The Mining (Dealings in Minerals) Regulations

Legal Notice 88 of 2017

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The Mining (Dealings in Minerals) Regulations

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Legal Notice 88 of 2017

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Mining Act

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Legal Notice

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MINING ACT

THE MINING (DEALINGS IN MINERALS) REGULATIONS

LEGAL NOTICE 88 OF 2017

Published in Kenya Gazette Vol. CXIX—No. 67 on 26 May 2017
Commenced on 26 May 2017

[Revised by 24th Annual Supplement (Legal Notice 221 of 2023) on 31 December 2022]
[Amended by Mining (Dealing in Minerals) (Amendment) Regulations, 2024 (Legal Notice 41 of 2024) on 1 February 2024]

1. Citation

These Regulations may be cited as the Mining (Dealings in Minerals) Regulations.

2. Interpretation

In these Regulations, unless the context otherwise requires—“Act” means the Mining Act (Cap. 306);“Cabinet Secretary” means the Cabinet Secretary for the time being responsible for matters relating to mining;“mineral dealer's licence” means a licence granted in accordance with the Mining Act (Cap. 306) and the regulations made thereunder which authorises the holder to carry out mineral dealings;“mineral dealings” has the meaning thereto as provided in section 4 of the Act;“mineral dealer's permit” means a permit granted in accordance with the Mining Act (Cap. 306) and the regulations made thereunder which authorises the holder to carry out mineral dealings;“Ministry" means the Ministry for the time being responsible for matters relating to mining;“mining right" means an artisanal mining permit, mining permit or mining licence; and“trading" means the buying and selling of minerals.

3. Application of Regulations

(1)These Regulations shall apply to—

(a)the export of a mineral by a holder of a mining right;

(b)the removal of minerals by a holder of a mineral right for the purposes of sampling, assay or analysis;

(c)the holder of a mineral dealer's licence or dealer's permit;

(d)the import of any mineral; and

(e)any other person who is not a holder of a mineral right, mineral dealer's licence or dealer's permit but requires the removal of minerals for analysis or testing for purposes other than exploration or mining.

(2)These Regulations shall not apply to the export and import of rough diamonds.

4. Applications for dealings in minerals

(1)An application for, or a renewal of a licence or permit to deal in minerals, shall be submitted through the online mining cadastre.

(2)The Cabinet Secretary shall approve the application if the applicant submits all the information required in the relevant application form, including any required attachments in digital format.

(3)An applicant shall be required to re-submit an application if it is incomplete or inaccurate.

(4)The applicant shall maintain a valid e-mail address for official communications with the Mining Cadastre Office.

(5)An application shall only be accepted upon payment of the prescribed application fee as set out in the Third Schedule.

(6)The submission of any document or the making of any statement which is found to be false shall render the application null and void.

(7)Where it emerges at a later stage that a false statement was made during the application, the licence or permit shall be revoked.

(8)An applicant may withdraw an application before the licence or permit is granted.

(9)An application fee once paid is not refundable.

[L.N. 41/2024, r. 2.]

5. Application for mineral dealer's (trading) licence

(1)Subject to section 160(1) of the Act, an application for the grant of a mineral dealer's licence for purposes of trading shall be made to the Cabinet Secretary by completing Form DTL I set out in the Second Schedule.

(2)The application shall include the following—

(a)the full name, nationality and contact of the applicant;

(b)the physical address of the place of business of the applicant;

(c)in the case of a company—

(i)the certificate of registration;

(ii)a current copy of CRl2 from the Registrar of Companies;

(iii)the memorandum of association; and

(iv)the articles of association.

(d)the name of the mineral or class of minerals for which the Iicence is sought;

(e)a certified, signed statement or formal letter of intent from a bank or any recognized financial institution of the funds available to the applicant;

(f)a description of the knowledge or experience of the applicant in relation to any previous dealings in minerals; and

(g)where applicable, appointed agents of the applicant, their identity card numbers, physical and postal addresses, contacts and their areas of operation.

(3)The Cabinet Secretary shall notify the applicant of the decision on the application within thirty days of receipt of a complete application.

(4)The categories for the different types of minerals is as set out in the First Schedule.

[L.N. 41/2024, r. 3.]

6. Form of a mineral dealer’s (trading) licence

A mineral dealer's licence shall be issued digitally together with a paper copy using Form DTL 2 set out in the Second Schedule.

7. Application for mineral dealer's (processing) licence

(1)Subject to section 160(1) of the Act, an application for the grant of a mineral dealer's licence for purposes of processing a mineral shall be made to the Cabinet Secretary by completing Form DPL1 as set out in the Second Schedule.

(2)The application shall include the following—

(a)the full name, nationality and contact of the applicant;

(b)the physical address of the place of business;

(c)in the case of a company—

(i)deleted by L.N. 41/2024, r. 4(b)(i);

(ii)deleted by L.N. 41/2024, r. 4(b)(ii);

(iii)the memorandum of association; and

(iv)the articles of association.

(d)the name of the mineral or category of minerals for which the licence is sought;

(e)proof of financial capability;

(f)technical plans detailing the proposed mineral processing operation;

(g)details of land ownership and consents where necessary;

(h)proposed source of minerals for processing;

(i)particulars for the procurement of local goods and services and the employment and training of Kenyans;

(j)environmental licence where applicable if required; and

(k)where applicable, appointed agents of the applicant, their identity card numbers, physical and postal addresses, contacts and their areas of operation.

(3)The Cabinet Secretary shall, make a decision and notify the applicant within thirty days from the date of receipt of the application.

(4)A mineral dealer's processing licence shall be granted only for minerals in the same category as those specified in the First Schedule.

[L.N. 41/2024, r. 4.]

8. Form of a mineral dealer's (processing) licence

A mineral dealer's (processing) licence shall be issued in Form DPL 2 as set out in the Second Schedule.[L.N. 41/2024, r. 5.]

