MINERAL TENURE IN BC (1999- REVISED 2005)

 

Tenure is one of the most important aspects of mineral exploration and development. Government initiatives such as land use planning, regulatory delays and constraints, and aboriginal treaty negotiations have a negative impact on security of tenure.

 

Tenure holders often suffer loss of income and opportunity as a consequence not only of the Land Use Plans, but also during the Land Use Planning process while areas are considered for protected status or while the land is involved in an aboriginal land claim. The uncertainty of tenure in these situations affects the holder’s ability to earn income, and the value of the mineral claim is degraded.

 

Furthermore, there are obligations which must be fulfilled under the “Mineral Tenure Act” which the holder may be unable to fulfill due to aspects of the land use planning process. The holder should not be penalized in this situation.

 

Proximity to protected areas/parks has a strong negative economic impact on the ability to attract investment.

 

Confidence to invest requires a clear understanding of the regulatory framework under which industry will be required to operate, and that framework must be consistent across the province.

 

Furthermore “no staking” reserves have been used indiscriminately and for a variety of reasons.  The enactment of such a drastic measure is not necessary in most circumstances and serves to needlessly block acquisition of tenure.

 

THE CHAMBER RECOMMENDS

 

That the provincial government provide security of tenure by:

 

1. deleting Section 28.2 of the Mineral Tenure Act where the interest of a recorded holder of a claim is defined as a chattel interest;

 

2. amending the “Mineral Rights Amendment Act” so that it establishes a fair, reasonable and timely compensation formula for mineral interests that are adversely impacted by government action or inactions including loss of tenure through all takings(parks, protected areas, aboriginal land claims, or other government objectives),  and any reduction in tenure value as a result of government action or policy;