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St. John's, Newfoundland and Labrador, Canada

Important Information
(Includes details about the availability of printed and electronic versions of the Statutes.)

Consolidated Newfoundland Regulation 1996



Mineral Holdings Impost Regulations
under the
Mineral Holdings Impost Act
(O.C. 96‑873)

Under the authority of section 46 of the Mineral Holdings Impost Act and the Subordinate Legislation Revision and Consolidation Act, the Lieutenant‑Governor in Council makes the following regulations.



        1.   Short title

        2.   Definitions

        3.   Exemptions

        4.   Report to be submitted

        5.   Separate reports required

        6.   Requirements of report

        7.   Front cover of report

        8.   Illustrations in report

        9.   Plans, profiles, sections or diagrams

      10.   Illustrations to scale

      11.   Information required

      12.   Text of report

      13.   Availability of information

      14.   Information may be made available

      15.   Submission of report

      16.   Rejection of report

      17.   Deficiencies described

      18.   Approval by minister

      19.   Expenditures

      20.   Work or development to be approved

      21.   Interest rate

      22.   Refund of overpayment

      23.   Interest on refund

      24.   Repeal


Short title

        1. These regulations may be cited as the Mineral Holdings Impost Regulations.

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        2. In these regulations

             (a)  "Act" means the Mineral Holdings Impost Act;

             (b)  "minister" means the minister appointed under the Executive Council Act to administer the Act; and

             (c)  "report" means a report as required by section 4.

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        3. All classes of mineral holdings listed or referred to in the Schedule to these regulations are exempt from the application of the Act.

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Report to be submitted

        4. Expenditures, exploration work and pre‑production development shall not be approved by the minister for purposes of section 9 of the Act until a report describing those expenditures, exploration work and pre‑production development has been submitted to the minister by the taxpayer in accordance with these regulations and the report has been approved by the minister.

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Separate reports required

        5. A separate report shall be submitted for each mineral holding in respect of which deductions are claimed under section 8 of the Act.

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Requirements of report

        6. A report shall be

             (a)  bound in a folder;

             (b)  the typewritten original or a photocopy of same;

             (c)  on letter size paper;

             (d)  sequentially numbered on every page;

             (e)  accompanied by

                      (i)  a table of contents listing the main sections of the report,

                     (ii)  a table of illustrations listing the plans, sections, diagrams, photographs, logs, and similar, bound into or otherwise accompanying the report, and

                    (iii)  notwithstanding paragraph (c), the pre‑printed record forms not of letter size that are necessary.

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Front cover of report

        7. On the front cover of a report, there shall be printed

             (a)  the nature of the report, whether geological, geophysical, engineering, or other;

             (b)  the number or description of the mineral holding to which this report pertains;

             (c)  the name of the author of the report;

             (d)  the name of the person or company for whom the work was done; and

             (e)  the dates between which the work was done.

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Illustrations in report

        8. An illustration bound into or otherwise accompanying a report shall

             (a)  whether bound into the report or not

                      (i)  be uncoloured,

                     (ii)  have a legend referenced by numbers, letters, graphic patterns and symbols;

             (b)  if not bound into the report

                      (i)  be not greater in outside dimension than 75 centimetres by 110 centimetres,

                     (ii)  be in the form of a transparency, not a sepia, made from the original drawing or tracing,

                    (iii)  be unfolded, rolled and contained in a protective mailing tube.

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Plans, profiles, sections or diagrams

        9. Plans, profiles, sections or diagrams included in or accompanying a report shall bear, as may be appropriate to the nature of each illustration, the following:

             (a)  a sketch location map, either comprising a separate illustration or incorporated in at least one of the illustrations, showing the location of the work relative to the mineral area boundaries and local topography;

             (b)  including the sketch map referred to in paragraph (a)

                      (i)  a bar scale in metric units,

                     (ii)  an astronomic north arrow,

                    (iii)  the mineral holding to which the illustration refers,

                    (iv)  the date of preparation;

             (c)  excluding the sketch map referred to in paragraph (a)

                      (i)  the nature of the work depicted,

                     (ii)  a complete legend and list of symbols,

                    (iii)  the source of the base map, if that was employed;