9. Rights and obligations of a holder of a mineral dealer’s (trading) licence

(1)A mineral dealer's licence confers on the holder the right to trade in the mineral or minerals to which the licence relates to and conduct any other ancillary or incidental activity attached to the licence.

(2)For the purposes of exercising the right conferred under subregulation (1), the holder may appoint agents to carry out any activity authorised by the licence on his or her behalf.

(3)The holder of a mineral dealer's licence shall notify the Cabinet Secretary of the appointment of an agent and the holder shall be held liable for all acts or activities done or carried out by the agent under the licence.

(4)All agents appointed by a holder of a mineral dealer's licence shall be issued with an identity card which shall be carried by the agent in the performance of any activity to which the licence relates.

(5)The holder of a mineral dealer's licence shall—

(a)commence or engage in the trading of a mineral in accordance with the terms and conditions of the licence within thirty days after the date of the issue of the licence;

(b)not trade in any mineral other than the mineral or minerals specified in the licence;

(c)not trade in minerals except in accordance with the terms and conditions set out in the licence;

(d)not knowingly engage in trading of a mineral with a person who has not acquired the minerals lawfully or is otherwise not lawfully entitled to deal in minerals;

(e)pay all taxes, charges or levies that are required under the terms and conditions of the licence, the Act or any other written law in Kenya;

(f)keep complete and accurate records of all activities conducted under the licence at the registered office and submit a true copy to the Cabinet Secretary in the manner as specified in the Act and these Regulations;

(g)permit the authorised officer of the Ministry to inspect any documents or records; and

(h)submit if any, the sales contract or agreement the holder may sign with a buyer, seller or holder of a mineral right.

10. Rights and obligations of a holder of a mineral dealer's (processing) licence

(1)Subject to the Act, a mineral dealer's (processing) licence, confers on the holder the right to process a mineral to which the licence relates and conduct any other ancillary or incidental activity attached to the licence.

(2)For the purposes of exercising the right conferred under subregulation (1), the holder may—

(a)appoint agents to carry out any activity authorised by the licence on his or her behalf;

(b)buy minerals for the sole purpose of processing;

(c)process minerals on behalf of mineral rights holders; and

(d)dispose the minerals won from the processing.

(4)All agents appointed by a holder shall be issued with an identity card which shall be carried by the agent in the performance of any activity to which the licence relates.

(5)The holder of a mineral dealer's licence shall—

(a)commence or engage in mineral processing in accordance with the terms and conditions of the licence within thirty days after the date of the issue of the licence;

(b)not deal in any mineral other than the mineral or minerals specified in the licence;

(c)not deal in minerals except in accordance with the terms and conditions set out in the licence;

(d)not knowingly engage in mineral dealings permitted under the licence with a person who has not acquired the minerals lawfully or is otherwise not lawfully entitled to deal in minerals;

(e)pay all taxes, charges or levies that are required under the terms and conditions of the licence, the Act or any other written law in Kenya;

(g)permit the authorised officer of the Ministry to inspect any documents or records;

(h)submit if any, a sales contract or agreement the holder may sign with a buyer, seller or holder of a mineral right; and

(i)comply with other relevant laws.

11. Renewal of a mineral dealer's licence

(1)A holder of a mineral dealer's licence for trading jewellery or processing who wishes to renew the licence shall, not later than thirty days before the expiry of the licence, apply for a renewal by completing Form DL 2 as set out in the Second Schedule.

(2)Where the applicant has complied with the obligations imposed by the Act and these Regulations with respect to the licence, the Cabinet Secretary shall renew the term of the licence.

(3)Where the Cabinet Secretary has rejected an application for a mineral dealer's licence or a renewal thereof, the affected applicant may apply to the relevant court for a review of the decision within thirty days from the date of notice of the decision.

(4)Where the holder of a mineral dealer's licence has applied for the renewal of the licence in accordance with sub-regulation (1) but the application is not determined before the expiry of the term of the licence, the licence shall continue in force until the application is determined.

[L.N. 41/2024, r. 6.]

12. Sale of jewellery, gold coins and mineral artefacts

Nothing in these Regulations shall preclude a person from disposing of personal jewellery, gold coins and mineral artefacts or a dealer from buying from such a person.

13. Purpose of a mineral dealer’s permit

(1)A mineral dealer's permit grants a person the right to buy and sell a mineral or minerals.

(2)A holder of a mineral dealer's permit shall not export any mineral.

14. Qualifications for grant of a mineral dealer’s permit

A person shall not be qualified to apply for or hold a mineral dealer's permit unless—

(a)the person is a Kenyan; or

(b)in a case of a body corporate, sixty per cent of the shareholding is held by Kenyans.

15. Application and form of a mineral dealer's permit

(1)An application for the grant of a mineral dealer's permit shall be made to the Cabinet Secretary by completing Form DP1 set out in the Second Schedule.

(2)A mineral dealer's permit shall be issued in Form DP 2 as set out in the Second Schedule.

(3)A mineral dealer's permit shall specify and have appended to it, by the Mining Cadastre Office—

(a)the name, nationality and address of the permit holder;

(b)physical address of the place of business;

(c)the mineral or minerals in respect of which the permit is valid;

(d)the type of mineral dealings to be carried out; and

(e)the term of the permit.

[L.N. 41/2024, r. 7.]

16. Rights and obligations of a holder of a mineral dealer’s permit

(1)Subject to the Act and any Regulations thereto, a mineral dealer's permit confers on the holder the right to deal in the mineral to which the permit relates and to conduct any other ancillary or incidental activity attached to the permit.

