to the board and the board shall file a copy of the report in the office of the recorder.

Copies of report

37(3)       A holder of a lease or mineral disposition, an operator of a mine or a person having an interest in a mineral disposition, lease or mine is entitled to receive from the recorder a certified copy of an inspection report filed under subsection (2) in respect of the mineral disposition, lease or mine.

S.M. 2002, c. 28, s. 12.

Expert assistance

38(1)       The board may, for the purpose of resolving a matter within the jurisdiction of the board, seek the assistance of an expert and may authorize the expert to prepare a study, report or opinion for the board and, for this purpose, to enter and inspect a mineral disposition, lease or mine or the subject land and the board may give such weight to the study, report or opinion of the expert as the board considers appropriate in the circumstances.

Expert's report to be filed

38(2)        Where the board receives a study, report or opinion from an expert under subsection (1), the board shall file the study, report or opinion in the office of the recorder and a holder of a lease or mineral disposition, an operator of a mine or a person having an interest in a mineral disposition, lease or mine, to which the study, report or opinion relates, is entitled to receive from the recorder a certified copy of the study, report or opinion.

S.M. 2002, c. 28, s. 13.

Operators and holders to assist

39          Where a member of the board or a person authorized by the board to act on its behalf is acting in the exercise of a power under subsection 37(1) or 38(1), an operator or holder who receives notice under subsection 37(1) shall permit the member or person to enter upon and inspect the mineral disposition, lease, mine or subject land and shall, when requested to do so by the member or person, assist the member or person.

APPLICATIONS TO THE MINING BOARD

Application for determination

40(1)       A person may apply to the board for determination of a question, dispute, matter or claim arising under this Act.

Contents of application

40(2)       An application must be filed in the office of the recorder and include

(a) the address for service for each of the parties to the question, dispute, matter or claim;

(b) a statement of the facts that are material to the question, dispute, matter or claim;

(c) a description of the remedy, relief or decision sought; and

(d) in the case of an application under subsection 155(1), a description of the interest sought and a description and plan or sketch of the subject land showing the location of the affected area and the facilities of the licensee whether in place or proposed.

Board assistance in settlement

41(1)       If all parties agree, the board may help the parties try to settle a question, dispute, matter or claim before an application is heard by the board.

Board may proceed with application

41(2)       Where a question, dispute, matter or claim is not resolved with the assistance of the board under subsection (1), the assistance given by the board does not disqualify the board from proceeding to determine the question, dispute, matter or claim in accordance with this Act.

S.M. 2002, c. 28, s. 14.

Notice to Director of Crown Lands

42          The board must give the Director of Crown Lands a copy of any application relating to

(a) Crown land;

(b) land held under lease or any other form of terminable grant from the Crown; or

(c) land disposed of by the Crown under an Act or regulation that contemplates issuance of a transfer of the land.

S.M. 2002, c. 28, s. 15.

Minister to produce papers and documents

43          Where the board, for purposes of an application under section 40, makes a written request of the minister to produce to the board all papers and documents that are in the possession of the Crown and that are relevant to the application, the minister shall produce such papers and documents to the board.

Compliance with board decision

44(1)       Where an order of the board requires a party to take action or to discontinue or refrain from taking action, the party shall, no later than 30 days after the day on which a copy of the order is received by the party or such other time as the board specifies, take such action or discontinue or refrain from taking such action.

Time fixed may be extended or abridged

44(2)       The board may at any time extend or abridge the time fixed for doing anything in relation to an application.

PART 4

LICENCES

DIVISION 1

PROSPECTING LICENCES

Requirement for prospecting licence

45(1)       No person shall

(a) explore for minerals, other than quarry minerals; or

(b) stake out or record a claim;

on or in Crown mineral land, unless he or she holds a prospecting licence.

Acting for corporation, partnership

45(2)       A licensee may act under this Act on behalf of a corporation, syndicate, partnership or limited partnership.

Unlicensed person may assist licensee

45(3)       A person may, on behalf of and under the direction of a licensee, erect posts, blaze lines, affix tags, operate a drill or geophysical equipment or perform clerical, manual or other similar services without a licence.

Employees of the government

45(4)       Subsection (1) does not apply to an employee of the government who, on behalf of the Crown stakes out and records a claim.

S.M. 2002, c. 28, s. 17.

Who may apply for a licence

46(1)       Subject to subsection (3), a person or an individual who is 18 years of age or older may apply to the recorder for the issuance of a prospecting licence.

Licence not transferable

46(2)       A prospecting licence is not transferable.

One licence only

46(3)       The holder of a prospecting licence may not apply for or hold a second prospecting licence.

S.M. 2002, c. 28, s. 18.

Right of licensee to prospect

47          Subject to Part 9, a licensee may enter, remain and travel upon Crown mineral land that is open for prospecting and staking out and may prospect, stake out and work on such land in accordance with this Act and may bring on to such land and use on such land any vehicle, machinery, equipment, supplies, personnel or temporary accommodations as required to prospect, stake out and work on such land in accordance with this Act.

Licence lost or destroyed

48          Where a prospecting licence is lost or destroyed, the licensee may, upon application to the recorder, obtain a duplicate prospecting licence marked "duplicate licence".

Licence to be produced on demand

49          Upon demand by the recorder, an inspector, a peace officer or an owner or occupant of land upon which the licensee enters, a licensee shall produce the licence of the licensee for inspection.

Licence may be suspended

50(1)       Where, after a hearing on the matter, the director finds that a holder of a prospecting licence has contravened a provision of this Act or a term or condition of the licence, the director may, with notice to the holder, suspend the licence for a period not exceeding five years.

Prohibition on suspended licensee

50(2)       Where a licence is suspended under subsection (1), the licensee shall not, except in respect of claims that are recorded prior to suspension of the licence, explore for minerals on, in or under, or stake out, Crown mineral land.

Reinstatement or revocation of licences

50(3)       Where the circumstances giving rise to a suspension under subsection (1) are not, at the end of the period of suspension, resolved to the satisfaction of the director, the director may

(a) reinstate the licence subject to such terms and conditions as the director considers appropriate; or

(b) revoke the licence.

Appeal to the board

50(4)       Where a prospecting licence is suspended under subsection (1) or revoked under subsection (3), the holder may, no later than 30 days after the day on which the suspension or revocation comes into force, appeal the suspension or revocation by application to the board under subsection 40(1).

Appeal not to stay suspension or revocation

50(5)       The suspension or revocation of a prospecting licence continues in effect while an appeal under subsection (4) is pending.

DIVISION 2

MINERAL EXPLORATION LICENCES

Application for mineral exploration licence

51(1)       The holder of a prospecting licence may, in accordance with the regulations, apply to the recorder for a mineral exploration licence.

Cash deposit refunded

51(2)       Where an applicant for a mineral exploration licence provides a cash deposit as security for compliance with this Act and a licence is not issued to the applicant, the recorder shall refund the deposit to the applicant.

Effective date

51(3)       The effective date of a mineral exploration licence is the date on which it is issued by the director.

Renewal

51(4)       A mineral exploration licence may be renewed once, for a term of the same duration as the original licence, if the holder

(a) applies for the renewal before the expiry of the original licence;

(b) complies with this Act throughout the term of the original licence and has performed the prescribed work required under subsection 53(1); and

(c) meets any other prescribed renewal requirements.

S.M. 2002, c. 28, s. 19.

Designation of restricted areas

52(1)       The Lieutenant Governor in Council may by regulation designate areas for which mineral exploration licences may not be given.

Exclusive right to explore

52(2)       The holder of a mineral exploration licence has exclusive right to explore for Crown minerals, other than quarry minerals, within the boundaries of the area covered by the licence extended downward vertically on all sides, excepting mineral rights contained in a claim or mineral lease staked or acquired prior to the effective date of the licence.

Mineral access rights

52(3)       Subject to Part 9, the holder of a mineral exploration licence may enter, use and occupy the surface of the land that is the subject of the licence, for the purpose of prospecting or exploring for minerals on, in or under the land.

S.M. 2002, c. 28, s. 20.

Required work

53(1)       In each one-year period in the term of a mineral exploration licence, the holder of the licence must

(a) ensure that the required amount of prescribed work is performed in the area covered by the licence; and

(b) submit a report of that work to the recorder in accordance with the regulations.

Work in excess of required work

53(2)       Where the holder of a mineral exploration licence performs in a year work that is required work or incurs expenditures for the performance of work that is required work and the value of the work performed, to the satisfaction of the director, exceeds the minimum value prescribed in respect of required work for the year, the holder may apply the excess value toward satisfaction of required work applicable in respect of the licence in a succeeding year.

Cash payment to maintain good standing

53(3)       Where in a year the holder of a mineral exploration licence performs required work or incurs expenditures for the performance of required work and the value of the work, in the opinion of the director, is less than the prescribed required work minimum value, with the result that there is a deficiency of required work in respect of the year, the holder may, to maintain the licence in good standing and avoid suspension or revocation of the licence under section 57, make a cash payment to the recorder equivalent to the amount of the deficiency.

Cash payment refundable

53(4)       On application by the holder of a mineral exploration licence, the minister may refund a cash payment under subsection (3), in whole or in part, where the holder satisfies the director that, in the year or years since the year in which the deficiency arose, the holder has performed required work or has incurred expenditures for the performance of required work the value of which exceeds the prescribed required work minimum value applicable in the subsequent year or years and that no deficiency or a reduced deficiency remains in respect of required work.

Forfeiture to the Crown if deficiency remains

53(5)       Where a deficiency remains at the end of the last year of a mineral exploration licence, a cash payment made under subsection (3) is forfeited to, and becomes the property of, the Crown.

S.M. 2002, c. 28, s. 21.

Licence may be surrendered

54(1)       A mineral exploration licence may be surrendered by the holder at any time by filing in the office of the recorder a written notice of surrender on or before the expiry date of the licence.

Cash deposit refunded on surrender

54(2)       Where a mineral exploration licence is surrendered under subsection (1) and the required work applicable in the year in which the surrender occurs is completed and the holder has otherwise complied with this Act in respect of the licence, including payment of a cash deposit as security for compliance with this Act, the recorder shall refund the cash deposit to the holder.

Cash deposit forfeited

54(3)       Where, more than 90 days after expiration or cancellation of a mineral exploration licence, the holder has not complied with this Act in respect of the licence, any cash deposit paid as security for compliance with this Act is forfeited to the Crown.

S.M. 1995, c. 17, s. 10; S.M. 2002, c. 28, s. 22.

Licence area may be reduced

55(1)       The holder of a mineral exploration licence may apply to reduce the area covered by the licence to one or more smaller parcels. The application must be made in writing to the recorder before the start of the year in which the holder wishes to reduce the area covered by the licence.

Licence area converted to claim

55(2)       The holder of a mineral exploration licence may apply to convert the area covered by the licence or a part of that area into one or more claims held by the holder of the licence. The application is to be made in writing to the recorder.

No reduction or conversion if work not done

55(3)       The recorder shall not, under subsection (1) or (2), reduce or convert an area under a mineral exploration licence to a claim or group of claims held by the holder unless required work applicable to the licence for the year in which the application for reduction or conversion is made is performed and recorded in accordance with this Act.

Excess credits may be applied to claim

55(4)       The holder of a claim or claims recorded as a result of a conversion under this section may apply any excess required work reported under subsection 53(1) towards satisfying the required work obligations necessary to maintain the claim or claims in good standing for the first seven years after a claim was recorded under subsection (2).

S.M. 2002, c. 28, s. 23.

56          [Repealed]

S.M. 2002, c. 28, s. 24.

Licence may be suspended

57(1)       Where, after a hearing on the matter, the director finds that a holder of a mineral exploration licence has contravened a provision of this Act or a term or condition of the licence, the director may, with notice to the holder, suspend the licence for such period as the director considers appropriate.

Reinstatement or revocation of licence

57(2)       Where the circumstances giving rise to a suspension under subsection (1) are not, at the end of the period of suspension, resolved to the satisfaction of the director, the director may

(a) reinstate the licence subject to such terms and conditions as the director considers appropriate; or

(b) revoke the licence.

Appeal to the board

57(3)       Where a mineral exploration licence is suspended under subsection (1) or revoked under subsection (2), the holder may, no later than 30 days after the day on which the suspension or revocation comes into force, appeal the suspension or revocation by application to the board under subsection 40(1).

Appeal not to stay suspension or revocation

57(4)       The suspension or revocation of a mineral exploration licence continues in effect while an appeal under subsection (3) is pending.

S.M. 2002, c. 28, s. 25.

PART 4.1

AIRBORNE SURVEYS

Definition

58(1)       In this section and section 59, "airborne survey" means the operation of geophysical or geochemical equipment from within an aircraft for the purpose of mineral exploration.

Notice to director

58(2)       A person who has an airborne survey conducted over open Crown mineral land must, in accordance with the regulations, notify the director

(a) before a survey is started; and

(b) after the survey has been completed.

S.M. 2002, c. 28, s. 26.

Reporting airborne survey results

59(1)       A person who has an airborne survey conducted over any land in Manitoba must submit a report to the director within three years after the survey is completed. The report must include the information required in the regulations.

Confidentiality period

59(2)       Subject to subsections (3) and (4), the public may not inspect a report for five years after the airborne survey was completed.

Extension of confidentiality period

59(3)       If the person who submits the report makes a written request to the director for an extension of the confidentiality period, the public may not inspect a report for 10 years after the airborne survey was completed.

Additional extension of confidentiality period

59(4)       The director may order that the public may not inspect a report for 15 years after the airborne survey was completed if

(a) the person who submitted the report makes a written request to the director setting out the reasons why the confidentiality period should be extended; and

(b) the director determines that it is appropriate to extend the confidentiality period.

Termination of confidentiality period

59(5)       The public may inspect the report of an airborne survey at any time if the person who had the survey conducted gives written notice to the director requesting that the public have access to the report.

S.M. 2002, c. 28, s. 27.

60          [Repealed]

S.M. 2002, c. 28, s. 28.

PART 5

CLAIMS

DIVISION 1

STAKING AND RECORDING

Licensee may explore for minerals

61(1)       A licensee may explore for minerals on, in or under Crown mineral land and may stake out and record a claim on Crown mineral land, other than

(a) land that is withdrawn under subsection 14(1), except that where the withdrawal is limited to specified minerals, the licensee may, subject to the terms of an agreement applicable to the withdrawn lands, explore, stake out and record a claim on the land for minerals not specified as withdrawn;

(b) land that is governed by a mineral disposition or mineral lease, except that where the disposition or lease is limited to specified minerals, the licensee may explore, stake out and record a claim on the lands for minerals not so specified, unless the holder of the disposition or lease notifies the licensee that the holder objects to any exploration, staking out or recording of a claim by the licensee, in which case the licensee shall not do required work in respect of a prospective claim until an agreement between the holder and the licensee is reached or the director makes a determination in respect of the mineral rights of the holder and the licensee;

(c) land that is an Indian reserve, except as provided by The Indian Lands Act, 1924;

(d) lands that are designated as a provincial park under The Provincial Parks Act or the regulations under that Act to the extent that exploration, staking out or recording a claim is prohibited or restricted by The Provincial Parks Act or the regulations under that Act;

(e) land that is withdrawn from disposal by regulation made under The Water Power Act;

(f) land that is established as an ecological reserve, as provided by regulation made under The Ecological Reserves Act; or

(g) land that is designated for special use under The Wildlife Act, to the extent that exploration, staking out or recording a claim is prohibited or restricted by regulation under The Wildlife Act.

Unlimited claims, staking anytime

61(2)       A licensee may stake out or apply for any number of claims and, unless otherwise prescribed, may stake out claims at any time of the day.

Staking out in accordance with regulations

61(3)       A licensee staking out or applying for a claim shall do so in accordance with the regulations.

S.M. 1993, c. 39, s. 37; S.M. 1995, c. 17, s. 11.

Notice to surface owner or occupant

62          After staking a claim on private land or on lawfully occupied Crown land, a licensee shall make every reasonable effort to notify the owner or occupant of the private land or the occupant of the Crown land of the staking.

Priority of claims

63          For purposes of this Act, the priority of claims is determined,

(a) in the case of claims in unsurveyed territory, according to the date and time of completion of staking;

(b) in the case of claims in surveyed territory, according to the date and time of receipt by the recorder of an application to record the claim;

with an earlier claim or application having priority over a later claim or application.

Filing of application to record

64(1)       A licensee who stakes a claim, or in whose name a claim is staked, shall, no later than 30 days after the day on which the staking is completed, file in the office of the recorder, in accordance with the regulations, an application to record the claim.

Application to be filed within specified time

64(2)       Where an application to record a claim is not filed within the time set out in subsection (1), the staking of the claim, for purposes of this Act, has no legal effect.

Application deemed to be recorded when filed

65(1)       Where an application to record a claim is made under subsection 64(1) and the applicant is in substantial compliance with the requirements for recording a claim, the claim is deemed to be recorded at the time and on the date that the application is received in the office of the recorder, notwithstanding a later entry of the application in the record book.

Where deficiency remedied

65(2)       Where an application under subsection 64(1) to record a claim is not recorded due to a deficiency in the application or in the supporting evidence or the proper fee is not paid and the applicant remedies the deficiency within a time specified by the recorder, subsection (1) applies and the claim is deemed recorded as of the time and the date on which the application is made.

Substantial compliance

66(1)       Subject to subsections (2) and (3), where an applicant under subsection 64(1) acts in substantial compliance with the provisions of this Act in respect of staking a claim and applying to record the claim, a failure on the part of the applicant to comply with the provisions of this Act with respect to the staking of the claim does not invalidate the claim if

(a) the applicant acts in good faith in staking the claim and in applying to record the claim; and

(b) the compliance failure of the applicant is not likely to mislead a third party in respect of the claim.

Compliance failure to be remedied

66(2)       Notwithstanding subsection (1), the recorder may require an applicant under subsection (1) to remedy a compliance failure within a specified period of time.

No recording if compliance failure not remedied

66(3)       Where an applicant does not remedy a compliance failure within the period of time specified by the recorder under subsection (2), the recorder may, without notice to the applicant, refuse to record the claim.

