Mineral Disposition Regulation, 1974

Mineral Disposition Regulation, 1974, M.R. 427/87 R The Mines and Minerals Act , C.C.S.M. c. M162 Regulation 427/87 R Registered December 1, 1987 bilingual version (HTML) Programs to be filed 1 A holder shall in every year file with the department a detailed description of any proposed program estimated to cost in excess of $10,000. regarding a mineral disposition other than a production lease or explored area lease before proceeding with the program. Programs 2(1) The description of a program required under section 1 shall include (a) a cost estimate; (b) a detailed schedule of activites; and (c) any other information that is relevant to the program. 2(2) Subject to subsection (3) and notwithstanding section 3, a holder may proceed with a program upon receipt of the department's acknowledgement of receipt of the program. 2(3) Any program under section 1 not acknowledged in writing by the department within 14 days of receipt thereof shall be deemed to be acknowledged. Agreements 3(1) Where the minister enters into an agreement for a participating interest to be held by the Crown in any program submitted under section 1, the percentage of the interest shall be determined in accordance with the provisions of the Agreement but shall not exceed 50% provided where the holder makes application therefor (a) the Crown's participating interest may exceed 50%; and (b) the minister may enter into an agreement for a participating interest in a program regarding an explored area lease. 3(2) Where the minister elects not to enter into an agreement for a participating interest to be held by the Crown in a program submitted under section 1, he may not participate in any subsequent program with respect to the same mineral disposition unless requested to do so by the holder. 3(3) The agreement shall be in such form as may be acceptable to the minister. 3(4) For the purpose of subsection (1), the percentage of the Crown's participating interest in any program shall be determined and the holder shall be notified within 45 days of receipt of the program by the department. 3(5) Any dispute as to evaluation of the interest of a party in a mineral disposition shall be determined by arbitration as follows: (a) arbitration proceedings shall be commenced by the party desiring arbitration ("Initiating Party") giving notice to the other party ("Responding Party") specifying the matter to be arbitrated and requesting an arbitration thereof. In the event that the Initiating Party and Responding Party are unable to agree upon an arbritration procedure within five days after delivery of such notice, the Initiating Party shall, by written notice to the Responding Party, designate an arbitrator. The Responding Party shall, within five days thereafter, be entitled to appoint an arbitrator by written notice to the Initiating Party, and the two arbitrators so appointed shall thereupon meet and select a third arbitrator acceptable to both. In the event that the Responding Party fails to appoint an arbitrator within the time limit aforesaid and deliver notice thereof to the Initiating Party, then the Initiating Party shall be entitled to appoint an arbitrator on behalf of the Responding Party and is hereby appointed the agent of the Responding Party for such purpose. In the event that the two arbitrators so appointed are unable to agree upon a third arbitrator, then the third arbitrator shall be a Judge of the Court of King's Bench appointed by the minister; (b) the resulting arbitration panel shall thereupon proceed to hear the submissions of the parties, and shall render a decision within 60 days after the appointment of the third arbitrator. The decision of a majority of the arbitration panel shall be deemed to be the decision of the arbitration panel, and such decision shall be final and binding upon the parties and not subject to appeal. The arbitration panel shall have the authority to assess the costs of the arbitration panel against either or both of the parties, provided, however, that each party shall bear its own witness and counsel fees. Financial Assistance 4(1) Subject to subsection (3), where a prospector makes application for financial assistance relating to a program for exploration and development not expected to cost in excess of $10,000. in any one year, and the program has been approved, the department shall reimburse up to 50% of the approved expenditures for the program. 4(2) An application for financial assistance shall (a) be accompanied by a statement setting out the program for exploration and development proposed to be undertaken; and (b) generally describe the lands on which the program is to be performed. 4(3) No financial assistance under this section shall be paid by the department unless satisfactory evidence has been presented that the expenditures have been incurred and paid by the prospector in carrying out the approved program. 4(4) Where a program has been approved under subsection (1), the holder shall be notified within 45 days of receipt of the program by the department. 4(5) Where due to unanticipated actual costs of a program under subsection (1) costs are in excess of $10,000. the details of the program shall be filed with the department promptly and the minister may enter into an agreement in accordance with section 3. Application 5 Except with respect to programs submitted pursuant to agreements entered into under this regulation, the requirements of sections 1, 2 and 3 and subsection 4(5) shall not apply to programs proposed for commencement or commenced on or after October 31, 1978.