(2)The holder of a mineral dealer's permit shall—

(a)commence or engage in the trading of minerals in accordance with the terms and conditions of the permit within thirty days after the date of the issue of the permit;

(b)not trade in any mineral other than the mineral or minerals specified in the permit;

(c)not trade in minerals except in accordance with the terms and conditions set out in the Permit;

(d)not knowingly engage in the trading of minerals with a person who has not acquired the minerals lawfully or is otherwise not lawfully entitled to deal in minerals;

(e)pay all taxes, charges or levies that are required under the terms and conditions of the permit, the Act or any other written law in Kenya;

(f)keep complete and accurate records of all activities conducted under the permit at the registered office and submit a true copy to the Cabinet Secretary in the manner as specified in these regulations;

(g)permit the authorised officer of the Ministry at any reasonable time to inspect the documents and records; and

(h)submit if any, a marketing, sales contract or agreement the holder may sign with a buyer, seller or holder of a mineral right.

17. Renewal of a mineral dealer's permit

(1)A holder of a mineral dealer's permit who wishes to renew the permit shall, not later than thirty days before the expiry of the permit, apply for a renewal by completing Form DP 3 as set out in the Second Schedule.

(2)Where an applicant has complied with the obligations imposed by the Act and these regulations with respect to—

(a)the holding of the permit; and

(b)the activities required to be conducted under the preceding term of the permit: the Cabinet Secretary shall renew the permit.

(3)Where the holder of a mineral dealer's permit has applied for a renewal but the application is not determined before the expiry of the permit, the permit shall continue in force until the application is determined.

(4)Where the Cabinet Secretary has rejected an application for a mineral dealer's permit or a renewal thereof, the affected applicant may apply to the relevant court for a review of the decision within thirty days from the date of notice of the decision.

[L.N. 41/2024, r. 8.]

18. Export of minerals

Except as otherwise provided in the Act or under these Regulations, a person shall not export a mineral unless the person holds a mineral export permit granted by the Cabinet Secretary for that purpose.[L.N. 41/2024, r. 9.]

19. Qualifications for grant of an export permit

A person shall not be qualified to apply for a permit to export minerals unless the—

(a)person is a holder of a mining licence, mining permit or a dealer's (trading, jewellery or processing) licence granted in accordance with the Act; and

(b)permit is for the removal of minerals not specified in the First Schedule of the Act.

[L.N. 41/2024, r. 10.]

20. Application for an export permit

(1)Subject to section 171(2) of the Act, an application for the grant of an export permit shall be made to the Director of Mines by completing Form EP 1 as set out in the Second Schedule and pay the fee specified in the Third Schedule.

(2)Every export or shipment of a mineral shall require an export permit.

(3)The application shall include the following—

(a)the name, source, quantity, grade and value of the mineral to be shipped or exported;

(b)the name, address of the purchaser or consignee and destination where the mineral is to be shipped or exported;

(c)the sales or marketing agreement between the applicant and the buyer if any;

(d)a refining contract or off-take agreement where the applicant has signed such an agreement; and

(e)the royalty liability for that consignment.

(4)An export permit shall be signed by the Cabinet Secretary or an officer authorised by the Cabinet Secretary.

[L.N. 41/2024, r. 11.]

21. Form of an export permit

(1)An export permit shall be issued using Form EP 2 as set out in the Second Schedule.

(2)An export permit shall specify the—

(a)name and address of the permit holder;

(b)mineral right or the dealer's licence or permit to provide evidence for the source of the mineral;

(c)source and reason for export of minerals not specified in the First Schedule of the Act;

(d)mineral or minerals in respect of which the permit is valid;

(e)quantity, grade, purity, value and other particulars of the mineral or minerals;

(f)name, address of the purchaser or consignee and destination where the mineral is to be shipped or exported; and

(g)royalty liability for that consignment.

22. Term of an export permit

An export permit shall be used for the specified consignment and shall be valid for thirty days from the date of issue.

23. Records and reporting requirements

The holder of a mineral dealer's licence or permit shall—

(a)keep at its registered address complete and accurate records of all purchases or sales made under every permit or licence as prescribed in Form DTR in the Second Schedule; and

(b)submit quarterly reports of all purchases or sales made under every permit to the Ministry as prescribed in Form DTQ or DPQ in the Second Schedule.

24. Import of minerals

Where a person imports a mineral, the person shall make a declaration at the point of entry by completing Form ID as set out in the Second Schedule.

25. Sale of minerals by holders of artisanal mining permits

(1)A holder of an artisanal mining permit shall sell any mineral produced to the National Mining Corporation, a holder of a mineral dealer's licence or mineral dealer's permit or to such designated persons that the Cabinet Secretary may specify in the Gazette.

(2)A holder of an artisanal mining permit may export the mineral produced with the approval of the Cabinet Secretary and on such terms and conditions that the Cabinet Secretary may specify in the permit.

26. Mineral samples

(1)Except as otherwise provided in the Act and any regulations made thereunder, a holder of a mineral right shall not, without a permit from the Cabinet Secretary and on the recommendation of the Director of Geological Survey, remove any mineral from a reconnaissance, prospecting or mining area for the purpose of having the mineral analysed, valued or tested.

(2)An application by a holder for a permit under subregulation (1) shall be made to the Director of Geological Survey by completing Form SP1 as set out in the Second Schedule.

(3)The size of each sample must be consistent with what is ordinarily required for laboratory analysis or testing.

(4)The holder of the mineral right shall provide access to the Director of Geological Survey or any authorised officer to inspect and examine the samples before any permit is issued.

(5)The holder of the mineral right shall submit copies of the results of all tests and analyses of all samples to the Director of Geological Survey.

27. Dealings in strategic minerals

Dealings in strategic minerals shall be in the manner as prescribed in the act and in regulations dealing with strategic minerals.

FIRST SCHEDULE [rr. 5(4), 7(4)]

CATEGORIES OF MINERAL DEALERSHIP

1.Construction, Industrial, Gaseous Minerals and Coal.

