The Law on prohibiting mineral explorations in forest reserves and river basins, passed by the Parliament on July 2009 creates puzzling scene in the mining sector. According to the Law, MRAM is supposed to realize this law within 16th of this month, withdrawing licenses permitted within 200m from forest reserves and water basins. Due to a reason that data from Forest and Water Authorities are insufficient, MRAM caused miners await. However there is a prediction that the state will be responsible for a large license payment upon withdrawal of 600-700 licenses.
Mongolian Mining Association had submitted a letter requesting a clarification to MRAM, but it had received o reply. Because of this long await, mining companies are unable to plan upcoming year activities and as for gold miners, the situation is worse. As most placers are located in lowlands near massive water, it might cause gold mining to stop. Also mining sector warns that artisan miners or ninjas would go to the forlorn mines.
This issue shall not be solved until next year and the law is to be realized starting from December 16. In addition compensations to miners will not be discussed.