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Law No. 2 of 1971
Concerning Mines and Quarries
In the People's name
Revolutionary Command Council
Decision of Council of Ministers
To issue Executive Regulation of Law No. 2/1971
Concerning Mines & Quarries – Provisions related to Quarries
Council of Ministers
After perusal on law No. 2/1971 regarding Mines & Quarries,
And on decision of Council of Ministers issued 13th
Jamada Athani 1391
H, corresponding to 5th
August 1971 to approve form of Contract of
Investment a quarry,
And based on what has been put forward by Minister of Industry &
Mineral Wealth.
Decided
Article1: Regarding Quarries the provisions of Executive Regulation,
law No.2/1971 referred to and attached to this Decision, shall come into
force and any contradicting text to these provisions is regarded as
cancelled.
Article 2: Minister of Industry and Mineral Wealth to implement this law
and it shall come into force from date of its promulgation in the Official
Gazette.
Council of Ministers
Issued on 23rd
Ramadan 1391 H.
Corresponding to 11th
November 1971
Law No. 2 of 1971
Concerning Mines and Quarries
In the People's name
Revolutionary Command Council
After perusal on constitutional declaration issued on second Shawwal
1389 H. corresponding to 11th December 1969.
And on minerals law No. 9/1953
And on Oil law No. 25/1955 and its amending laws
And on National Industries Development Law No. 51/1956, amended by
law issued on 11 Jamad Athani 1381 H. corresponding to 10th
November
1961, and on the law issued on 20 Muharram 1381 H. corresponding to
3rd
July, 1961 to expropriate real estates for the public benefit and its
amending laws,
And on law No. 5/1965 on Industrial Organization and its amending laws,
And on law No. 25/1970 to establish Industrial Research Center,
And on law No. 26/1970 to establish General Libyan Manufacturing
Organization,
And on law No. 79/1970 to reorganize Industry & Mineral Wealth Sector,
And based on what has been put forward by Minister of Industry &
Mineral Wealth and approval of Council of Ministers.
The following law has been issued:
First Chapter
General Provisions
Article 1 – In the implementation of provisions of this law, the following
words and expressions shall have the meanings hereby assigned to them:
The Minister: Minister of Industry & Mineral Wealth
The Ministry: Ministry of Industry & Mineral Wealth
The General Administration: The General Administration for
Organization and Industrial Control
Mineral Material: Minerals and its ores, chemical elements, precious
gems and the alike, rocks, layers and mineral sediments available on
ground surface or underground. Also, natural gases, mineral waters
coming out of underground, fuel raw material except oil, hydro-carbon
gases that shall be subject to provisions of regulating laws.
The Mines: Places containing mineral materials.
Lime materials: building materials, pavement, decoration stones and the
alike according to what the Minister defines.
The Quarries: Places containing stone materials.
Exploration: touring to check/test the areas required for search licenses
for mineral materials or investment contracts for stone materials.
Guidance: Notification of General Administration about availability of a
mineral material with quantities that make it possible to invest in an area
that is unknown of that and no one has rights on it concerning this
material.
Survey of mineral material: selecting ground surface or underground
with all means particularly, geological and geophysical means that leads
to identify metals through their natural or chemical properties as well as
making test pits or holes to ascertain availability or possible existence of
metal materials.
Search for metal materials: It includes what follows discovery stage
from expansion in testing ground surface and its subsurface to identify
extent of ore spread and its quantities, best methods to get out and
evaluate its suitability and its marketing possibilities inside and outside.
Investment: any process aiming to exploit mineral materials or stone
material in its natural status or after their treatment including extraction
of these materials from their places, shifting, storing, or getting out.
Protection of licence: License issued for an adjacent area to the areas for
which the investment contract is required.
Article 2: What is available in mines of mineral materials in the Libyan
Arab Republic will be considered as property of the State including
territorial waters. Also stone materials are considered from such
properties except building materials (lime, sand stones and sands)
existing in the quarries that their ownership is proved for 3rd
party.
No one is allowed to explore or search for mineral or stone materials or
get them out, obtain, invest except through permission, or contract issued
in accordance with provisions of this law.
Article 3: The Ministry shall organize investment of mines and quarries
and their control and all what is related to them in respect of
manufacturing, refining, transport and storage, considering the authorities
given to Industrial Research Center with regard to exploration, discovery,
research and evaluation processes of mineral materials.
However, it is up to the Ministry to invest mines and quarries and their
relevant operations either directly by itself or to entrust that to others as
per terms and conditions prescribed in this law, while considering
authorities given to the General Libyan Organization for Manufacturing
in this respect.
Article 4: It is not permitted to explore, discover or search fro mineral
material or invest metals or quarries in the Libyan Arab Republic
including territorial waters regardless whoever is the owner of the land
except through consent issued by the Ministry in the appropriate form and
according to terms & conditions prescribed in this law.
The General Administration prepares records in which requests submitted
by the concerned bodies to obtain licenses for search or investment
contracts are registered at the date and time of its incoming.
The executive regulation organizes method of record in these records and
data included in every register.
Article 5: Priority in granting the consent referred to in Article 4 shall be
given to applicants according to precedence of date and time of its
incoming while considering terms & conditions prescribed in this law.
The owner of the ground surface shall have the priority over other
seekers/requesters regardless of the dates of their requests. The license
contract or shall be granted, in this case, without bidding as an exception
of procedures.
The Libyan national would be given priority over the foreigner in
obtaining the consent whatever kind it maybe in cases other than bidding.
Also he would be given priority to obtain such consent if his bid is equal
with other bids in bidding cases.
Article 6: It is not allowed to attach on machinery, transport and towing
means and other tools allocated to invest mines and quarries as long as
such assignment exists, but excluding the seizures made by Ministries
and other governmental bodies to get their rights.
Article 7: Foreigner may not submit an application to obtain license or
contract unless he has a domicile in the Libyan Arab Republic.
He should permanently keep in this domicile records and documents
related to his licensed or his contracted works.
Article 8: Granting exploration license or investment contract would be
against royalty, rent, or both of them. The executive regulation
determines amount of both of them, dates of their settlement and cases of
exemption thereof, while considering what is stipulated by this law of
other provisions in this respect.
Article 9: The Ministry shall obtain from the concerned parties cash
deposit to guarantee implementation of licenses or contracts conditions,
especially fulfillment of the funds due to government against the loyalty
or the rent or performing other obligations imposed by licenses or
contracts.
The Executive Regulation indicates the cases where deposit is required,
its amount and its deduction cases and how to reimburse.
