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REPUBLIC OF CÔTE D'IVOIRE

Union-Discipline-Work

LAW NO. 95-553 OF 17 JULY 1995

CARRYING

MINING CODE

September 1996
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TITLE I – GENERAL
CHAPTER I - DEFINITIONS

ARTICLE ONE

The following definitions are :

« Environment Agency », The departments of the Ministry of the

Environment responsible for conducting the national environmental policy in
conjunction with the technical services of other ministries responsible for sectoral
aspects of the environment ;

« Mining Administration », The Ministry or department of a Ministry of

the Government of the Republic of Côte d'Ivoire responsible for the application of
the Mining Code ;

« Exploitation », The operation consists of extracting mineral substances

from natural deposits to dispose of them for utilitarian purposes and including. at
the same time, the preparatory work, the operation itself and possibly the
installation and use of the facilities intended for the disposal of the production
;

« Artisanal mining », Any operation whose activities consist of extracting

and concentrating mineral substances and recovering commercial products using
manual and traditional methods and processes ;

« Semi-industrial operation » Any operation whose activities consist of

extracting and concentrating mineral substances and recovering their commercial
products by simple and poorly mechanized methods and processes ;

« Deposit » Any natural deposit of mineral substances that can be

exploited under the economic conditions of the moment ;

« Geothermal deposits » means natural deposits classified as high or

low temperature in accordance with the procedures established in mining
regulations and from which energy can be extracted in thermal form, in particular
through the hot water and underground steam they contain ;

« Haldes » metal ore waste.

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« Code Minier », le présent texte de loi ;

« Geographic Perimeter » or « Perimeter », area or surface for which a

mining permit is granted. The perimeter is assimilated to the permit whose
surface it delimits;

« Prospecting », all investigations, limited to surface work, by simple

methods and processes in order to highlight signs of mineral substances;

«Research », all work carried out on the surface, in depth and airborne to
establish the continuity of signs of mineral substances, to study the conditions of
exploitation and industrial use, to determine the existence or not of a deposit and
to file a feasibility study with the Mines Administration:

« Reconnaissance », all systematic and itinerant surface investigations

by geological, geophysical or other methods using large areas in order to detect
signs or concentrations of useful mineral substances;

« Mining Regulations » means this Act and the Decrees, Orders and
Decisions issued for its application;

«Mineral substances » means natural amorphous or crystalline

substances, solid, liquid or gaseous, as well as fossilized organic substances and
geothermal deposits.

«Useful mineral substances » means substances which, without

treatment or after treatment, can be used as:

- raw materials for industry and crafts;

- construction and public works materials;
- land amendment;
- energy sources.

«Super profits or additional profit » means additional profits beyond

current and normal rates of return, and due to particularly favorable market
conditions;

«Slag heaps » means spoil, waste from removed earth or rocks and solid
waste from ore processing.
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CHAPTER II - PRELIMINARY PROVISIONS

ARTICLE 2

All mineral substances, all mineral waters and all geothermal deposits contained in
the soil and subsoil, the territorial waters, the exclusive economic zone and on the
continental shelf of the Republic of Côte d'Ivoire are the property of the State.

ARTICLE 3

The prospecting, reconnaissance, research, exploitation, possession, processing,

transport, transformation of mineral substances, mineral waters and geothermal
deposits throughout the territory of the Republic, in the territorial waters, the
exclusive economic zone and on the continental shelf are subject to the provisions of
this law and the texts adopted for its application. The only exceptions are
hydrocarbons other than coal, which are governed by other laws.

ARTICLE 4:

No natural or legal person, of Ivorian or foreign nationality, may undertake or

conduct an activity governed by the Mining Code on land in the public or private
domain without having first obtained a mining title or authorization under the
conditions set by the Mining Code. Several titles or authorizations may be held by
the same person.

The search for and exploitation of mineral substances are authorized under a mining
title, with the exception, however, of the artisanal and semi-industrial exploitation of
these substances as well as the exploitation of quarry materials and the exploitation
of slag heaps and waste from quarry operations which are subject to authorization.

