Grant of an exploration, retention, or mining licence

The most common mineral tenement types in Victoria are exploration, retention and mining licences.

At a high-level, these tenements authorise:

• Exploration licence: exploration on land covered by the licence;
• Retention licence: retention of rights to mineral resources; and
• Mining licence: mining on the land covered by the licence.

We have developed flow charts covering the application, assessment and approvals processes for these licences, including:

• exploration licence chart
• retention licence chart
• mining licence chart

These flowcharts show that the lifecycle of an application for each of these licence types largely follow the same pattern. Differences arise in the information required to be included in the application. (For example, there are additional information requirements for a retention or mining licence application compared to an exploration licence application). Other differences to note are:

• the competing application process in the context of an exploration licence application, and its absence from the retention or mining licence application process (given these licence types typically follow the grant of an exploration licence);
• the different statutory timeframes for grant or refusal of an application (90 days for an exploration licence application v. 120 days for a retention or mining licence application); and
• the requirement to give notice of a mining licence application to owners and occupiers of any affected land (not required in the context of an exploration or retention licence application).

Work under an exploration or retention licence

Holding an exploration or retention licence is an important step in the process of undertaking exploration work under those licences. Additional requirements need to be met to undertake work under those licences. We have outlined the key steps in the process, along with associated timeframes, in the following flowchart

• work under exploration or retention licence chart

There are particular circumstances in which work under these licences will not require a work plan to be submitted to and approved by ERR. These are:

• Reconnaissance work, being work comprising any exploration activities that do not involve the use of excavation equipment (other than non-mechanical hard tools), explosives or the removal or damaging of any tree or shrub; and
• Low impact exploration, being activities that have low social and environmental impacts. ERR's Code of Practice for Mineral Exploration provides that low impact exploration may include drilling for core samples, construction of tracks, and limited removal of certain native vegetation.

As between reconnaissance work and low impact exploration, the flowchart illustrates the different requirements under each pathway towards commencing work relating to matters such as rehabilitation bonds, obtaining consents from owners of dwellings within certain distance thresholds and giving notice to relevant owners or occupiers.

If the proposed work does not fall into either of the above categories, the flowchart illustrates that a license holder will need to lodge a work plan with ERR. We have set out the statutory timeframes relating to this pathway and (at a high level) the process by which a licensee might resort to the Victorian and Civil Administrative Tribunal's (VCAT) review jurisdiction in the event of a refusal by ERR to approve the work plan.

Work under a mining licence and work plan variations for mining

By far the most complex application, assessment and approvals processes under the MRSDA relate to undertaking work under a mining licence, either once a mining licence is issued, or as a result of a need to vary a work plan. We have developed the following flow charts to help guide industry participants through these processes:

• work under mining licence chart
• work plan variation chart

We have broadly segmented these flowcharts into the following three stages:

1. Statutory endorsement

2. Planning permit

3. Work plan / Work plan variation and other approvals

It's important to note that these flow charts have been designed within set parameters in order to make them workable and digestible on a single page. For example, if a new mining project or an amendment to an existing mining project requires assessment under the Environment Effects Act 1978 (Vic), then planning permission may not be required. It is important that you get specific advice on these matters to suit your circumstances.

Further, other key statutory assessment and approvals processes that typically regulate work under a mining licence need to be considered and worked into the overall approvals strategy. These include:

• assessment under the Environment Effects Act 1978 (Vic);
• licences under the Water Act 1989 (Vic);
• a cultural heritage management plan under the Aboriginal Heritage Act 2006 (Vic);
• licences, permits and registrations under the Environment Protection Act 2017 (Vic); and
• assessment under the Environment Protection and Biodiversity Conservation Act 1999 (Cth).