Article 10: Whoever doing a work in a third party's land in execution to
license or issued contract as per provisions of this law must abstain from
doing any act that may hurt the ground surface or deprive the owner from
benefiting of his property. If it has resulted from his work anything of
that, he is obligated to compensate the owner for the damage or deprive
from benefiting according to the case. The compensation is estimated
either by an agreement or through court judgment where the land lies in
its circle of jurisdiction.
Article 11: 1- The Ministry shall specify the land that would be
temporarily needed for works subject matter of license or contract. The
licensee or investor shall pay to the land owner a rent against his
benefiting of it along period of execution of such works. The rent to be
specified by double similar rent. If the land owner abstains from lease,
the Minister shall issue a resolution to put the hand on it through direct
execution and the resolution should indicate seized land boundaries,
names of their owners, double similar rent, duration of seizure.
Resolution to be intimated to concerned persons and a respite not less
than 15 days to be given to them effective from date of his receipt to land
evacuation notice. They may, during this respite, to submit a challenge
in estimation of rent before court of first instance in which the real estate
lies within its jurisdiction. With regard to lodging of challenge and its
judgment, procedures stipulated in the referred to Article No. 14 of
expropriation of property in favor of the public interest.
2- It is up to the Ministry – in case of investment contracts- to determine
what is required from the land in which the mine or quarry exists for
investment operations permanently along the duration of the Contract. In
this case, the investor is committed to purchase it with double price of its
like. If land owner abstains from sale, its ownership shall be expropriated
in favor of investor in accordance with procedures of expropriation of
property in favor of the public interest against a compensation paid by the
investor to the owner which is estimated by double price of its like.
Article 12: The Council of Ministers may in emergency cases resulting
from arise of war or its expectation or due to internal reasons related to
country economy or its security to seize – if necessary – the mine or
quarry and all its relevant facilities or seize some or all their products or
request the investor to increase production to maximum capacity if that
was possible.
Seizure cannot be affected except after calling on the investor or his
representative to come to the Ministry through registered acknowledged
letter and hearing his sayings.
In case of seizure on the mine or quarry, the Council of Ministers will
issue a decision to determine the body to assume its investment and
conditions of this investment. Seizure would be in lieu of a just
compensation.
Article 13: The Council of Ministers decides to terminate the seizure
upon disappearance of the reasons causing that. The investor may resume
the work after termination of the seizure if he requests that within three
months of date of his notification of the Council's decision through a
registered acknowledge letter, otherwise his right in resumption of work
would lapse and his contract would be over from date of seizure.
The resumption of work would be at the same conditions stipulated in the
investment contract issued earlier and for the remaining period thereof
provided that what is equivalent to this period of compensation amount of
seizure would be reimbursed.
Article 14: 1- The Licence or Investment Contract would be considered
terminated by virtue of law in the following cases:-
a) Upon demise of the licensee or investor if he is natural person.
b) If the licensed artificial person or the investor replaces.
c) If is ruled finally of the insolvency of the licensee or the investor.
d) If the licensee or the investor waives license or the contract to third
party without a written approval from the Ministry on the
assignment.
2- The authority issuing the license or the contract may nullify with a
decision thereof in case where it has this right according to provisions of
this law or according to conditions of the license or the contract.
Article 15: The licensee or the investor may request the assignment to
the Ministry or the third party over the License or Investment Contract
prior to the end of the fixed period in the License or Contract for reasons
he indicate to the Ministry. In this case, the assignment would not be
made except after issue of written approval by the Ministry to be
intimated to each of the assignee, third party and the concerned bodies.
The Ministry shall specify date of commencement of the assignment.
Also, rights and obligations of the assignee would be settled at this date.
Article 16: The licensee or the investor who is authorized to
search/explore should send to the General Administration every six
months lists extracted from his records put down in it all the data related
to his employees and workers, the extracted ore/raw transported and
stored and its analysis results, its sale rates as well as explosives and
other material needed for the work, besides any other data which the
General Administration deems necessary to obtain it to guarantee
seriousness of progress of search operations or investment or due to its
relevance with the Industrial activity.
The submission of such data would be according to forms defined by the
Executive Regulation or issued by the General Administration in respect
of each separate case in accordance with what is fixed by the Minister.
Article 17: All the maps and data in the possession of the licensee or the
investor would revert to the Ministry at the end of the license or contract
duration or upon canceling or waiving them or considering either of
them as terminated or lapse of right in them according to provisions of
this law.
2- The licensee or the investor should remove movables available in the
place in a maximum period of six months from date of expiry of license
or contract; otherwise, it will revert to the Ministry without a return.
3- As for the immovable installations, it is not permitted to remove except
after obtaining a written approval of the Ministry. However, if the
licensee or the investor delays in its removal after elapse of six months
from the approval of the Ministry to the removal, the installations will
revert to the Ministry without a return. The Ministry may decide to keep
the said installations and in this case, the licensee or the investor is
entitled to be compensated the value of the installations due for removal.
4- The provisions of the two previous Paras shall not be in force except if
the land is state-owned, but if the land is third party owned or its
ownership is transferred to investor through purchase or expropriation
according to Article 11, such provisions will not be applied except on
condition of continuation in investment of the mine or the quarry.
2nd
Section
Provisions relevant to the Mines
First Chapter
Licensing for Survey
Article 18- The license for survey on mineral materials is issued as per
decision of the Minister after consulting opinion of the General
Administration. It duration would be for six months renewal for another
six months at most. It is a condition for renewal that the licensee has
taken serious steps towards searching.
Article 19: Number of survey licenses granted for one natural or artificial
person should not be more than five licenses.
The area of one license should not exceed one thousand square kilometer.
The area of the license must be delimited on the shape or square angles
defined by length and width lines.
The licensee can be the exclusive surveyor in the license area for the
licensed mineral he is permitted to survey.
Article 20: Whoever discovers an ore of the mineral ores has to inform
the Ministry though a registered acknowledged letter.
The General Administration should record this right of discovery to him
in the registers prepared for this purpose and he should be given priority
right to obtain license to explore this mineral on condition he meets the
necessary conditions to obtain such license and to submit his request
within three months from date of his notification about this discovery;
otherwise his right in priority shall be prescribed.
Second Chapter
License for searching
Article 21: License for searching is granted according to decision from
the Minister for one year after consulting the opinion of the General
Administration. It may be renewed on condition that the search
operations are going on seriously and the whole initial and renewal period
shall not exceed four years and that renewal should be as per terms and
conditions stipulated in this law and regulations issued pursuant to.
Article 22: To grant license for searching, it is a condition that the
seeker/requester should have the technical & financial capability to
exercise the works he intends to perform while benefiting from his
previous activity and expertise in similar works or in mining industry.
