Recent Reform Of Mineral Rights Granting System

Introduction

In June 2017 the Ministry of Land and Resources (MLR) formally announced the Mineral Rights Granting System Reform Programme, which the Communist Party Central Committee and the State Council approved at the end of 2016. The programme aims to promote the competitive granting of all types of mineral right in China, including in the oil and gas, coal and metallic sectors. The programme requires the competent authorities to implement tender, auction and listing methods to grant mineral rights and imposes strict restrictions on the granting of mineral rights via agreements. It also requires the MLR to delegate its mineral rights approval powers to lower-level competent departments.