The prospecting, reconnaissance, possession, treatment, transport and

transformation and marketing of mineral substances are also subject to an
authorization which does not give the right to a mining title.

The information that applications for mining titles and authorizations must contain, as
well as their terms of allocation, renewal, transfer or transmission, are established by
mining regulations.

ARTICLE 5 :
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The State, alone or in association with third parties, may engage in an

activity governed by the Mining Code.

The granting by the Administration of exploitation permits gives the right,

in return for the wealth distributed and the impoverishment of the subsoil, to the
allocation to the State of contribution shares set at 10% of the capital of the
operating company for the entire duration of the mine. No financial contribution
must be requested from the State for these contribution shares even in the event
of a capital increase.

In all cases, this contribution from the State remains equal to 10% of the
capital of the operating company.

Any additional participation by the State and private individuals in the

share capital of the operating companies will be made either by negotiation of an
agreement between the parties or on the Abidjan stock market. However, the
State may exceptionally authorize stock market transactions on a market other
than that of Abidjan.

ARTICLE 6:

Any holder of a mining title or beneficiary of an authorization issued under

the Mining Code, unless he himself resides in the Republic of Côte d'Ivoire, must
elect domicile there and have a representative there whose identity and
qualifications he makes known to the Mines administration.

The Representative undertakes his mandate. He must be sufficiently

aware of the authorized activities to be able to provide all information concerning
them.

ARTICLE 7:

No natural person may hold a direct or indirect interest in a mining title or

authorization, nor be the holder or beneficiary thereof, if he does not enjoy his
civil rights. No legal person may be the holder of a mining title or beneficiary of
an authorization:

- If it is not registered in the Trade Register in the Republic of Côte

d'Ivoire;

- or if it is in receivership or bankruptcy.

No State official working in the Mines Administration may hold a direct or

indirect interest in a mining activity, nor be the holder or beneficiary of a mining
title or authorization.
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CHAPTER III - CLASSIFICATION OF

DEPOSITS OF MINERAL SUBSTANCES

ARTICLE 8:

Natural deposits of mineral substances are classified in relation to their legal

regime as quarries and mines.

In addition to peat bogs, the following are considered quarries: deposits of

construction materials, viability materials, ceramic industry deposits, soil
amendments and deposits of other similar substances, with the exception of
phosphates, nitrates, alkaline salts and other salts associated in the same deposits.

Quarries are deemed not to be separated from the soil whose ownership
regime they follow.

Natural deposits of mineral substances that are not classified as quarries are
considered to be mines.

Mines constitute a property distinct from the ownership of the soil. They
belong to the State and constitute a particular public domain.

However, certain natural deposits of mineral substances may be classified as

quarry substances or mining substances depending on the use for which they are
intended. This classification is set by mining regulations.

ARTICLE 9:

The exploitation of mines and quarries is considered an act of commerce.

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TITLE II - MINING TITLES CHAPTER I

EXPLORATION PERMITS

ARTICLE 10 -

The exploration permit is granted, subject to prior rights, by Decree taken in

Council of Ministers on the proposal of the Minister responsible for Mines, to any
natural or legal person having submitted an application in accordance with the
requirements of this law and the texts adopted for its application.

The applicant who is totally or partially rejected cannot claim compensation from
the administration.

ARTICLE 11:

The exploration permit grants, within the limits of its perimeter, on the surface
and at depth, the exclusive right to search for mineral substances as well as the
right to dispose of the products extracted within the framework of the research.

It also grants its holder the exclusive right to request at any time during the
validity of the exploration permit and to obtain, if he has fulfilled the obligations
incumbent on him under the Mining Code, an exploitation permit in the event of
the discovery of one or more deposits within the perimeter of the exploration
permit.

The exploration permit constitutes a movable right, indivisible, not subject to

lease or mortgage.

ARTICLE 12:

The exploration permit is valid for three (3) years from the date of the instituting
Decree. It is renewable two (2) times for successive periods of two (2) years.