Article 23: Number of search licenses granted for one natural or entity
should not be more than five licenses. The area of one license should not
exceed one thousand square kilometer.
The licensee has the right to be the exclusive searcher in this area.
However, the Minister based on technical reasons and after consulting the
opinion of the General Administration, may increase the number of
licenses to more than five licenses or amend its area.
The shape of the allowed licensed area to search in is defined as already
mentioned in the Article No. 19.
Article 24: 1- Obtaining a license for searching would be though a
general bid where the following areas are put forward:
a) Areas, which the licensee for searching abandons of after he has
performed works increasing its value.
b) Areas where the right of the contractor expired in investment.
c) Areas where it was not possible to determine priority therein
according to text of Article 5 provided that the bidding should limit
in this case to the applicants only.
d) Areas that search operations performed by the Ministry or else of
individuals and bodies indicate their suitability to search therein.
2- The areas referred to in the previous Para shall be written in a special
record prepared for this purpose and it is allowed to see at every time.
3- The general bidding shall be conducted as per rules and procedures
stipulated in Article 31 of this law.
Article 25: The licensee for search may not search for any ores or other
mineral materials except the ore of the mineral material he is given
license to search for; unless such ores/materials are mixed with the ore of
the material that he is licensed to search for and it is not possible to
extract one out of ground without the other. In this case, he may obtain
new license by adding names of these ores or the other mixed mineral
materials to the search license issued to him. And on condition that he
submits a request to the General Administration within fifteen days from
date of his finding out the ore or the mixed mineral materials in order to
add their names to license for search issued to him. The licensee may
not continue in search or dispose of this material unless the General
Administration approves adding such names to the original license.
Passing of fifteen days from submission of the referred to request without
any reply of the Administration would be regarded as an approval to the
addition.
Article 26: The Minister may, based on the request of the licensee and
proposal of the General Administration, amend conditions of the license
and its area due to technical reasons showing result of searches conducted
by the licensee.
The Minister may issue licenses for search to non-licensee bodies within
the search area itself if the purpose of it is to search for material/s other
than those unlicensed to search for and not mixed with it. Also, such area
may be a place for licensing of operation transactions stipulated in Article
47 of this law. But, all this on condition non-hurting the search
transactions going on at the area.
Article 27: The licensee for search should submit to the Ministry prior to
three weeks at least of the expiry of license period, a detailed four copies'
report drawn in Arabic language of the works he has performed, attached
with it:
a) Legible map with suitable drawing scale accepted by the General
Administration.
b) Material Samples of scientific or economic value he might had
obtained, provided that each sample must be attached with a card
showing the scientific material's name, place found therein, its
area and its location at the map referred to in item (a).
Article 28: The licensee for searching is entitled during validity of
licensing period to obtain an Investment Contract for all or some of the
area for which license for searching is granted according to terms &
conditions stipulated in this law and until termination of the license
issued to him.
Once the Investment Contract is issued to the requester for part of the
licensed area, this license for searching shall be valid for the remaining
area if he keeps that at the time of requesting the Contract, provided that
license period is not no more than four years initially and through
renewal.
The licensee can act, upon the permission of the Ministry, in the ore
resulting from search transactions if he has submitted a request for the
Investment Contract and paid the financial return of the Contract
according to provisions of this law and regulations issued pursuant to.
Third Chapter
Contract of Investment
Article 29: It is required for the issuance of Contract of investment for a
mineral, in a specific area to be preceded by search operations for that
mineral/metal, either by the Ministry or according to a license for
research. Research should prove the existence of ore by quantities
permitting its investment.
The Contract of Investment is issued at a decision of Council of Ministers
on the grounds of the Ministers proposal according to the conditions
stipulated in this law.
Article 30: Excluding provisions of the previous Article, the Council of
Ministers may issue the Investment Contract without any preceding
research operations for the areas that reveals existence of the ore in
sufficient quantities permitting its investment.
The Ministry should enlist such known areas to it in a special register
prepared for this purpose and to promulgate about that in official Gazette
during the month of January each year. This register can be seen at any
time.
Investment of those areas should be floated in a general bidding
according to provisions of the following Article:
Article 31: The Minister shall issue a decision to form a Committee to set
up rules and procedures of General Bid announcement to invest the areas
referred to in the previous Article, on the basis of placing minimum limit
in lieu of Investment right to be taken as a base for the Bidding in
addition to loyalty or rent determined by the Executive Regulation.
The Minister may disregard recompense of investment right and make
loyalty amount or rent full or discounted as a basis for bidding once there
are material technical or economic reasons justifying so.
The Committee shall consider submitted tenders in the bidding to confirm
meeting to the announced conditions and set aside unsatisfying ones.
Then, it shall recommend adjudicating the bid in favor of the best
renderers in terms of financial & technical aspects, considering good well
and previous works in investment of metals and mining industry. Such
recommendations would be put forward to the Minister.
Article 32: The Investment Contract is issued for the period specified by
the requester provided that it does not exceed thirty years. It is up to the
Council of Ministers to decide renewal of the Contract as per the
following conditions:
a) When the investor has executed all obligations imposed on him.
b) To inform the Ministry in writing on his desire to renew the
Contract six months at least prior to termination of its duration.
c) That the renewal should be for the duration fixed by the investor,
on condition that it does not exceed fifteen years.
Meanwhile, it is possible to make agreement between the Ministry and
the Investor to renew the Contract afterwards as the conditions agreed
upon provided that the renewal in this case should be concluded by a law.
In all cases, laws and regulations applicable at time of renewal shall
govern the regulatory rules of the contract.
Article 33: The licensee may not extract any ores or other mineral/metal
materials except the ore of the material or the metal material he has
contracted to invest; unless such ores/materials are mixed with the ore of
that material or with the metal material he is contracting to invest and it is
not possible to extract one out of the ground without the other ore. In this
case, the Investor has to notify the Ministry of that within sixty days of
date of his finding out of the other ore and he may not dispose of the said
ore/ores except after obtaining prior consent of the General
Administration.
Article 34: It is possible by a decision of Council of Ministers to cancel
the Contract if the Investor has not invested seriously the location for
three consecutive years from date of signing the Contract or if the
investor stops investment for one year without obtaining a prior written
consent from the Minister.
Article 35: 1- The owner of the investment right in accordance with
provisions of this law may request one license for protection or more that
includes an adjacent area to the area invested by him or that area he is
requesting its investment, on condition that the total protection area is not
exceeding the investment area. Also, this area should be free of third
party rights. The area subject matter of protection license would be on
the shape of a square or a rectangular.