Order by recorder

66(4)       The recorder may, for purposes of enabling an applicant to remedy a compliance failure, make an order directing or permitting the applicant

(a) to move, remove, alter or replace posts and tags;

(b) to move or alter claim lines;

(c) to affix tags that were not affixed at the time of staking;

(d) to replace tags, affixed at the time of staking, that have since been removed or destroyed;

(e) to do any thing that the recorder considers necessary to bring the staking of the claim into compliance with this Act.

Claim deemed to be properly staked after 180 days

67(1)       If no notice of dispute is filed against a claim within 180 days after the recording date, the claim

(a) is deemed to be properly staked and recorded; and

(b) is not liable to impeachment, dispute or cancellation except as expressly provided under this Act.

Exception re fraud

67(2)       Subsection (1) does not apply if fraud is involved in the staking or recording of a claim.

S.M. 2002, c. 28, s. 29.

Corrective restaking

67.1(1)     A transferee of a claim who discovers staking irregularities that might result in cancellation of the claim may apply to the director to conduct a corrective restaking of the claim if

(a) the claim has been recorded for more than 180 days; and

(b) no notice of dispute has been filed against the claim.

Application for corrective restaking

67.1(2)     An application to conduct a corrective restaking must include a declaration from the applicant stating the irregularities in the original staking of the claim and a sketch showing the irregularities.

Decision of director

67.1(3)     After receiving an application, the director may, in his or her discretion,

(a) allow a corrective restaking to be conducted by the applicant;

(b) deny an application; or

(c) require an applicant to provide any other information that the director considers necessary.

Time fixed by director

67.1(4)     If the director allows a corrective restaking to be conducted, he or she must establish a deadline for completion of the corrective restaking of the claim.

Claim to be restaked in accordance with regulations

67.1(5)     A person conducting a corrective restaking of a claim must restake the entire area of the claim in accordance with the regulations and apply, no later than 30 days after the deadline for completion of the corrective restaking has passed, to have the correctively restaked claim recorded.

Effect of recording

67.1(6)     When a correctively restaked claim is recorded,

(a) the original claim is deemed to be surrendered on the date the correctively restaked claim is recorded;

(b) the correctively restaked claim is given the recording date of the original claim;

(c) any excess required work credits from the original claim are transferred to the correctively restaked claim; and

(d) the restaked claim shall not be impeached, disputed or cancelled because of the manner in which the original claim was staked.

S.M. 2002, c. 28, s. 30.

Procedure when application refused

68(1)       Where, in the opinion of the recorder, an application under subsection 64(1) is not in substantial compliance with this Act or relates to mineral lands or mineral rights that are, or a substantial portion of which are, covered by a recorded mineral disposition or mineral lease, the recorder shall not record the claim and where the applicant so requests, shall refer the application to the director.

Referral of application not a dispute

68(2)       The referral of an application under subsection (1) is not a dispute of the subject mineral disposition and is not to be noted or dealt with as if it were a dispute unless the applicant, or another person acting on behalf of the applicant, files with the recorder a notice of dispute verified by statutory declaration of the applicant, as provided under subsection 93(2).

Director to hear applicant

68(3)       Where, under subsection (1), an application is referred to the director, the director shall fix a time and place to hear the applicant and other interested parties as the director considers advisable.

Director may accept or reject application

68(4)       Where, under subsection (1), an application is referred to the director, the director may accept or reject the application and, where acceptance affects a recorded claim, the recorder shall notify the holder of the claim.

Applicant may file a dispute

68(5)       In respect of an application that is referred to the director under subsection (1), the applicant or a person who is affected by the determination of the director, may, no later than 30 days after the day of entry of the determination of the director in the records of the recorder, file a notice of dispute under subsection 93(1).

S.M. 1995, c. 17, s. 12.

Assay coupons

69          The holder of a recorded claim may, in accordance with the regulations, obtain coupons from the recorder in respect of free assays.

Mineral discovery by department officer

70          Where an officer or employee of the department makes an original discovery of a valuable mineral upon land that is open for exploration or staking out as a claim, the officer or employee shall, in accordance with subsection 71(1), stake out and record in the name of the Crown such claims as the officer or employee considers necessary to encompass the mineralized area and, notwithstanding subsection 45(1), a licence is not required for such purpose.

Procedure for staking for Crown

71(1)       For purposes of staking a claim under section 70, an officer or employee of the department shall stake out or apply for a claim in the manner prescribed for staking claims in the name of the Crown and, within the prescribed time for recording a claim, shall notify the recorder of the staking by giving the date of the staking and a plan indicating the claims staked.

Claim entered as staked for the Crown

71(2)       The recorder, upon receiving a notice under subsection (1), shall enter each claim upon the records as staked in the name of the Crown and shall, with the letters "SC", mark each claim upon the claim maps in the office of the recorder.

Disposal of claim staked for the Crown

72          A claim staked in the name of the Crown remains in good standing at the discretion of the minister and may be disposed of by the minister under such conditions as are fixed by the Lieutenant Governor in Council or surrendered by the minister in accordance with this Act.

DIVISION 2

RIGHTS AND CONDITIONS

Entitlement of a holder of a claim

73(1)       Subject to subsection (2), the holder of a recorded claim has exclusive right to explore for and develop the Crown minerals, other than the quarry minerals, found in place on, in or under the lands covered by the claim.

Boundary line limitation

73(2)       In respect of a recorded claim, the holder of the claim shall not explore for and develop Crown minerals that are outside the boundary lines of the claim continued vertically downward.

Placer deposit

73(3)       Where the director is satisfied that the purpose of a claim is to mine a placer deposit, the director shall give written notice to the holder that a mineral lease issued in respect of the claim shall include, subject to the payment of the applicable quarry mineral royalty, the right to remove sand and gravel from the land covered by the claim and shall file a copy of the notice in the office of the recorder.

Mineral access rights

74(1)       Subject to Part 9, the holder of a claim may enter, use and occupy the surface of the land that is governed by the claim, for the purpose of prospecting or exploring for or developing, mining or producing minerals on, in or under the land, to the extent necessary for the purpose.

Filings before commencement of work

74(2)       Subject to subsections (3) and (4), a holder of a claim shall not commence or recommence work on an advanced exploration project until

(a) the holder files with the director

(i) written notice of the intended date of commencement or recommencement of the work, and

(ii) a closure plan prepared in accordance with the regulations; and

(b) the director approves the closure plan and accepts the security provided with the plan for the performance of rehabilitation.

Director may require changes

74(3)       The director may require a holder to make changes to a closure plan received from the holder under subsection (2).

No mining until changes accepted

74(4)       Where the director under subsection (3) requires a holder to make changes to a closure plan received under subsection (2), the holder shall not commence or recommence work on the claim until the director approves the closure plan as changed.

Duty of Director

74(5)       The director shall with due diligence review a closure plan filed under subsection (2) or (4) and communicate the results of the review to the holder.

S.M. 2002, c. 28, s. 31.

Surrender of mineral access rights

75          Where the holder of a claim surrenders all or some of the mineral access rights of the holder, the recorder shall record on the record of the claim the rights that are surrendered.

Crown land surface rights

76(1)       Where a disposition of Crown land under subsection 7(1) of The Crown Lands Act includes the granting of surface rights and the holder of a claim in or on the land objects to the granting of the surface rights, the minister may refer to the board the determination of the rights of the parties to use of the surface of the land.

Notice of hearing

76(2)       Where a matter is referred to the board under subsection (1), the board shall give notice of the hearing of the referral to interested third parties and shall hear the matter in accordance with Part 3.

Rights not conveyed

77(1)       The right to stake out or record a claim does not include the right to sell or otherwise dispose of tailings, sand, gravel or stone found in, upon or under the subject land or to sell or otherwise dispose of buildings, structures, machinery or chattels located on the land and such tailings, sand, gravel, stone, buildings, structures, machinery and chattels are reserved to the Crown together with the right of access to such tailings, sand, gravel, stone, buildings, structures, machinery and chattels.

Disposal by director

77(2)       In respect of tailings, sand, gravel, stone, buildings, structures, machinery and chattels under subsection (1), the director may, in the public interest, use or dispose of such tailings, sand, gravel, stone, buildings, structures, machinery and chattels in such manner and upon such conditions as the director considers proper.

Prohibition

78          No person, before a lease is issued in respect of a claim, shall ship, send, take or carry away ore, mineral, mineral bearing substance or mineral product or permit it to be shipped, sent or carried away, from the claim, except for the purpose of assaying, sampling or metallurgical testing.

Term of a claim

79          Subject to section 80, the holder of a recorded claim is entitled to hold it for a period of two years from the date the claim is recorded and thereafter for one year on each renewal.

Conditions for renewal of a claim

80(1)       Subject to subsection 84(1), the recorder shall not renew a claim unless the holder of the claim is in compliance with this Act, has performed the required work in respect of the claim and, in accordance with the regulations, submits to the recorder, no later than the 60th day following the second anniversary of the date on which the claim is recorded and thereafter no later than the 60th day following each anniversary date, a written report of all work performed on the claim since the claim was staked or the previous anniversary date, as the case may be, including work performed in excess of required work, together with a statement of the expenditures incurred in performing the work.

Costs and charges may be disallowed

80(2)       Where, after consideration of a report and a statement of costs submitted under subsection (1), the recorder is of the opinion that

(a) the documented expenditures significantly exceed current commercial rates;

(b) a length of time given for the performance of work significantly exceeds a reasonable length of time for performing the work;

(c) charges for equipment, services, transportation or personnel that are unusual are included in the expenditures incurred in performing the work; or

(d) expenditures are included that are not related to mineral exploration;

the recorder may exclude expenditures that seem excessive or unusual unless the expenditures are explained to the satisfaction of the recorder.

Amendment of report may be required

80(3)       Where the recorder determines, in respect of a part of a report submitted under subsection (1) that describes work performed on a claim, that the report is not in compliance with this Act, the recorder may require the holder of the claim to submit an amended report that complies with this Act and, where the recorder does not receive the amended report within a period of time fixed by the director, the work described in the part of the report requiring amendment shall not be credited as work performed on the claim.

S.M. 1995, c. 17, s. 13.

DIVISION 3

GROUPING

"Claim" includes patented mining claim

81(1)       In this section and section 81.1, "claim" includes a patented mining claim.

Claims or claims and mineral leases

81(1.1)     Subject to subsection (3), a holder of contiguous claims or of contiguous claims and mineral leases may, upon application to the recorder, group the claims or the claims and mineral leases for the purpose of crediting work completed on one of the claims or mineral leases to one or more of the other claims in the group.

Recorder to issue group certificate

81(2)       Upon receipt of an application under subsection (1.1), the recorder shall issue a certificate to the holder authorizing a number of claims or claims and mineral leases held by the applicant holder to be formed into a group.

One group per year per claim or lease

81(3)       In respect of a claim or mineral lease, a holder shall not apply under subsection (1.1) more frequently than once in each calendar year for inclusion of the claim or mineral lease in a group.

Deletion of claim or lease from group

81(4)       A holder of claims or claims and mineral leases in respect of which a certificate is issued under subsection (2) may delete a claim or mineral lease from the group authorized by the certificate where the claims or mineral leases remaining in the group after the deletion are contiguous.

Deletion by lapse of claim or lease

81(5)       Where a claim or mineral lease that forms part of a group lapses, the claim or mineral lease is deleted from the group as of the date of the lapse and no longer forms a part of the group.

Deletion causing severance

81(6)       Where a deletion under subsection (4) or (5) results in a claim or mineral lease in the group being no longer contiguous, the claim or mineral lease is no longer part of the group.

Where work performed and applied

81(7)       A report of work submitted under subsection 80(1) shall specify the claim or mineral lease on which the work is performed and the claim or mineral lease to which the work is to be applied.

Group certificate

81(8)       A group certificate issued under subsection (2) shall be recorded against each claim or mineral lease in the group.

Maximum size

81(9)       The area covered by a group of claims or by a group of claims and mineral leases must not exceed the maximum area specified in the regulations.

S.M. 1995, c. 17, s. 14; S.M. 2002, c. 28, s. 32; S.M. 2004, c. 35, s. 3.

Grouping in prescribed area

81.1(1)     A holder of a claim or claims located in a prescribed area of the province may, on application to the recorder,

(a) group the claims together; or

(b) group the claim or claims together with one or more mineral leases or private mineral interests that are also located in the prescribed area;

for the purpose of crediting work completed on one of the claims, private mineral interests or mineral leases to one or more of the other claims in the group.

Applicable provisions

81.1(2)     Subsections 81(2), (3), (5), (7), (8) and (9) apply to a grouping under this section, with necessary modifications.

Interpretation

81.1(3)     For the purpose of applying subsection (2), a reference to claims and mineral leases in any of the cited provisions of section 81 is to be read as a reference to claims, mineral leases and private mineral interests.

S.M. 2004, c. 35, s. 4.

DIVISION 4

REQUIRED WORK

Boundary lines and claim posts to be maintained

82(1)       A holder of a claim shall maintain the boundary lines and claim posts of the claim to ensure that they are visible and recognizable as the boundary lines and claims posts of the claim.

Location of claim posts not to change

82(2)       In restoring boundary lines and claim posts under subsection (1), the holder of a claim shall not change or alter the location of a claim post.

Claim posts and markings to be restored

82(3)       Where claim posts and other markings defining the location of unsurveyed claims are destroyed by fire or otherwise, the holder shall restore the posts and markings in a manner satisfactory to the recorder.

Excess work and expenditures

83(1)       Where the holder of a claim performs in a year work that is required work or incurs expenditures in a year for the performance of required work and the value of the work performed, to the satisfaction of the recorder under subsection 80(2), exceeds the minimum value prescribed in respect of required work for the year, the holder may, in any succeeding year, apply the excess value toward satisfaction of required work applicable in respect of the claim or a lease held by the holder.

Work may be credited

83(2)       A report of work performed under subsection 82(1) may be included in a report submitted under subsection 80(1) and, upon approval by the recorder, expenditures for such work may be credited towards the required work to be done in respect of the claim.

Payment for unperformed required work

84(1)       The recorder may renew a claim even if required work on the claim has not been performed, if the holder of the claim makes a cash payment to the recorder in the amount equal to the dollar value of the unperformed required work.

Payment returned if work performed

84(2)       The recorder shall refund the payment made by a holder under subsection (1) where the required work is performed on or before the fifth anniversary of the date on which the renewal for which the payment is made is granted.

Payment forfeited if work not performed

84(3)       The payment made by the holder under subsection (1) for a renewal is forfeited to the Crown if the required work is not performed and reported on or before the fifth anniversary of the date on which the payment is made.

Holder may be exempted from required work

84(4)       The director may, on application by the holder of a claim on or before the anniversary date of the recording of the claim, grant an exemption from performing some or all required work where the director is satisfied by the holder that the holder is unable to gain access to the claim to perform required work owing to a wildfire or other special circumstances beyond the control of the holder.

S.M. 1995, c. 17, s. 15; S.M. 1997, c. 36, s. 44; S.M. 2002, c. 28, s. 33.

Delays not cause for lapse of claim

85          Where a holder of a claim is in compliance with section 80, the recording of the claim shall not expire by reason of the time taken to consider a report of work or a statement of expenditures submitted by the holder under subsection 80(1) or to conduct an investigation on such grounds as the recorder considers necessary and for such purpose the recorder shall grant an extension of the recording of the claim as required in the circumstances.

Certificate of acceptance

86          Where the recorder is satisfied that the holder of a claim has complied with the requirements of section 80, the recorder shall grant to the holder a certificate of acceptance of required work and, in the absence of fraud or mistake, the certificate is final and conclusive proof of performance of the work by the holder.

Proportionate contribution by co-holders

87(1)       Where two or more persons are holders of a claim, each of the co-holders is liable for performance of a proportionate amount of the required work to be done under section 80 and for payment of a proportionate amount of the fees and charges payable by holders of claims under this Act.

Where co-holder fails to contribute

87(2)       Where a co-holder of a claim fails to contribute as required under subsection (1), a second co-holder may apply to the board for an order vesting in the applicant co-holder the rights of the defaulting co-holder.

DIVISION 5

SURRENDER, EXPIRY CANCELLATION

Surrender of claim

88(1)       The holder of a recorded claim may at any time surrender the claim where, at the time of the surrender, the holder is in compliance with this Act, and payments on account of fees or other liabilities to the Crown are paid.

Notice of surrender

88(2)       Where a holder of a claim intends to surrender the claim, the holder shall give notice of intention to surrender the claim to the recorder in the form of a declaration.

Interest expires on recording of surrender

88(3)       Where a holder gives notice to the recorder under subsection (2), the interest of the holder in the claim surrendered expires on the date of the entry under subsection (4).

Claim to be cancelled

88(4)       Upon receipt of a notice of surrender under subsection (2), the recorder shall immediately enter a note of the surrender upon the record of the claim, date the entry and mark the claim "cancelled" and the subject lands are open for prospecting and staking as of 12 noon on the day following the date of the entry upon the record.

Surrender where dispute filed

88(5)       Where the holder of a claim in respect of which a dispute is filed surrenders the claim under subsection (1), the recorder may, if satisfied that the disputant has staked out the claim, accept an application from the disputant to record the claim.

Claim expires

89(1)       The interest of a holder of a claim expires on the day on which

(a) the holder fails, within the applicable period of time,

(i) to perform required work on the claim under section 80 or make a cash payment in the place of work under section 84,

(ii) to pay the applicable fees, or

(iii) to comply with an order of the recorder or the board;

(b) the holder removes, or permits or causes to be removed, a stake or post forming part of the staking of the claim or for any purpose changes or effaces, or permits or causes to be changed or effaced, writing or marking that is on a stake or post, without consent in writing of the recorder; or

(c) the board, after a hearing, determines that the claim is being used for a purpose other than mining;

and the claim is open for prospecting and staking as of 12 noon on the day following the date of expiry of the interest of the holder.

Misrepresentation

89(2)       The minister may, without prior notice to the holder of the claim, cancel a claim where the minister is satisfied that the claim was recorded as a result of a material misrepresentation in the application of the licensee under subsection 64(1) to record the claim.