After seven (7) years, an additional and unique exceptional renewal may
however be granted for a period not exceeding three (3) years if the interest of
the results obtained and if the scale of the research work and investments
already undertaken, or to be undertaken, are deemed to be of particular
importance by the Mines administration.

ARTICLE 13:

The area for which the exploration permit is granted must be defined in square
kilometers and between a minimum and a maximum provided for by the mining
regulations. During each renewal of the exploration permit its surface area is
reduced by half. The remaining area is always established by the holder in
accordance with the mining regulations.
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The holder of the research permit must have the perimeter of the
exploration permit demarcated in accordance with the regulations and practices
in force. If, after formal notice, the demarcation has not been carried out, it shall
be carried out ex officio, at the holder's expense.

ARTICLE 14 :

The holder of a research permit is required to carry out the research program that
he or she has submitted to the administration with his or her permit application
and to spend the minimum amount on this work.

The licensee must commence the research within the perimeter of the permit
within one (1) year from the effective date of the permit and continue it diligently.

ARTICLE 15:

The holder of a research permit shall have the right to the free disposal of the
products extracted in the course of the research and the tests which it may
involve, provided that the research work is not of the nature of exploitation work
and subject to making a prior declaration thereof to the Mines Administration.

CHAPTER II - OPERATING PERMITS

ARTICLE 16 :

The exploitation permit is granted by right, by Decree adopted by the

Council of Ministers on the proposal of the Minister in charge of Mines, to the
holder of the exploration permit who has provided proof of the existence of a
deposit within his exploration permit. This proof is materialized by a feasibility
study. The applicant must have complied with its obligations under the Mining
Code and must submit an application in accordance with the mining regulations
before the expiry of the period of validity of the exploration permit under which
the application for the exploitation permit is made.
The granting of an operating permit results in the cancellation of the exploration
permit within the perimeter of the operating permit. The However, the research
continues to exist outside this perimeter until it expires.

ARTICLE 17 :

The operating permit is granted only after an investigation by commodo

and incommodo.
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The investigation allows the State to establish the conditions under which
the exploitation will be authorized. These will be an integral part of the Instituting
Decree.

ARTICLE 18 :

The operating permit grants its holder, within the limits of its perimeter, on
the surface and at depth, and under the conditions defined therein, the exclusive
right to explore for and exploit the deposits found therein.

The operating permit includes, in accordance with the laws and

regulations in force, the authorization to transport or have transported the
extracted mining substances, their concentrates or primary derivatives as well as
the metals and alloys of these substances to the place of storage, processing or
loading, to dispose of them on domestic and foreign markets and to export them.
However, the exploitation of precious stones and metals remains subject to
certain provisions defined by mining regulations.

The operating permit also allows the establishment in the Republic of Côte
d'Ivoire, in accordance with the regulations in force, of facilities for the packaging,
processing, refining and transformation of mining substances.

It constitutes a movable right, indivisible and not subject to pledge or

mortgage.

ARTICLE 19 :

The operating permit is granted for the life of the mine as indicated in the
feasibility study without the initial validity period exceeding twenty (20) years.

It is renewable for successive periods equivalent to the additional life

demonstrated under the same conditions as the initial duration until the deposit is
exhausted.
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ARTICLE 20:

The area for which the exploitation permit is granted is defined according to the
deposit whose exploitation is requested. The holder of the exploitation permit must
have the area of the exploitation permit marked out in accordance with the
regulations and practices in force. If, after formal notice, the marking out has not
been carried out, it is carried out automatically at the holder's expense.

ARTICLE 21:

The holder of an operating permit is required to begin development and exploitation

work on the deposit within the perimeter of the permit within two (2) years from the
date of granting of the permit and to continue them diligently.

The holder of an operating permit is required to exploit the deposit in accordance

with the feasibility study and the development and exploitation plan submitted to the
mining administration.

ARTICLE 22:

A deferral or suspension of exploitation work may be granted at the request of the

permit holder when the reason given is based on the state of the market. The
deferral or suspension is valid for two (2) years and may be renewed for three (3)
successive periods of one (1) year.

Requests for deferral or suspension and their renewals are granted upon
presentation of an updated feasibility study, a deposit conservation program and a
safety plan for the facilities and the site in accordance with mining regulations.