2- The licenses of protection would be for the period specified by the
requester but not exceeding the investment duration.
3- The license of Protection is issued by a decision of the Minister. The
licensee pays a prepaid annual rent for the area of protection in the
amount of tenth of prescribed rent category of the Investment Area.
4- The license of Protection entitles – the licensee – to conduct research
operations. Also he is entitled during validity of license period to obtain
an Investment Contract for the whole or part of the area of protection
according to terms and conditions prescribed in this law.
He can dispose also through permission of the Ministry in the extracted
ore or resulting from the research operations on condition that he has
submitted a request for the Investment Contract and paid the financial
amount for the Contract according to provisions of this law and
regulations issued pursuant to.
Third Section
Provisions related to quarries
Article 36: The quarry Investment Contract is issued for a period not
more than five years by a decision of the Minister. If the duration
exceeds that and did not extend beyond fifteen years, the decision should
be issued by the Council of Ministers.
However, it is permitted to renew the Contract to other terms not
exceeding in its total thirty years as per the conditions stated in the
Articles 32 & 39 of this Law.
Article 37: A loyalty shall be paid in respect of quarries' materials at the
end of every six months according to categories and provisions stated
therein the executive regulation.
Every natural or artificial person who is requesting the license to extract
quarries' materials to set up on his own account charity installations like
mosques, hospitals, refuges, schools or to backfill ponds and swamps
shall be exempted from paying of loyalty.
Article 38: The investor shall pay a prepaid annual rent to be estimated
by a Committee formed by a decision of the Minister. Such estimation
would consider the economic circumstances and all other considerations
related to every quarry, particularly, its area, location and type of
materials to be extracted thereof. The estimation of the Committee would
be valid for the term of the Contract.
If the investment seeker refuses payment of rent estimated by the said
Committee, the investment of the quarry shall be floated in a General Bid
on basis of the rent specified by the Committee.
Article 39: Upon renewal of the Contract, it is up to the referred
Committee in the previous Article to decide increase or decrease the rent
according to the requirements of the economic conditions.
It may also reconsider estimation of the rent during validity of contract's
term based on the request of the Contractor or the Ministry on condition
of stating serious reasons justifying that, besides elapsing of five years at
least on the previous estimation of the Committee.
Article 40: The investor of the quarry may replace, during the validity of
the Contract and after passing of a period not less than six months from
date of it conclusion or renewal, with another quarry of its type in the
same area as per the conditions stipulated in the Investment Contract and
to its remaining period if it proves to the Ministry justifications of that
replacement and provided that the Investor pays all due loyalties for the
materials he has already extracted from the quarry to be replaced prior
taking over of the new quarry. The replacement shall be only for one
time along the original and renewed duration of the Contract.
The rent of the new quarry would be determined as indicated in the
Article 38, but once this rent is more than the old rent, the Investor is
committed to pay the difference of both values before taking over of the
new quarry; otherwise right shall lapse in the replacement. However, if
the new rent is less than the old rent, he not entitled to claim the
difference.
Article 41: The council of Ministers may cancel the Investment Contract
if the work stops in the quarry for a period over ninety days without prior
written permission issued by the Ministry according to request submitted
by the Investor explaining the reasons calling for this stoppage.
Article 42: If the Investor does not transport the quantities he has
extracted from the quarry until the expiry of Contract term, the ownership
of the remaining material would revert to the Ministry without
recompense, unless the Investor submits during fifteen days from date of
expiry of the Contract a request to preserve his right in its transportation
in a time fixed by the Ministry and on condition of payment an amount
equals to double loyalty prescribed on those quantities.
Article 43: The owner of land where materials for building are available,
the right to extract such materials for his private use. In this case, he
would be exempted of rent and loyalty.
The owner may not extract these materials or else from the quarries'
materials with the aim of investment except after obtaining permission as
per terms and conditions stipulated in this law. In this case, he would be
exempted from rent and should be obligated to pay the stipulated loyalty.
Fourth Section
Penalties
Article 44: Whoever extracts or attempts to extract metal or stone
materials from the mines or quarries without a license or an Investment
Contract in cases the law require that, he will be penalized by theft
punishment or attempting of theft.
It will be ruled to confiscate machinery and tools used in extraction.
Article 45: Without prejudice to any tougher punishment stipulated
legally, whoever violates provisions of this law and its issued pursuant
resolutions shall be penalized with a fine not less than ten pounds and not
more than twenty pounds.
The violator is required to remove the reasons of violation within the
respite defined by the Ministry. The General Administration is entitled to
remove administratively the reasons of violation at the cost of the violator
if it believes that the violation might inflict a damage that cannot be
caught up with/prevented.
Article 46: Ministry officials, whom a decision is issued by the minister
to assign them, would be given the capacity of investigation officers to
establish what is in contravention to provisions of this law and the
decisions issued pursuant to.
They have the right to access to books, accounts, documents and request
for data related to the activity of the licensee or the Investor. The
examination would be in the place of the licensee or the Investor at
normal timing working hours without need to prior notification.
Fifth Section
Closing & temporary provisions
Article 47: For the purposes of investment of the mines and the quarries,
the Ministry would permit in establishment of public roads or construct
railways or air wire, electrical, telephone lines and pipelines or in
construction of airports, anchorage and their facilities as places of storage
and others after getting the approval of the competent authorities.
Moreover, what is needed to lands, it would be expropriated or taken over
temporarily in favor of the licensee or the Investor while compensation
would be paid to the landowner. The installations set up would revert at
the end of license term or Contract to the State without recompense and it
would be regarded of public funds.
Article 48: The loyalties, rents and any other amounts due to public
treasury according to provisions of this law shall be surveyed through
Administrative seizure.
Article 49: The Ministry shall assume creation of forms to survey, search
and protection licenses and also for investment contracts. A resolution
would be issued by Council of Ministers concerning these forms.
Article 50: It is possible by Minister's decision to exclude search works
or the previous works conducted by Industrial Research Center from
whole or part of conditions related to these works stipulated therein this
law, regulations and decisions issued pursuant to.
Also, the Minister may exclude investment transactions conducted by the
General Libyan Organization for Manufacturing from whole or part of
conditions related to Investment stipulated therein this law, regulations
and decisions issued pursuant to.
Article 51: The Executive Regulation for this Law shall be issued by
decision of Council of Ministers based on the proposal of the Minister.
However, until issue of this Regulation, acting with current regulations
and decisions at the time of validity of this law with what does not
contradict of its provisions.
Article 52: The minerals law No. 9/1953 is nullified; also, any other text
contradicting with provisions of this law is regarded as nullified.
