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⏳ Major Mineral Shakeup: What Small Miners Must Know Now!

Mining Notification β€” 24th September 2025

🚨 New Mining Notification – 24th September 2025

Govt. of India | Ministry of Mines
πŸ“ Shastri Bhawan, New Delhi


πŸ—οΈ Background – Why this change?

Once upon a time in the mining world, Barytes, Felspar, Mica, and Quartz were treated as minor minerals. This meant easier rules, simpler processes, and state-level management.

πŸ‘‰ In 2015, the Govt. declared them as minor minerals.
πŸ‘‰ But on 20th February 2025, the rules changed again – these minerals were moved to the major mineral category.

βš–οΈ Why? Because major minerals need stricter regulation, national oversight, and better revenue management.

πŸ“Œ The Big Issue

  • Many miners, especially small and medium lease holders, had already filed applications, invested money, got letters of intent, or participated in auctions under the minor mineral framework.
  • Suddenly, with the shift to major minerals, confusion spread:
  • ❓ Will pending applications be valid?
  • ❓ What about money already spent?
  • ❓ What happens to small miners with <5 hectares?

πŸ›οΈ Govt. Decision (Order under Section 20A of MMDR Act, 1957)

To protect investments, jobs, and ensure a smooth transition, the Central Government issued this important order:

βœ… Key Directions:

  1. Applications without LOI β†’ Lapsed
    If you applied but no LOI was issued before 20th Feb 2025, ❌ your application will not continue.
  2. Applications with LOI / Completed Auction β†’ Protected
    If you had a valid LOI before 20th Feb 2025 OR were declared a preferred bidder before 20th Feb 2025, πŸ‘‰ You can still get a mining lease.
    ⏳ Timeline: Lease must be executed within 2 years from 24th Sept 2025.
  3. After Lease Execution β†’ Major Mineral Rules Apply
    Once your lease is executed, it will be governed by major mineral rules (Act + Rules).

🌍 Why This Matters (Ground Reality)

  • πŸ‘· Small miners (<5 ha) get protection if they already made progress.
  • πŸ’° Investments by local entrepreneurs won’t be wasted.
  • πŸ“ˆ State Governments will still earn revenue.
  • βš–οΈ A balance is created: fairness for old applicants + stronger regulation for future.
✨ Simple Story Example

Imagine Ramesh, a miner from Rajasthan. He applied for a Quartz lease in 2024. In Jan 2025, he got a Letter of Intent from the State Govt. In Feb 2025, Quartz became a major mineral. Without this order, Ramesh’s effort and money would have gone to waste. πŸ‘‰ Now he gets 2 years to complete his lease agreement. After that, he will follow the major mineral rules. βœ… Ramesh is safe.

πŸ”‘ Takeaway

  • Protects existing genuine applicants πŸ›‘οΈ
  • Cleans up pending inactive applications πŸ—‘οΈ
  • Shifts the sector towards major mineral governance βš’οΈ

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