Territorial Coal Regulations
1 [Repealed, SOR/2003-116, s. 2]
2 In these Regulations,
Chief means the chief of the Resource Management Division of the Resource and Economic Development Group of the Department of Indian Affairs and Northern Development; (chef)
lessee means the holder of a lease of a location for coal mining purposes; (concessionnaire)
licence means a licence issued by the Chief to explore for coal on territorial lands; (permis)
licensee means the holder of a licence to explore for coal on territorial lands; (détenteur de permis)
location means a tract of land containing coal, or believed to contain coal, located or staked in accordance with these Regulations; (emplacement)
- mineral claim staking sheet
mineral claim staking sheet means
(a) with respect to lands between 60° and 68° north latitude, a map of an area bounded on the north and south by a line drawn at 15-minute intervals of latitude and on the east and west by a line drawn at 30-minute intervals of longitude, or
(b) with respect to lands north of 68° north latitude, a map of an area bounded on the north and south by a line drawn at 15-minute intervals of latitude and on the east and west by a line drawn at one degree intervals of longitude; (feuille de jalonnement de claims)
Minister means the Minister of Indian Affairs and Northern Development; (ministre)
permittee means the holder of a permit issued under these Regulations; (titulaire de permis)
recorder means a person designated by the Minister to perform the duties of a recorder for a mining district established under the Territorial Lands Act for the Northwest Territories; (registraire)
- territorial lands
territorial lands[Repealed, SOR/2003-116, s. 3]
year means a period of 12 consecutive months. (année)
- SOR/2003-116, s. 3
4 (1) Subject to subsection (2), no person shall mine coal on territorial lands except under the authority of these Regulations.
(2) Nothing contained in these Regulations shall, except where such intention is expressly stated, be so construed as to affect prejudicially any rights and interests acquired prior to December 16, 1954.
5 (1) Any person 18 years of age or over on his own behalf or on behalf of any other person or persons, or a corporation, is entitled, subject to subsection (2), to stake out a location under the provisions of these Regulations for the mining of coal on territorial lands.
(2) The following lands are not available for staking under these Regulations:
(a) land used as a cemetery;
(b) land within the limits of a municipal district, a municipality or a local improvement district;
(c) land reserved for an Indian Reserve, a national park or game sanctuary or for military or other public purpose;
(d) land reserved under the Dominion Water Power Act; or
(e) land lawfully occupied for mining purposes.
6 (1) Where the surface rights of any land are owned or lawfully occupied by another, no person shall stake a location until he has deposited with the recorder,
(a) the consent of the owner or the occupant of the surface rights; or
(b) security in an amount that in the opinion of the recorder is adequate for any loss or damage which may result from staking on such land, the security to be in money or in the form of bearer bonds of Canada or bearer bonds of the Canadian National Railway Company unconditionally guaranteed as to principal and interest by Canada or bonds of Canada and such Railway Company registered in the name of the Minister of Finance and the Receiver General.
(2) A person staking a location pursuant to subsection (1) shall compensate the owner or lawful occupant of the surface rights for any loss or damage caused by such staking.
7 (1) A person desiring to obtain a lease or a permit of a location under these Regulations shall stake out such location as nearly as possible in the form of a rectangle of which the length shall not exceed four times the width.
(2) The area of a location shall not exceed 640 acres where it is intended to apply for a lease, or more than one acre where it is intended to apply for a permit.
8 (1) Every location shall be marked upon the ground by
(a) a post at each of the four corners of the claim, which posts shall be,
(i) of sound timber, firmly placed in or on the ground, or a stump of a tree left rooted in the ground in an upright position extending not less than four feet above the ground,
(ii) squared or faced at least 18 inches from the top, with each side so squared or faced measuring at least three inches across its face, and
(iii) mounded with stone, such mound to be constructed by the person staking and to consist of not less than four stones, or mounded with earth, any such mound to be conical in shape and to be not less than two feet in diameter at the base and one foot high; or
(b) a metal tube at each of the four corners of the location and each metal tube shall be
(i) not less than four inches in length and 1/2 inch in diameter,
(ii) closed at both ends, and
(iii) placed in the centre of a mound of stone, which mounds shall be constructed by the person staking and shall consist of not less than four stones or placed in the centre of a mound of earth, any such mound to be conical in shape and not less than three feet in diameter at the base and two feet high.
(2) The post or metal tube at the northeast corner shall be numbered one, at the southeast corner, two, at the southwest corner, three, and at the northwest corner, four.
(3) A person staking a location shall write on each post or write on waterproof paper or fabric and insert such paper or fabric in the metal tube, the number of the post or metal tube, the name of the person on whose behalf the location is staked, the date and time of staking, and
(a) where it is intended to apply for a lease, the letters “CML”; or
(b) where it is intended to apply for a permit, the letters “CMP”.
9 (1) Prior to applying for a lease or permit, a person who has staked a location shall mark the boundaries of such location so that each boundary can be definitely recognized throughout its entire length.
(2) In timbered areas, such boundaries shall be marked at intervals not exceeding 100 feet apart by placing on trees adjoining the boundary, three blazes, one blaze to be placed on the side of the tree facing the boundary and one blaze on each of the two sides of the tree in the direction of the boundary, and where necessary the underbrush along such boundary shall be cleared.
(3) In non-timbered areas the boundaries shall be marked by clearing brush where necessary and by erecting cairns of stone, which cairns shall be constructed by the person staking and shall consist of not less than four stones, or mounds of earth, and such cairns or mounds shall be conical in shape and not less than two feet in diameter at the base and not less than one foot high.