Acting with the executive resolutions issued in implementation would
continue until they are cancelled or replaced.
Also acting with licenses and contracts which were granted in accordance
with its provisions would continue until expiry of the duration stated
therein.
Article 53: Minister of Industry and Mineral Wealth to implement this
law and it shall come into force after three months of date of its
promulgation in the Official Gazette.
Revolutionary Command Council
Chief of Council of Ministers
Deputy Prime Minister for Production Sector/Minister of Industry &
Mineral Wealth
Issued on 9th
Thu El Qaeda 1390 H.
Corresponding to 6th
January 1971

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قانون التعدين رقم 2 انجليزىclaw 2

  • 1. Law No. 2 of 1971 Concerning Mines and Quarries In the People's name Revolutionary Command Council Decision of Council of Ministers To issue Executive Regulation of Law No. 2/1971 Concerning Mines & Quarries – Provisions related to Quarries Council of Ministers After perusal on law No. 2/1971 regarding Mines & Quarries, And on decision of Council of Ministers issued 13th Jamada Athani 1391 H, corresponding to 5th August 1971 to approve form of Contract of Investment a quarry, And based on what has been put forward by Minister of Industry & Mineral Wealth. Decided Article1: Regarding Quarries the provisions of Executive Regulation, law No.2/1971 referred to and attached to this Decision, shall come into force and any contradicting text to these provisions is regarded as cancelled. Article 2: Minister of Industry and Mineral Wealth to implement this law and it shall come into force from date of its promulgation in the Official Gazette. Council of Ministers Issued on 23rd Ramadan 1391 H. Corresponding to 11th November 1971 Law No. 2 of 1971 Concerning Mines and Quarries In the People's name Revolutionary Command Council After perusal on constitutional declaration issued on second Shawwal 1389 H. corresponding to 11th December 1969.
  • 2. And on minerals law No. 9/1953 And on Oil law No. 25/1955 and its amending laws And on National Industries Development Law No. 51/1956, amended by law issued on 11 Jamad Athani 1381 H. corresponding to 10th November 1961, and on the law issued on 20 Muharram 1381 H. corresponding to 3rd July, 1961 to expropriate real estates for the public benefit and its amending laws, And on law No. 5/1965 on Industrial Organization and its amending laws, And on law No. 25/1970 to establish Industrial Research Center, And on law No. 26/1970 to establish General Libyan Manufacturing Organization, And on law No. 79/1970 to reorganize Industry & Mineral Wealth Sector, And based on what has been put forward by Minister of Industry & Mineral Wealth and approval of Council of Ministers. The following law has been issued: First Chapter General Provisions Article 1 – In the implementation of provisions of this law, the following words and expressions shall have the meanings hereby assigned to them: The Minister: Minister of Industry & Mineral Wealth The Ministry: Ministry of Industry & Mineral Wealth The General Administration: The General Administration for Organization and Industrial Control Mineral Material: Minerals and its ores, chemical elements, precious gems and the alike, rocks, layers and mineral sediments available on ground surface or underground. Also, natural gases, mineral waters coming out of underground, fuel raw material except oil, hydro-carbon gases that shall be subject to provisions of regulating laws. The Mines: Places containing mineral materials. Lime materials: building materials, pavement, decoration stones and the alike according to what the Minister defines. The Quarries: Places containing stone materials. Exploration: touring to check/test the areas required for search licenses for mineral materials or investment contracts for stone materials. Guidance: Notification of General Administration about availability of a mineral material with quantities that make it possible to invest in an area
  • 3. that is unknown of that and no one has rights on it concerning this material. Survey of mineral material: selecting ground surface or underground with all means particularly, geological and geophysical means that leads to identify metals through their natural or chemical properties as well as making test pits or holes to ascertain availability or possible existence of metal materials. Search for metal materials: It includes what follows discovery stage from expansion in testing ground surface and its subsurface to identify extent of ore spread and its quantities, best methods to get out and evaluate its suitability and its marketing possibilities inside and outside. Investment: any process aiming to exploit mineral materials or stone material in its natural status or after their treatment including extraction of these materials from their places, shifting, storing, or getting out. Protection of licence: License issued for an adjacent area to the areas for which the investment contract is required. Article 2: What is available in mines of mineral materials in the Libyan Arab Republic will be considered as property of the State including territorial waters. Also stone materials are considered from such properties except building materials (lime, sand stones and sands) existing in the quarries that their ownership is proved for 3rd party. No one is allowed to explore or search for mineral or stone materials or get them out, obtain, invest except through permission, or contract issued in accordance with provisions of this law. Article 3: The Ministry shall organize investment of mines and quarries and their control and all what is related to them in respect of manufacturing, refining, transport and storage, considering the authorities given to Industrial Research Center with regard to exploration, discovery, research and evaluation processes of mineral materials. However, it is up to the Ministry to invest mines and quarries and their relevant operations either directly by itself or to entrust that to others as per terms and conditions prescribed in this law, while considering authorities given to the General Libyan Organization for Manufacturing in this respect.
  • 4. Article 4: It is not permitted to explore, discover or search fro mineral material or invest metals or quarries in the Libyan Arab Republic including territorial waters regardless whoever is the owner of the land except through consent issued by the Ministry in the appropriate form and according to terms & conditions prescribed in this law. The General Administration prepares records in which requests submitted by the concerned bodies to obtain licenses for search or investment contracts are registered at the date and time of its incoming. The executive regulation organizes method of record in these records and data included in every register. Article 5: Priority in granting the consent referred to in Article 4 shall be given to applicants according to precedence of date and time of its incoming while considering terms & conditions prescribed in this law. The owner of the ground surface shall have the priority over other seekers/requesters regardless of the dates of their requests. The license contract or shall be granted, in this case, without bidding as an exception of procedures. The Libyan national would be given priority over the foreigner in obtaining the consent whatever kind it maybe in cases other than bidding. Also he would be given priority to obtain such consent if his bid is equal with other bids in bidding cases. Article 6: It is not allowed to attach on machinery, transport and towing means and other tools allocated to invest mines and quarries as long as such assignment exists, but excluding the seizures made by Ministries and other governmental bodies to get their rights. Article 7: Foreigner may not submit an application to obtain license or contract unless he has a domicile in the Libyan Arab Republic. He should permanently keep in this domicile records and documents related to his licensed or his contracted works. Article 8: Granting exploration license or investment contract would be against royalty, rent, or both of them. The executive regulation determines amount of both of them, dates of their settlement and cases of exemption thereof, while considering what is stipulated by this law of other provisions in this respect.
