South Australian Current Acts

MINING ACT 1971 - SECT 17AB

17AB—Royalty for private mines

        (1)         Subject to and in accordance with the provisions of this Act, royalty in respect of minerals recovered from private mines is payable as follows:

            (a)         in the case of a private mine in relation to which a relevant event has occurred—royalty is payable on—

                  (i)         extractive minerals recovered from the private mine; and

                  (ii)         any other minerals recovered from the private mine on or after the day on which the relevant event occurred;

            (b)         in any other case—royalty is payable on extractive minerals recovered from the private mine, but is not payable on any other minerals so recovered.

        (2)         For the purposes of subsection (1), a "relevant event" occurs if, on or after 19 June 2014, there is (or has been) a change in—

            (a)         the proprietor of the private mine; or

            (b)         the whole or any part of the right to carry out authorised operations at the private mine.

        (3)         A reference in subsection (2)(a) to a change in the proprietor of a private mine includes a change in a person lawfully claiming under the proprietor whether the claim is of a legal or equitable kind.

        (4)         If a private mine has 2 or more proprietors, a change in any of those proprietors will be taken to be a relevant event for the purposes of subsection (2)(a).

        (5)         Without limiting any other provision, the following will be taken to be relevant events for the purposes of subsection (2)(a):

            (a)         the creation, transfer, assignment, sale or disposal of an interest in proprietary rights in minerals recovered from a private mine under a contract or other instrument or agreement;

            (b)         an event, transaction or acquisition that would give rise to liability to pay duty under Part 3 Division 6 or 8 or Part 4 of the Stamp Duties Act 1923 , disregarding any exemptions from such duty applying under that Act;

            (c)         without limiting paragraph (b), the acquisition of a controlling interest in a business that—

                  (i)         is the proprietor of the private mine; or

                  (ii)         holds the whole or any part of the right to carry out authorised operations at the private mine.

        (6)         For the purposes of subsection (5)(c)—

            (a)         "business" includes bodies and associations (corporate and incorporated) and partnerships; and

            (b)         a person has a "controlling interest in a business" if the person would be treated as having a controlling interest in the business for the purposes of section 72 of the Payroll Tax Act 2009 (disregarding section 72(1)).

        (7)         Subject to subsection (8), the proprietor of a private mine is liable for royalty payable under this section.

        (8)         If—

            (a)         a person other than the proprietor is carrying out authorised operations at a private mine; and

            (b)         the proprietor gives notice to the Minister, in a manner and form determined by the Minister, under this section,

the person carrying out the authorised operations (rather than the proprietor) is liable for royalty under this section.

        (9)         If—

            (a)         the proprietor of a private mine has given a notice to the Minister under subsection (8); and

            (b)         the person carrying out authorised operations at the private mine fails to pay royalty; and

            (c)         the proprietor pays the royalty,

the proprietor may, subject to any agreement to the contrary—

            (d)         recover the amount paid as a debt from the person who failed to pay the royalty; or

            (e)         set off the amount paid against a liability (if any) to the person who failed to pay the royalty.