10 (1) An application for a lease or permit shall be made,
(a) if the location is situated within a distance of 10 miles in a straight line from the nearest corner of the location to the office of the recorder to which application is made, within 15 days of the staking; or
(b) if the location is situated more than 10 miles in a straight line from the location to the office of the recorder to which application is made, within a period of 15 days from the date of the staking plus one day for each 10 miles or fraction thereof of such distance beyond the first 10 miles.
(2) If the last day for making application falls on a Sunday or upon a day on which the office of the recorder is not open to receive applications, the application may be made on the next day such office is open.
(3) An application made after the period fixed by these Regulations shall not be considered.
11 In the case of any dispute as to the time of staking a location, entitlement shall be recognized according to the priority of the placing of the post or tube, at the northeast corner, subject to any questions as to the validity of the record itself, and subject to the applicant having complied with all the terms and conditions of these Regulations.
Application for Lease
12 (1) A person may apply for a lease by filing with the recorder an application in Form 1 of the schedule.
(2) An application for a lease shall be accompanied by
(a) a fee of $5;
(b) a sketch of the location; and
(c) the amount of the rental for the first year of the lease.
13 Upon receipt of an application for a licence, the recorder may cause the location to be inspected and if satisfied that the application is in order shall forward such application to the Chief.
14 (1) The Minister may, in such form as he determines, issue a lease of a location for a term of 21 years at an annual rental of $1 per acre payable yearly in advance.
(2) A lease is renewable for a further term of 21 years where the lessee furnishes evidence satisfactory to the Minister to show that during the term of the lease he has complied with the conditions of such lease, and may be renewed for additional periods of 21 years subject to the regulations at that time in force.
15 In addition to the annual rental, a lessee shall pay annually a royalty at the rate of $0.10 per ton on merchantable coal mined on lands acquired by lease under these Regulations.
16 A lessee shall not assign, transfer or sublet the rights granted by his lease or any part thereof without the consent in writing of the Minister.
17 A lessee shall not mine or excavate within 60 feet from a boundary line of the location leased to him.
18 (1) A lessee is entitled to the coal upon or in the land included in such lease, and has the right to enter upon and use and occupy the surface of such location or such portion thereof and to such extent as the Minister considers necessary for efficient coal mining operations but for no other purpose.
(2) A lessee shall compensate the owner or lawful occupant of the surface rights for any loss or damage caused by the coal mining operations of the lessee.
19 Within one month following the last day of each year of the term of the lease, a lessee shall submit to the recorder a sworn statement showing the amount of coal extracted and removed during the year from the location under lease, and shall pay the amount of accrued royalties to the recorder.
20 (1) A lessee shall commence active operations on his leasehold within one year following the day he is notified by the Minister to commence operations and shall produce from such operations the quantity of coal specified in the said notification.
(2) Such notification shall not be given until the expiration of at least one year from the commencement date of the lease and shall set out the quantity of coal which the lessee is required to mine and produce at the pit’s mouth ready for shipment, which quantity, however, may be increased from time to time, upon 30 days notice to that effect being given to the lessee, but in no case shall the maximum quantity required to be mined exceed 10 tons per annum for each acre leased.
(3) Where operations are not commenced within the time specified in the notice or where the required quantity of coal is not mined during each year, the lease shall be subject to cancellation in the discretion of the Minister.
21 A person who has been granted a lease for a location and who has paid all amounts due the Crown in respect of the area under lease including amounts due for rent or royalty,
(a) to the date of consent to the assignment by the Minister pursuant to section 16, may assign the lease; or
(b) to the date the Minister is notified in writing of the proposed abandonment, may abandon the lease.
- SOR/92-119, s. 1
22 (1) Where a lessee holds a lease of a location acquired by assignment or otherwise under the provisions of these Regulations, on land situated more than 10 miles from a railway when the lease was issued, and where the lessee can show that he has expended in actual prospecting and developing operations on such location by recognized methods during any year, prior to railway communication with any such location having been established, an amount equal to or in excess of the prescribed yearly rental of such location, the Minister, upon proof satisfactory to him that such expenditure was incurred for the purpose and in the manner specified, may waive payment of the rental for the year of the term during which such expenditure may be shown to have been incurred, or in case the rental has already been paid, he may apply such payment or such portion thereof as to him seems reasonable on account of future payments of the rental of any such location, such expenditure, however, shall not be accepted as rental for a total of more than five years during the term of any lease.
(2) Where a lessee holds leases on two or more adjoining locations, any amount expended on actual prospecting and developing operations on one or more of such locations, not otherwise applied in respect of rental, may, with the approval of the Minister, be applied against rental due on any other such location, to the same extent as if such operations had been performed on such other location.
Application for Permit
23 (1) A person may apply for a permit by filing with the recorder an application in Form 2 of the schedule.
(2) Subject to section 24, each application for a permit shall be accompanied by,
(a) a fee of $1;
(b) a payment of estimated royalty on the quantity of coal to be mined under the permit; and
(c) a sketch of the location.
24 (1) Where a recorder is satisfied that an applicant for a permit has complied with the regulations respecting staking of the location and that the permit should be issued, he shall issue a permit to the applicant in Form 3 of the schedule.
(2) A permit issued to
(a) a department of the Government of Canada,
(b) a municipal district, a local improvement district or a municipality, or
(c) an educational, religious or charitable institution,
shall be issued free of charge and shall authorize the applicant to mine a quantity of coal not exceeding 100 tons of 2,000 pounds each for the applicant’s own use, without payment of any royalty.
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