Minerals Development Act 2017

Liability for damage or nuisance caused by prospecting

51. (1) If damage to the surface of any land, to minerals or to water supplies or a nuisance is caused, directly or indirectly—

(a) by the exercise of the Minister of the right of entering and prospecting as provided for under section 8 , or

(b) by the exercise of a licensee under a prospecting licence or a retention licence of a right under the licence,

the Minister or the licensee, as the case may be, is liable to pay compensation for the damage or nuisance.

(2) The reference to damage to minerals in subsection (1) does not include damage to minerals being prospected for by the Minister or licensee if the damage was caused by an act or omission of the Minister or licensee that was authorised under this Act.

(3) Except where subsection (2) applies, the fact that the damage or nuisance was caused by an act or omission that was authorised under this Act is not a defence to a claim under subsection (1).

(4) If the parties cannot agree on whether the damage or nuisance was caused by the Minister or the licensee or on the amount of compensation for the damage or nuisance, the Mining Board shall determine the matter.

(5) A right to compensation under subsection (1) is extinguished unless an application to determine the matter is made to the Mining Board within the limitation period determined in accordance with the provisions of the Statutes of Limitations that is applicable to actions based on tort.

(6) If the damage or nuisance occurs on State land and is caused by the licensee under a prospecting licence or a retention licence, the compensation shall be paid to the Minister, but the Minister shall not enter into any agreement fixing the amount of the compensation without the prior consent of the Minister for Public Expenditure and Reform.