Sale of property on loss or surrender of claim

90(1)       Where the holder of a claim surrenders the claim or the rights of the holder in the claim are cancelled or forfeited under this Act and monies for fees, royalties or other liability in respect of the claim are owing to the Crown at the date of the surrender, cancellation or forfeiture, the director may seize a building, structure, machinery, chattel or item of personal property that is located or placed on the land covered by the claim and sell it.

Application of sale proceeds

90(2)       Where the director sells property that is seized under subsection (1), the director shall apply the proceeds realized from the sale

(a) first, in the payment of monies due or owing to the Crown in respect of the claim;

(b) second, in the payment of costs or expenses incurred in the seizure and sale;

and pay the surplus, if any, to the holder who lost or surrendered the claim.

Holder's right to property on a claim

91(1)       Where the holder of a claim surrenders the claim or the rights of the holder are cancelled or forfeited under this Act and, at the time of surrender, cancellation or forfeiture, there is no money owed to the Crown for fees, royalties or other liability in respect of the claim, the holder may, within six months of the day of the surrender, cancellation or forfeiture or within such period of time as the director allows upon written application by the holder, remove from the land covered by the claim any building, structure, machinery, chattel or item of personal property that the holder placed on the land for purposes of working the claim.

Reversion to Crown

91(2)       Where, more than six months or such period of time as the director allows after the surrender of a claim or the cancellation or forfeiture of rights in respect of a claim, a building, structure, machinery, chattel or item of personal property remains on the land that is covered by a claim, the building, structure, machinery, chattel or item of personal property belongs to the Crown.

Holder continues to be liable

92          Where the claim of a holder expires or is surrendered or the rights of a holder are cancelled or forfeited under this Act, the holder remains liable for any obligation for which the holder was liable under this Act when the claim expired or was surrendered or the rights were cancelled or forfeited.

DIVISION 6

DISPUTES

Dispute of recorded claim

93(1)       Where a licensee or a person acting on behalf of the licensee alleges that a recorded claim is illegal or invalid in whole or in part and asserts that the licensee is entitled to record the claim or is entitled to a right or interest in the mineral lands or mineral rights that are contained in the claim, the licensee or person acting on behalf of the licensee may, no later than the 180th day following the day on which the claim, right or interest is recorded, file with the recorder a notice of dispute.

Requirements for notice of dispute

93(2)       A notice of dispute under subsection (1) must include

(a) an address for service for each of the parties to the dispute;

(b) a statement of the material facts on which the allegation and assertion under subsection (1) is based;

(c) a statutory declaration by the licensee verifying the material facts under clause (b); and

(d) a description of the remedy, relief or decision that is sought.

180 day limit does not apply

93(3)       The 180 day limitation under subsection (1) does not apply where the licensee or person filing on behalf of the licensee alleges fraud.

Dispute not accepted a second time

93(4)       Where a notice of dispute pertains to a claim that is already the subject of a dispute before the board and the notice sets out allegations or assertions that are substantially the same as the allegations or assertions that are made in the dispute before the board, the recorder shall not accept the notice for filing under subsection (1).

Recorder to notify holder and board

94          Where a notice of dispute is filed in accordance with section 93, the recorder shall

(a) enter a note of the disputed claim upon the record and upon the relevant claim map;

(b) retain a copy of the notice in the office of the recorder; and

(c) send a copy of the notice to the board and to the holder of the recorded claim to which the notice relates.

Board may order record of claim cancelled

95           Where the board is satisfied that the holder of a claim or of a right or interest in a claim is not in substantial compliance with this Act, the board shall cancel the claim by directing that the record of the claim be marked "cancelled" and shall forthwith give notice of its decision in accordance with subsection 36(1).

PART 6

DRILLING

Conditions

96(1)       Where, in the opinion of the director, the drilling of a diamond drill hole is likely to create a hazard to an oil, gas or water-bearing formation or to cause unreasonable injury or damage to the environment, the director may impose conditions upon the drilling of the hole.

Breach of the Act

96(2)       A failure to abide by a condition imposed under subsection (1) constitutes a breach of this Act.

Drill holes through water

96(3)       Where a person drills a diamond drill hole through a body of water, the person shall, upon completion of the drilling, plug the hole in accordance with the regulations.

Borehole licence required

97(1)       No person shall drill a borehole, undertake operations preparatory or incidental to the drilling of a borehole or drill an extension of a borehole without a borehole licence issued by the director in respect of the proposed borehole or extension.

Application for borehole licence

97(2)       An application for a borehole licence must be made in accordance with the regulations.

Boreholes drilled at specified location

97(3)       The holder of a borehole licence shall not drill a borehole other than at a location permitted under the borehole licence.

Director may refuse to issue licence

97(4)       Where, in the opinion of the director, the drilling of a proposed borehole is likely to cause unreasonable damage, inconvenience or nuisance to a person or to property or to cause unreasonable injury or damage to the environment, the director may refuse to issue a borehole licence in respect of the proposed borehole.

S.M. 2002, c. 28, s. 34.

Drill and abandon in accordance with regulations

98          The holder of a borehole licence shall drill and abandon a borehole in accordance with the regulations and in compliance with such other stipulations and conditions that the director specifies.

S.M. 2002, c. 28, s. 35.

Borehole licences may be cancelled

99          The director may cancel a borehole licence at the request of the holder or where drilling is not commenced within six months of the date of issue of the licence.

S.M. 2002, c. 28, s. 36.

Licence may be suspended

100(1)      Where, after a hearing on the matter, the director finds that a holder of a borehole licence has contravened a provision of this Act or a term or condition of the licence, the director may, with notice to the holder, suspend the licence for such period as the director considers appropriate in the circumstances.

Reinstatement or revocation

100(2)      Where the circumstances giving rise to a suspension under subsection (1) are not, at the end of the period of suspension, resolved to the satisfaction of the director, the director may

(a) reinstate the licence subject to such terms and conditions as the director considers appropriate; or

(b) revoke the licence.

Appeal to the board

100(3)      Where a borehole licence is suspended under subsection (1) or revoked under subsection (2), the holder may, no later than 30 days after the day on which the suspension or revocation comes into force, appeal the suspension or revocation by application to the board under subsection 40(1).

Appeal not to stay suspension or revocation

100(4)      The suspension or revocation of a borehole licence continues in effect while an appeal under subsection (3) is pending.

Storage of drill core

101         A person who drills a borehole or who performs surface or underground off-property diamond drilling for the purpose of searching for minerals shall preserve or dispose of the drill core, cuttings and samples in accordance with the regulations.

PART 7

MINERAL LEASES

No mineral production without lease

102(1)      No person shall commence production of mineral, other than quarry mineral, from Crown mineral land, other than for purposes of assaying, sampling or metallurgical testing, unless the person is the holder of a mineral lease.

Quarry mineral production under Part 8

102(2)      No person shall commence production of quarry mineral from property of the Crown except in accordance with Part 8 or under a permit issued under subsection 14(7).

Issuance of mineral leases

103(1)      The minister shall, upon such terms and conditions as the minister considers appropriate, issue a mineral lease to a holder of a recorded claim or a recorded group of claims who applies for a mineral lease in accordance with section 104.

Mineral lease may be refused

103(2)      If the holder of a mineral disposition or mineral lease is not complying with this Act, the minister may make a written demand of the holder that the holder comply with this Act and if the holder fails to comply to the satisfaction of the minister, the minister may refuse to issue a mineral lease to the holder under this Part.

Prohibition on recording transfers

103(3)      The recorder shall not record a transfer of a mineral lease or an interest in a mineral lease to a person who is not in compliance with this Act.

S.M. 2002, c. 28, s. 37.

Application for a mineral lease

104         The holder of a recorded claim or a recorded group of claims may apply to the minister for a mineral lease and the minister shall, subject to section 103, issue a mineral lease where

(a) the claim or group of claims is in good standing under this Act;

(b) the holder completes and files with the recorder a report of the work performed within the boundaries of the proposed lease area and that has a dollar value

(i) not less than the expenditures required by regulation, or

(ii) of such lesser value as the minister approves where the holder demonstrates, to the satisfaction of the minister, that, having regard to geological and economic circumstances, the proposed mineral lease area is sufficiently explored and that further expenditures are not warranted at the time of application; or

(c) the holder proves to the satisfaction of the minister that within the boundaries of the proposed mineral lease area the existence, extent and value of an ore body has been determined and that the holder intends to commence production; and

(d) the holder submits to the minister, in accordance with the regulations,

(i) such information as the minister requires with respect to a partnership or syndicate that holds an interest in the claim or group of claims in respect of which the application is made,

(ii) the prescribed application fee and rent for the first year of the mineral lease.

S.M. 1995, c. 17, s. 16.

Surveyor may remove posts

105(1)      Nothing in this Act prevents a Manitoba land surveyor under The Land Surveyors Act from taking up a post or other boundary marker to which this Act applies, other than a number one post, where necessary for purposes of a survey of land.

Surveyor to replace or renew posts or markers

105(2)      Where a Manitoba land surveyor under subsection (1) takes up a post or other boundary marker, the surveyor shall, upon completion of the survey or sooner if possible, replace the post or marker to its place or position or renew the post or marker.

Claim may be restaked

106(1)      A holder of a recorded claim may, in order to include part of the recorded claim in a mineral lease, restake the recorded claim in accordance with the regulations as two or more claims.

Anniversary date of restaked claim

106(2)      Where a holder restakes a recorded claim as two or more claims under subsection (1), the anniversary date of the recorded claim is deemed the anniversary date of each of the two or more claims.

Area of mineral lease may be changed

107(1)      A mineral lessee may apply to the minister to reduce, subdivide, amalgamate or enlarge the area covered by the mineral lease and, upon good cause being shown, the minister may, subject to such terms and conditions as he or she may determine, approve the proposed change.

Mineral lease form

107(2)      A mineral lease must be executed in duplicate and one duplicate, to be known as the counterpart mineral lease document, must be delivered to the lessee and the other duplicate filed and recorded in the office of the recorder.

Certification of filing and recording

107(3)      The recorder shall, by endorsement on the counterpart mineral lease document, certify filing and recording of the mineral lease under subsection (2).

S.M. 1995, c. 17, s. 17.

What a mineral lease conveys

108         A mineral lease conveys to the lessee, for the term of the lease,

(a) the exclusive right to the minerals, other than quarry minerals, that are the property of the Crown and are found in place on, in or under the land covered by the mineral lease; and

(b) mineral access rights that include the right

(i) to open and work a shaft or mine within the limits of the mineral lease area, and

(ii) to erect buildings or structures upon the subject land,

as required for the purpose of working the mineral lease and mining and producing minerals from it.

S.M. 2002, c. 28, s. 38.

CONDITIONS

Boundaries of mineral lease area

109(1)      A mineral lessee shall not mine outside the boundaries of the mineral lease area continued vertically downward.

Annual rent

109(2)      A mineral lessee shall, in accordance with this Act, pay an annual rent no later than 30 days after the anniversary of the commencement date of the mineral lease.

Forfeiture of rights under mineral lease

109(3)      A mineral lessee who fails to comply with subsection (2) forfeits his or her rights under the mineral lease.

S.M. 1995, c. 17, s. 18.

Term of mineral lease and renewal

110(1)      The term of a mineral lease is 21 years and upon application to the minister, made at least six months prior to expiration of the term of a lease, and subject to subsection (2), a lessee is entitled to renewal of the lease for a further term of 21 years and to renewal of the right to renew the lease if, at the time of the application for renewal, the lessee is in compliance with this Act and the terms and conditions of the mineral lease.

Renewal of non-productive mineral leases

110(2)      In the case of a mineral lessee who does not commence mining or stops mining, the minister must renew the mineral lease for a further term of 21 years where the lessee,

(a) during the preceding term, performs work within the mineral lease area that has a dollar value not less than the expenditures required by regulation and files a report of the work with the director; and

(b) provides evidence satisfactory to the minister to show that, having regard to economic and geological circumstances,

(i) the mineral lease area is fully explored, and

(ii) production from the mineral lease is not warranted.

Mineral lessee may convert lease to claim

110(2.1)     Subject to subsection (3), a mineral lessee may at any time during the term of the lease convert all or part of the lease to one or more claims.

Conversion of cancelled mineral lease to claim

110(3)      Where the minister refuses to renew a mineral lease, the lessee may, within 90 days of the refusal to renew, make application to the recorder to convert all or part of the mineral lease to a claim or several claims.

Mineral lessee to stake claims

110(4)      A mineral lessee who converts a lease under subsection (2.1) or (3) shall stake the claim or claims in accordance with the regulations.

S.M. 1995, c. 17, s. 19; S.M. 2002, c. 28, s. 39.

Mandatory filings before mining commences

111(1)      Not less than 60 days before the date scheduled for commencement or recommencement of mining under a mineral lease, the lessee shall, in accordance with the regulations, file with the director

(a) written notice of intention to commence or recommence mining;

(b) plans and schedules for the implementation of mining operations, including details of proposed processing in Manitoba of minerals mined under the lease; and

(c) a closure plan.

Acceptance by director before mining

111(2)      Subject to subsections (3) and (4), a mineral lessee shall not commence or recommence mining until

(a) the director

(i) receives the notice referred to in clause (1)(a),

(ii) accepts, for purposes of this section, the plans and schedules filed under clause (1)(b), and

(iii) approves the closure plan filed under clause (1)(c); and

(b) the security filed with the closure plan for performance of rehabilitation is delivered to the director and is accepted by the director as sufficient security for purposes of the closure plan.

Director may require changes

111(3)      The director may require a mineral lessee to make changes to a closure plan submitted by the lessee under subsection (1).

No mining until changes accepted

111(4)      Where the director under subsection (3) requires a mineral lessee to make changes to a closure plan submitted under subsection (1), the mineral lessee shall not commence or recommence mining until the director approves the closure plan as changed.

Duty of Director

111(5)      The director shall with due diligence review the plans and schedules filed under clause (1)(b) and the closure plan filed under clause (1)(c) or subsection (4) and communicate the results of the review to the holder.

S.M. 1992, c. 58, s. 19.

Reports, plans and returns to director

112         A mineral lessee shall complete and submit to the director the reports, plans and statistical returns required under Part 13.

Report of exploration work

113(1)      A mineral lessee must submit a report on exploration work carried out under the lease. The report must contain the information required in the regulations and a certified statement of expenditures incurred in performing exploration work for each of the following periods:

(a) the first five years of the lease;

(b) the second five years of the lease;

(c) the third five years of the lease;

(d) the last six years of the lease.

Reports to director

113(2)      A report under subsection (1) must be submitted to the director not later than 60 days after the applicable period has ended.

No need to cover development and production work

113(3)      A report under subsection (1) does not include work related to mineral development or production.

S.M. 2002, c. 28, s. 40.

Boundary lines

114         A mineral lessee shall, in respect of a mineral lease in an unsurveyed area of the province, maintain surveyed boundary lines of the mineral lease to ensure that the boundary lines are visible and recognizable as mineral lease boundary lines.

Notice of intention to close mine

115         Not less than 90 days before abandoning a mine, or before closing or otherwise rendering a mine inaccessible for a period of 90 days or longer, the mineral lessee shall give the director written notice of the abandonment or closure and shall, before taking the action, submit to the director the reports, plans and statistical data required under Part 13.

Prohibition against transfer of rights

116         A mineral lessee shall not transfer or otherwise dispose of the rights, in whole or in part, that are granted under the mineral lease or under this Act in respect of the lease, without the prior written consent of the minister.

Royalty reserve to Crown

117         Except as otherwise provided in Part 11, a mineral lease includes and is subject to a reserve, in favour of the Crown, of royalties in respect of Crown minerals that are produced under the lease.

Disposal of earth, rock, waste, refuse

118         A mineral lessee shall, for the purpose of preventing inconvenience, damage, nuisance, obstruction or injury to an owner or lawful occupant of the lands covered by the mineral lease or to an owner or lawful occupant of neighbouring lands or to a railway, right of way or road, make arrangements for the safe and secure disposal of earth, rock, waste or refuse resulting from work done under the lease and for the safe and secure disposal of water that is removed from the workings under the lease.

No lease of claim unless liens released

119         The minister shall not grant a mineral lease in respect of a claim unless all liens or encumbrances that are recorded against the claim are fully released.

Mandatory conditions in mineral leases

120         Sections 109 to 118 constitute mandatory statutory conditions applicable to mineral leases.

CANCELLATION, SURRENDER, EXPIRY, ABANDONMENT

Notice of inquiry to lessee

121(1)      Where the minister has reasonable grounds to believe that a mineral lessee has used a mineral lease for purposes other than the purposes specified in the lease or has failed to comply with this Act or with a condition of the lease, the minister shall, in accordance with subsection 36(1), serve written notice upon the lessee informing the lessee of the grounds and appointing a place and a time not less than 30 days after service of the notice for holding an inquiry into the matter.

Minister may apply remedies

121(2)      Upon completion of an inquiry under subsection (1), the minister may, where satisfied that the mineral lessee has misused the mineral lease or has failed to comply with this Act or with a term or condition of the lease, by order,

(a) cancel the lease in whole or in part;

(b) fix a date by which the lessee must discontinue the misuse or comply with this Act or a term or condition of the lease;

(c) make any other order that the minister considers just and reasonable;

and shall serve the order upon the lessee before the date on which the order takes effect.

Mineral lease cancelled if order not obeyed

121(3)      Where a mineral lessee against whom an order is made under clause (2)(b) or (c) does not comply with the terms of the order within the time specified by the minister in the order, the minister may, without prior notice to the lessee, cancel the mineral lease.

Notice of cancellation

121(4)      Where the minister cancels a mineral lease under subsection (3), the minister shall serve the lessee with a written notice of the cancellation.

Misrepresentation, lessee insolvent, bankrupt

122(1)      Notwithstanding section 121, the minister may, without prior notice to the lessee, cancel a mineral lease where the minister is satisfied

(a) that the lease was issued as a result of a material misrepresentation by the applicant for the lease; or

(b) that the mineral lessee is insolvent, is a declared bankrupt or has committed an act of bankruptcy.