CHAPTER III: PROVISIONS COMMON TO MINING TITLES

ARTICLE 23 :

The rights of the holder of a mining title relate to the extent of the
perimeter delimited in the mining title, indefinitely extended in depth by the
verticals that rest on the perimeter defined on the surface.

The delimitation of the perimeter of the mining titles is established in Cartesian

coordinates, supported, where appropriate, by geographical landmarks in
accordance with the mining regulations.
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ARTICLE 24 :

L’extension du périmètre géographique d’un titre minier est autorisée,

sous réserve des droits ou demandes de titres miniers antérieurs, dans les
conditions fixées par la réglementation minière.

ARTICLE 25 :

Mining titles are renewable by Order of the Ministry of Mines upon request
of the holder submitted at least three (3) months before the expiry of the current
validity period.

Their renewal is automatic when the holder has fulfilled the obligations
incumbent upon him under the Mining Code and submitted an application in
accordance with mining regulations.

If a decision has not been made on an application for an exploitation

permit or renewal of a mining title, before the expiry of the current validity period
of the exploration permit, the validity of this permit is automatically extended,
without formality, until a decision has been made on the application.

However, this extension only applies to the part of the perimeter of the
exploration permit covered by the application for renewal of the exploration
permit or allocation of an exploitation permit.

If the renewal is refused or if the application for an operating permit is

rejected, the land covered by the permit is released from all rights resulting
therefrom as of midnight on the day following the date of notification of the
decision of refusal or rejection.

ARTICLE 26 :

Mining titles are transferable and transferable subject to the prior approval
of the Minister responsible for Mines and under the conditions provided for by the
mining regulations

The holder of the mining title must bring to the attention of the Minister, for
approval, any contract or agreement by which he promises to entrust, assign or
transmit or by which he entrusts, assigns or transmits, partially or totally, the
rights and obligations resulting from the mining title.

Any agreement thus concluded may only be made subject to the

conditions precedent of this authorization.
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The Minister's approval is automatic when the holder has fulfilled the
obligations incumbent upon him under the Mining Code and submitted an
application in accordance with the mining regulations, provided however that the
potential transferee or holder meets the conditions provided for by the mining
regulations.

ARTICLE 27 :

The renunciation of part or all of the surface area of a mining title as well
as the mining title itself is, at any time, authorized without penalty or
compensation. It must however be accepted by the mining administration under
the conditions provided for by the mining regulations. This decision will only be
made after payment of the amounts due to the State on the date of the
renunciation based on the surface area to which the holder renounces and after
the execution of the work prescribed by the mining regulations relating to the
protection of the environment and the rehabilitation of the sites.

ARTICLE 28 :

- Mining titles granted under the Mining Code as well as those valid on the
date of its entry into force may be withdrawn or restricted by the authority
that issued them, without compensation or damages; in the same forms
for one of the reasons exhaustively listed below following a formal notice
granting a period of sixty days to remedy the defect that has not been
followed up within the time limit:
-
- - if the research activity is delayed or suspended without valid reason, for
more than one year;
-
- - if the feasibility study produced demonstrates the existence of a deposit
within the perimeter of the research permit without being followed within
one year by an application for an exploitation permit;
-
- - if the start-up work of the exploitation or the exploitation is delayed or
suspended for more than two (2) years without authorization, for reasons
other than the state of the market:
-
- - unauthorized transfer or transmission;
-
- - serious breaches of hygiene and safety regulations;
-
- - non-payment of duties and taxes ;
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- - failure to comply with obligations relating to the conservation of forest

heritage, the protection of the environment and the rehabilitation of exploited
sites ;

- - forfeiture of the holder.

ARTICLE 29 :

Subject to the right of pre-emption provided for below, in the event of

expiry, renunciation or withdrawal of a mining title or forfeiture of its holder, the
perimeter it covers is released from all rights resulting therefrom as of midnight
the day after the expiry of its period of validity or the date of notification of the
decision of the mining administration.

