Font Size: a A A

Mining Investment Legal Question Research

Posted on:2012-06-02Degree:MasterType:Thesis
Country:ChinaCandidate:Z Q WangFull Text:PDF
GTID:2166330332994930Subject:Chinese commercial law
Abstract/Summary:PDF Full Text Request
Since the implementation of Mineral Resources Law, China's mining industry has made extraordinary achievements, and yet accompanied by frequent mining accidents, waste of resources, environmental degradation and so on, which directly affected our overall developing pace of market economy. As the sole owner of mineral resource, the nation have ownership of mineral resources; Due to its strategic significance and close relationship to the public interest, the nation never determine to transfer ownership of mineral resources to other subjects; but in order to maximize the development and utilization of mineral resources, exploitation only by the nation is not enough, so the nation need to cooperate with other subjects. Thus there will be other rights that are derived from the ownership of mineral resources. And such rights can exit separately and independently. That is what we call as Mining rights. The performance of Mining rights come into being in the two capital markets.At first, mining right in the primary market is transferred to the nature enterprises and other main social organizations by the states which have the mining rights. Due to giving up the direct exploitation of mineral resources and being unwilling to bear the revenue loss, they also take their appraised value, rent and sell, etc. Then mining rights in the secondary market will be transferred to other subjects, and thus can achieve the appropriate consideration. Actually, as a market operation mode, mining investment is a complex and important way for mining investment can reflect the status of the state as the owner of mineral resources. Meanwhile, it is beneficial to the expansion of the company financing and the full utilization of mineral resources. Besides, it can absorb a large amount of idle funds, and ease the pressure caused by lack of cash capital. However, this case seems to be oversimplified. For instance, in many provincial regulations it only use the word "the price of shares" to express, and some even allow the case that the right of prospecting and mining can be transferred by the way of investment and sale in which mining rights may be taken out via mortgages, leasing. If the owner of the mining in obtaining mining rights find the exercise of mining rights can not achieve his expected benefits, then he can choose one of these ways to transfer which can not only ensure that the interests of mining rights, but also to mobilize the enthusiasm of the market . In the real economic activities, mining investment has been a frequent economic activity, and yet in the corresponding laws there are no words as such, that is to say, the legal issues related to mining investment don't have legal support, which will inevitably bring to the mining investors unnecessary legal obstacles. The current"company law" in the subject matter on the funding requirements, to a certain extent, affects the contribution of the mining rights, but with the development of market economy and the concession to huge investment in the value of operating property to meet the financial needs of the community , thus improve the investment form is imminent.To establish and improve the mining investment regime is the core issue to enhance the competitiveness of China's mining economy. According to "Mineral Resources Law" and "prospecting and mining right management approach", we know that the circulation of mining right has been the legal basis, which exists only in the "joint venture with others, or co-operation" provisions. So the absence of mining legislation right leads to the unsatisfactory results. This article is divided into four parts to analyze legal issues encountered in the mining investment and then put forward a sound legal advice on mining investment. The first part focuses on the analysis of mining rights, and specifies the status and significance of mining investment. In the second part, from the perspective of the Companies law, the author analyzes the legal problems in mining investment. The third section emphasizes on the analysis of the situation and practical experience in the investment of major countries abroad and gets enlightenment from it. The fourth part is to better the legal advice on the mining investment.
Keywords/Search Tags:mining right, mineral resource, mining investment
PDF Full Text Request
Related items