Notice of cancellation

122(2)      Where the minister cancels a mineral lease under subsection (1), the minister shall serve the lessee with written notice of the cancellation.

Content of notice of cancellation

122(3)      A notice of cancellation under subsection 121(4) or 122(2) must state the grounds for cancellation and that cancellation takes effect on the 30th day after the day on which the lessee is served with the notice of cancellation.

Reversion of cancelled mineral leases

123(1)      Upon cancellation of a mineral lease under section 121 or 122, the rights of the mineral lessee under the lease revert to the Crown and the lands covered by the lease are not open for prospecting and staking out or for lease until such time as the minister sets.

Disposal of mineral lease areas

123(2)      Upon cancellation of a mineral lease under section 121 or 122, the minister may, where the minister considers it expedient to do so, dispose of the mineral lease area upon such terms and conditions as the minister considers appropriate.

Surrender of mineral lease

124(1)      Where a mineral lessee is in compliance with this Act and has paid to the Crown all fees, rents, royalties and other liabilities applicable to the lessee in connection with the mineral lease, the lessee may surrender the lease.

Notice of intention to surrender mineral lease

124(2)      A mineral lessee surrendering a mineral lease under subsection (1) shall give notice of the surrender to the recorder by filing in the office of the recorder a declaration confirming surrender of the lease, together with the counterpart lease document, and on the date of entry of the notice of surrender on the record the lease is cancelled.

Counterpart mineral lease document lost

124(3)      Where a counterpart lease document is lost or is otherwise unavailable for filing under subsection (2), the mineral lessee shall file, in place of the counterpart lease document, a statutory declaration by the lessee affirming the loss or unavailability of the counterpart lease document.

S.M. 1995, c. 17, s. 20.

Reopening of mineral lease area

125         Upon a surrender or expiration of a mineral lease, the recorder shall enter a note of the surrender or expiration upon the record of the lease, write the word "cancelled" on the lease document and post in the office of the recorder, for a period of not less than 30 days, a notice that the lease is cancelled upon its surrender or expiration and that the mineral lease area under the cancelled lease, as of 12 noon on the 31st day after the day of posting of the notice, is open for acquisition as a mineral disposition or mineral lease.

Seizure of property and ore

126(1)      Where, at the time of cancellation of a mineral lease under section 121 or 122, monies for rent, royalties or other liabilities under the lease are owed to the Crown, the director may seize

(a) a building or structure or equipment, machinery, chattels or personal property that is found on the subject mineral lands and belongs to, or was placed on the lands by, the mineral lessee; or

(b) ore, including treated ore, that the lessee extracts from the subject mineral lands under the lease.

Sale of property, application of proceeds

126(2)      Where the director seizes property under subsection (1), the director shall sell the property, apply the proceeds realized on the sale,

(a) first, to the Crown in payment of monies owed to the Crown under the lease;

(b) second, to the Minister of Finance as reimbursement for the costs or expenses of the seizure and sale;

and pay surplus proceeds, if any, to the former lessee.

Lessee rights to chattels and ore

126(3)      Subject to Part 15, where a mineral lease is cancelled under section 121, 122 or 124 and there are no monies owed to the Crown for rent, royalties or other liabilities under the lease, a mineral lessee may, within one year of the cancellation, remove from the subject mineral lands

(a) a building or structure or equipment, machinery, chattels or personal property that is found on the subject mineral lands and belongs to, or was placed on the lands by, the lessee; and

(b) ore, including treated ore, that the lessee extracts from the subject mineral lands under the lease.

Lessee not owner of surface

126(4)      Where a mineral lessee under a mineral lease that is cancelled under section 121, 122 or 124 does not own, or possess under a lease, the surface rights pertaining to the subject mineral lands, the ownership of a building or structure or of equipment, machinery or personal property that is placed or erected on the subject mineral lands by the lessee and that remains on the subject mineral lands one year after cancellation of the mineral lease, vests, subject to the rights of the owner of the surface rights under an agreement entered into with the mineral lessee, in the Crown and the minister may sell, lease or otherwise dispose of the property as the minister considers appropriate.

Abandoned ore belongs to Crown

126(5)      Where ore, including treated ore, that is extracted from mineral lands under a mineral lease cancelled under section 121, 122 or 124 remains on the mineral lands one year after cancellation of the lease, the ore is deemed abandoned by the lessee and thereafter belongs to, and is owned by, the Crown.

Abandoned residue belongs to Crown

126(6)       Where residue resulting from the mining or treatment of ore under a mineral lease cancelled under section 121, 122 or 124 remains on the mineral lands one year after the day the lease is cancelled, the residue is deemed abandoned by the lessee and thereafter belongs to, and is owned by, the Crown.

S.M. 1995, c. 17, s. 21.

Mineral lessee continues liable

127(1)      Notwithstanding expiry, surrender or cancellation of a mineral lease, the mineral lessee remains liable

(a) for money owed for rent, royalties or other debt under the lease; and

(b) for rehabilitation of the subject mineral lands or the cost of rehabilitating the lands; and

(c) for any other obligation imposed on the lessee under this Act.

Rehabilitation of land worked before April 1, 1992

127(2)       Where rehabilitation of land is required in respect of work performed on the land before April 1, 1992 under a mineral lease that expired or was surrendered or cancelled before that date,

(a) the person who held the mineral lease is as liable for the rehabilitation as he or she would have been if this Act had not been enacted; and

(b) notwithstanding clause (1)(b), where the land or any part of the land is staked and recorded under this Act on or after April 1, 1992, the holder of the claim or of a mineral lease issued in respect of the land or any part of the land is not, subject to clause (a), liable under this Act for the rehabilitation.

S.M. 1995, c. 17, s. 22.

PART 8

QUARRY MINERALS

Quarry permit or quarry lease

128(1)      No person shall commence production of a quarry mineral that is the property of the Crown except under the authority of a quarry permit or a quarry lease granted under this Act or where a permit is issued by the director under subsection 14(7).

Annual rent

128(2)      A holder of an exclusive quarry permit or a quarry lease shall, on or before the 30th day after the anniversary date of the permit or lease, pay the prescribed annual rent payable under the permit or lease.

Non-aggregate quarry closure plan

128(3)      The holder of a quarry permit or a quarry lease in respect of a quarry other than an aggregate quarry shall, in accordance with the regulations, submit a closure plan acceptable to the director.

128.1       [Repealed]

S.M. 2011, c. 36, s. 8; S.M. 2014, c. 27, s. 64.

No permit or lease if contravention

129         Where a person has contravened this Act and the person has been given notice by an inspector of the contravention,

(a) the person shall not be granted a quarry lease or issued a quarry permit under this Act;

(b) the director shall not consent under section 136 to an assignment or transfer of a quarry permit to the person; and

(c) the recorder shall not record a transfer of a quarry lease to the person under subsection 215(2);

for as long as the contravention continues.

S.M. 1995, c. 17, s. 23.

Forfeiture

130         Where the rent, royalty or rehabilitation levy payable under a quarry lease or quarry permit is not received by the recorder within 30 days after the anniversary date of the permit or lease, the lease or permit is forfeited and cancelled.

S.M. 1995, c. 17, s. 24.

Waiving payments

131         Where quarry minerals are used for a public purpose, the minister may, with the approval of the Lieutenant Governor in Council, waive the payment of royalties.

Disposition by tender

132         The minister may by tender or other means dispose of all or part of a quarry mineral disposition that is expired, surrendered or cancelled under this Act.

QUARRY PERMITS

Application according to the regulations

133(1)      An application for a quarry permit must be made to the director in accordance with the regulations.

Director may issue a quarry permit

133(2)      On receipt of an application under subsection (1), the director may, subject to Part 9, issue a quarry permit granting the right to explore for, mine and produce quarry mineral for a term not exceeding 3 years and on such further terms and conditions as the director sets out in the permit.

Rental returned if application refused

133(3)      Where the director refuses to issue a quarry permit, the director shall notify the applicant, in writing, of the refusal and the reasons for the refusal and the recorder shall refund the rent paid in advance by the applicant but not the prescribed fee, if any, paid by the applicant for purposes of the application.

Effective date

133(4)      The effective date of a quarry permit is the date on which the permit is issued by the director.

Where no permit to be issued

133(5)      The director shall not issue a quarry permit for sand and gravel where the director is satisfied under subsection 73(3) that the sand and gravel are included in a claim as a placer deposit.

S.M. 2011, c. 36, s. 9; S.M. 2014, c. 27, s. 64.

Permit holder to provide to recorder

134         The holder of a quarry permit shall, no later than the 30th day after the anniversary of the effective date of the permit and in the event of expiry, surrender or cancellation of the permit, no later than the 30th day after the date of the expiry, surrender or cancellation, provide to the recorder, in respect of the preceding year or, in the case of expiry, cancellation or surrender of the permit, the preceding portion of the year from the previous anniversary of the effective date of the permit to the date of the expiry, cancellation or surrender,

(a) a statutory declaration of the holder verifying the quantity of quarry mineral that the holder has produced from the permit area;

(b) payment of the prescribed royalty, in accordance with Part 11, applicable to the quarry mineral produced from the permit area; and

(c) payment of the prescribed rehabilitation levy.

Renewals

135(1)      Subject to subsection (2), where the director is satisfied that a holder of a quarry permit is in compliance with the terms and conditions of the permit, the director may, on such terms and conditions as the director considers appropriate, grant a renewal of the permit and thereafter may grant further renewals.

Term of renewal is one year

135(2)      The term of a renewal is one year unless the regulations otherwise provide.

Area reduction in renewal term

135(3)      The director may limit a quarry permit in a renewal term to an area that is less than the area to which the permit applied in the previous term.

No assignment or transfer of permit rights

136         A holder of a quarry permit may not assign or transfer the rights of the holder under the permit, in whole or in part, without the prior written consent of the director.

Suspension, cancellation or non-renewal

137         The director may direct the recorder to record a suspension or cancellation or to not record a renewal of a quarry permit where,

(a) the holder is in contravention of this Act or of a term or condition of the permit; or

(b) continuation of operations under the permit is not in the public interest or is likely to cause damage or injury to third parties or to the property of third parties.

S.M. 2002, c. 28, s. 41.

Surrender of a quarry permit

138         Where a holder of a quarry permit is in compliance with the terms and conditions of the permit, the holder may surrender the permit by giving the recorder written notice of intention to do so and from the date of receipt of the notice, the interest of the holder in the permit ceases.

QUARRY LEASES

Application for quarry lease

139(1)      Application for a quarry lease must be made to the minister in accordance with the regulations.

Minister may issue quarry lease

139(2)      On receipt of an application under subsection (1) or (3), the minister may, subject to this Part and Part 9, grant a quarry lease on such terms and conditions as the minister considers appropriate.

Area of quarry lease may be changed

139(2.1)     A quarry lessee may apply to the minister to reduce, subdivide, amalgamate or enlarge the area covered by the lease and, upon good cause being shown by the holder, the minister may approve the application on such terms and conditions as the minister considers appropriate.

Application for conversion of permit

139(3)      The holder of a quarry permit that is renewable may apply to the minister for conversion of the quarry permit to a quarry lease in respect of all or part of the area covered by the permit.

S.M. 1995, c. 17, s. 25; S.M. 2011, c. 36, s. 10; S.M. 2014, c. 27, s. 64.

What a quarry lease conveys

140(1)      A quarry lease conveys to the lessee, for the term of the lease,

(a) the exclusive right to the Crown quarry minerals specified in the lease that are found on or under the land covered by the lease and that are the property of the Crown; and

(b) subject to Part 9, mineral access rights in respect of the Crown quarry minerals.

Boundaries of quarry lease area

140(2)      A quarry lessee shall not mine outside the boundaries of the quarry lease area continued vertically downward.

Survey of lease area may be required

140(3)      Where the boundaries of an area covered by a proposed quarry lease are not clearly marked, the minister may, as a condition of granting the lease, require the applicant to do a survey of the area.

S.M. 1995, c. 17, s. 26.

Form and execution of quarry lease

141(1)      A quarry lease must be in the prescribed form and be executed in duplicate in accordance with the regulations.

One lease document kept by lessee, other filed

141(2)      The lessee shall retain one of the duplicate lease documents under subsection (1), to be known as the counterpart quarry lease document, and the director shall file the other duplicate lease document in the office of the recorder.

Certificate of filing and recording

141(3)      Upon the filing of a quarry lease under subsection (2), the recorder shall record the quarry lease and shall issue a certificate of the filing and recording by endorsement on the counterpart quarry lease document retained by the lessee.

Ten year term of quarry lease and renewals

142(1)      A quarry lease has a term of 10 years and, subject to subsection (2), is renewable for further terms of 10 years where the lessee furnishes evidence satisfactory to the minister showing that during the previous term of the lease the lessee complied with this Act and the terms and conditions of the lease.

Renewal of non-productive quarry lease

142(2)      Where, during the term of a quarry lease, a lessee does not commence mining or ceases to mine, renewal of the lease, including the term of a renewal, is at the discretion of the minister.

Application for renewal

142(3)      An application for renewal of a quarry lease must be made to the minister in accordance with the regulations and before expiry of the lease.

Statutory conditions of quarry leases

143         Insofar as the sections are applicable to quarry leases, sections 112 to 122 constitute mandatory statutory terms and conditions in respect of all quarry leases, with such modifications as are required in the circumstances.

PART 9

SURFACE RIGHTS USE OF LANDS

Cancellation of right to use surface of claim

144(1)      Where, in the opinion of the minister, surface rights in respect of a parcel of land on which a claim or mineral lease is located are required for an urban centre, subdivision as defined in The Planning Act, summer resort area or public purpose or it is in the public interest to do so, the minister may by notice in writing to the holder of the claim or mineral lease delivered to the last known address of the holder, cancel the mineral access rights of the holder.

Subsequent mineral lease limited

144(2)      Where the minister cancels mineral access rights under subsection (1) and subsequently grants a mineral lease in respect of the claim, the lease does not convey a right to enter upon, use, or occupy the surface of the claim nor to cut timber on the surface of the claim unless the lease expressly so provides.

S.M. 2002, c. 28, s. 42.

Rights to surface in dispute

145         Where, in respect of a parcel of land, an owner or occupant of surface rights and a licensee or operator who seeks to explore the land for minerals and who does not hold rights to the surface of the land, other than mineral access rights,

(a) are unable to reach agreement with respect to use of the surface of the land by the licensee or operator; or

(b) having reached an agreement, have a dispute with respect to the rights or duties of the parties under the agreement;

the owner, occupant, licensee or operator may apply to the board for an order settling the terms of an agreement or settling the dispute and upon receiving the application, the board shall hear the application in accordance with section 29.

Compensation for damage to surface rights

146(1)      Where surface rights in respect of a parcel of land are granted, sold or leased, with reservation of mines, minerals or mineral rights to the Crown, or where land is occupied by a person who makes improvements on the land for the cost of which the person would be entitled to compensation and a licensee, in the exercise of the mineral access rights of the licensee, enters upon the land to explore for minerals and stakes out a claim or carries on mining operations on the land, the licensee shall compensate the owner or lessee of the surface rights or the occupant of the land for the injury or damage that is caused to the surface of the land by the exploration, staking out or mining operations and in default of agreement between the parties on the amount of the compensation, the amount and the manner and time of payment of compensation may be determined by the board on application of one of the parties.

Exception

146(2)      Subsection (1) does not apply in respect of Crown land for which a mineral disposition or mineral lease is issued before a disposition of the surface rights pertaining to the land is made under The Crown Lands Act.

CROWN LAND

Entry upon and use of reserved Crown land

147(1)      Subject to subsection (2), a person may enter upon, for the purpose of exploring for, staking out and recording a claim or developing a quarry mineral disposition, Crown land that

(a) is reserved within the boundaries of a provincial forest under The Forest Act; or

(b) is within a provincial park, subject to obtaining a permit under The Provincial Parks Act; or

(c) is within a Wildlife Management Area under The Wildlife Act; or

(d) is set aside or reserved for a public purpose under The Crown Lands Act and delineated on claim maps under clause 18(2)(c) of this Act.

Statutory approvals before entry on land

147(2)      Before entry upon land under subsection (1), a person shall obtain such approvals or authorizations as are required under the applicable statute in clause (1)(a), (b), (c) or (d) and shall comply with such terms and conditions as are provided in the applicable statute.

Mineral access rights

147(3)      Subject to subsection (4), a licensee may, for the purpose of exploring for, staking out and recording a claim, enter upon Crown land the surface of which is covered, in whole or in part, by a timber licence, grazing permit or other form of terminable grant from the Crown.

Least injurious use of surface

147(4)      A licensee or operator shall use the surface of a mineral disposition or mineral lease applicable to Crown land in a manner the least injurious to the occupant of the land and shall not cause undue interference with the use and enjoyment of the land by the occupant.

Referral of dispute to board

147(5)      Where a dispute as to the priority of conflicting rights to use the surface of Crown land arises between a licensee and a holder of a quarry mineral disposition and the dispute is not resolved by the director or the recorder, the dispute may be referred to the board under subsection 29(2) by the director, the recorder, the licensee or the holder.

S.M. 1993, c. 39, s. 37; S.M. 1995, c. 17, s. 27.

Prior staking of claim

148         The rights of a holder of a quarry mineral disposition on Crown land are subject to the rights of a holder of a claim only where the claim is staked and recorded before the quarry mineral disposition is issued.

Holder may apply for surface lease

149(1)      Where the holder of a mineral disposition, mineral lease or a quarry lease requires a surface lease for the efficient and economical performance of the mining operations of the holder, the holder may, in accordance with the regulations, apply to the minister for a surface lease.

Minister may grant surface lease

149(1.1)     On receipt of an application under subsection (1), the minister may, subject to subsection (2), grant a surface lease on such terms and conditions as the minister considers necessary or advisable.

Term of surface lease

149(2)      The term of a surface lease shall not exceed the term of the mineral disposition, mineral lease or quarry lease to which it relates and, notwithstanding the specified term of a surface lease, a surface lease terminates or expires no later than termination or expiration of the mineral disposition, mineral lease or quarry lease to which it relates.