  • 5. Article 9: The Ministry shall obtain from the concerned parties cash deposit to guarantee implementation of licenses or contracts conditions, especially fulfillment of the funds due to government against the loyalty or the rent or performing other obligations imposed by licenses or contracts. The Executive Regulation indicates the cases where deposit is required, its amount and its deduction cases and how to reimburse. Article 10: Whoever doing a work in a third party's land in execution to license or issued contract as per provisions of this law must abstain from doing any act that may hurt the ground surface or deprive the owner from benefiting of his property. If it has resulted from his work anything of that, he is obligated to compensate the owner for the damage or deprive from benefiting according to the case. The compensation is estimated either by an agreement or through court judgment where the land lies in its circle of jurisdiction. Article 11: 1- The Ministry shall specify the land that would be temporarily needed for works subject matter of license or contract. The licensee or investor shall pay to the land owner a rent against his benefiting of it along period of execution of such works. The rent to be specified by double similar rent. If the land owner abstains from lease, the Minister shall issue a resolution to put the hand on it through direct execution and the resolution should indicate seized land boundaries, names of their owners, double similar rent, duration of seizure. Resolution to be intimated to concerned persons and a respite not less than 15 days to be given to them effective from date of his receipt to land evacuation notice. They may, during this respite, to submit a challenge in estimation of rent before court of first instance in which the real estate lies within its jurisdiction. With regard to lodging of challenge and its judgment, procedures stipulated in the referred to Article No. 14 of expropriation of property in favor of the public interest. 2- It is up to the Ministry – in case of investment contracts- to determine what is required from the land in which the mine or quarry exists for investment operations permanently along the duration of the Contract. In this case, the investor is committed to purchase it with double price of its like. If land owner abstains from sale, its ownership shall be expropriated in favor of investor in accordance with procedures of expropriation of property in favor of the public interest against a compensation paid by the investor to the owner which is estimated by double price of its like.
  • 6. Article 12: The Council of Ministers may in emergency cases resulting from arise of war or its expectation or due to internal reasons related to country economy or its security to seize – if necessary – the mine or quarry and all its relevant facilities or seize some or all their products or request the investor to increase production to maximum capacity if that was possible. Seizure cannot be affected except after calling on the investor or his representative to come to the Ministry through registered acknowledged letter and hearing his sayings. In case of seizure on the mine or quarry, the Council of Ministers will issue a decision to determine the body to assume its investment and conditions of this investment. Seizure would be in lieu of a just compensation. Article 13: The Council of Ministers decides to terminate the seizure upon disappearance of the reasons causing that. The investor may resume the work after termination of the seizure if he requests that within three months of date of his notification of the Council's decision through a registered acknowledge letter, otherwise his right in resumption of work would lapse and his contract would be over from date of seizure. The resumption of work would be at the same conditions stipulated in the investment contract issued earlier and for the remaining period thereof provided that what is equivalent to this period of compensation amount of seizure would be reimbursed. Article 14: 1- The Licence or Investment Contract would be considered terminated by virtue of law in the following cases:- a) Upon demise of the licensee or investor if he is natural person. b) If the licensed artificial person or the investor replaces. c) If is ruled finally of the insolvency of the licensee or the investor. d) If the licensee or the investor waives license or the contract to third party without a written approval from the Ministry on the assignment. 2- The authority issuing the license or the contract may nullify with a decision thereof in case where it has this right according to provisions of this law or according to conditions of the license or the contract.
  • 7. Article 15: The licensee or the investor may request the assignment to the Ministry or the third party over the License or Investment Contract prior to the end of the fixed period in the License or Contract for reasons he indicate to the Ministry. In this case, the assignment would not be made except after issue of written approval by the Ministry to be intimated to each of the assignee, third party and the concerned bodies. The Ministry shall specify date of commencement of the assignment. Also, rights and obligations of the assignee would be settled at this date. Article 16: The licensee or the investor who is authorized to search/explore should send to the General Administration every six months lists extracted from his records put down in it all the data related to his employees and workers, the extracted ore/raw transported and stored and its analysis results, its sale rates as well as explosives and other material needed for the work, besides any other data which the General Administration deems necessary to obtain it to guarantee seriousness of progress of search operations or investment or due to its relevance with the Industrial activity. The submission of such data would be according to forms defined by the Executive Regulation or issued by the General Administration in respect of each separate case in accordance with what is fixed by the Minister. Article 17: All the maps and data in the possession of the licensee or the investor would revert to the Ministry at the end of the license or contract duration or upon canceling or waiving them or considering either of them as terminated or lapse of right in them according to provisions of this law. 2- The licensee or the investor should remove movables available in the place in a maximum period of six months from date of expiry of license or contract; otherwise, it will revert to the Ministry without a return. 3- As for the immovable installations, it is not permitted to remove except after obtaining a written approval of the Ministry. However, if the licensee or the investor delays in its removal after elapse of six months from the approval of the Ministry to the removal, the installations will revert to the Ministry without a return. The Ministry may decide to keep the said installations and in this case, the licensee or the investor is entitled to be compensated the value of the installations due for removal. 4- The provisions of the two previous Paras shall not be in force except if the land is state-owned, but if the land is third party owned or its ownership is transferred to investor through purchase or expropriation
  • 8. according to Article 11, such provisions will not be applied except on condition of continuation in investment of the mine or the quarry. 2nd Section Provisions relevant to the Mines First Chapter Licensing for Survey Article 18- The license for survey on mineral materials is issued as per decision of the Minister after consulting opinion of the General Administration. It duration would be for six months renewal for another six months at most. It is a condition for renewal that the licensee has taken serious steps towards searching. Article 19: Number of survey licenses granted for one natural or artificial person should not be more than five licenses. The area of one license should not exceed one thousand square kilometer. The area of the license must be delimited on the shape or square angles defined by length and width lines. The licensee can be the exclusive surveyor in the license area for the licensed mineral he is permitted to survey. Article 20: Whoever discovers an ore of the mineral ores has to inform the Ministry though a registered acknowledged letter. The General Administration should record this right of discovery to him in the registers prepared for this purpose and he should be given priority right to obtain license to explore this mineral on condition he meets the necessary conditions to obtain such license and to submit his request within three months from date of his notification about this discovery; otherwise his right in priority shall be prescribed. Second Chapter License for searching Article 21: License for searching is granted according to decision from the Minister for one year after consulting the opinion of the General Administration. It may be renewed on condition that the search operations are going on seriously and the whole initial and renewal period shall not exceed four years and that renewal should be as per terms and conditions stipulated in this law and regulations issued pursuant to.