2.Precious and Semi-Precious Stones [All gemstones except diamonds].

3.Precious and Rare Metals.

4.Base Metals

SECOND SCHEDULE

FORMS

Form DTL-1		(r. 5)
Application for a Mineral Dealer's (Trading) Licence

__________________________________________________________________1. Applicant's identity and contact informationFull Name: ______________________ National I.D No. (Kenyans) __________________________Or, Passport No./Country (Non Kenyans) ________________________ is applying on behalf of:a. an individual (complete all information in this section)Full Name: ______________________ National I.D No. (citizen) ____________________ or, Passport No./Country (foreigner) ____________________

or

b. a company (complete all information in this section)Registered company name: __________________________Registration Certificate No./Date incorporated: __________________________c. Physical Location of businessStreet: ______________________: ____________________ Floor/Office # ________________________Town/City: ______________________ Sub-County: ____________________ County: ________________________d. AddressP.O. Box: ______________________ Code: ________________________Town/City: ______________________ County: ________________________Phone #: ______________________ Mobile: ________________________Email address (mandatory): __________________________e. Name of authorised agent or representative if any:1.) ______________________ Mobile No. ____________________ Area of operation__________________________2.) ______________________ Mobile No. ____________________ Area of operation __________________________3.) ______________________ Mobile No. ____________________ Area of operation __________________________2. Category of Mineral or Minerals as set out in the First Schedule of the Mining (Dealings in Minerals) RegulationsSelect the category of minerals for which the licence is required (use separate Forms) if more than one category)1.) Construction, Industrial, Gaseous Minerals and Coal.2.) Precious and Semi-Precious Stones [All gemstones except diamonds].3.) Precious and Rare Metals.4.) Base Metals.3. Attachments (tick the item attesting that the required document is attached to this application)• duplicate copy of the receipt of the payment of the prescribed fee;• where the applicant is a company, a certified copy of the applicant company's certificate of incorporation, current CR12 and certified copy of its memorandum and articles of association;• where the applicant is an individual, a certified copy of Kenyan national identity or current passport for non-Kenyans;• "Knowledge and Experience", a description of the applicant’s knowledge or experience of mineral dealings in Kenya and elsewhere;• a statement giving particulars of the financial resources available to the applicant;• letters of appointment of agents detailing their contacts and areas of operations and their identification documents.4. Declaration(Note: where any declaration made in this Form is found to be false the applicant shall be guilty of an offence and subject to a penalty as provided for in the Act).

____________________________

Form DTL-2		(r. 6)
[Mineral Dealer's (Trading) Licence]

Mineral Dealer's (Trading) Licence Registration No. MDL/T ____________________________This Licence is valid up to 31st December 20 ____________________________1. Subject to the conditions set out in the Mining Act (Cap. 306), in these regulations and in this Mineral Dealer's Licence,Name: ____________________________(Hereinafter referred to as the "holder") whose registered office in Kenya is at(Physical Address): ____________________________City/Town: ____________________________ County: ____________________________ Nationality: ...........................and whose place of business is situated at:City/Town: ______________ Ward: ______________ Sub-County:______________ County: ____________________________is by this licence granted the right to buy, and sell including export of __________________

[insert category of minerals].

DATED This ________________ Day of ________________ 20 ____________

__________________Cabinet Secretary (name)In the presence of:

(signature)

Director of Mines (name)

(signature)

................................................. page 2 ................................................

Terms and Conditions

2. The holder, during the term of this licence, shall:a. carry out trading in minerals in accordance with the conditions set out hereinafter;b. commence trading in minerals within thirty calendar days from the date the licence is issued;c. buy the minerals specified in the licence; andd. sell the mineral to the National Mining Corporation or to any person in enya who is lawfully entitled to deal in minerals or to export the minerals.3. The holder during the term of the licence shall—a. Keep a register of the mineral dealings in the Form as prescribedb. Record the following information in respect of each transaction—

(i)the name, grade and weight of the minerals purchase or sold;

(ii)the price paid or received for the minerals;

(iii)the date of the purchase or sale;

(iv)the royalty liability for each transaction;

(v)the name and address of the supplier or the seller and the source of the minerals; and

(vi)the name and address of the vendor or the purchaser or consignee.

4. The holder shall submit to the Cabinet Secretary a true copy of the register in duplicate for the preceding three months, together with a statutory declaration of the correctness thereof, in the months of January, April, July and October of every year.

____________________________

Form DPL-1		(r. 7(1))
[Application for a Mineral Dealer's (Processing) Licence]

1. Applicant's identity and contact informationFull Name: __________________ National I.D No. (citizen) ____________________or, Passport No./Country (foreigner) __________________ is applying on behalf of:a. an individual (complete all information in this section)Full Name:__________________ National I.D No. (citizen) ________________ or, Passport No. /Country (foreigner) ____________________b. a company (complete all information in this section)Registered company name: ________________________________________Registration Certificate No. / Date incorporated: ________________________________________c. Physical Location of businessStreet: __________________ Building: ____________________ Floor/Office # __________________Town/City: __________________ Sub-County: ____________________ County: ________________d. AddressP.O. Box: ____________________ Code: ____________________Town/City: __________________ County: ____________________Phone #: __________________ Mobile: ____________________Email address (mandatory): ____________________e. Name of authorised agent or representative if any:1) ____________________ Mobile No. ____________________ Area of operation ____________________2) ____________________ Mobile No. ____________________ Area of operation ____________________3) ____________________ Mobile No. ____________________ Area of operation ____________________2. Category of Mineral or Minerals as set out in the First Schedule of the Mining (Dealings in Minerals) Regulations.Select the category of minerals for which the licence is required (use separate Forms if more than one category)

(a)Construction, Industrial, Gaseous Minerals and Coal.

(b)Precious and Semi-Precious Stones [All gemstones except diamonds].

(c)Precious and Rare Metals.