Restriction on transfer or assignment

149(3)      The holder of a surface lease may not transfer or assign the lease, nor convey any of the mineral access rights described in the lease, without the prior written consent of the minister.

S.M. 1995, c. 17, s. 28.

Annual rent

150         The holder of a surface lease shall, in respect of each year or portion of a year in the term of the lease and in advance, pay an annual rent no later than 30 days after the anniversary of the commencement date of the lease.

S.M. 1995, c. 17, s. 29.

Forfeiture of rights under surface lease

150.1       The rights of the holder of a surface lease are forfeited if the holder fails to comply with any provision of this Act or any term or condition of the surface lease.

S.M. 1995, c. 17, s. 29.

Surface lease compliance failure

150.2(1)    Where the minister has reasonable grounds to believe that a holder of a surface lease has used the lease for a purpose other than a purpose specified in the lease or has failed to comply with this Act or with a term or condition of the lease, the minister may, in accordance with subsection 36(1), serve the holder with notice of the apparent misuse or compliance failure.

Content of notice

150.2(2)    In a notice under subsection (1), the minister shall indicate that an inquiry will be conducted by the minister in respect of the apparent misuse or compliance failure and shall indicate the date, time and place of the inquiry, on a day no sooner than the 30th day following the day of service of the notice.

Ministerial order

150.2(3)    The minister shall conduct an inquiry on the date and at the time and place set out in the notice, and may, where he or she is satisfied that the holder of the surface lease has misused the lease or has failed to comply with this Act or with a term or condition of the lease, by order,

(a) cancel the lease; or

(b) fix a date by which the holder must discontinue the misuse or remedy the compliance failure; and

(c) make any other order that the minister considers just and reasonable in the circumstances;

and shall serve a copy of the order on the holder in accordance with subsection 36(1).

Cancellation of surface lease

150.2(4)    Where the holder of a surface lease against whom an order is made under subsection (3) does not comply with the order within the time or period specified in the order, the minister may, without prior notice to the holder, cancel the lease.

Notice of cancellation

150.2(5)    Where the minister cancels a surface lease under subsection (4), the minister shall serve the holder of the lease with written notice of the cancellation.

Content of notice of cancellation

150.2(6)    A notice of cancellation under subsection (5) must state the grounds for the cancellation and that the cancellation takes effect on the 30th day following the day on which the holder of the cancelled surface lease is served with notice of the cancellation.

S.M. 1995, c. 17, s. 29.

Misrepresentation, insolvency, bankruptcy

151(1)      Notwithstanding section 150, the minister may, without prior notice to the holder of a surface lease, cancel the lease where the minister is satisfied

(a) that the lease was issued as a result of a material misrepresentation by the holder in applying for the lease; or

(b) that the holder is insolvent, is a declared bankrupt or has committed an act of bankruptcy.

Notice of cancellation

151(2)      Where the minister cancels a surface lease under subsection (1), the minister shall serve the holder of the cancelled lease with written notice of the cancellation.

Content of notice of cancellation

151(3)      A notice of cancellation under subsection (2) must state the grounds for the cancellation and that the cancellation takes effect on the 30th day after the day on which the holder of the cancelled surface lease is served with notice of the cancellation.

Application for mineral access rights

152(1)      Where, in respect of a parcel of Crown land, the mineral access rights of an operator are in conflict with the rights of a holder of surface rights in respect of the land and the surface rights

(a) are held under a lease or other form of terminable grant from the Crown; or

(b) are disposed of by the Crown under an Act or regulation that allows transfer of the surface rights of the Crown;

the operator, before beginning mining operations on the land, shall make application to the board for transfer to the operator of such rights to the surface of the land as the board considers necessary for the efficient and economical performance of the mining operations.

Board to hear application

152(2)      In respect of an application under subsection (1), the board shall

(a) serve, in accordance with subsection 36(1), a copy of the application upon the holder of the surface rights;

(b) file a copy of the application with the director and the Director of Crown Lands; and

(c) hold a hearing and determine the matter in accordance with Part 3.

Compensation for damages

153(1)      A person who damages mineral exploration workings, claim posts, line posts, tags or surveyed boundary markers establishing a claim or lease, whether or not the person holds an interest in the applicable surface rights, is liable to the holder of the claim or lease for compensation for the damage sustained.

Application to board for compensation

153(2)      A holder claiming compensation under subsection (1) and who is unable to secure satisfaction from the person responsible for the damage may apply to the board for determination of the amount of compensation payable to the holder.

Board may order compensation or repairs

153(3)      After hearing an application under subsection (2), the board may order compensation be paid to the holder of the claim or lease by the person responsible for the damage or that the person responsible for the damage make repairs satisfactory to the board.

PRIVATE LAND

No entry without consent of owner or board

154(1)      No person shall enter upon, occupy or take the surface of privately owned Crown mineral land for mining purposes unless the person has written authorization to do so

(a) from the owner of the surface rights to the land and, where applicable, from the occupant of the land; or

(b) by order of the board under section 29.

Authorization filed with recorder

154(2)      A copy of an authorization under subsection (1) must be filed with the recorder.

Application to board respecting surface rights

155(1)      Where a right of entry upon Crown mineral land is required by a licensee or operator for a purpose under this Act and surface rights in respect of the land are vested in a person other than the Crown and the licensee or operator is unable to acquire a right of entry by agreement with the person, the licensee or operator may apply to the board under section 40 for an order granting a right of entry to the licensee or operator and granting such other mineral access rights as the board considers necessary for the efficient and economical performance of the mining operations of the licensee or operator.

Service of application

155(2)      An applicant under subsection (1) shall serve a copy of the application upon the owner of the surface rights and, where the land is occupied by a person other than the owner of the surface rights, upon the occupant of the land.

Application for immediate entry

156         An applicant under section 155 may, after giving seven days notice to the owner of the surface rights and, where the land is occupied by a person other than the owner of the surface rights, to the occupant of the land, apply to the board for an interim order granting leave to immediately enter upon and use the surface of the land and where the applicant pays to the board a cash deposit that is sufficient, in the opinion of the board, to protect the rights of the owner and occupant, if any, the board may make the order upon such conditions as the board considers appropriate.

Determination of rights and compensation

157(1)      In respect of an application under section 155, the board shall, where applicable, determine

(a) the mineral access rights that the applicant requires for the efficient and economical performance of mining operations;

(b) the boundaries of the area in which the mining operations of the applicant are to occur;

(c) the amount of the compensation that is payable by the applicant and the person to whom the compensation is payable;

(d) the mineral access rights, if any, in respect of land other than the land on which the mining operations of the applicant are to be carried on, that the applicant requires for access to the land on which the mining operations of the applicant are to be carried on; and

(e) such other matters as require determination for purposes of determining the rights of the applicant in respect of the surface of the subject land or lands.

Factors in determining compensation

157(2)      In determining the amount of compensation payable under clause (1)(c), the board may consider

(a) the value of the parcels of land, in respect of which mineral access rights are granted to the applicant, for the purpose for which it is used by the owner, irrespective of the existence of minerals on, in or under the land;

(b) the amount of the parcels of land, in respect of which mineral access rights are granted to the applicant, that might be permanently damaged by the mining operations of the applicant;

(c) the adverse effect on the remaining portion of the parcels of land, in respect of which mineral access rights are granted to the applicant, of granting mineral access rights to the applicant;

(d) the costs to the owners of the parcels of land, in respect of which mineral access rights are granted to the applicant, that might result from the grant;

(e) the compensation to be paid by the applicant to the owners of the parcels of land, in respect of which mineral access rights are granted to the applicant, for the nuisance, inconvenience or noise that might be caused by, or arise from or in connection with, the mining operations of the applicant; and

(f) such other factors as the board considers proper, relevant or applicable.

No duplicate compensation

158         Where, on an application under section 155, the board finds that the owner of surface rights or, where the affected land is occupied by a person other than the owner of the surface rights, the occupant of the land, is entitled to compensation, the board shall not require the applicant, in respect of any one item for which compensation is required, to pay compensation to both the owner and the occupant.

Re-hearing of application

159         The board may re-hear an application before deciding it and may review, rescind, change, alter or vary an order made by it.

USE OF LAND

Lands on which exploration and staking prohibited

160         No person shall explore for minerals or stake a claim to minerals on land

(a) that is withdrawn by the minister under subsection 14(1);

(b) that, subject to clause 61(1)(b), is occupied for mining purposes under this Act;

(c) that the Government of Canada sets aside or designates as a reserve under the Indian Act (Canada), a National Park of Canada under the National Parks Act (Canada) or otherwise sets aside or designates under an Act of Parliament for a purpose falling within the exclusive jurisdiction of Parliament.

S.M. 1995, c. 17, s. 30.

Application for mineral disposition or lease

161(1)      A person may apply for a lease or mineral disposition with respect to land

(a) reserved for an urban centre;

(b) laid out for an urban centre or as recreational lots on a plan registered with the Director of Surveys;

(c) used or occupied as station grounds or switching yards; or

(d) occupied in accordance with this Act for the purpose of mining for minerals other than minerals that are the subject of the application;

if he or she has obtained the prior written consent of the minister to make the application and any activities arising in relation to a lease or mineral disposition or the obtaining of a mineral disposition will be subject to any terms or conditions imposed by the minister.

Application for consent of minister

161(2)      Notwithstanding subsection (1), a person may submit a request for the minister's consent at the same time as he or she submits an application for one of the following mineral dispositions:

(a) a claim in surveyed territory that includes land referred to in clause (1)(a), (b), (c) or (d); or

(b) a mineral exploration licence for land that includes land referred to in clause (1)(a), (b), (c) or (d).

Where application is refused

161(3)      If the minister does not grant consent, the land for which consent was requested will be excluded from any claim or mineral exploration licence granted.

S.M. 1995, c. 17, s. 31; S.M. 2002, c. 28, s. 43.

Working minerals near pipeline

162(1)      No person shall explore for, develop or mine a mineral within 50 m of a pipeline that transports oil, gas or petroleum product without first obtaining, on application, the written approval of the minister.

Application for leave to work minerals

162(2)      An application to the minister under subsection (1) must be accompanied by a plan and a cross-section of the portion of the pipeline to be affected and of mining works or plant that is to be constructed or operated that may affect the pipeline and the applicant shall serve a copy of the application on the operator of the pipeline.

Minister grants leave to work minerals

162(3)      The minister may approve an application under subsection (1) on such terms and conditions as the minister considers expedient for the protection and safety of the public or the pipeline.

163         [Repealed]

S.M. 2002, c. 28, s. 44.

Roads, highways and road allowances

164(1)      The minerals and mineral rights in, upon or under common public roads, highways and road allowances are vested in the Crown and may be leased or otherwise disposed of under this Act.

Subsection 164(1) not applicable

164(2)      Subsection (1) does not apply to a road or highway in which the minerals and mineral rights are expressly reserved in the grant or transfer of the road or highway or are expressly excepted in the expropriation of the land for the road or highway.

Rights of adjoining holders

165(1)      Where Crown mineral lands adjoin a common public road, highway or road allowance and the mineral deposit in, upon or under the mineral lands extends into or under the road, highway or road allowance, the holder of the Crown mineral lands has the right to lease the mineral rights in, upon or under the road, highway or road allowance or, where there are Crown mineral lands on both sides of a common public road, highway or road allowance, the holder of the Crown mineral lands on each side of the road, highway or road allowance has the right to lease in respect of the half of the road, highway or road allowance that adjoins the land of the holder.

Right to public travel preserved

165(2)      In every lease or other disposition of minerals and mineral rights in upon or under all common public roads, highways and road allowances there is implied a reservation protecting the roads, highways and road allowances for public travel and preventing use of the minerals or mineral rights so leased or otherwise disposed of that interferes with public travel unless a road in the place of the public road, highway or road allowance is provided and accepted by the municipal or other authority having jurisdiction over the road, highway or road allowance.

PART 10

POOLING

Effect of pooling agreement or order

166(1)      Notwithstanding the provisions of a mineral lease or contract affecting a tract to which a pooling agreement under section 168 or a pooling order under section 173 applies, mineral production under the pooling agreement or the pooling order is, in respect of the tract, deemed to be mineral production by the working interest owner with respect to the tract in satisfaction of the obligations of the working interest owner under the mineral lease or contract.

Deemed mineral production by tract

166(2)      Mineral production that is allocated to a tract by a pooling agreement under section 168 or a pooling order under section 173 is deemed to be mineral production from the tract.

Pooling is operating arrangement only

166(3)      A pooling agreement under section 168 or a pooling order under section 173 is an operating arrangement and does not transfer title to the operator of the unit operation or vest in an owner of a tract in the unit area an undivided interest in the other tracts in the unit area.

Operators to use unit operations

167         Operators shall make every effort to develop unit operations for the production of minerals in contiguous tracts irrespective of whether unit operations are accomplished under pooling agreements or co-operative development and production arrangements or on a joint participation basis.

POOLING AGREEMENTS

Board approval of pooling agreement

168(1)      Parties to a pooling agreement shall not put the agreement into effect unless the agreement is approved by the board.

Agreement of royalty owners

168(2)      The board shall not approve a pooling agreement unless the royalty owners of the tracts contained within the proposed unit area agree to the unit operation either as parties to the pooling agreement or by separate agreement.

Operator acts for working interest owners

168(3)      Where the working interest owners agree in a pooling agreement approved by the board that the operator under the pooling agreement is their agent with respect to their functions, powers, duties, obligations and responsibilities under this Act, the operator is deemed to act for and on behalf of the working interest owners.

Crown as party to pooling agreement

169(1)      Where the Crown is a working interest owner or a royalty owner in respect of a tract, the Lieutenant Governor in Council may, by order, authorize the minister, on behalf of the Crown,

(a) to enter into a pooling agreement for a unit operation of a proposed unit area that includes the tract; or

(b) to transfer the working interest of the Crown to a Crown corporation.

Crown royalty agreement

169(2)      The Lieutenant Governor in Council may authorize the minister to enter into an agreement for the calculation of the royalty payable to the Crown on a mineral produced from a unit area that includes a tract that is subject to the payment of a royalty to the Crown.

Crown minerals subject to pooling agreement

170         Where a pooling agreement is entered into by the minister under clause 169(1)(a), minerals that are the property of the Crown and are affected by the agreement and the interest of the Crown in such minerals are subject to the agreement for so long as the agreement is in effect.

POOLING ORDERS

Hearing with regard to unit operation

171         The board may, on its own motion or on the application of a working interest owner under section 172, hold a hearing under section 29 to consider establishment of a unit operation.

Application for pooling order

172(1)      Where the working interest owners and the royalty owners, in respect of contiguous tracts, are unable to reach agreement on pooling their interests in a unit operation, one or more of the working interest owners may apply to the board to order the parties to pool their interests in a unit operation.

Application to include proposed plan

172(2)      A working interest owner who applies to the board under subsection (1) shall apply in writing and shall submit to the board a plan for the proposed unit operation setting out the conditions that the applicant proposes be included in a pooling order, together with such other information as the board requests.

Board may make pooling order

173(1)      After holding a hearing under section 171, the board may, with the approval of the Lieutenant Governor in Council, make a pooling order directing the working interest owners in contiguous tracts to pool their interests in a unit operation and, in making the order, shall designate the person who is to act as the operator of the unit operation.

Provisions of order

173(2)      In a pooling order under subsection (1), the board shall set out

(a) the date on which the order comes into force;

(b) the name and address for service of the operator of the unit operation;

(c) a legal description of the unit area;

(d) a legal description of each tract included in the unit area;

(e) a method for allocating to each working interest owner and each royalty owner a fair and equitable share of the minerals produced from the unit area;

(f) a method for adding a new tract to the unit area; and

(g) provisions for the termination of the unit operation, including the manner and circumstances of a termination.

Additional pooling order provisions

173(3)      A pooling order under subsection (1), in addition to the provisions under subsection (2), may provide

(a) for participation in the development of the affected minerals;

(b) for compensation for interests adversely affected by the pooling arrangement;

(c) that affected mineral dispositions or mineral leases are subject to the pooling order;

(d) for any other matters that the board considers appropriate to include in the order.

Re-hearing of pooling application

174(1)      A pooling order under section 173 may provide that, on or after a date specified in the order, the board may conduct, or an interested party may apply to the board for, a re-hearing of the application for the pooling order or a hearing on a matter arising under the order.

Amending pooling order

174(2)      After a re-hearing or hearing under subsection (1), the board may, with the approval of the Lieutenant Governor in Council, amend or revise the subject pooling order in order to remedy a deficiency in the order or to address new circumstances and may alter or revoke a provision in the order that, in the opinion of the board, is or has become unfair or inequitable.

Mining operations in unit area

175(1)      From and after the date on which a pooling order comes into effect and until such time as the order is cancelled or revoked, no person, other than the operator of the unit operation to which the order applies, shall carry on mining operations within the unit area for the purpose of exploring for, developing or producing the mineral that is the subject of the order.

Operator to comply with pooling order

175(2)      The operator of a unit operation that is established by a pooling order shall operate the unit operations in accordance with the pooling order.

PART 11

ROYALTIES

Royalty reserved to the Crown

176(1)      A royalty is reserved to the Crown on minerals that are obtained or taken under a mineral lease or a quarry mineral disposition.

L.G. in C. prescribes royalty

176(2)      The Lieutenant Governor in Council may prescribe the amount or rate of the royalties to be paid under this Act.

Royalties in kind

176(3)      Where the minister approves, a royalty may be paid in kind.

Royalty exemption

176(4)      A person is exempt from the payment of a royalty where, in respect of a mineral for which a royalty is otherwise payable, a tax is payable under The Mining Tax Act or the mineral, or a prescribed class of minerals to which the mineral belongs, is used for a public purpose and is exempted by regulation.

Royalty payment may be waived

176(5)      The Lieutenant Governor in Council may, by order, waive payment of a royalty, in whole or in part.

Calculation of royalty

176(6)      A royalty reserved to the Crown in respect of a mineral must be calculated in accordance with the regulations.