             (d)  the location and extent of

                      (i)  the principal local topographic features,

                     (ii)  all grid lines, flagged lines, flight lines or traverses, indicating whether cut or flagged,

                    (iii)  all trenches, pits, stripped areas and underground workings,

                    (iv)  samples taken or observations recorded,

                     (v)  all outcrops, mapped float and other features that may be displayed graphically;

             (e)  the appropriate vertical or horizontal projection with indicated orientation of underground workings and diamond drill holes;

              (f)  the location of geodesic and base stations, reference, control and tie‑in points;

             (g)  the attitudes of the various rock types exposed and of geological structures observed;

             (h)  the numerical values, corrected and adjusted as necessary, of basic data obtained, observations made and samples analyzed; and

              (i)  the interpretation of data as profiles, contours, zones of variation, anomalies and similar.

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Illustrations to scale

     10. All illustrations included in or accompanying a report shall be to a scale expressed in metric units, that scale not to be smaller than, in the case of

             (a)  index maps ‑ 1:250,000;

             (b)  plans of

                      (i)  airborne surveys ‑ 1:50,000,

                     (ii)  ground surveys ‑ 1:50,000,

                    (iii)  trenching, pitting or stripping ‑ 1:5000,

                    (iv)  diamond drilling ‑ 1:10,000, and

                     (v)  underground workings ‑ 1:5000; and

             (c)  sections and profiles of

                      (i)  ground surveys ‑ 1:50,000,

                     (ii)  diamond drilling ‑ 1:2000,

                    (iii)  underground workings ‑ 1:5000.

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Information required

     11. A report shall contain the information that is necessary to substantiate the expenditures claimed including

             (a)  details and results of all exploration work or pre‑production development; and

             (b)  an account of the expenditure incurred in the performance of that work or development.

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Text of report

     12. The text of a report shall include

             (a)  the names and signatures of the author and the person under whose supervision the work was conducted;

             (b)  the date of the preparation of the report;

             (c)  the names and addresses of the persons who conducted the work;

             (d)  the number of days that each person referred to in paragraph (c) was employed in the conduct of the work; and

             (e)  that may be appropriate to the nature of the report, the following:

                      (i)  descriptions and location of outcrops and float examined, structures, textural, metamorphic and other geological features noted,

                     (ii)  assay results and the name and address of the assay laboratory,

                    (iii)  location of surveys, survey grid lines and surface or underground workings with reference to prominent physical or topographic features or geodetic survey stations,

                    (iv)  method and procedure of survey, type of instruments used, components measured, sensitivity, precision and scale constant of instruments, aircraft type, speed, ground clearance and average flight line separation,

                     (v)  units measured, how corrected and adjusted,

                    (vi)  description of control surveys over known mineralization and known barren ground,

                   (vii)  detailed meterological conditions and relevant dates,

                  (viii)  description of topography, overburden and vegetation coverage, drainage and ground water,

                    (ix)  results of prior work and other surveys or observations,

                     (x)  nature of media observed and sampled in geochemical surveys including species and parts of plants sampled, period, depth, interval or density of sampling, preparation of samples, method of analysis, name of laboratory and name of analyst,

                    (xi)  the total line kilometres of each type of survey conducted, together with the interval along the lines at which observations were recorded or samples taken,

                   (xii)  the current condition of surface or underground openings and whether fenced, barricaded or left open, and

                  (xiii)  complete drill logs with name of contractor, results of all assays, or if no assays are provided, the reason for their absence and, specifically in addition to the conventional information, the disposition of the casing, the nature and results of down‑the‑hole surveys conducted, the manner in which the horizontal location and elevation of the hole collar have been determined and the current location of the drill core or stored cuttings;

              (f)  an interpretation of the results obtained;

             (g)  conclusions and recommendations; and

             (h)  reference to information sources other than the report material derived from field work conducted by the holder.

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Availability of information

     13. (1) Subject to subsections (2) and (3), information contained in a report shall be made available only to persons authorized by the minister or the taxpayer to receive that information.

             (2)  Subsection (1) does not affect the operation of

             (a)  an Act of the province that provides for the collection of information for statistical purposes; or

             (b)  an agreement of the province with the Government of Canada or with another province or with a statistical or other agency of them.

