Subject to the definitions set forth in the Mining Investment Law, issued by the Royal Decree No. (M/140), dated (19/10/1441 AH) and any other related laws, the following words, phrases, and terms shall have the meanings assigned to each:
1. Kingdom: The Kingdom of Saudi Arabia.
2. Regulation: The Implementation Regulation of the Mining Investment Law.
3. Guidelines: The Guidelines issued by the Ministry to further explain the conditions, requirements, and procedures set out under the Mining Investment Law and the Regulation.
4. Accounting Principles: The accounting standards approved by the Saudi Organization for Certified Public Accountants.
5. Permanent Committee: The committee that is established under Cabinet Resolution No. (634) dated (17/10/1441 AH) and empowered to decide on objections to applications for Licence Sites and Mining Licences.
6. Inspector: A Person who is authorised to monitor, inspect, and detect irregularities.
7. Executive Officer: The senior officer responsible for the management of the applicant or a Licensee.
8. Stakeholders: A group of individuals, institutions, companies, or government authorities which have an interest in the Licence Site.
9. Local Communities: include:
9.1. Natural Persons: Persons who permanently reside in communities close to the Licence Site and who have resided there for no less than three years during the last five years.
9.2. Legal Persons: Persons whose permanent residence is in communities close to the Licence Site, and who have resided there for no less than three years during the last five years.
10. Consortium: A group of corporate entities that wish to jointly obtain a Mining Licence.
11. Landowner: A Person who owns a specific area of land according to a legally valid deed.
12. Land User: A Person who holds a legal right to use a specific area of land, whether through an agreement, a legal easement, or any other legal reason.
13. Business Feasibility Study: A study that demonstrates the feasibility of mineral resources located at the site, the magnitude of the investment required to conduct the proposed operations, the anticipated economic return of the project, its ability to sustain and grow, and an explanation of the internal and external factors which may affect the feasibility of the project.
14. Exploitation Activities: Activities that are carried out under a Mining Licence, a Small Mine Licence, a building materials quarry Licence, or a general purpose Licence.
15. Undertaking: A document setting out specific undertakings and which is signed to confirm that the undertakings provided in it bind the signatory or the entity which the signatory represents.
16. Aerial Survey: the use of any aerial survey methods to conduct research and reconnaissance to detect metal, non-metallic minerals, or ores, or to help examine, or study an area, survey exposed surfaces, ore stocks, and debris.
17. Work Program: Reconnaissance work program, Exploration work program, Mining work program, Small Mine Licence work program, or building materials quarry work program to be implemented by the Licence applicant, in order to explore for and extract Minerals from the proposed Licence Site, in accordance with the rights and obligations imposed under the Licence.
18. Care and Maintenance: The management by a Licensee of a Licence Site at which works are temporarily suspended for technical or economic reasons and at which activities will resume once the technical or economic reasons for the suspension are resolved after care and maintenance period.
19. Certificate of Rehabilitation and Closure: A document issued by the Ministry, or other competent authorities, which indicates that a Licensee has met the standards of Rehabilitation and Closure, in accordance with the provisions of the Law and the Regulation.
20. Rehabilitation Program: The program prepared by an applicant for an Exploitation Licence in respect of Rehabilitation and Closure of the Licence Site after the licensed works are completed.
21. Social Impact Study: A study of the impact which the Mining Activities have on the Local Communities within or near the Licence Site, and an evaluation of the social impacts of the Mining Activities on the Local Communities.
22. Social Impact Management: Management of the social impact of the Mining Activities by addressing the Local Communities’ needs, determining the mechanisms that will be used to deal with the direct social impacts as well as the Local Communities’ reasonable expectations, and enhancing the positive impacts as well as avoiding, mitigating, or reducing any potential negative impacts.
23. Progressive Rehabilitation: The process of continuous Rehabilitation during the Licence period.
24. Report of the Estimated Total Rehabilitation and Closure Cost: Calculation of the actual cost required for Rehabilitation and Closure, including any costs required for remedying the impacts of the project or of any Mining Activity relating thereto.
25. Sudden Closure: Unplanned or unexpected Closure.
26. Tailings: The treated Rocks, loose clays or soil remaining after Minerals are separated and/or removed from the Rocks or the soils in which they occur.
27. Tailings Dams of Mineral Ores Processing Facilities: Any facility designed, constructed, and managed to contain Tailings resulting from a project, which is processed by dangerous chemicals and which may have an impact on the environment.
28. Occupational Health and Safety: Refers to workers' and visitors' safety and health at the Licence Site.
29. Risks: Hazards that are related to project activities, including any work injury, significant accident, any other loss, injury, or harmful result arising out of the hazard.
30. Minimum Annual Expenditure: The amount of money that the Exploration Licence holder must spend on Exploration activities within one year.
31. Financial Consideration Period: A specific time period, which accords with the Kingdom's fiscal year, and which applies to the consideration and fees that a Licensee shall pay.
32. Extracted Minerals Inventory: the location where Minerals are stored after extraction, whether they have been subjected to preliminary crushing or not.
33. Taxable Income: The income of a Licensee who holds an Exploitation Licence to exploit Class (A) Minerals and which is calculated according to the tax laws applicable to resident companies in the Kingdom.
34. Initial Stages Activities: The initial activities, complementary activities, or activities which must be carried out at the Licence Site and which are performed before the mineral passes the extraction point.
35. Post-Extraction Activities: The processing activities which take place after the Initial Stage Activities, and after the extraction point but before the evaluation point.
36. Mineral Value at the Extraction Point: The net income received by a Licensee from the sale of Minerals at the extraction point, excluding the costs of transporting and insuring the Minerals.
37. Trade Price: the commercial value determined at an arm’s length basis.
38. Mining Declaration: A declaration submitted by the holder of an Exploitation Licence which indicates the quantity of exploited Minerals, the severance fees due under the Exploitation Licence, the method of calculation of such severance fees on the basis of time periods provided in the Regulation, and which is approved by a Licensee or its Executive Officer.

