1. Background and objective

Global competition for natural resources is intensifying, making it more difficult to secure supplies of natural resources year after year. An issue of growing importance for Japan is to not only acquire stakes in natural resources overseas but also make steady progress in domestic resources development and ensure stable supplies of mineral resources.

The Mining Act, which provides for the basic rules for mining in Japan, has undergone no major revisions since the establishment in 1950. These rules are becoming out of date and sometimes unable to meet new developments concerning mineral resources development in Japan and abroad. For example, the law allows mining rights to be created without the need to check the adequacy of the developer.

The government will submit this bill to ensure both the proper management of mineral resources in Japan and the rational development of these resources by appropriate entities.

2. Overview

The act mainly provides for the following measures.

Addition of new permission criteria for the creation of mining rights
To ensure that mineral resources are developed by appropriate entities, new permission criteria for the creation of mining rights shall be added so that mining rights are created only for developers with sufficient technical capability and financial basis.
Establishment of a new procedure to create mining rights
Mineral resources with particular importance for the national economy, such as oil and natural gas, shall be defined as "specified minerals." With respect to the creation of mining rights for these minerals, the traditional procedure, which gives mining rights to the first applicant, shall be replaced by a new procedure in which the national government designates prospective mining lots at its discretion and selects for each lot an entity that can optimally develop specified minerals there. The selected entities shall be granted permission to receive the mining rights created in the respective lots.
Establishment of a permission system for mineral resources explorationA permission system for mineral resources exploration shall be established, along with a system to allow the national government to ask, where needed, prospectors to report their exploration results.

3. Delivery date

July 22, 2011

4. Implementation date

January 21, 2012

5. Division in Charge

Fuel Policy Planning Office, Policy Planning Division, Natural Resources and Fuel Department, Agency for Natural Resources and Energy

6. References

• The Amended Mining Act of Japan (Japanese and English) (PDF:893KB)
• The related government ordinance (Japanese Only) (PDF:25KB)
• The related ministerial ordinance (Japanese Only) (PDF:1,625KB)
• The application form (Japanese Only) (PDF:657KB)
• The application form for exploring minerals (English) under preparation