(d)Base Metals.

3. Specific minerals for which licence is required ____________________4. Attachments (tick the item attesting that the required document is attached to this application)

(a)duplicate copy of the receipt of the payment of the prescribed fee;

(b)where the applicant is a company a certified copy of the applicant company's certificate of incorporation, current CR12 and certified copy of its memorandum and articles of association;

(c)where the applicant is an individual a certified copy of Kenyan national I.D or passport for non-Kenyans;

(d)“Knowledge and Experience", a description of the applicant's knowledge or experience of mineral dealings in Kenya and elsewhere;

(e)a statement giving particulars of the financial resources available to the applicant;

(f)technical plans detailing the proposed mineral processing operation(s);

(g)work plan of the proposed processing operation;

(h)details of land ownership and consents;

(i)proposed source of minerals for processing;

(j)particulars for the procurement of local goods and services and the employment and training of Kenyans;

(k)environmental licence;

(l)letters of appointment of agents detailing their contacts and areas of operations and their identification documents.

5. Declaration(Note: where any declaration made in this Form is found to be false the applicant shall be guilty of an offence and subject to a penalty as provided for in the Act).

____________________________

Form DPL-2		(r. 8)
[Mineral Dealer's (Processing) Licence]

Mineral Dealer's (Processing) Licence Registration No. MDL/P ____________________This Licence is valid up to 31st December 20 ____________________1. Subject to the conditions set out in the Mining Act (Cap. 306), in these regulations and in this Mineral Dealer's Licence,Name: ____________________________________________________________(Hereinafter referred to as the "holder") whose registered office in Kenya is at (Physical Address): ____________________________________________________________City/Town: ____________________ County: ____________________ Nationality ____________________ and whose place of business is situated at:City/Town: ____________________ Ward: ____________________ Sub-County: ____________________ County:____________________ is by this licence granted the right to process ____________________ [insert Category of minerals and particularly insert specific minerals]DATED THIS ____________________ DAY OF ___________________ 2 ____________________

__________________Cabinet Secretary (name)In the presence of:

(signature)

Director of Mines (name)

(signature)

....................................... page 2 .........................................

Terms and Conditions

2. The holder, during the term of this licence:a. shall carry out the processing of the mineral in accordance with the conditions set out hereinafter;b. shall commence activities within ninety days from the date the licence is issued;c. may buy and process a mineral and sell the mineral products; and:d. may process minerals on behalf of valid holders of mineral or dealings rights.3. The holder during the term of the licence shall:b. keep a register of the mineral dealings in the Form as prescribed;c. record the following information in respect of each transaction—

(i)the name, grade and weight of the minerals purchased, processed and or sold for own;

(ii)the grade and weight of minerals received for contract processing;

(iii)the grade and weight of contract mineral product;

(iv)the name and address of client for contract processing;

(v)the name and address of the vendor or the purchaser or consignee;

(vi)royalty liability for each transaction for own minerals;

(vii)the source of minerals whether for self or contract processing;

(viii)comply with any other relevant law.

____________________________

Form DL-2		(r. 11(1))
[Application to Renew Mineral Dealer's Licence]

Renewal of Mineral Dealer's Licence Number: ____________________ of 20 ____________________1. Applicant's identity and contact informationFull Name: ____________________ National I.D No. (citizen) ____________________ or, Passport No./Country (foreigner) ____________________ is applying on behalf of:a. An individual (complete all information in this section)Full Name: ____________________ National I.D No. (citizen) ____________________ or, Passport No./Country (foreigner) ____________________

or

b. A company (complete all information in this section)Registered company name: ____________________Registration Certificate No./Date incorporated: ____________________c. Physical Location of businessStreet: ____________________ Building: ____________________ Floor/Office # ____________________Town/City: ____________________ Sub-County: ____________________ County: ____________________d. AddressP.O. Box: ____________________ Code: ____________________Town/City: ____________________ County: ____________________Phone #: ____________________ Mobile: ____________________Email address (mandatory): ____________________e. Name of authorised agent or representative if any:1) ____________________ Mobile No.____________________ Area of operation ____________________2) ____________________ Mobile No. ____________________ Area of operation ____________________3) ____________________ Mobile No. ____________________ Area of operation ____________________2. Attachments (tick the item attesting that the required document is attached to this application)• duplicate copy of the receipt of the payment of the prescribed fee.• copy of dealings annual report.• copy of royalty liability reconciliation report.• copy of tax compliance certificate.

____________________________

Form DP-1		(r. 15(1))
[Application for a Mineral Dealer's Permit]

1. Applicant's identity and contact informationFull Name: ____________________________________________________________National I.D No. (citizen) ____________________ is applying on behalf of:a. An individual (complete all information in this section)Full Name: ____________________ National I.D No. (citizen) ____________________b. A company that is at least 60% Kenyan (complete all information in this section)Registered company name: ____________________Registration Certificate No./Date incorporated: ____________________c. Physical Location of businessStreet: ____________________ Building: ____________________ Floor/Office # ____________________Town/City: ____________________ Sub-County: ____________________ County: ____________________d. AddressP.O. Box: ____________________ Code: ____________________Town/City: ____________________ County: ____________________Phone #: ____________________ Mobile: ____________________Email address (mandatory): ____________________e. Name of authorised agent or representative if any:1) ____________________ Mobile No. ____________________ Area of operation ____________________2) ____________________ Mobile No. ____________________ Area of operation ____________________3) ____________________ Mobile No. ____________________ Area of operation ____________________2. Category of Mineral or Minerals as set out in the First Schedule of these regulations

(a)Select the category of minerals for which the licence is required:(use separate Forms if more than one category) Construction, Industrial, Gaseous Minerals and Coal.

(b)Precious and Semi-Precious Stones [All gemstones except diamonds].

(c)Precious and Rare Metals.