  • 9. Article 22: To grant license for searching, it is a condition that the seeker/requester should have the technical & financial capability to exercise the works he intends to perform while benefiting from his previous activity and expertise in similar works or in mining industry. Article 23: Number of search licenses granted for one natural or entity should not be more than five licenses. The area of one license should not exceed one thousand square kilometer. The licensee has the right to be the exclusive searcher in this area. However, the Minister based on technical reasons and after consulting the opinion of the General Administration, may increase the number of licenses to more than five licenses or amend its area. The shape of the allowed licensed area to search in is defined as already mentioned in the Article No. 19. Article 24: 1- Obtaining a license for searching would be though a general bid where the following areas are put forward: a) Areas, which the licensee for searching abandons of after he has performed works increasing its value. b) Areas where the right of the contractor expired in investment. c) Areas where it was not possible to determine priority therein according to text of Article 5 provided that the bidding should limit in this case to the applicants only. d) Areas that search operations performed by the Ministry or else of individuals and bodies indicate their suitability to search therein. 2- The areas referred to in the previous Para shall be written in a special record prepared for this purpose and it is allowed to see at every time. 3- The general bidding shall be conducted as per rules and procedures stipulated in Article 31 of this law. Article 25: The licensee for search may not search for any ores or other mineral materials except the ore of the mineral material he is given license to search for; unless such ores/materials are mixed with the ore of the material that he is licensed to search for and it is not possible to extract one out of ground without the other. In this case, he may obtain new license by adding names of these ores or the other mixed mineral materials to the search license issued to him. And on condition that he submits a request to the General Administration within fifteen days from date of his finding out the ore or the mixed mineral materials in order to add their names to license for search issued to him. The licensee may
  • 10. not continue in search or dispose of this material unless the General Administration approves adding such names to the original license. Passing of fifteen days from submission of the referred to request without any reply of the Administration would be regarded as an approval to the addition. Article 26: The Minister may, based on the request of the licensee and proposal of the General Administration, amend conditions of the license and its area due to technical reasons showing result of searches conducted by the licensee. The Minister may issue licenses for search to non-licensee bodies within the search area itself if the purpose of it is to search for material/s other than those unlicensed to search for and not mixed with it. Also, such area may be a place for licensing of operation transactions stipulated in Article 47 of this law. But, all this on condition non-hurting the search transactions going on at the area. Article 27: The licensee for search should submit to the Ministry prior to three weeks at least of the expiry of license period, a detailed four copies' report drawn in Arabic language of the works he has performed, attached with it: a) Legible map with suitable drawing scale accepted by the General Administration. b) Material Samples of scientific or economic value he might had obtained, provided that each sample must be attached with a card showing the scientific material's name, place found therein, its area and its location at the map referred to in item (a). Article 28: The licensee for searching is entitled during validity of licensing period to obtain an Investment Contract for all or some of the area for which license for searching is granted according to terms & conditions stipulated in this law and until termination of the license issued to him. Once the Investment Contract is issued to the requester for part of the licensed area, this license for searching shall be valid for the remaining area if he keeps that at the time of requesting the Contract, provided that license period is not no more than four years initially and through renewal.
  • 11. The licensee can act, upon the permission of the Ministry, in the ore resulting from search transactions if he has submitted a request for the Investment Contract and paid the financial return of the Contract according to provisions of this law and regulations issued pursuant to. Third Chapter Contract of Investment Article 29: It is required for the issuance of Contract of investment for a mineral, in a specific area to be preceded by search operations for that mineral/metal, either by the Ministry or according to a license for research. Research should prove the existence of ore by quantities permitting its investment. The Contract of Investment is issued at a decision of Council of Ministers on the grounds of the Ministers proposal according to the conditions stipulated in this law. Article 30: Excluding provisions of the previous Article, the Council of Ministers may issue the Investment Contract without any preceding research operations for the areas that reveals existence of the ore in sufficient quantities permitting its investment. The Ministry should enlist such known areas to it in a special register prepared for this purpose and to promulgate about that in official Gazette during the month of January each year. This register can be seen at any time. Investment of those areas should be floated in a general bidding according to provisions of the following Article: Article 31: The Minister shall issue a decision to form a Committee to set up rules and procedures of General Bid announcement to invest the areas referred to in the previous Article, on the basis of placing minimum limit in lieu of Investment right to be taken as a base for the Bidding in addition to loyalty or rent determined by the Executive Regulation. The Minister may disregard recompense of investment right and make loyalty amount or rent full or discounted as a basis for bidding once there are material technical or economic reasons justifying so. The Committee shall consider submitted tenders in the bidding to confirm meeting to the announced conditions and set aside unsatisfying ones.
  • 12. Then, it shall recommend adjudicating the bid in favor of the best renderers in terms of financial & technical aspects, considering good well and previous works in investment of metals and mining industry. Such recommendations would be put forward to the Minister. Article 32: The Investment Contract is issued for the period specified by the requester provided that it does not exceed thirty years. It is up to the Council of Ministers to decide renewal of the Contract as per the following conditions: a) When the investor has executed all obligations imposed on him. b) To inform the Ministry in writing on his desire to renew the Contract six months at least prior to termination of its duration. c) That the renewal should be for the duration fixed by the investor, on condition that it does not exceed fifteen years. Meanwhile, it is possible to make agreement between the Ministry and the Investor to renew the Contract afterwards as the conditions agreed upon provided that the renewal in this case should be concluded by a law. In all cases, laws and regulations applicable at time of renewal shall govern the regulatory rules of the contract. Article 33: The licensee may not extract any ores or other mineral/metal materials except the ore of the material or the metal material he has contracted to invest; unless such ores/materials are mixed with the ore of that material or with the metal material he is contracting to invest and it is not possible to extract one out of the ground without the other ore. In this case, the Investor has to notify the Ministry of that within sixty days of date of his finding out of the other ore and he may not dispose of the said ore/ores except after obtaining prior consent of the General Administration. Article 34: It is possible by a decision of Council of Ministers to cancel the Contract if the Investor has not invested seriously the location for three consecutive years from date of signing the Contract or if the investor stops investment for one year without obtaining a prior written consent from the Minister. Article 35: 1- The owner of the investment right in accordance with provisions of this law may request one license for protection or more that includes an adjacent area to the area invested by him or that area he is requesting its investment, on condition that the total protection area is not
