Balance Between Government and Investor Revenue
Most developing economies impose nominal fees for the application and issuance of documents
relating to exploration and mining. In most cases, these fees are small and are designated to
generate revenue for the administrative agency. Where fees are more than nominal they may be
purposefully high to discourage speculators.
Many countries levy a fee on economic activities that use land in some way, and in many instances
this includes mineral sector activities. The fee’s name varies from place to place and common
names include: rent, land-use fee, surface rental, occupation fee, etc.
Such fees are usually
based on land area and are calculated by multiplying some standard rate for that type of activity
times the land area being used for that activity.