(d)Base Metals.

3. Attachments (tick the item attesting that the required document is attached to this application)• duplicate copy of the receipt of the payment of the prescribed fee;• where the applicant is a company, a certified copy of the applicant company's certificate of incorporation, a copy of current CR12 and certified copy of its memorandum and articles of association;• where the applicant is an individual a copy of the Kenyan national identity.4. Declaration(Note: where any declaration made in this Form is found to be false the applicant shall be guilty of an offence and subject to a penalty as provided for in the Act).

____________________________

Form DP-2		(r. 15(2))
[Mineral Dealer's Permit]

Mineral Dealer's Permit Registration No, MPL ____________________This permit is valid up to 31st December 20 ____________________1. Subject to the conditions set out in the Mining Act (Cap. 306), in the regulations made under the Act and in this Mineral Dealer's Permit,Name: ____________________________________________________________(Hereinafter referred to as the "holder") whose address in Kenya is atAddress: ____________________City/Town: ____________________ County: ____________________is by this permit granted the right to buy and sell ____________________ [insert mineral(s) to be bought or sold].DATED THIS ______________ DAY OF ______________ 20 ______________

__________________Cabinet Secretary (name)In the presence of:

(signature)

Director of Mines (name)

(signature)

.............................................. page 2 ........................................................2. The holder, during the term of this permit, shall—a. carry out trading in minerals in accordance with the terms of the permit;b. sell the mineral to the National Mining corporation or to any person who is lawfully entitled to deal in minerals in Kenya that the Cabinet Secretary may prescribe in the gazette.;3. The holder during the term of this permit, shall—a. Keep a register of the mineral dealings in the prescribed form;b. record the following information in respect of each transaction—

(i)the name and weight of the minerals purchased or sold;

(ii)the price paid or received for the minerals;

(iii)the date of the purchase or sale;

(iv)royalty liability for each transaction; and

(v)the name and address of the vendor or the purchaser;

(vi)the source of minerals purchased. ostensible.

4. The holder shall submit to the Director of Mines a true copy of the register in duplicate for the preceding six months, in the months of July and January.

____________________________

Form DP-3		(r. 17)
[Application to Renew Mineral Dealer's Permit]

Renewal of Mineral Dealer's Permit Registration Number: ______ of 20 ______1. Applicant's identity and contact informationFull Name: __________________ National I.D No. (citizen) ____________________ is applying on behalf of:a. an individual (complete all information in this section)Full Name: __________________________ National I.D No. (citizen ____________________

Or:

b. a company that is at least 60% Kenyan (complete all information in this section)Registered company name: ____________________________________Registration Certificate No. /Date incorporated: ____________________c. Physical Location of businessStreet: ____________________ Building: ____________________ Floor/Office # ____________________Town/City: ____________________ Sub-County: ________________ County: ____________________d. AddressP.O. Box: ____________________ Code: ____________________Town/City: ________________ County: ____________________Phone #: ____________________ Mobile: ____________________Email address (mandatory): ____________________e. Name of authorised agent or representative if any:1) ____________________ Mobile No. ____________________ Area of operation ____________________2) ____________________ Mobile No. VArea of operation ____________________3) ____________________ Mobile No. ____________________ Area of operation ____________________2. Attachments (tick the item attesting that the required document is attached to this application)• duplicate copy of the receipt of the payment of the prescribed fee• copy of dealings annual report• current CR12 from the Registrar of Companies

____________________________

FORM EP-1		(r. 20(1))
[Application for a Mineral Export Permit]

(1)________________________________________ [insert name of person applying]hereby apply for a mineral export permit on behalf of:

(2)______________________________Licence/Permit No. __________________________________ to export

(3)____________________________________________ of

(4)____________________________________________ contained

(5)____________________________________________ comprising of

(6)____________________________________________ produced from

(7)

(a)County __________________ (b) Locality/ward __________________ and marked

(8)______________________________ through

(9)____________________________________________Value (F.O.B.) US$ ________________ (exchange rate) ________________ Ksh. ________________ Royalty Liability ________________I hereby certify that the above particulars are correct to the best of my knowledge and belief.DATE ________________ Signature of Consigner and Stamp ________________10. Attachments (tick the item attesting that the required document is attached to this application)• invoice;• the assay certificate from a recognised mineral testing laboratory;• the sales or marketing agreement between the applicant and the buyer if applicable;• a refining contract or off-take agreement where the applicant has signed such an agreement;• royalty liability for the consignment;• for minerals not specified in the Act, supporting documents showing the source, the reasons for export and authorizations from other government agenciesKey: 1. Full name and address of person signing this Form2. Name and full address of firm/principal3. Quantity of minerals(s) by weight4. Name and description of minerals(s)5. Number of Packages6. Grade, specifications and/or Assay where applicable7. Source ((a) County and (b) Locality/ward(s))8. Full postal/physical address of consignee9. Agent and port of exit from Kenya

____________________________

Form EP-2		(r. 21(1))
[Mineral Export Permit]

This export permit is valid for thirty days from the date of issue.1. Subject to the conditions set out in the Mining Act (Cap. 306) and in the regulations made under the Act,Name: .........................................(Hereinafter referred to as the "holder") whose registered office in Kenya is at(Physical Address): ____________________________________________City/Town: __________________ Sub-County: __________________ County: __________Nationality: __________________ [where holder is an individual]Phone number: ____________________________Mobile: ____________________________Email address ____________________________is by this permit granted the right to export

Item		Particulars
Type of Mineral
Source of Mineral
Quantity
Grade
Value
Royalty Liability
Source of mineral
Destination
Consignee
Port of Exit

DATED This __________________ Day of __________________ 20 __________

__________________Cabinet Secretary (name)In the presence of:

(signature)

Director of Mines (name)

(signature)

____________________________

Form DTR		(r. 23(a))
[Dealings (Trading) Register]