Commingling of shares in minerals

177(1)      Notwithstanding the commingling of a royalty share of the Crown in a mineral with a share of a mineral lessee in the mineral and notwithstanding that the royalty share of the Crown and the share of the mineral lessee are indistinguishable as a result of the commingling, the Crown remains the owner of its royalty share in the mineral until the royalty share is disposed of by or on behalf of the Crown.

Royalty on basis of mineral product

177(2)      Where the amount of a royalty on a mineral is calculated, in whole or in part, on the basis of mineral product that is obtained in processing the mineral, a reference to the mineral in this Act or a regulation under this Act in respect of a royalty applicable to the mineral, is, unless otherwise provided, a reference to the mineral product.

Royalty due date

178         A holder of a mineral lease or quarry mineral disposition shall pay the prescribed royalty to the recorder

(a) no later than 30 days after the anniversary date or the expiry of the mineral lease or quarry mineral disposition; or

(b) as otherwise required under the regulations.

S.M. 2002, c. 28, s. 45.

Recalculation of royalty

179(1)      The minister may, as circumstances require, recalculate the royalty share of the Crown in respect of a mineral,

(a) at any time, where a royalty is miscalculated due to

(i) misinterpretation of this Act or a regulation under this Act, or

(ii) neglect, carelessness or default on the part of the person who calculated the royalty, or

(iii) fraud in the filing or supplying of a report or other information required under this Act or a regulation under this Act;

(b) within 6 years of the date on which the royalty becomes payable to the Crown, where clause (a) does not apply.

Recalculation of interest

179(2)      Where the minister makes a recalculation under subsection (1), the minister may recalculate the interest, if any, that is payable in respect of the royalty.

Definition of "reserve"

179.1(1)    In this section, "reserve" means a reserve as defined in the Indian Act (Canada).

No entitlement by Crown

179.1(2)    The Crown is not entitled to, and shall not assert an interest in, any portion of the consideration payable in respect of the sale, lease or other disposition of any mining claims or minerals located on a reserve that it would otherwise be entitled to by virtue of paragraph 12 of the Memorandum of Agreement set out in the Schedule to The Manitoba Natural Resources Transfer Act.

S.M. 2001, c. 4, s. 2.

PART 12

COLLECTION

Charges are recoverable as debt to Crown

180         The amount of a royalty, levy, charge or rent payable by an operator, together with interest payable in respect of the royalty, levy, charge or rent, is a debt due to the Crown and is recoverable as such in a court of competent jurisdiction in the name of Her Majesty in right of Manitoba.

S.M. 1995, c. 17, s. 32.

Interest on debt

181(1)      A debt to the Crown under this Act bears interest as prescribed.

Interest on refund

181(2)      Where the minister refunds an amount received in overpayment of a royalty, levy, charge or rent by an operator, the minister may add an amount for interest to the amount of the refund, at the rate prescribed under subsection (1), calculated from the date on which the overpayment is made.

S.M. 1995, c. 17, s. 33.

Debts to Crown a lien

182(1)      The amount of a debt due from an operator to the Crown under this Act binds the property of the operator located on land that is the subject of the lease or mineral disposition and the Crown has a lien and charge against such property in respect of the debt.

Priority of Crown

182(2)      The claim of the Crown for a debt due from an operator under this Act has priority over other charges or claims against the lease or mineral disposition under which the debt is payable or against a building, structure, equipment machinery or chattel that is used in working a mine under the lease or mineral disposition and the priority survives forfeiture of the lease or mineral disposition.

S.M. 2002, c. 28, s. 46.

Certificate of default

183         Where default is made in payment of a royalty, levy, charge or rent payable under this Act and a letter is mailed to the person in default demanding immediate payment of the royalty, levy, charge or rent, the minister may, no sooner than the 30th day following the day that Canada Post confirms is the day on which the letter is delivered by mail, issue a certificate stating the amount due and payable, including interest, if any, and the name of the person in default.

S.M. 1995, c. 17, s. 34.

Filing of certificate in court

184(1)      A certificate issued under section 183 may be filed in the Court of Queen's Bench and when so filed becomes a judgment of the court and may be enforced as a judgment of the court.

Costs of filing

184(2)      The cost of filing a certificate under subsection (1) is recoverable in like manner as if the amount of the costs were included in the amount entered on the certificate.

PART 13

STATISTICAL RETURNS MINE PLANS

Operator to file annual return

185(1)      The operator of a mine to which this Act applies shall, on or before January 31 in each year, file a return with the director in accordance with the regulations.

185(2)      [Repealed] S.M. 2004, c. 35, s. 5.

Monthly returns

185(3)      An operator of a mine shall, if required by the director, file, at the end of each month or quarter, a statement under subsection (1) for the previous month or quarter.

Access to information restricted

185(4)      Subject to subsection (6), a return or statement filed under subsection (1) or (3), including the information contained in the return or statement, is confidential information.

Section 22 applies

185(5)      For purposes of subsection (4), section 22 applies to a person who comes into possession of a return or statement filed under subsection (1) or (3), including the information contained in the return or statement.

Compilation of information

185(6)      Notwithstanding section 22 and subsection (5), information contained in a return or statement filed under subsection (1) or (3) may be compiled and disclosed in aggregated form in the annual report of the department or in any other document approved by the minister as part of aggregated statistical information or may be shared with the Government of Canada in accordance with the terms of an agreement governing the exchange of statistical information.

Books and records to be available

185(7)      An operator of a mine or works shall keep and maintain books and records relating to the operations of the operator that are sufficient to verify the information contained in a return or statement filed under subsection (1) or (3) and shall, on request by the director or an official of the department authorized in writing by the minister, make the books and records available for inspection, examination or audit.

S.M. 1992, c. 58, s. 19; S.M. 1995, c. 17, s. 35; S.M. 2004, c. 35, s. 5.

Plans and records to be kept

186(1)      An operator of a mine shall, in accordance with the regulations, maintain in a current state and keep at the mine office and protected from risk of damage by fire or other cause, such plans and records in respect of the mine as are required by regulation to be kept and maintained by the operator.

Production of plans and records

186(2)      An operator of a mine shall, where required by an inspector, produce for examination the plans and records kept under subsection (1) and shall mark on the plans and records the progress of the mine to the date of the examination and, upon request by the inspector, shall give copies of the plans and records to the inspector.

Plans and records submitted annually

186(3)      Copies of the plans and records kept under subsection (1), certified as true copies by the operator of the mine, shall be, where requested by the director, submitted to the chief mining engineer on or before January 31 in each year, showing the workings of the mine as of December 31 of the previous year.

Before suspension or closure of mine

186(4)      An operator of a mine shall not suspend operations at the mine for a period of more than 90 days or close or render the mine inaccessible, or abandon the mine unless the plans and records kept under subsection (1) are in a current state and copies of the current plans and records, certified as true copies by the operator, are first submitted to the chief mining engineer.

Plan and record confidential

186(5)      Subject to subsection (7), a plan or record submitted in accordance with subsection (3) or (4), including the information contained in the plan or record, is confidential information.

Section 22 applies

186(6)      For purposes of subsection (5), section 22 applies to a person who comes into possession of a plan or record submitted in accordance with subsection (3) or (4), including the information contained in the plan or record.

Authorization of disclosure

186(7)      The minister may authorize the disclosure of information contained in a plan or record submitted under subsection (3) or (4) where,

(a) the operator of the mine to which the plan or record relates consents in writing;

(b) in the opinion of the chief mining engineer, the plan or record, for a purpose authorized under this Act or in the interest of public safety, ought to be shown to the operator of an adjacent mine, the owner of surface rights to the land on which the mine is located or a person engaged by the minister to conduct an inquiry under this Act;

(c) the mine to which the plan or record relates is abandoned or closed; or

(d) disclosure is necessary to determine whether a closed mine can be re-opened.

S.M. 1995, c. 17, s. 36.

PART 14

REHABILITATION

Definition

187         In this Part, "progressive rehabilitation" means, in respect of a project site, rehabilitation of the site that is carried out in the course of the operations of the project on the site.

Proponent to carry out closure plan

188(1)      A proponent of a project shall institute and carry out a program for protection of the environment and for rehabilitation of the project site as set out in an approved closure plan.

Private non-aggregate quarry closure plan

188(2)      The operator of a quarry, other than an aggregate quarry, mining quarry minerals that are not vested in, or do not belong to, the Crown shall, in accordance with the regulations, submit a closure plan acceptable to the director.

Progressive rehabilitation

189(1)      A proponent of a project shall set out, in a closure plan, the practices and procedures by which progressive rehabilitation of the project site will be carried out and a proponent shall, at all times during the life of a project whether or not the operations of the project are discontinued or closed, take all reasonable steps to effect progressive rehabilitation of the project site as circumstances from time to time require.

Discontinuance or closure of project

189(2)      Where the operations of a project are discontinued or closed, either permanently or temporarily, the proponent of the project shall immediately in writing notify the director of the discontinuance or closure and shall immediately comply with the requirements of the closure plan.

Annual report on rehabilitation work

190         On or before the 60th day following the anniversary date of commencement or recommencement of a project, the proponent of the project shall each year submit to the director a report on the rehabilitation carried out on the project site in the period of 12 months ending on the anniversary date.

Voluntary revisions to closure plan

191(1)      A proponent may submit a revised closure plan to the director at any time.

Mandatory revised closure plan

191(2)      Where the director is satisfied that a closure plan, is not adequate to properly rehabilitate a project site, the director may request the proponent to submit a revised closure plan and the proponent shall do so no later than the 60th day following the day on which the request is received.

Revised closure plan approval

191(3)      Where a proponent submits a revised closure plan under subsection (1) or (2), the closure plan as unrevised continues to apply to the project until the revised closure plan is approved by the director and upon receipt by the proponent of written notice of approval of the revised closure plan by the director, the revised closure plan applies to the project.

Director may require further revisions

191(4)      Where the director receives a revised closure plan under subsection (1) or (2), the director may, before approving the revised closure plan, require the proponent to make further revisions to the closure plan.

Expansion or alteration by proponent

192         Where a proponent intends to expand or alter a project, the proponent shall immediately give written notice of the expansion or alteration to the director.

Rehabilitation on order of director

193(1)      Where the director has reasonable and probable grounds to believe that rehabilitation that is required under a closure plan is not being, or is not likely to be, done in accordance with the closure plan, the director may, by order, direct that the requisite rehabilitation be performed by a person or persons named in the order.

Notice of order to proponent

193(2)      The director shall, at least 15 days before issuing an order under subsection (1), give the proponent written notice of the intended order.

Use of security

193(3)      Where the director makes an order under subsection (1), the director may, for purposes of giving effect to the order, use the security provided under the closure plan to meet the costs incurred in the performance of rehabilitation work under the order.

Application for reduction of security

194(1)      A proponent may apply to the director for reduction of the amount that is required as security under a closure plan.

Director may reduce security

194(2)      The director may, on an application under subsection (1), reduce the amount of security provided under a closure plan where the director is satisfied that

(a) the applicant has, up to the time of the application, performed rehabilitation work as required under the closure plan; and

(b) based on the information provided in a report under section 190 or a revised closure plan under section 191, a reduction in the amount of security is justified.

Mine Rehabilitation Fund

195(1)      There is hereby established a fund to be known as the "Mine Rehabilitation Fund" and to which monies received as security, or realized under securities or letters of credit given as security, for performance of rehabilitation work under closure plans shall be credited and disbursements authorized under subsection (3) shall be debited.

Mine rehabilitation reserve accounts

195(2)      Where, in respect of a project, monies are credited to the Mine Rehabilitation Fund under subsection (1), the Minister of Finance shall deposit the receipts in mine rehabilitation reserve accounts to be established by the Minister of Finance under the Consolidated Fund and maintained in the names of the projects to which the receipts relate.

Investment earnings to be credited to account

195(2.1)    Earnings from the investment of an amount deposited in an account under subsection (2) must be credited to the account.

Disbursements from Mine Rehabilitation Fund

195(3)      The minister may authorize disbursements from the Mine Rehabilitation Fund for the purpose of

(a) meeting the cost of rehabilitation work ordered by the director under subsection 193(1); or

(b) refunding money, and the interest earned on it, to a proponent where, in the opinion of the minister, the money is no longer required as security for rehabilitation work required under a closure plan.

Disbursements charged against accounts

195(4)      Where, in respect of a project, a disbursement is authorized under subsection (3), the Minister of Finance shall charge the amount of the disbursement against the mine rehabilitation reserve account established and maintained under subsection (2) in the name of the project.

S.M. 1998, c. 11, s. 2; S.M. 2002, c. 28, s. 47.

Registration of private aggregate quarries

196(1)      No person shall operate an aggregate quarry on privately owned land without a registration certificate under section 197 in respect of the quarry.

Thirty day grace period

196(2)      Where, immediately before the coming into force of this Act, a person is actively engaged in operating an aggregate quarry on privately owned land and in doing so is acting in compliance with The Mines Act, R.S.M. 1987, c. M160, and the regulations made under The Mines Act, the person may, without a registration certificate under section 197, continue to operate the quarry for 30 days following the coming into force of this Act.

Minister may exempt aggregate quarry

196(3)      The minister may exempt an aggregate quarry from application of this section.

Application for registration certificate

197(1)      An application for a registration certificate must be made in accordance with the regulations.

No issuance of registration certificate

197(2)      The director shall not issue a registration certificate to an applicant who

(a) is in contravention of this Act or the terms or conditions of a licence, permit or lease issued to the applicant under this Act; or

(b) submits an application that is incomplete or false or contains a material misrepresentation.

Term of certificate, not transferable

197(3)      A registration certificate under this section is valid from the date of issuance until December 31st of the year in which it is issued and is not transferable.

Suspension or revocation

198(1)      The director may suspend or revoke a registration certificate or refuse to renew a registration certificate for any reason that would, on an application under subsection 197(1), disentitle an applicant to issuance of a registration certificate.

Notice of refusal, suspension or revocation

198(2)      The director shall not refuse to issue a registration certificate or to renew a registration certificate or suspend or revoke a registration certificate without giving notice of the intended action, including the reasons for the intended action, to the holder of the certificate.

Filing of annual return

199         The holder of a registration certificate under section 197 shall, in accordance with the regulations, submit an annual return in respect of the quarry.

Quarry mineral rehabilitation levy

200(1)      An operator of an aggregate quarry shall each year, in accordance with the regulations,

(a) where the aggregate quarry mineral is owned by the Crown, no later than the 30th day following the anniversary date or expiry of the quarry mineral disposition, remit to the recorder a rehabilitation levy in respect of the aggregate quarry minerals produced by the operator in the preceding year;

(b) where the quarry mineral is not owned by the Crown, no later than the 30th day after expiry of the registration certificate, remit to the recorder a rehabilitation levy in respect of the aggregate quarry minerals produced by the operator during the term of the certificate.

Hydro projects exempt

200(2)      Subsection (1) does not apply to Manitoba Hydro.

Quarry rehabilitation reserve account

200(3)      The Minister of Finance shall deposit amounts remitted as quarry rehabilitation levies under subsection (1) in an account, to be known as the "Quarry Rehabilitation Reserve Account", established under the Consolidated Fund and shall credit to the account any earnings from the investment of the amounts deposited.

Quarry rehabilitation agreements and costs

200(4)      The minister may

(a) enter into agreements with persons to rehabilitate lands on which a quarry is located; and

(b) make expenditures from the Quarry Rehabilitation Reserve Account to pay for costs associated with rehabilitating lands on which quarries are located, including salaries and other expenses of the government in administering the quarry rehabilitation program.

Expenditure commitment not to lapse

200(5)      Notwithstanding an Act of the Legislature to the contrary, an expenditure commitment made under subsection (4) does not lapse at the close of the fiscal year in which the commitment is made.

S.M. 1995, c. 17, s. 37; S.M. 1998, c. 11, s. 3; S.M. 2004, c. 35, s. 6.

PART 15

PUBLIC SAFETY AND HAZARDOUS LANDS

Mining to be carried on in safe manner

201(1)      The operator of a mine shall operate the mine in a manner that does not endanger the safety of a person or damage the property of unrelated third parties.

Protective measures during discontinuance

201(2)      Where an operator of a mine discontinues the operations of the mine, whether temporarily or permanently, the operator shall take all necessary protective measures at the mine to prevent personal injury or property damage while operations are discontinued.

Dangerous condition

202(1)      Where an inspector is satisfied that a condition that presents a threat to the wellbeing of a person or to property or the environment exists at or near a mine or in connection with a building, structure, machinery, equipment or material at or near the mine and for which the operator of the mine is responsible, whether or not the mine is in operation or the operations at the mine are temporarily or permanently discontinued, the inspector may direct the operator, in writing, to correct the condition.

Minister may correct condition

202(2)      Where an inspector under subsection (1) directs that a dangerous condition be corrected and the condition is not corrected within the time specified by the inspector, the minister may order that action be taken by the department to correct the condition.

Dangerous condition, owner unknown

202(3)      Where a mine is abandoned or operations at the mine are temporarily or permanently discontinued and the operator of the mine is unknown or is no longer within the province and an inspector is satisfied that a dangerous condition exists in or near the mine or in connection with a building, structure, machinery, equipment or material in or near the mine, the minister may direct the department to take action to correct the condition.

Costs as debt to Crown

203(1)      Costs incurred by the government in respect of action taken by the department under subsection 202(2) or 202(3) may be charged against the operator of the mine in respect of which the action is taken and the costs are a debt due by the operator to the Crown, recoverable by the Crown in accordance with Part 12.

Charging debt against deposit

203(2)      Where a person who is indebted to the Crown under this section makes a deposit, or pays an assessment or charge, that is held by the minister as security for the completion of work by the person, the minister may charge the debt of the person, together with interest on the debt, against the deposit, assessment or charge.

Abandonment not to relieve debt

204         The liability of an operator of a mine under sections 202 or 203 does not cease upon permanent closure or abandonment of the mine.

No interference with protective action

205         No person shall, except with the prior written consent of the minister, interfere with or change an action that is taken under this Part to protect persons, property or the environment.