  • 13. exceeding the investment area. Also, this area should be free of third party rights. The area subject matter of protection license would be on the shape of a square or a rectangular. 2- The licenses of protection would be for the period specified by the requester but not exceeding the investment duration. 3- The license of Protection is issued by a decision of the Minister. The licensee pays a prepaid annual rent for the area of protection in the amount of tenth of prescribed rent category of the Investment Area. 4- The license of Protection entitles – the licensee – to conduct research operations. Also he is entitled during validity of license period to obtain an Investment Contract for the whole or part of the area of protection according to terms and conditions prescribed in this law. He can dispose also through permission of the Ministry in the extracted ore or resulting from the research operations on condition that he has submitted a request for the Investment Contract and paid the financial amount for the Contract according to provisions of this law and regulations issued pursuant to. Third Section Provisions related to quarries Article 36: The quarry Investment Contract is issued for a period not more than five years by a decision of the Minister. If the duration exceeds that and did not extend beyond fifteen years, the decision should be issued by the Council of Ministers. However, it is permitted to renew the Contract to other terms not exceeding in its total thirty years as per the conditions stated in the Articles 32 & 39 of this Law. Article 37: A loyalty shall be paid in respect of quarries' materials at the end of every six months according to categories and provisions stated therein the executive regulation. Every natural or artificial person who is requesting the license to extract quarries' materials to set up on his own account charity installations like mosques, hospitals, refuges, schools or to backfill ponds and swamps shall be exempted from paying of loyalty. Article 38: The investor shall pay a prepaid annual rent to be estimated by a Committee formed by a decision of the Minister. Such estimation would consider the economic circumstances and all other considerations related to every quarry, particularly, its area, location and type of
  • 14. materials to be extracted thereof. The estimation of the Committee would be valid for the term of the Contract. If the investment seeker refuses payment of rent estimated by the said Committee, the investment of the quarry shall be floated in a General Bid on basis of the rent specified by the Committee. Article 39: Upon renewal of the Contract, it is up to the referred Committee in the previous Article to decide increase or decrease the rent according to the requirements of the economic conditions. It may also reconsider estimation of the rent during validity of contract's term based on the request of the Contractor or the Ministry on condition of stating serious reasons justifying that, besides elapsing of five years at least on the previous estimation of the Committee. Article 40: The investor of the quarry may replace, during the validity of the Contract and after passing of a period not less than six months from date of it conclusion or renewal, with another quarry of its type in the same area as per the conditions stipulated in the Investment Contract and to its remaining period if it proves to the Ministry justifications of that replacement and provided that the Investor pays all due loyalties for the materials he has already extracted from the quarry to be replaced prior taking over of the new quarry. The replacement shall be only for one time along the original and renewed duration of the Contract. The rent of the new quarry would be determined as indicated in the Article 38, but once this rent is more than the old rent, the Investor is committed to pay the difference of both values before taking over of the new quarry; otherwise right shall lapse in the replacement. However, if the new rent is less than the old rent, he not entitled to claim the difference. Article 41: The council of Ministers may cancel the Investment Contract if the work stops in the quarry for a period over ninety days without prior written permission issued by the Ministry according to request submitted by the Investor explaining the reasons calling for this stoppage. Article 42: If the Investor does not transport the quantities he has extracted from the quarry until the expiry of Contract term, the ownership of the remaining material would revert to the Ministry without recompense, unless the Investor submits during fifteen days from date of expiry of the Contract a request to preserve his right in its transportation
  • 15. in a time fixed by the Ministry and on condition of payment an amount equals to double loyalty prescribed on those quantities. Article 43: The owner of land where materials for building are available, the right to extract such materials for his private use. In this case, he would be exempted of rent and loyalty. The owner may not extract these materials or else from the quarries' materials with the aim of investment except after obtaining permission as per terms and conditions stipulated in this law. In this case, he would be exempted from rent and should be obligated to pay the stipulated loyalty. Fourth Section Penalties Article 44: Whoever extracts or attempts to extract metal or stone materials from the mines or quarries without a license or an Investment Contract in cases the law require that, he will be penalized by theft punishment or attempting of theft. It will be ruled to confiscate machinery and tools used in extraction. Article 45: Without prejudice to any tougher punishment stipulated legally, whoever violates provisions of this law and its issued pursuant resolutions shall be penalized with a fine not less than ten pounds and not more than twenty pounds. The violator is required to remove the reasons of violation within the respite defined by the Ministry. The General Administration is entitled to remove administratively the reasons of violation at the cost of the violator if it believes that the violation might inflict a damage that cannot be caught up with/prevented. Article 46: Ministry officials, whom a decision is issued by the minister to assign them, would be given the capacity of investigation officers to establish what is in contravention to provisions of this law and the decisions issued pursuant to. They have the right to access to books, accounts, documents and request for data related to the activity of the licensee or the Investor. The examination would be in the place of the licensee or the Investor at normal timing working hours without need to prior notification.
  • 16. Fifth Section Closing & temporary provisions Article 47: For the purposes of investment of the mines and the quarries, the Ministry would permit in establishment of public roads or construct railways or air wire, electrical, telephone lines and pipelines or in construction of airports, anchorage and their facilities as places of storage and others after getting the approval of the competent authorities. Moreover, what is needed to lands, it would be expropriated or taken over temporarily in favor of the licensee or the Investor while compensation would be paid to the landowner. The installations set up would revert at the end of license term or Contract to the State without recompense and it would be regarded of public funds. Article 48: The loyalties, rents and any other amounts due to public treasury according to provisions of this law shall be surveyed through Administrative seizure. Article 49: The Ministry shall assume creation of forms to survey, search and protection licenses and also for investment contracts. A resolution would be issued by Council of Ministers concerning these forms. Article 50: It is possible by Minister's decision to exclude search works or the previous works conducted by Industrial Research Center from whole or part of conditions related to these works stipulated therein this law, regulations and decisions issued pursuant to. Also, the Minister may exclude investment transactions conducted by the General Libyan Organization for Manufacturing from whole or part of conditions related to Investment stipulated therein this law, regulations and decisions issued pursuant to. Article 51: The Executive Regulation for this Law shall be issued by decision of Council of Ministers based on the proposal of the Minister. However, until issue of this Regulation, acting with current regulations and decisions at the time of validity of this law with what does not contradict of its provisions. Article 52: The minerals law No. 9/1953 is nullified; also, any other text contradicting with provisions of this law is regarded as nullified.
  • 17. Acting with the executive resolutions issued in implementation would continue until they are cancelled or replaced. Also acting with licenses and contracts which were granted in accordance with its provisions would continue until expiry of the duration stated therein. Article 53: Minister of Industry and Mineral Wealth to implement this law and it shall come into force after three months of date of its promulgation in the Official Gazette. Revolutionary Command Council Chief of Council of Ministers Deputy Prime Minister for Production Sector/Minister of Industry & Mineral Wealth Issued on 9th Thu El Qaeda 1390 H. Corresponding to 6th January 1971