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Reading: LG notifies J&K Mineral Exploration Trust Rules; 2% royalty fund for scientific mining
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J&KToday's Print Edition

LG notifies J&K Mineral Exploration Trust Rules; 2% royalty fund for scientific mining

The News Now News Desk
Last updated: July 17, 2026 12:00 am
The News Now News Desk
Published: July 17, 2026
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Srinagar: The Jammu and Kashmir administration has notified the Union Territory of Jammu & Kashmir Mineral Exploration Trust Rules, 2026, paving the way for the establishment of a dedicated Mineral Exploration Trust to promote scientific exploration, sustainable mining and planned development of mineral resources across the Union Territory.

The rules, notified by the Lieutenant Governor under the Mines and Minerals (Development and Regulation) Act, 1957, will apply to all minor minerals and came into force with their publication in the Official Gazette.

The newly established Trust will function as the apex body for planning and facilitating mineral exploration in Jammu and Kashmir. It aims to identify and scientifically assess mineral resources, prepare long-term development plans and strengthen exploration activities through modern technologies and sustainable practices. The Trust will be governed by a Governing Body headed by the Minister in charge of the Mining Department, while an Executive Committee led by the Administrative Secretary, Mining Department, will be responsible for its day-to-day management and implementation of projects.

A key feature of the new framework is the creation of the J&K Mineral Exploration Trust Fund, which will finance exploration and related activities. Under the rules, mining lease holders, quarry licence holders and permit holders extracting minor minerals will contribute 2 per cent of the royalty payable on the mined mineral, in addition to the existing royalty. The amount will be collected in advance and deposited into the Trust Fund to support exploration and mineral development initiatives.

The Trust has been entrusted with a wide range of responsibilities, including preparing short-, medium- and long-term vision plans for mineral development, undertaking geological, geophysical and geochemical surveys, facilitating exploration of potential mineral-bearing areas, promoting sustainable mining practices and adopting advanced scientific and technological methods. It will also undertake research on mineral quality, strengthen exploration infrastructure and organise training programmes to enhance the technical capabilities of Mining Department personnel.

In addition, the Trust will develop a comprehensive digital mineral directory, mineral atlas and geo-informatics mineral resource information system for Jammu and Kashmir. It will organise seminars and workshops on mineral conservation, encourage value addition and beneficiation studies, and monitor mining activities through modern technologies to ensure scientific and sustainable exploitation of mineral resources.

The rules also lay down a detailed governance and financial framework. The Governing Body will approve the annual plan, budget and policy framework, while the Executive Committee will supervise implementation, monitor expenditure and oversee exploration projects. The Trust has also been empowered to constitute committees and engage agencies for implementing and monitoring approved projects.

To ensure transparency and accountability, the rules mandate the preparation of annual plans, budgets and reports, along with regular audits of the Trust Fund. The annual report will detail activities undertaken and expenditure incurred during the financial year before being submitted to the Government following approval by the Governing Body.

The notification is expected to provide Jammu and Kashmir with a dedicated institutional mechanism for systematic mineral exploration, scientific resource mapping and sustainable development of its mineral sector while strengthening the regulatory and financial framework for future exploration activities.

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