Designation of limited use

206(1)      Where the director recommends that use of land for purposes other than mining is potentially hazardous, the minister may designate the land as limited use land.

Notice of designation

206(2)      Where land is designated under subsection (1), the minister shall register notice of the designation with the Director of Crown Lands, the Director of the Provincial Planning Branch, the appropriate land titles office and the recorder and shall serve notice of the designation on the persons shown in the records of the appropriate land titles office or of the Crown Lands Branch as having an interest in the land.

Public disclosure

206(3)      Where the minister designates land under subsection (1), the minister may make public information obtained from a report or drawing submitted in respect of the land.

Right to request a hearing

206(4)      A person with an interest in land designated under subsection (1) may in writing request the board to conduct a hearing in respect of the condition of the land by serving the board and the minister with notice of the request.

Approved studies and tests

206(5)      A person requesting a hearing under subsection (4) may propose to the board that certain tests and studies be undertaken to determine the existence and exact location of mine workings underlying the land and the condition of the rock between the mine workings and the surface and where the board accepts the proposal, it shall direct the department to conduct tests and studies and the Crown shall bear the cost of the tests and studies.

Board advises minister on designation

206(6)      Where, on the basis of tests and studies carried out under subsection (5), the board, after a hearing, determines that the land, in whole or in part, should not be designated as limited use land, the board shall recommend to the minister that the land not be so designated.

Revocation of designation by minister

206(7)      Where the minister, upon receiving the recommendation of the board under subsection (6), revokes the designation of the land, in whole or in part, the minister shall register the revocation in accordance with subsection (2).

Limited use land restrictions

207         No person who has an interest in the surface rights of land designated under section 206 shall cause or allow

(a) a change in the existing use of the land;

(b) an addition to an existing structure or building located on the land; or

(c) the construction of a structure or building on the land;

without the prior written approval of the minister.

PART 16

RECORDING OF INSTRUMENTS

Prerequisite for recording instruments

208(1)      Except as otherwise expressly provided, the recorder shall not record a transfer, agreement or other instrument affecting a mineral disposition, lease or other recorded right or interest acquired under this Act unless the transfer, agreement or instrument is signed by the holder of the mineral disposition, lease or recorded right or interest affected by the transfer, agreement or instrument or signed by an agent of the holder authorized by a recorded agency instrument and a statutory declaration of execution by a witness to execution of the transfer, agreement or instrument is attached to or endorsed upon the transfer, agreement or instrument.

Where executed by a corporation

208(2)      For purposes of subsection (1), where a transfer, agreement or instrument is executed by a corporation and the seal of the corporation is stamped on the transfer, agreement or instrument, a statutory declaration by a witness to execution of the transfer, agreement or instrument is not required.

Recording constitutes notice

209(1)      The recording of an instrument under this Act constitutes notice of the instrument to all persons claiming any interest in the lease or mineral disposition subsequent to the recording, notwithstanding any defect in the proof presented for recording.

Recorder to record upon proof

209(2)      The recorder shall not record an instrument pertaining to a lease or mineral disposition except upon presentation of the proof required under this Act.

Priority according to time recorded

209(3)      Earlier recorded rights or interests in or against a lease or mineral disposition take priority over other rights or interests in the same lease or mineral disposition that are later recorded unless before the recording there is actual notice of the prior unrecorded instrument to the party claiming under the recorded instrument.

S.M. 2002, c. 28, s. 48.

Recorder may order inspection

210(1)      The recorder may, for the purpose of ascertaining whether the holder of a lease or mineral disposition is in compliance with this Act, direct an inspector to inspect, with or without notice to the holder, the land that is subject to the lease or mineral disposition.

Report of inspection

210(2)      Where an inspector is directed by the recorder under subsection (1) to conduct an inspection, the inspector shall submit to the recorder a written report on the results of the inspection and the recorder shall file the report in the office of the recorder.

Recorder to provide certified copy of report

210(3)      Where a person requests a certified copy of a report of inspection filed in the office of the recorder under subsection (2), the recorder shall provide a certified copy.

Hearing by director

210(4)      Where the recorder, on the basis of a report filed under subsection (2), has grounds reasonably to believe that a holder of a claim or quarry permit is not acting in compliance with this Act, the recorder shall refer the matter to the director and the director shall fix a time and place for a hearing on the matter.

Cancellation of claim or quarry permit

210(5)      Where, after holding a hearing, the director is satisfied that a holder of a claim or quarry permit is not acting in compliance with this Act, the director shall cancel the claim or quarry permit, direct the recorder to endorse or mark "cancelled" on the record of the claim or quarry permit, and immediately serve notice of the cancellation on the holder in accordance with section 214.

Appeal to the board

210(6)      An appeal from the cancellation of a claim or quarry permit under subsection (5) may be made to the board by an application filed not later than 30 days after the day the holder is served with the notice of cancellation.

Notice of cancellation to be posted

210(7)      Upon the cancellation of a claim or quarry permit under subsection (5), the recorder shall immediately post in the office of the recorder a notice confirming the cancellation and advising that, until a date determined by the recorder and indicated in the notice, the Crown mineral land that was subject to the claim or quarry permit is not available for prospecting, staking or acquiring as a claim or quarry permit.

S.M. 1995, c. 17, s. 38; S.M. 2002, c. 28, s. 49.

Misdescriptions, errors, fraud

211(1)      Where it appears to the recorder that

(a) an entry in respect of an instrument that affects a lease or mineral disposition or a recorded right or interest acquired under this Act, other than an application under subsection 64(1), or part of the instrument itself, contains a misdescription; or

(b) an endorsement on an instrument is erroneous in whole or in part; or

(c) an instrument or an endorsement on an instrument is fraudulent;

the recorder may, without prejudice to a right acquired in good faith for value, cancel or correct the entry, the part of the instrument or the endorsement or remove the instrument from the records.

Original entry, endorsement preserved

211(2)      The recorder shall,

(a) in cancelling or correcting an entry, a part of an instrument or an endorsement under subsection (1);

(b) in making an entry recording a suspension or cancellation under section 137;

not remove or render illegible an original entry, a part of the instrument or an endorsement and shall note alongside the cancellation, correction or entry the date on which the cancellation, correction or entry is made.

Correction retroactive

211(3)      A correction made to an entry, instrument or endorsement under subsection (1) takes effect as of the date of the entry, instrument or endorsement as if the entry, instrument or endorsement had been done correctly.

S.M. 2002, c. 28, s. 50.

Trusts

212(1)      Subject to subsection (2), the recorder shall not receive for recording nor enter on the record notice of a trust, whether express, implied or constructive, relating to a claim.

Executor, administrator or trustee under will

212(2)      The recorder may make an entry on the record that a claim is held by an executor or an administrator or trustee under a will.

No enquiry re powers of trustee holder

212(3)      Where, in an instrument, the holder of a claim is described as a trustee in relation to the claim, whether or not the beneficiary or object of the trust is also described or identified, the description in the instrument does not constitute notice of a trust and a person dealing with the holder in relation to the claim need not enquire as to the powers of the holder in respect of the claim.

S.M. 2002, c. 28, s. 51.

Copies of writs of execution can be filed

213(1)      Where the sheriff of a judicial centre certifies a copy of a writ of execution to be a true copy of an original writ in the hands of the sheriff, the copy may be filed with the recorder and the recorder shall, upon receiving the number or description of the claim in respect of which the execution debtor is the recorded holder or has a recorded interest, record the writ on the record of the claim.

Effect of recording

213(2)      Where a writ of execution is recorded under subsection (1), the writ binds the rights or interests of the execution debtor in the claim against which the writ is recorded and authorizes the sheriff to sell the rights or interests of the execution debtor in the same way as goods and chattels may be sold under execution.

Approval of Crown mineral land sales

213(3)      A sale under execution of the rights or interests of an execution debtor in a claim that is on, in or under Crown mineral land is subject to approval by the minister.

Execution of transfer and recording

213(4)      Where a sheriff, under a writ of execution, sells the rights or interests of an execution debtor in a claim and, where subsection (3) applies, obtains approval of the sale from the minister, the sheriff may transfer the rights or interests of the execution debtor to the purchaser and the recorder shall record the transfer in like manner and with the same effect as if the transfer were made by the execution debtor.

Keeping claim in good standing

213(5)      Where a writ of execution is recorded, the sheriff who presented the writ has the powers and privileges of the execution debtor, as required, to keep the claim, rights or interests of the execution debtor in good standing or to restore the claim, rights or interests to good standing and is entitled to add to the execution debt the expenses incurred in doing so.

Discharge of execution

213(6)      A writ of execution may be discharged by filing a certificate from the sheriff certifying that the claim of the execution debtor is, or the rights or interests of the execution debtor are, no longer bound by the writ or by recording a release from the execution creditor.

S.M. 1995, c. 17, s. 39; S.M. 2000, c. 35, s. 16.

Address required on applications

214(1)      An application for a lease or mineral disposition or a transfer or other instrument affecting a lease or mineral disposition or a right or interest in a lease or mineral disposition must contain or have endorsed on it the place of residence and post office address of the applicant or transferee and, where the applicant is not a resident of Manitoba, the name, residence and post office address of an agent resident in Manitoba.

Service of a notice, order or document

214(2)      An address provided under subsection (1) may be used as the address for service for the applicant or transferee in respect of a claim, mineral disposition, lease or other right or interest recorded in the office of the recorder in the name of the applicant or transferee and, unless otherwise provided in this Act, service of a notice, order or other document upon the applicant or transferee, in respect of the claim, mineral disposition, lease or other right or interest is presumed effected,

(a) if mailed to such address, on the day that Canada Post confirms is the day on which the notice, order or other document is delivered to such address; or

(b) if sent by licensed courier service to such address, on the next business day following dispatch by courier.

Service by posting in office of recorder

214(3)      Where the whereabouts of a person to be served with a notice, order or other document are not known, service may be effected by posting the notice, order or document in the office of the recorder for a period of 15 days.

Documents not to be filed unless in compliance

214(4)      Where an application, transfer or other instrument affecting a lease or mineral disposition or a right or interest in a lease or mineral disposition does not comply with subsection (1), the recorder shall not file or record the application, transfer or instrument.

Substituting new agent for service

214(5)      An applicant or transferee under subsection (1) may substitute the name and address of a person resident in Manitoba for the name and address of the applicant or transferee by filing in the office of the recorder a memorandum setting forth the name, place of residence and post office address of the substitute person and, for purposes of this Act, service upon the person may be effected in accordance with this section and is effective as service upon the applicant or transferee.

Second and subsequent substitutions

214(6)      An applicant or transferee that makes a substitution under subsection (5) may make other substitutions subsequently and this section applies in respect of each person named as a substitute.

General application of section

214(7)      This section applies to a notice, order or other document that relates to a mineral disposition, lease, mineral rights or any other right or interest acquired under this Act.

S.M. 2002, c. 28, s. 52.

TRANSFERS

Transfer of lease or mineral disposition

215(1)      The holder of a lease or mineral disposition may transfer a whole or an undivided part of the interest of the holder in the lease or mineral disposition.

Recording of transfers

215(2)      A transfer of a lease or mineral disposition may be recorded where

(a) the transfer does not conflict with this Act or with a term or condition of the lease or mineral disposition; and

(b) the transfer is made by or on behalf of the holder of the lease or mineral disposition.

S.M. 1995, c. 17, s. 40; S.M. 2002, c. 28, s. 53.

How transfer to be effected

216(1)      An application to record a transfer of a lease or mineral disposition or an interest in a lease or mineral disposition shall not be accepted by the recorder unless

(a) the form of transfer complies with the regulations;

(b) the transfer is executed by the transferor and transferee or their respective agents in accordance with subsection 208(1);

(c) the transfer is endorsed in accordance with subsection 214(1);

(d) the application is accompanied by payment of the prescribed fee, if any; and

(e) in the case of a lease, the application is accompanied by

(i) the written consent of the minister under section 116, and

(ii) the counterpart lease document.

Transferee to receive copy of transfer

216(2)      Where a transfer is recorded, the recorder shall send a copy of the transfer to the transferee on which the recorder shall certify that the transfer is recorded on the record of the lease or mineral disposition that is maintained in the office of the recorder.

Refusal to record a transfer

216(3)      The recorder may refuse to record a transfer where

(a) the transfer conveys less than a 10% undivided interest in the lease or mineral disposition;

(b) the transfer results in a holder retaining less than a 10% undivided interest in the lease or mineral disposition; or

(c) arrears, including fees and rent, are not paid.

Transfers by corporations

216(4)      Where a transferor is a corporation, the transferor shall, in addition to the other requirements of this section, submit to the recorder

(a) [repealed] S.M. 2002, c. 28, s. 54;

(b) a copy of excerpts from the general by-laws of the corporation designating the signing officers of the transferor and their authority to sign.

Transferee becomes the holder

216(5)      When a transfer of a lease or mineral disposition is recorded, the transferee becomes the holder of the lease or mineral disposition or of an undivided interest in the lease or mineral disposition, as the case may be.

S.M. 1995, c. 17, s. 41; S.M. 2002, c. 28, s. 54.

Options, mortgages, liens, etc.

217(1)      Subject to section 218, the recorder may, on the record of a lease or mineral disposition, record a conveyance, bill of sale, option, trust, deed, mortgage, debenture, charge, lien, caveat or other document affecting title to the lease or mineral disposition.

Cancellation of entry on the record

217(2)      The recorder shall cancel an entry recorded on a record under subsection (1), upon

(a) submission of proof, in a form acceptable to the recorder, that the conveyance, bill of sale, option, trust, deed, mortgage, debenture, charge, lien, caveat or other document affecting title is fulfilled or otherwise discharged; or

(b) cessation of the interest of the holder under section 91, 121, 122, 124, 130 or 137.

Option and unconditional transfer

217(3)      An option on a mineral disposition recorded under subsection (1) expires on the date stipulated in the option as the last date on which the option can be exercised, unless

(a) information to the contrary is furnished in writing by the optionor or optionee;

(b) an unconditional transfer to the optionee is recorded; or

(c) a notice of surrender signed by the optionor and optionee is recorded.

Second option

217(4)      The recorder shall not record a second option affecting a lease or mineral disposition unless the first option has expired or been exercised or withdrawn.

S.M. 2002, c. 28, s. 55.

Assignment of Bank Act (Canada) interest

218         If a lease or mineral disposition or an interest in a lease or mineral disposition is assigned or transferred to a bank as security in accordance with section 426 of the Bank Act (Canada), the bank must file in the office of the recorder, in accordance with the regulations, an original executed copy of the instrument of transfer or assignment or a certified true copy of the instrument.

S.M. 2002, c. 28, s. 56.

219         [Repealed]

S.M. 1995, c. 17, s. 42.

Priority of interests

220         Subject to section 63, a recorded instrument has priority over a prior unrecorded instrument unless before the recording there is actual notice of the prior unrecorded instrument to the party claiming under the recorded instrument.

Transfer on death, bankruptcy, insolvency

221(1)      Where a lease or mineral disposition or an interest in a lease or mineral disposition is transferred in consequence of death, bankruptcy or insolvency of the holder of the lease or mineral disposition, or by means other than by a transfer under subsection 216(1), the transfer must be

(a) authenticated by a statutory declaration of the transferee verifying the circumstances of the transfer and describing the manner in which the transfer is effected and describing the transferee; and

(b) in the case of a lease, accompanied by the written consent of the minister.

Additional documents

221(2)      Where a transfer under subsection (1) takes place by virtue of

(a) the bankruptcy or insolvency of the holder of the lease or mineral disposition, the statutory declaration under subsection (1) must be accompanied by evidence that is admissible in court as proof of the title of the person claiming under the bankruptcy or insolvency;

(b) a testamentary instrument or by intestacy, the statutory declaration under subsection (1) must be accompanied by the letters of probate of the will or the letters of administration, or copies of such documents, that would be admissible as evidence in court in proof of the transfer.

Recorder to record certain information

221(3)       The recorder shall record the name of the person entitled under a transfer to a mineral disposition or a lease or to an interest in a mineral disposition or a lease, upon receipt of

(a) a statutory declaration;

(b) in the case of a lease, a consent under clause (1)(b); and

(c) the documents described in clause (2)(b).

S.M. 1995, c. 17, s. 43; S.M. 2002, c. 28, s. 57.

ADMINISTRATION OF ESTATES

Exemption on death or mental incapacity

222(1)      Subject to subsection (2) and sections 227 and 228, in the case of a holder of an interest in a mineral location other than a lease, who dies or for whom a committee has been appointed under The Mental Health Act, the provisions of this Act as to forfeiture for non-performance of work or for payment of fees do not apply where the non-performance occurs,

(a) in the case of a deceased holder, either during the last or terminal illness of the holder or after the death of the holder; or

(b) in the case of a holder for whom a committee has been appointed, either after the committee has been appointed or before the committee is appointed if the non-performance is attributable to the holder's mental condition.

Three year limit

222(2)      In the case of a deceased person, an exemption under subsection (1) expires on the third anniversary date of the death.

S.M. 1993, c. 29, s. 191; S.M. 1998, c. 36, s. 132.

Period of exemption may be limited

223(1)      The minister may limit the period during which an interest in a mineral location that is the property of a person for whom a committee has been appointed under The Mental Health Act is exempt from application of this Act under section 222 and may fix the date upon which the interest shall again become subject to this Act in respect of annual performance of required work or the payment of fees.

Minister may extend period of exemption

223(2)      The minister may, by order, extend the period of an exemption limited under subsection (1).

S.M. 1993, c. 29, s. 191; S.M. 1998, c. 36, s. 132.

Forfeiture of interest

224(1)      Where a holder of an interest in a mineral location exempted under section 222, at the termination of the exemption period, does not comply with this Act, the interest of the holder in the mineral location is absolutely forfeited and in the event of the estate of a deceased holder being the sole holder of the mineral location, the mineral location is open for relocation without declaration of cancellation or forfeiture by the Crown.

Where estate a co-holder

224(2)      Where the estate of a deceased holder under section 222 is a co-holder, the interest of the estate, upon termination of the exemption period, is vested in the surviving co-holders who are in compliance with this Act in proportion to their respective interests.