Dealings Right No. ____________________Name of Holder ____________________Report for the month of __________________ 20 ____________________

b/f	Minerals bought			Minerals sold			Royalty Liability	Royalty paid
b/f	Quantity	Value	Seller	Quantity	Value	Buyer
Date
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
27
18
19
20
21
22
23
24
25
26
27
28
29
30
31
Total

__________________________

Form DTQ		(r. 23(b))
[Mineral Dealings (Trading) Quarterly Report]

____________________________________________Mineral Dealer's (Trading) Licence/Permit Number: ____________________ Year: ____________________Name of Holder ____________________ Authorised signature: ____________________Address (Physical Location: ____________________ Town/City: ____________________ Sub-County: ____________________Phone number: ____________________ Email address: ____________________

Minerals Transacted

Royalty Liability

Royalty paid

(a)

(b)

(c)

(d)

(a)

(b)

(c)

(d)

(a)

(b)

(c)

(d)

Broughtforward

January

Bought

Sold

Bought

Sold

Bought

Sold

Bought

Sold

February

March

1st Quarter total

April

May

June

2nd Quarter total

July

August

September

3rd Quarter total

October

November

December

4th Quarter total

Grand Total

(a), (b), (c) denote various mineral transacted e.g. zinc, lead, etc

________________________

Form DPQ		(r. 23(b))
[Mineral Dealings (Processing) Quarterly Report]

________________________________________________________Mineral Dealer's (Processing) Licence/ Number: ____________________ Year: ____________________Name of Holder ____________________ Authorised signature: ____________________Address (Physical Location: ........... Town/City: ____________________ Sub-County: ____________________Phone number: ____________________ Email address: ____________________

Minerals processed

Royalty Liability

Royalty paid

Brought forward

(a)

(b)

(c)

(d)

(a)

(b)

(c)

(a)

(b)

(c)

January

Feedstock

Product

Feedstock

Product

Feedstock

Product

Feedstock

Product

February

March

1st Quartertotal

April

May

June

2nd Quartertotal

July

August

September

3rd Quartertotal

October

November

December

4th Quartertotal

Grand Total

(a), (b), (c) denote various mineral transacted

________________________

Form ID		(r. 24)
[Declaration of Imported Mineral]

____________________________________________________________No: ______________Name of Importer: ________________________________________________Address (Physical Location: ______________________________Town/City: ______________________________ County: ____________Phone number: ______________Mobile: ______________Email address: ______________

Item		Particulars
Type of Mineral
Quantity
Grade
Value
Country of origin
Consignor
Purpose ofimported mineral
Port of Exit

The holder shall submit to the Director of Mines a true copy of the register in duplicate for the preceding year not later than ninety days at the end of each year.

____________________________

Form SP		(r. 26(2))
[Application to Remove Samples]

__________________________________________________Hereby apply for authority to remove samples on behalf of:(2) ______________________________________________________________ Licence/Permit No. ________________________________________Dates of removal of samples: ________________________________________Name of the Lead Exploration Geologist: ________________________________________The type of material extracted/sampled: ________________________________________Total weight of samples and number of packages to be removed from the exploration site: ________________________________The name and address laboratory/processing facility: ________________________________Type of analysis: ________________________________3. Attach the following:• a map showing sample extraction location(s) and GPS coordinates within the licence area;• a description of samples and situation of extraction (cores: diameter, depth, others: depth, size);• such other documents or information that the Director of Geological Survey may request.Signature: __________________ Date: ________________

THIRD SCHEDULE [r. 20(1)]

MINERAL DEALINGS FEES

[L.N. 41/2024, r. 12.]

No.	Licence	Fee
1.	Mineral dealers Processing licence (Precious metals and Base metals)	Application fee- Kshs 100,000
1.		Licence fee-Kshs. 500,000 (Annually)
2.	Mineral dealers Processing licence (Gemstone Faceting)	Application fee- Ksh 5,000
2.	Mineral dealers Processing licence (Gemstone Faceting)	Licence fee- Kshs. 50,000 (Annually)
3.	Mineral Dealers (Trading) License 1 calendar year (term Expires on 31st day of December)	Application fee – Ksh 5,000
		Industrial and Construction minerals - Ksh 50,000 (Annually)
		Precious Stones - Ksh 20,000 (Annually)
		Semi-Precious Stones – Ksh 20,000 (Annually)
		Base and Rare Metals -Ksh. 500,000 (Annually)
		Precious Metals-Ksh 200,000 (Annually)
4.	Mineral Dealers permit 1 calendar year (term Expires on 31st day of December)	Application fee Ksh. 2000
		Industrial and Construction minerals Ksh. 20,000 (Annually)
		Precious stones -Ksh. 5,000 (Annually)
		Semi-precious stones- Ksh. 5,000 (Annually)
		Base and Rare metals - Ksh. 5,000 (Annually)
		Precious Metals-Ksh. 5,000 (Annually)
5.	Mineral Dealers (Jewelers’) Licence	Application fee – Ksh. 1,000
5.	Mineral Dealers (Jewelers’) Licence	Licence fee of Ksh. 20,000 (Annually)
6.	Mineral Export permit	Processing fee of Ksh. 5,000

FORMS

FORM DJL-1
Application for a Mineral Dealer’s (Jewellery) Licence

1.Name ............................... National ID (Kenyans) ...............................Passport No./Country (Non-Kenyans) ............................... is applying on behalf of:

(a)An individual:Name ............................... National ID (Kenyans) ...............................Passport No./Country (Non-Kenyans) ...............................

(b)A company (complete all information in this section):Registered company name: ...............................Registration certificate/date of incorporation ..................................................................................................

(c)Physical location of business:Street: ..................... Building: ......................Floor/Office No. ................................Town/City: ................................Sub-county: ................................County: ................................

