Minerals and Mining Program - Mine Licenses

 

Sand and Gravel Pit in Process of Final Reclamation

 

 

During the 2009 legislative session, the Legislature passed House Bill 1048, which will change several department fees.  One of the fees that will change includes the existing $100 annual mine license fee.  Effective July 1, 2009, the fee will change to an annual fee of $100 for each privately operated mine site authorized under a mine license.  To keep the process as simple as possible, a billing based on the number of mine sites authorized under your mine license for the previous year will be sent to you along with your annual mine license renewal material. 

 

Who Needs a Mine License

 

A mine license is required to mine sand, gravel, rock to be crushed and used in construction, pegmatite minerals; and limestone, iron ore, sand, gypsum, or shale used to make cement or lime; or dredging for commercial resale.  Mining of all other minerals requires a mining permit.

 

For information on mine licenses for sand, gravel, rock to be crushed and used in construction, pegmatite minerals, and limestone, iron ore, sand, gypsum, or shale used to make cement or lime, please email Thomas Cline or Bret Graves, or contact them at (605) 773-4201. 

 

 

What Activities are Exempt from Licensing

 

Landowners that mine sand and gravel for their own personal use and do not sell it are exempt from mine licensing requirements.

 

 

What is the Procedure for Obtaining a Mine License and Authorizing Mine Sites Under a License 

 

1.     Submit a mine license application;

2.     Submit a certification of applicant form;

3.     Publish a notice of intent to mine in a newspaper local to the mine at least 14 days prior to the commencement of mining;

4.     At least 30 days prior to the commencement of mining, submit a copy of the notice of intent and a map of the mine site to the required government agencies; and

5.     Submit a reclamation bond in the amount of $500 per acre of disturbed land or a $20,000 statewide reclamation surety. 

 

The mine license will cover any number of sites.  For additional sites, an operator only needs to publish a notice of intent, notify the four government agencies, and submit any additional reclamation surety.  Units of state and local government are exempt from fee and bonding requirements.  

 

 

Reclamation Bonding Requirements

 

Prior to the commencement of mining, an operator must submit a reclamation bond in the amount of $500 per acre of affected land.  In lieu of submitting a reclamation bond for each operation, an operator may submit a $20,000 statewide reclamation surety to cover all operations throughout the state.  Units of state and local government are exempt from bonding requirements.      

 

 

Annual Report Requirements

 

The operator is required to file an annual report on the annual report date of the mine license set by the department.  The department mails an annual report form for each licensed location to the operator about two months before the annual report date.  The department also provides a map for each licensed location so that the operator can show the areas mined and reclaimed overall and since the last annual report date.  The completed annual report contains the following information:

 

    1.     Total acres mined under the license;

2.     Acres mined under the license since the last annual report date;

3.     Total acres reclaimed under the license;

4.     Acres reclaimed under the license since the last annual report date; and

5.     Tons removed under the license since the last annual report date.

 

Effective July 1, 2009, the fee will change to an annual fee of $100 for each privately operated mine site authorized under a mine license.  To keep the process as simple as possible, a billing based on the number of mine sites authorized under your mine license for the previous year will be sent to you along with your annual mine license renewal material.    

 

What Statutes Govern Mine License Activities

 

The law that applies to Sand, Gravel, and Construction Aggregate Mining is (SDCL 45-6)

 

 

Mine License Application and Other Forms

 

To download mine license application and other forms, please go to the mine license forms web page.  If you cannot download the forms, please e-mail your name and address to Thomas Cline or Bret Graves and the forms will be sent to you.

 

 

Other Permits Required

 

To learn more about other permits that may be required for mine license operations, please go to the one stop permitting page.  Also, the federal Mine Safety and Health Administration (MSHA) has additional requirements for mining operations in South Dakota. Please contact their district field office at (605) 348-2076 or check the MSHA web page at MSHA.GOV for more information. 

 

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