Nigeria: How To Obtain Quarry Lease In Nigeria

Last Updated: 26 November 2018
Article by Resolution Law Firm

REQUIREMENTS FOR QUARRY LEASE

Quarry means an excavation or system of excavations made for the purpose of or in connection with the obtaining of stone, sand, granite, chalk, clay, flint, gravel, gypsum, limestone, marble, marl, quartz and other quarrying materials whether in their natural state or in solution or in suspension.

The law governing the quarry activities in Nigeria is the Nigerian Minerals and Mining Act 2007 and the government agency regulating the activities is the Mining Cadastre Office (MCO) located in Abuja F.C.T.

A quarry lease is granted in respect of any area of land not exceeding 5 hectares and unless previously revoked or otherwise determined, remains in force for a period of five years or less from the date of the grant of the lease and shall expire unless renewed.

The holder is authorized to amongst other things, carry out quarry operations on the land within the area of the lease, remove and dispose of any minerals specified in the lease and do all such specified in the Act which may be necessary or convenient for the carrying out of its quarrying operations.

The MCO shall require the area specified in an application for a lease to be surveyed before granting a lease.

Conditions & Requirements for Quarry Lease in Nigeria

The statutory conditions for obtaining a quarry lease in Nigeria are as follows:

  • The Mining Cadastral Office, on receipt of a valid application, shall grant and issue to the applicant a Quarry Lease within the 45 days.
  • The duration of a Quarry Lease shall not exceed five {5} years as required, provided the renewal application is made within three {3} months before the expiration of the lease.
  • The area of land shall not exceed 5km2 {25CUs}.

Requirements and Procedure for Quarry Lease in Nigeria

The following documents are to be attached to every application for the quarry lease:

  • A duly completed application form.
  • Pre-feasibility report with {COMEG seal and signature}.
  • The evidence of financial capabilities- section 54 of the NMMA.
  • The evidence of technical and competent persons- section 54 of the NMMA 2007.
  • The irrevocable consent from landowners/land occupiers.
  • An attestation of no conviction of a criminal offence under the Act.
  • A certified true copy of the certificate of incorporation.
  • An evidence of payment of processing fees.
  • Names of minerals to be exploited.
  • An area specified to be surveyed in accordance with the Coordination Act.
  • A notice to landowners; private or state land with a response on the rate to be paid.

Quarry lease must not be confused with any other mining lease. In our previous write-up, we explained the procedure for obtaining a mining lease in Nigeria. The quarry lease is unique only covers the certain numbers of minerals specified on the license

Finally, it is extremely important for every individual applicant to take notice that all fees and payments must be by a certified Bank Drafts to the Mining Cadastre Office (MCO) and such fees are non-refundable.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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