Do I need a mining permit or a full mining right?
A mining permit under section 27 of the MPRDA applies where the area does not exceed 5 hectares and the resource can be mined optimally within two years. Anything larger or longer needs a full mining right under section 22, with a prospecting history, environmental authorisation, a social and labour plan and a mining work programme.
How large is the area you intend to mine?
The mining area itself, in hectares — not the whole farm or property.
How this is decided in law
The Mineral and Petroleum Resources Development Act 28 of 2002 creates two routes to mine legally. A mining permit under section 27 is the small-scale route. A mining right under section 22 is everything else.
The mining permit test has two limbs and both must be satisfied: the mining area may not exceed 5 hectares, and the mineral resource must be capable of being mined optimally within two years. The permit is valid for two years and renewable three times for one year each, giving a maximum of five years.
A mining right runs for up to thirty years and is renewable. It requires a defined mineral resource, normally established under a prospecting right, a mining work programme, environmental authorisation with quantified financial provision for rehabilitation, a social and labour plan, proof of technical and financial capability, and documented consultation with landowners and affected communities.
Sequence is what separates a granted application from a stalled one. Applications that are lodged before the resource statement, environmental authorisation and social and labour plan are ready generate rounds of requests for further information, and each round costs months. Building the file first and lodging once is faster in real time even though it feels slower.
Environmental authorisation for mining is processed by the mineral resources regulator under section 24C(2A) of NEMA rather than by the environmental department, and it runs on the mining application timeline. Financial provision for rehabilitation must be quantified and secured as part of it.
Where a right already exists, the route is section 11 ministerial consent, not a new application. Section 11 catches both the transfer of a right and a change of control of the company holding it, so share sales and shareholder restructures are caught even when the right itself is untouched.
Mining and prospecting almost always trigger parallel authorisations: a water use licence for dewatering, abstraction or watercourse impacts, a waste management licence for residue deposits, and an atmospheric emission licence for crushing and processing. Scoping them together avoids duplicating the same specialist studies three times.
Our mining fees are fixed and agreed in writing before work starts, with government application fees included. Larger and more complex mandates are quoted higher, and we tell you which tier you are in during the first free call rather than after you have committed.
| Authorisation | Threshold | Duration and timeline | Our fixed fee |
|---|---|---|---|
| Mining permit (s27) | Up to 5 ha and mineable within 2 years | 2 years, renewable 3 x 1 year; 8 – 14 months to grant | R225,000 – R385,000 |
| Prospecting right (s16) | Exploration before mining, any size | 5 years, renewable once for 3; 8 – 14 months | R145,000 – R235,000 |
| Mining right (s22) | Over 5 ha or longer than 2 years | Up to 30 years, renewable; 14 – 24 months | From R225,000 |
| Large or complex mining right | Multi-property, high-value or contested areas | 18 – 30 months including groundwork | R385,000 – R495,000 |
| Section 11 consent | Transfer of a right or change of control | 6 – 12 months | R185,000 – R320,000 |
| Parallel authorisations | Water use, waste and air emission licences | Run concurrently, 12 – 20 months | Quoted with the main application |
The process, step by step
- 1Cadastral and conflict check
We confirm on the regulator's system that the area is open, and identify overlapping rights, applications and surface conflicts before you spend anything.
- 2Route decision
Permit, prospecting right, mining right or section 11 consent. Getting this wrong costs a year, so it is decided on the numbers and the resource, in writing.
- 3Technical file
Resource statement, mining work programme, financial and technical capability, and financial provision for rehabilitation.
- 4Environmental authorisation
The EIA process runs through the mineral resources regulator with the required specialist studies and environmental management programme.
- 5Consultation
Landowners, occupiers, traditional authorities and affected communities, properly recorded — this is where applications are most often successfully challenged.
- 6Lodgement, grant and execution
We lodge, manage the regulator's queries, and take the matter through grant to notarial execution and registration.
Questions people ask
What is the difference between a mining permit and a mining right?
A mining permit covers an area of 5 hectares or less that can be mined within two years. A mining right covers anything larger or longer, runs up to thirty years, and requires far more supporting work.
Can I get a mining right without a prospecting right first?
Legally it is possible, but without a defined resource the application has no factual foundation and is very likely to fail. In practice you start with a prospecting right unless the resource is already proven.
How long does a mining right application take in South Africa?
Fourteen to twenty-four months where the supporting work is ready, and eighteen to thirty months where the resource statement, environmental authorisation and social and labour plan still have to be built.
What does a mining right application cost?
Our fixed fee starts at R225,000 with government fees included, rising to R385,000 – R495,000 for large or complex mandates. Specialist studies are quoted separately and transparently.
Do I need environmental authorisation for mining?
Yes, and it is processed by the mineral resources regulator rather than the environmental department. Financial provision for rehabilitation has to be quantified and secured as part of it.
Do I need a water use licence too?
Usually. Dewatering, abstraction, residue deposits and any impact on a watercourse trigger water use authorisation under the National Water Act. We scope it with the mining application.
Can I buy a company that holds a mining right instead of applying?
Yes, but a change of control requires ministerial consent under section 11. A transaction that implements without that consent is void, so it must be a condition precedent.
What is a social and labour plan?
A statutory commitment covering human resource development, local economic development and community projects. It is a binding obligation once granted, so it must be costed realistically rather than aspirationally.
Registration 2016/074955/07. Registered with the Department of Water and Sanitation (DWS) and an applicant for EAPASA registration. Regulatory and licensing advisory across South Africa — Pretoria offices, serving Gauteng, the Western Cape and all other provinces. 087 153 6207 · support@dlegal.co.za
This page is general information on the applicable legislation, not legal advice on your specific facts. Fee ranges are indicative; your fixed fee is agreed in writing before any work starts.