Public Guardian and Trustee may administer estate

225         Where there is no legal representative of the estate of a deceased person or a person for whom a committee has been appointed under The Mental Health Act exempted under section 222, the minister may request the Public Guardian and Trustee to take possession of the mining property and to administer the property, subject to any statute in force respecting the administration of the estates of such persons.

S.M. 1998, c. 36, s. 132; S.M. 2013, c. 46, s. 46.

Exemptions do not apply to co-holders

226         An exemption under section 222 of the interest of a deceased person or a person for whom a committee has been appointed under The Mental Health Act in a mineral location does not apply to the interest of a co-holder in the mineral location and the rights of a co-holder are entitled to protection where the co-holder does the work required by regulation to be done on the mineral location and pays the fees applicable under the regulations in respect of the interest of the co-holder.

S.M. 1998, c. 36, s. 132.

Failure of co-holder to perform work and pay fees

227         Where an exemption under section 222 applies in respect of a holder of an interest in a mineral location and the co-holders, during the period of the exemption, fail to perform the work required by regulation to be done on the mineral location or to pay the fees applicable under the regulations, the recorder, after notice of a hearing is served on the co-holders in the manner required by the recorder and a hearing on the matter is held and upon the failure being proved to the satisfaction of the recorder, may, by order, vest the interests of the co-holders in the estate of the deceased or person for whom a committee has been appointed under The Mental Health Act.

S.M. 1998, c. 36, s. 132.

Estate transfer of mineral location

228(1)      A person receiving from the Public Guardian and Trustee or other legal representative of the estate of a deceased person or a person for whom a committee has been appointed under The Mental Health Act exempted under section 222, a transfer of a mineral location owned by the estate, shall, within two months of the date of transfer and in accordance with subsection 221(1), record the transfer and upon entry of the transfer on the records, the exemption under section 222 ceases.

Failure to record transfer

228(2)      Where a transfer under subsection (1) is not recorded, at the expiry of two months following the date of the transfer, the exemption ceases and the mineral location is forfeited and is open to relocation and entry.

S.M. 1998, c. 36, s. 132; S.M. 2013, c. 46, s. 46.

Recording of transfer where co-holders

229(1)      A person receiving from the Public Guardian and Trustee or other legal representative of the estate of a deceased person or a person for whom a committee has been appointed under The Mental Health Act exempted under section 222, a transfer of an interest in a mineral location on which the co-holders are required to perform work and pay fees, shall, within two months of the date of the transfer, file the transfer at the office of the recorder and comply with this Act in respect of required work on the mineral location from the day of the recording of the transfer.

Effect of non-compliance

229(2)      Where a transfer under subsection (1) is not recorded and the Act is not otherwise complied with, the interest of the transferee acquired by the transfer is vested in the co-holders in proportion to their respective interests.

Vesting of interest of co-holder

229(3)      Where a co-holder of a mineral location in which an estate of a deceased person or a person for whom a committee has been appointed under The Mental Health Act exempted under section 222 holds an interest, is required to perform work and pay fees in respect of the mineral location and fails to do so, the interest of the co-holder, upon the compliance failure being proved to the satisfaction of the recorder and after notice of a hearing on the matter is served on the interested parties and a hearing on the matter is conducted, is vested in the person who acquires the interest of the estate in the mineral location and who is in compliance with this Act.

S.M. 1998, c. 36, s. 132; S.M. 2013, c. 46, s. 46.

PART 17

REGULATIONS

By Lieutenant Governor in Council

230         The Lieutenant Governor in Council may make regulations

(a) prescribing substances as mineral or non-mineral substances and prescribing minerals as quarry minerals;

(b) defining a word or expression used and not defined in this Act;

(c) enlarging or restricting the meaning of a word or expression defined in this Act;

(d) respecting delegation of the powers and duties of the minister under this Act to specified officers of the department;

(e) respecting leasing or working arrangements or agreements in respect of Crown mineral land that is withdrawn under subsection 14(1);

(f) respecting the form and content of applications and transfer documents used under this Act;

(g) respecting the issuance and renewal of licences, permits, leases and certificates under this Act, including provision for terms and conditions applicable on the issuance or renewal of a licence, permit, lease or certificate;

(h) prescribing the fees, levies and other charges required for purposes of this Act;

(i) respecting deposits payable as security under this Act;

(j) prescribing rents payable under subsections 109(2), 128(2) and 150(1);

(k) respecting assistance by government in respect of the exploration for, or the mining, recovery or processing of, a mineral or mineral product and the terms or conditions applicable in respect of such assistance;

(l) respecting the recording of claims;

(m) designating areas within the province for purposes of section 13 and subsections 52(1) and 56(2);

(n) respecting the staking out of claims and the maintenance of boundary lines and claim posts;

(n.1) respecting the conducting of a corrective restaking under section 67.1;

(o) respecting assays, the issuance of free assay credit coupons and the use of assay results provided by the department;

(p) respecting work to be performed in respect of claims, mineral exploration licences and leases and eligible expenditures allowed in respect of such work and the manner and form in which evidence of work performed and expenditures incurred is reported;

(p.1) respecting the maximum size of a grouping for the purposes of sections 81 and 81.1;

(p.2) prescribing areas of the province for the purposes of subsection 81.1(1);

(q) respecting the drilling and abandonment of boreholes and diamond drill holes and the measures to be taken to protect the strata from infiltration and to protect or rehabilitate the surface of land affected by drilling;

(r) respecting the measures to be taken to correct conditions arising after completion of a borehole or a diamond drill hole;

(s) respecting the storage and disposal of drill cores, cuttings and samples;

(t) respecting public access to drill core and core boxes and the disposal of such drill core and core boxes;

(u) respecting the reporting of feasibility studies and pre-development reviews;

(v) respecting airborne surveys, including notices and reports to be submitted in respect of airborne surveys;

(w) respecting surface rights in respect of mineral locations, including applications for surface leases and the terms and conditions applicable to surface leases;

(x) respecting royalties, including exemptions in respect of royalties and the waiver or variation of royalties;

(y) prescribing rates of interest and the manner of calculating interest for purposes of this Act;

(z) respecting returns, reports, plans, maps, statements and other information to be submitted by a holder or operator in respect of the work, operations, exploration, development, production and expenditures of the holder or operator;

(aa) respecting confidential information acquired under this Act;

(bb) respecting the operation of mines;

(cc) respecting quarry permits, including establishing different classes of quarry permits, and production standards under quarry permits;

(dd) respecting the treatment and refinement of minerals, ores and mineral bearing substances extracted from Crown mineral land;

(ee) respecting the protection and rehabilitation of the environment as required under this Act;

(ff) respecting the rehabilitation of mineral locations and the application of rehabilitation levies;

(gg) respecting the opening, closing, re-opening or abandoning of mines;

(hh) respecting protective measures to be taken in respect of inactive or abandoned mines;

(ii) respecting closure plans;

(jj) respecting advanced exploration projects;

(kk) prescribing agencies or entities as public agencies for purposes of this Act;

(ll) respecting the duties and functions of the director, inspectors and the recorder;

(mm) respecting anything that is, by this Act, to be prescribed, determined or set by regulation; and

(nn) respecting any other matter or thing that is incidental or conducive to the attainment of the object and purpose of this Act.

S.M. 1992, c. 58, s. 19; S.M. 1995, c. 17, s. 44; S.M. 2002, c. 28, s. 58; S.M. 2004, c. 35, s. 7.

PART 18

OFFENCES AND PENALTIES

Ex parte injunction application

231         Where, contrary to this Act, a person obstructs the minister or an officer of the department in the performance of a duty under this Act, the minister may, without notice to the person, apply to a judge of the Court of Queen's Bench for an injunction against the person.

Description of offences and penalties

232(1)      A person who

(a) explores or prospects for, or develops or produces a mineral or operates a mine other than in accordance with this Act;

(b) fails, refuses or neglects to comply with a notice under subsection 11(4);

(c) fails, refuses or neglects to perform remedial work in accordance with a notice under subsection 11(4);

(d) without lawful authority, defaces, alters, removes or disturbs a post, stake, picket, boundary line, claim tag, figure, writing or other mark lawfully placed, standing, marked or made under this Act;

(e) tampers with, dumps, destroys, removes without lawful authority or otherwise reduces the value of drill core or cuttings;

(f) obstructs the minister, an officer of the department, a member of the board or a person authorized by the minister or the board in the execution of powers and duties under this Act;

(g) makes or signs a false or misleading return or statement or supplies false or misleading information to the minister or an officer of the department with respect to a matter or thing for which a return or statement or information is required under this Act;

(h) fails to comply with a decision or order of the board; or

(i) contravenes a provision of this Act for the contravention of which no other penalty is provided;

is guilty of an offence.

Fines

232(2)      A person who is guilty of an offence under subsection (1) is liable, on summary conviction,

(a) in the case of an individual, to a fine of not more than $10,000.;

(b) in the case of a corporation, to a fine of not more than $100,000.; and

(c) in the case of a continuing offence,

(i) if an individual, to a further fine not exceeding $400.,

(ii) if a corporation, to a further fine not exceeding $2,000.;

for each day during which the offence continues.

Default of payment of fine

232(3)      In default of payment of a fine under subsection (2),

(a) by an individual, the individual is liable to imprisonment for a term not exceeding six months;

(b) by a corporation, the corporation is liable to levy by distress and sale in accordance with The Summary Convictions Act.

Order to comply

232(4)      Where a person is convicted of an offence under subsection (1), the court may, in addition to any other penalty it may impose, order the person to comply with the provision of this Act that the person has contravened.

Corporate officers, directors

233(1)      Where a corporation commits an offence under subsection 232(1), an officer, director, employee or agent of the corporation who directed, authorized, assented to, acquiesced in or participated in the commission of the offence is a party to and is guilty of the offence and is liable on summary conviction to the punishment provided for the offence, whether or not the corporation is prosecuted or convicted.

Liability of corporation not affected

233(2)      Nothing in subsection (1) affects the liability of a corporation that is convicted of an offence under subsection 232(1).

Constructive corporate acts

233(3)      In construing and enforcing this Act, an act, omission, neglect or failure of an officer, director, employee or agent of a corporation acting within the scope of responsibility or employment of the officer, director, employee or agent is an act, omission, neglect or failure of the corporation.

Further prosecution

234         The conviction of a person for an offence under this Act does not operate as a bar to further prosecution for a continued failure of the person to comply with this Act or to prosecution in a civil action for damages at the suit of a person who has suffered damage, loss or injury as a consequence of the offence.

Three year limitation on prosecution

235         Notwithstanding any other Act of the Legislature, a prosecution in respect of an offence under this Act may not be instituted more than 3 years after the date on which the offence is committed.

Laying information

236         A person may lay an information with respect to an offence under this Act.

Director's certificate

237(1)       In a prosecution or other proceeding under this Act, a certificate purporting to be signed by the director certifying as to any matter of record in the director's office is admissible in evidence without proof of the director's appointment, authority or signature.

Reasonable notice

237(2)      A party to a prosecution or other proceeding under this Act may not produce a certificate under subsection (1) in evidence against a person unless the party has, before commencement of the prosecution or other proceeding, given the person reasonable notice of the intended production, together with a copy of the certificate.

Cross-examination on certificate

237(3)      A party against whom a certificate under subsection (1) is produced in evidence in a prosecution or other proceeding under this Act may, with leave of the court, require the attendance of the director or other officer of the department for purposes of cross-examination on the certificate.

S.M. 1995, c. 17, s. 45.

Remedies for enforcement

238         Where the minister has more than one remedy for the enforcement of a provision of this Act or for the payment of money payable under this Act, the minister may resort to any or all of the remedies from time to time as the minister considers appropriate, either concurrently or successively, until such time as the Act is complied with or the money payable, together with costs and expenses, is paid and satisfied.

PART 19

TRANSITIONAL PROVISIONS C.C.S.M. REFERENCE

Definition

239         In this Part, "former Act" means Part I of The Mines Act, Re-enacted Statutes of Manitoba, 1987, Chapter M160.

Ninety day grace period on new prospecting

240         Notwithstanding section 45, a person may explore and prospect for minerals or stake a claim without a licence or continue to explore and prospect for minerals or stake a claim without a licence, until and including the 90th day following the day on which this Act comes into force.

Former Act claims deemed recorded

241(1)      A claim recorded under the former Act and that is in good standing at the time this Act comes into force, is deemed to be a claim recorded under this Act and the recording date of the claim under the former Act is the recording date of the claim under this Act and, subject to subsections (3) and (4), the provisions of this Act with respect to claims and to holders of claims apply to the claim and the holder of the claim.

Claim staked but not recorded

241(2)      A claim that is staked but not recorded under the former Act may be recorded as a claim under this Act and when so recorded the holder of the claim and the claim are subject to the provisions of this Act.

Work commitment credited

241(3)      The prescribed annual work commitment on a claim under the former Act is deemed to be the required work in respect of the claim under this Act for the year in which this Act comes into force and expenditures for work in excess of the annual work commitment and credited to the claim under the former Act is deemed to be credited to the claim under this Act.

Work in lieu of cash payment under former Act

241(4)      Where a cash payment in the place of a work commitment on a claim is made under the former Act and the holder of the claim, within five years of the anniversary of the recording date of the claim under the former Act first occurring after this Act comes into force, performs work on the claim that is equal in dollar value to the cash payment, the director shall refund the cash payment to the holder.

Holder fails to perform work

241(5)      Where a holder fails, within the time period allowed under subsection (4), to perform work equal in dollar value to the cash payment made under the former Act, the recorder shall cancel the claim and the cash payment becomes the property of the Crown.

Permits, airborne geophysical licences

242         A permit to explore for minerals or an airborne geophysical licence issued under the former Act and that is in good standing at the time this Act comes into force continues and the provisions of the former Act respecting permits and airborne geophysical licences and the holders of such permits and licences, and the conditions attached to such permits or licences, continue to apply.

Lease under former Act

243(1)      The holder of a lease or a leasehold interest under the former Act, that is not surrendered or cancelled at the time this Act comes into force, shall, within 90 days from the date on which this Act comes into force, notify the recorder that the holder elects to

(a) take a mineral lease under this Act, effective the date on which this Act comes into force; or

(b) convert the lease or leasehold interest to one or more claims under this Act and that the holder undertakes to stake the claims within 90 days of the conversion and in accordance with this Act.

Holder fails to notify the recorder

243(2)      Where, under subsection (1), a holder of a lease fails, within the period of time allowed, to notify the recorder of an election by the holder under the subsection, the interests of the holder in the lease, without any declaration, entry or act on the part of the Crown, cease.

Provisions of this Act to apply

243(3)      The provisions of this Act with respect to leases apply to a mineral lease taken under clause (1)(a).

Leases grouped by Order in Council

243(4)      Upon the coming into force of this Act, a lease that is grouped under Order-in-Council 1746/56, 574/57, 1060/57, 1061/57,1699/57, 1913/57, 224/59 or 1290/61 continues as a lease under this Act and remains in effect in accordance with its terms and conditions.

Instrument recorded under former Act

243(5)       An instrument that was recorded against a lease or mineral disposition under the former Act is deemed to be recorded under this Act on April 1, 1992 if the lease or mineral disposition was in good standing under the former Act on March 31, 1992.

S.M. 1995, c. 17, s. 46; S.M. 2002, c. 28, s. 59.

Casual permits, permissions to remove

244         A casual permit and a permission to remove in respect of quarry minerals that is issued under the former Act and is in good standing at the time this Act comes into force, remains in effect and the provisions of the former Act respecting casual permits and permissions to remove and the holders of casual permits and permissions to remove and the terms and conditions of casual permits and permissions to remove continue to apply.

Quarry leases or exploration permits

245(1)      A holder of a quarry lease or an exploration permit under the former Act, that is not surrendered or cancelled at the time this Act comes into force, shall, within 90 days of the date on which this Act comes into force, notify the recorder that the holder elects to

(a) take a quarry lease under this Act effective the date on which the quarry lease is recorded under this Act; or

(b) convert the quarry lease or exploration permit granted under the former Act to a quarry permit under this Act effective the date on which the quarry permit is recorded under this Act.

Holder fails to notify the recorder

245(2)      Where, under subsection (1), a holder of a quarry lease or an exploration permit fails to notify the recorder of an election by the holder, the interests of the holder, without any declaration, entry or act on the part of the Crown, cease.

Lands or rights withdrawn continue withdrawn

246(1)      Lands or mineral rights withdrawn from prospecting and staking out and lease under section 6 of the former Act and that continue to be so withdrawn at the time this Act comes into force, continue as Crown mineral land withdrawn from exploration, staking out and lease under Part 2 of this Act and the former Act has no further application.

Agreements with Crown continue

246(2)      Where at the time this Act comes into force, land or mineral rights that are withdrawn from prospecting and staking out and lease under section 6 of the former Act are leased by the Crown or are worked under an agreement or arrangement with the Crown under subsection 6(6) of the former Act, the lease, agreement or arrangement with the Crown under subsection 6(6) of the former Act continues as a lease, agreement or arrangement under Part 2 of this Act and the former Act has no further application.

Closure plans

247(1)      Where, before the day on which this Act comes into force, an operator of a mine or a proponent of an advanced exploration project, as defined in subsection 1(1), has not submitted a closure plan to the director in respect of the mine or advanced exploration project, the operator or proponent shall, in accordance with the regulations, submit a closure plan acceptable to the director.

Work may continue pending approval

247(2)      Where an operator or proponent submits a closure plan in accordance with subsection (1), the operator or proponent may, pending approval of the plan, continue to operate the mine or project.

Part 14 applies

247(3)      Part 14 applies to a closure plan submitted under subsection (1).

C.C.S.M. reference

248         Parts 1 to 19 of this Act may be referred to as "The Mines and Minerals Act" and be cited as chapter M162 of the Continuing Consolidation of the Statutes of Manitoba.

NOTE: Parts 20 and 21 contained repeals, consequential amendments to other Acts, and the coming into force provision. S.M. 1991-92, c. 9, except s. 4, was proclaimed in force April 1, 1992.