(d)Address:Box ................... Postal code: ...................Town/City: ................... County: ...................Telephone No. ................... Mobile No. ...................Email address (mandatory) ................................

(e)Name of authorized officer, if any:

(1)................... Mobile No. ................... Area of operation ...................

(2)................. Mobile No. ................. Area of operation .................

2.Category of Mineral or Minerals as set out in the First Schedule to the Mining (Dealings in Minerals) Regulations, 2024Select the category of minerals for which the licence is required (use separate forms if more than one category):

(a)Construction, Industrial, Gaseous Minerals and Coal

(b)Precious and Semi-Precious Stones [All gemstones except diamonds]

(c)Precious and Rare Metals.

(d)Base Metal.

3.Attachments (tick the item attesting that the required document is attached to this application)duplicate copy of the receipt of the payment of the prescribed fee;where the applicant is a company, a certified copy of the applicant company's certificate of incorporation, current CR12 and certified copy of its memorandum and articles of association;where the applicant is an individual, a certified copy of Kenyan national identity or current passport for non-Kenyans;"Knowledge and Experience", a description of the applicant's knowledge or experience of mineral dealings in Kenya and elsewhere;a statement giving particulars of the financial resources available to the applicant;Letters of appointment of agents detailing their contacts and areas of operations and their identification documents.

4.Declaration(Note: Where any declaration made in this Form is found to be false the applicant commits an offence and shall be subject, on conviction, to the relevant penalty specified in the Act)

FORM DJL-2
MINERAL DEALER’S (JEWELLERY) LICENCE

Mineral Dealers (Jewellery) Licence No. .........................This licence is valid up to the 31st December, 20 ..................

1.Subject to the conditions set out in the Mining Act, in the Mining (Dealings in Minerals) Regulations, 2024, and in this Mineral Dealer’s Licence.Name ..................................... (hereinafter referred to as the “holder”) whose registered office in Kenya is at:Physical address ..........................................City/Town ..................... County .....................Nationality ..........................................and whose place of business is situated at:City/Town ....................... Ward .............................. Sub-county ....................... County .....................is, by this licence, granted the right to buy and sell, including export, of ………………………….. (insert category of mineralsDATED this ............ day of ................, 20 .............Cabinet Secretary (name) ................ (signature) ................In the presence of:

..........................................		..........................
Director of Mines (name)		(signature)


(Dated seal here)
	- Page 2 -
	Terms and conditions

2.The holder, during the term of this licence, shall:

(a)carry out trading in minerals in accordance with the conditions set out hereinafter;

(b)commence trading in minerals within thirty calendar days from the date the licence is issued;

(c)buy the minerals specified in the licence; and

(d)sell the mineral to the National Mining Corporation or to any person in Kenya who is lawfully entitled to deal in minerals or to export the minerals.

3.The holder, during the term of this licence, shall:

(a)keep a register of the mineral dealings in the Form as prescribed;

(b)record the following information in respect of each transaction:

(i)the name, grade and weight of the minerals purchase or sold;

(ii)the price paid or received for the minerals;

(iii)the date of the purchase or sale;

(iv)The royalty liability for each transaction;

(v)The name and address of the supplier or the seller and the source of the minerals; and

(vi)The name and address of the vendor or the purchaser or consignee.

4.The holder shall submit to the Cabinet Secretary a true copy of the register in duplicate for the preceding three months, together with a statutory declaration of the correctness thereof, in the months of January, April, July and October of every year.

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History of this document

01 February 2024 this version

Amended by Mining (Dealing in Minerals) (Amendment) Regulations, 2024

31 December 2022

Revised by 24th Annual Supplement

Read this version

26 May 2017

Published in Kenya Gazette 67

Commenced

Cited documents 1

Act 1

1.	Mining Act	179 citations

The Mining (Dealings in Minerals) Regulations

Legal Notice 88 of 2017

The Mining (Dealings in Minerals) Regulations

Related documents

LAWS OF KENYA

MINING ACT

THE MINING (DEALINGS IN MINERALS) REGULATIONS

LEGAL NOTICE 88 OF 2017

1. Citation

2. Interpretation

3. Application of Regulations

4. Applications for dealings in minerals

5. Application for mineral dealer's (trading) licence

6. Form of a mineral dealer’s (trading) licence

7. Application for mineral dealer's (processing) licence

8. Form of a mineral dealer's (processing) licence

9. Rights and obligations of a holder of a mineral dealer’s (trading) licence

10. Rights and obligations of a holder of a mineral dealer's (processing) licence

11. Renewal of a mineral dealer's licence

12. Sale of jewellery, gold coins and mineral artefacts

13. Purpose of a mineral dealer’s permit

14. Qualifications for grant of a mineral dealer’s permit

15. Application and form of a mineral dealer's permit

16. Rights and obligations of a holder of a mineral dealer’s permit

17. Renewal of a mineral dealer's permit

18. Export of minerals

19. Qualifications for grant of an export permit

20. Application for an export permit

21. Form of an export permit

22. Term of an export permit

23. Records and reporting requirements

24. Import of minerals

25. Sale of minerals by holders of artisanal mining permits

26. Mineral samples

27. Dealings in strategic minerals

FIRST SCHEDULE [rr. 5(4), 7(4)]

CATEGORIES OF MINERAL DEALERSHIP

SECOND SCHEDULE

FORMS

or

____________________________

[insert category of minerals].

Terms and Conditions

____________________________

____________________________

Terms and Conditions

____________________________

or

____________________________

____________________________

____________________________

Or:

____________________________

____________________________

____________________________

__________________________

________________________

________________________

____________________________

THIRD SCHEDULE [r. 20(1)]

MINERAL DEALINGS FEES

FORMS

History of this document

01 February 2024 this version

31 December 2022

26 May 2017

Related documents

Is amended by

Cited documents 1

Act 1

Documents citing this one 0