MINERAL ROYALTY & DEAD RENT(Rock Phosphate)

SATBEER SINGH

Royalty types

three types:• (1) unit-based• (2) value-based (ad valorem) - this includes

Net Smelter Returns, Net Revenue or Net Proceeds royalties

• (3) profit-based

ad valorem

Royalty rates as after last revision

• Rock Phosphate:

>25 % is 12.5 % (on ad-valorem basis)<25% is 6% (on ad-valorem basis)

Royalty & relevant terms

Mineral Categorization

Royalty Calculation

Dead Rent

References

• ibm.nic.in/writereaddata/files/06302014174344mineralroyalties2011.pdf

• http://pib.nic.in/newsite/PrintRelease.aspx?relid=117120

THANKS