Minerals Development Act, 1940

Restrictions on the grant of ancillary rights licences.

41.—(1) An ancillary rights licence shall not be granted unless all the following conditions (in this Act referred to as statutory conditions) are fulfilled, that is to say:—

(a) the applicant for such licence is entitled to work the minerals in relation to the working of which such licence is applied for, and

(b) the ancillary right in respect of which such licence is applied for is necessary for the proper and efficient working of the said minerals by the said applicant, and

(c) it is not reasonably practicable for the said applicant to obtain by private arrangement the said ancillary right.

(2) An ancillary rights licence shall not be granted in relation to the-working of State minerals unless they are comprised in a State mining lease, and, where such licence is granted in relation to the working of State minerals so comprised, the duration of such licence shall not exceed the unexpired residue of the term granted by such lease.