HomeMining LawMining law: the basics

Can I Mine Alluvial Gold on My Own Land?

Yes — if you are a citizen, the mining is non-mechanised, it is done safely under the Mining (Safety) Act, and the land is not subject to a tenement other than an exploration licence. Anything more needs a tenement.

The mining law series, no. 5 · Who owns the minerals · 5 min read

Section 9 of the Mining Act 1992 contains the one right in the Act that a landowner can exercise without any licence at all.

Section 9(1) — the general rule

Section 9(1)

Except as provided in subsection (2), the mining of alluvial minerals shall be undertaken on a tenement and shall be subject to the provisions of Part V.

So alluvial mining is ordinarily tenement work — on an alluvial mining lease, or on a mining lease for the sole purpose of mining alluvial minerals, which under section 38(2) may be held only by a citizen, a company at least 51% beneficially owned by citizens, or a joint venture at least 51% citizen-owned.

Section 9(2) — the exception

Section 9(2) — the four conditions

Any natural person who is a citizen may carry out non-mechanized mining of alluvial minerals on land owned by that natural person, provided:

— the mining is carried out safely and in accordance with the Mining (Safety) Act (Chapter 195A); and

— the land is not the subject of a tenementother than an exploration licence.

The four conditions in section 9(2)
ConditionWhat it means
A natural person who is a citizenNot a company, not a land group, not a non-citizen. The right is personal
Non-mechanizedPan, sluice box, shovel and dish. Excavators, dredges, pumps and mechanical processing are outside the right
On land owned by that personYour own land — including customary land you own. Not a neighbour’s, and not on the strength of permission from someone else
Safely, under the Mining (Safety) ActThe safety legislation applies in full
Not on tenement landExcept where the only tenement is an exploration licence
The exploration licence carve-out matters

An exploration licence confers exclusive occupancy for exploration purposes under section 23(2) — but section 9(2) expressly preserves the citizen’s non-mechanised alluvial right over the same land. An explorer cannot use its licence to stop a landowner panning their own creek.

Once a mining lease, special mining lease, alluvial mining lease or lease for mining purposes is granted over the land, the right ends.

Sections 9(3) and (4) — what the right does not do

Two important limits

Section 9(3) — the right shall not affect the right of any person to make application for and be granted a tenement under the Act. Mining your own creek does not reserve the ground, and does not give you priority.

Section 9(4) — the Minister may, under section 7, reserve land from mining under section 9(2) by notice in the National Gazette.

Nor does the right give ownership of minerals in the ground: under section 5 all minerals are the property of the State. What section 9(2) gives is lawful authority to win them by hand.

Moving from section 9 to a lease

Section 9(3) cuts both ways: it means someone else may apply over your land, and it means you may apply too. The tenement designed for landowners is the alluvial mining lease:

Section 48(1)

The Minister may, on the application of a natural person who is a citizen or of a land group, in respect of land owned by that person or land group, and after considering a recommendation from the Council, grant an alluvial mining lease over that land to that person or land group.

Section 9(2) right compared with an alluvial mining lease
Section 9(2) rightAlluvial mining lease
WhoA citizen, personallyA citizen or a land group
WhereLand you ownLand you or the group owns
MethodNon-mechanised onlyMechanised mining and treatment permitted
AreaNot specified5 ha, river bed and up to 20 m from it
TermContinuing, while the conditions hold5 years, extendable
ExclusivityNone — anyone may apply over the landExclusive occupancy for alluvial mining — s 51(2)(a)
Ownership of what is wonLawfully won mineralsOwns all alluvial minerals lawfully mined — s 51(2)(b)
ObligationsSafetyApproved proposals, rent, royalty, security, reporting
A lease is the only way to protect the ground

If you are working a creek under section 9(2) and want to keep others out, apply for an alluvial mining lease. The section 9(2) right confers no exclusivity at all, and section 9(3) makes that explicit.

Note also section 57: an alluvial mining lease is not transferable, and section 58 prevents its consolidation — the tenement is meant to stay with the landowner.

Other law that still applies

  • Safety. The Mining (Safety) Act (Chapter 195A) applies in terms — section 9(2) makes safe conduct a condition of the right itself.
  • Environment. Working a river bed may involve an activity under section 41 of the Environment Act 2000, and the general environmental duty in section 7 of that Act applies to everyone, permit or no permit. Discharging silt or contaminants into water is regulated under Part VII.
  • Mercury. Using mercury creates environmental harm risks and serious health risks, and may engage the offences in sections 11 to 13 of the Environment Act.
  • Young persons. The Employment Act rules on young persons apply to anyone employed — including the prohibition on injurious work for anyone under 16.
  • Data. Section 5A requires mineral and geological data to be submitted to the Mineral Resources Authority.

Practical steps

  1. Check the land is yours, and that you can show it.
  2. Check the tenement position — ask the Registrar of Tenements what is registered over the land.
  3. Check for a section 7 reservation in the National Gazette.
  4. Keep it non-mechanised if you are relying on section 9(2).
  5. Work safely — collapsing banks and pit walls kill people every year.
  6. Avoid mercury, and keep silt out of the river so far as reasonable and practicable.
  7. If the operation is growing, apply for an alluvial mining lease — or, through a land group, hold it collectively.

Sources

Check the section yourself

Before relying on anything here, read the current text of the Mining Act 1992 and check for later amendments. If a decision matters to you, get advice — start with the Office of the Public Solicitor, or find a firm in the law firms directory.

Disclaimer: This article provides general information about Papua New Guinea law and does not constitute legal advice. Laws may change, and their application depends on individual circumstances. You should obtain professional legal advice for your specific situation. Read the full disclaimer.