(1) The State Government may initiate auction process for grant of exploration licence with respect to an area within the State, in respect of the minerals specified in Seventh Schedule of the Act, in accordance with the provisions of the Act and this Chapter.
(2) Any person intending to obtain exploration licence in respect of an area may submit a proposal to the State Government in the format specified in Schedule V along with available geoscience data for notification of the area for auction to grant an exploration licence.
(3) In order to identify a block for auction for grant of exploration licence, including in any area proposed by any person under the sub-rule (2), the State Government shall constitute a committee consisting of the following members, namely:—
(a) Principal Secretary or Secretary in the Mining and Geology Department of State Government (by whatever name called) – Chairman;
16 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 3(i)]
(b) Deputy Director General, State Unit of Geological Survey of India – Member;
(c) Regional Controller of Mines of Indian Bureau of Mines – Member;
(d) Regional Director of Atomic Minerals Directorate for Exploration and Research – Member;
(e) Director in the Mining and Geology Department of State Government (by whatever name called) – Member Secretary.
(4) The committee shall identify and recommend to the State Government the blocks for auction for grant of exploration licence out of—
(i) the area identified by the Geological Survey of India or the Directorates of Mining and Geology of State Government (by whatever name called) or any other agency of the Central Government or State Government;
(ii) the area proposed by any person under sub-rule (2); or
(iii) any other area, on the basis of geological information available in the National Geoscience Data Repository (NGDR) or in similar platforms or on the basis of the available geological reports or the like.
(5) The committee shall reject or recommend the proposal received under sub-rule (2) within a period of sixty days of its receipt in the State Government with such modification as it deem fit.
(6) The committee while identifying and recommending the block shall exclude from the block the areas covered under the following, namely:—
(i) a subsisting mineral concession;
(ii) a notice inviting tender for auction of a mineral concession that has been issued and is under process;
(iii) a subsisting letter of intent issued for grant of a mineral concession pursuant to an auction process, or letter of intimation issued by the Department of Atomic Energy regarding the prospective lessee under rule 6 of the Atomic Minerals Concession Rules, 2016;
(iv) a mining lease or composite licence granted that has expired, lapsed, surrendered or terminated or notice inviting tender for auction of a mineral concession that has been terminated;
(v) exploration operations by an entity specified or notified under second proviso to section 4; or
(vi) notification for undertaking an operation issued under section 17 or notification for reservation issued under section 17A:
Provided that if the committee is of opinion that it is expedient in the interest of conservation of mineral resources or for the scientific and sustainable development and exploitation of minerals specified in the Seventh Schedule of the Act, it may include the area covered under clause (iv) in the block recommended for grant of exploration licence.
(7) The State Government may reject or accept the recommendation of the committee with such modification as it deem fit and send the details of identified block for previous approval of the Central Government for auction under sub-section (4) of section 10BA, within sixty days of its receipt.
(8) The Central Government shall grant or reject the previous approval within sixty days of its receipt and thereafter the State Government shall notify the identified block for conducting auction for grant of exploration licence within sixty days of receipt of the previous approval.
(9) The State Government shall, prior to issuance of the notice inviting tender with respect to auction, identify and demarcate the area where an exploration licence is proposed to be granted through auction, specifying its boundary latitude and longitude coordinates.