2.1. The Regulation aims to:
2.1.1. Promote the principles of governance of mining investments.
2.1.2. Prescribe mechanisms that promote accountability, efficiency, effectiveness, and responsiveness in relation to the implementation of the Law.
2.1.3. Develop clear licensing procedures based on justice and transparency in order to build trust in the decision-making processes and enhance the stability required to develop the Kingdom's Mineral Deposits to achieve benefits for all persons and Stakeholders.
2.1.4. Ensuring the efficiency of processes that relate to Mining Activities.
2.1.5. Provide effective dispute resolution mechanisms.

3.1. The Ministry may issue Guidelines which further explain and clarify the conditions, requirements, and procedures imposed under the Law and the Regulation.
3.2. The Ministry shall issue the necessary forms for each procedure provided under the Law and the Regulation.

4.1. The Minister may - in accordance with the statutory procedures and as appropriate -assign any of the services and tasks related to the Mining Sector to the appropriate authority, or the companies established by the Ministry, including but not limited to the:
4.1.1. Assessment of Mining Licence applications. This includes the power to review and evaluate any studies in respect of the sustainability of the proposed activities, including social, economic, and environmental impact studies, as well as Business Feasibility Studies for Mining Licence applications.
4.1.2. Improvement of Mining licensing procedures by developing the necessary enablers to facilitate and expedite the procedures for issuing all types of Licences, including developing and implementing appropriate technical solutions.
4.1.3. Development of monitoring and control procedures at Licence Sites, including (i) the use of advanced monitoring methods and modern technology, (ii) providing training and skills development services to government officials, (iii) providing support for field monitoring and control at Mining licensing sites, (vi) monitoring of financial compliance, (v) providing mechanisms and techniques for surveying, and measuring production quantities, and (vi) measurement of pollution at Mining sites.
4.1.4. Provision of services for the development and promotion of Mining investment inside and outside of the Kingdom, including supporting Mining directorates and operating comprehensive service offices in all regions of the Kingdom.
4.1.5. Provision of Mining investment services by (i) establishing, developing, and managing the Mining investment platform, (ii) updating the geographic database and the Licences’ registry database, (iii), evaluating Rehabilitation and Closure plans for Mining Licence Sites, and (iv) supervising the implementation of those plans.
4.1.6. Provision of collection services for returns and fines.
4.2. The Ministry may empower any appropriately qualified company or office, according to the principles and standards prescribed by the Ministry, to perform any of the following duties:
4.2.1. Monitor Mining Activities, including calculating the quantity of Minerals and Ore exploited by a Licensee, and reviewing information and data on Mining Activities or related work.
4.2.2. Detect violations of the Law and the Regulation and prepare records and the necessary reports on the violations.

5.1. Before amending the Regulation, the Ministry may:
5.1.1. publish a draft of the proposed amendments in accordance with the requirements imposed under the Kingdom’s laws; and
5.1.2. allow the public to submit comments on the proposed amendments to the Ministry.
5.2. The comments shall be submitted in the manner and form prescribed under the relevant laws of the Kingdom.
5.3. The Ministry shall consider the comments it receives and may revise the proposed amendments as it deems appropriate.
5.4. The Ministry shall publish the approved amendments to the Regulation in the Official Gazette, and in any other media outlet it deems appropriate, in accordance with applicable laws.
5.5. The amendments to the Regulation shall come into force on the date indicated in the notice as published in the Official Gazette.

6.1. The Ministry shall work with the SGS to perform the tasks that fall within the SGS’s mandate or those which the Ministry instructs the SGS to perform in accordance with Article 3(9) of the Law, including:
6.1.1. identifying the Mining Reserve Areas;
6.1.2. establishing the National Geological Database;
6.1.3. updating the National Geological Database;
6.1.4. linking the information stored in the National Geological Database with the records created by the Ministry;
6.1.5. providing any map, non-confidential data, or the results of any studies related to mineral resource to third parties who request such information;
6.1.6. making information and geological data publicly available; and
6.1.7. preserving drilling samples in the national drilling samples library.

7.1. The Ministry may establish an electronic platform through which it will provide various services, including those relating to:
7.1.1. submitting Licence applications;
7.1.2. issuing and renewing Licences;
7.1.3. amending, transferring and partially or completely abandoning Licenses;
7.1.4. submitting periodic reports.
7.1.5. sending and receiving notifications; and
7.1.6. any other services which the Ministry may wish to provide.
7.2. The online platform shall stipulate the information required to provide services as well as the processes that should be followed to access them.