             (3)  Subsection (1) does not apply to information as to

             (a)  the numbers of people employed;

             (b)  the amount and nature of work done;

             (c)  expenditures of money;

             (d)  the qualifications or skills of persons who are employed;

             (e)  the residences or places of origin of persons who are employed; or

              (f)  information that in the opinion of the minister is similar to the information described in paragraphs (a) to (e).

             (4)  The authorization of the minister under subsection (1) may be given only for the purposes of the Act or an Act of the province that provides for the administration of mines or minerals or that imposes a tax in respect of mines or minerals.

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Information may be made available

     14. Notwithstanding section 13, information contained in a report may be made available for any purpose after

             (a)  the expiration of 3 years, from the day that the report was received by the minister; or

             (b)  the termination, surrender or expiration of the mineral holding to which the report relates.

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Submission of report

     15. All reports shall be delivered to the minister within 3 months after the close of the calendar year.

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Rejection of report

     16. The minister may reject a report if it has not been compiled to his or her satisfaction or if, in his or her opinion, the exploration work or pre‑production development described in the report has not been performed.

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Deficiencies described

     17. Where the minister rejects a report, he or she shall provide the taxpayer with a description of the deficiencies and the taxpayer may within 30 days of receiving notice of those deficiencies submit a revised report.

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Approval by minister

     18. When a report has been submitted which is acceptable to the minister, he or she shall approve, for the purposes of section 8 of the Act, those expenditures described in the report which, in his or her opinion, were incurred for purposes of exploration or development within the mineral holding.

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     19. For the purposes of section 18, expenditures incurred for purposes of exploration or development shall include expenditures incurred in

             (a)  prospecting;

             (b)  trenching, pitting and stripping;

             (c)  line cutting and flagging;

             (d)  surface and underground geological surveys;

             (e)  airborne, surface and underground geochemical surveys;

              (f)  airborne, surface, underground and borehole geophysical surveys;

             (g)  photogeological and remote imagery interpretations;

             (h)  drilling;

              (i)  land surveys;

              (j)  topographic surveys;

             (k)  shaft sinking and other underground development work;

              (l)  engineering evaluation reports;

            (m)  beneficiation studies, analyses, assays and microscopic studies;

             (n)  preparing a mine for production; and

             (o)  other activities that may be approved by the minister.

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Work or development to be approved

     20. Where expenditures have been approved by the minister, the exploration work or pre‑production development to which those expenditures relate shall be approved by the minister for purposes of section 7 of the Act.

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Interest rate

     21. (1) Interest shall be levied upon a sum due at the rate of 1.2% compounded per month or part of a month from the date the sum is required to be paid to the date of payment.

             (2)  Interest shall not be levied for a month in which the sum due is less than $100.

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Refund of overpayment

     22. (1) Where a person has paid to the Crown an amount which exceeds the amount required to be paid, that person may apply in writing to the minister for a refund of the overpayment.

             (2)  An application for refund shall be supported by the relevant facts, documentation or other information that the minister may request.

             (3)  Upon verification of an application for refund, the minister shall pay the verified amount of overpayment to the person to whom the refund is due.

             (4)  A refund shall not be paid under this section where the amount of tax is less than $10.

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Interest on refund

     23. (1) Where the minister issues a refund under section 22, he or she shall, at the same time, pay interest on the amount of the refund at the rate of 0.7% compounded per month from the date the application is received to the date the refund is approved.

             (2)  Where the minister issues a refund of tax resulting from a review or appeal of an assessment, interest shall be paid to the taxpayer at the rate specified in subsection (1) from the date that the assessment or part of the assessment was paid, to the date the refund is approved.

             (3)  Interest shall not be paid under this section when the amount of refund is less than $100.

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      24. The Mineral Holdings Impost Regulations, 1978, Newfoundland 51/78, are repealed.


All mineral holdings in those areas referred to and described as "reserved areas" in the Mineral Rights Agreement of August 1, 1968 between the Lieutenant‑Governor in Council and British Newfoundland Exploration Limited and Churchill Falls (Labrador) Corporation Limited.

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