In either of the cases provided for in this article, if the holder wishes to sell
the devices, machinery, installations, equipment, materials, machines and
equipment of which he is the owner, the State will have a right of pre-emption
which must be exercised under the conditions provided for by the mining
regulations.

The buildings, outbuildings, wells, galleries and in general all structures

permanently installed for exploitation are left by operation of law to the State
under the conditions provided for in the environmental management and
rehabilitation program for exploited sites.

TITLE III - PROSPECTING, RECONNAISSANCE AND

EXPLOITATION AUTHORISATIONS

CHAPTER I - PROSPECTING AUTHORISATIONS

ARTICLE 30 :

Any natural or legal person may engage in prospecting activities subject to

the prior obtaining of a prospecting authorization issued by the Director of Mines.

ARTICLE 31 :

The prospecting authorisation confers on its holder a non-exclusive right to

prospect valid for all mineral substances throughout one or more administrative
departments not classified as a prohibited zone or not subject to a mining title or
an artisanal or semi-industrial exploitation or quarrying authorisation.
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The prospecting permit does not confer on its holder any specific right to
subsequently obtain a mining title or an artisanal or semi-industrial or quarry
permit, nor the right to dispose of the mineral substances discovered for
commercial purposes.

ARTICLE 32 :

The prospecting authorisation is valid for a maximum of one year. It is

renewable on request in accordance with mining regulations by decision of the
authority that issued it and in the same form for an identical period if the
beneficiary has complied with its obligations under mining regulations.

ARTICLE 33 :

Prospecting authorisations are personal. They are neither assignable,

transferable nor leaseable.

ARTICLE 34 :

Prospecting authorizations may be withdrawn or restricted by the authority

that issued them and in the same manner for failure to comply with the
obligations incumbent on the beneficiary under the mining regulations.

CHAPTER II OF RECOGNITION AUTHORISATIONS

ARTICLE 35 :

Recognition authorization is granted by Order of the Minister in charge of

Mines to any natural or legal person who has submitted a work program and an
application in accordance with mining regulations.

ARTICLE 36 :

The recognition authorisation confers on its holder a non-exclusive right of

recognition valid for all mineral substances.

The recognition authorisation does not confer on its holder any particular right to
subsequently obtain a craft or semi-industrial or quarrying title or authorisation,
nor the right to dispose of the mineral substances discovered for commercial
purposes.

ARTICLE 37 :
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The recognition authorisation has a maximum validity period of one

(1) year. However, it may be extended on an exceptional basis under the conditions
defined by the regulations in the following manner.

ARTICLE 38 :

The reconnaissance authorisation is valid for the requested area,

excluding areas classified as closed or prohibited areas or subject to a mining
title. The area covered by the recognition authority shall not exceed five thousand
(5,000) square kilometres.

ARTICLE 39 :

Recognition authorisations are not transferable, transferable or leaseable.

ARTICLE 40 :

The waiver of the authorization of recognition is allowed at any time without

penalty or compensation.

ARTICLE 41 :

Recognition authorizations may be withdrawn or restricted by the authority

that issued them and in the same manner if the work programme is, without valid
reason, restricted, suspended or abandoned or for any other failure to comply
with the obligations incumbent on its holder under mining regulations.

CHAPTER III - AUTHORISATIONS FOR ARTISANAL AND

SEMI-INDUSTRIAL EXPLOITATION

ARTICLE 42 :

The zones within which artisanal and semi-industrial exploitation is

permitted are reserved or downgraded by Decree adopted by the Council of
Ministers on the proposal of the Minister in charge of Mines.

ARTICLE 43 :
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The artisanal and semi-industrial exploitation authorization is granted subject to

previous rights by order of the Minister responsible for Mines after consultation
with the competent administrative authorities and the urban municipalities or rural
communities concerned to:

- natural persons of Ivorian nationality;

- Cooperative Groups (GVC) and Cooperatives with exclusively Ivorian

participation;

- small and medium-sized enterprises (SMEs) and companies under

Ivorian law whose capital is majority Ivorian.

These natural and legal persons must submit an application in accordance with
mining regulations and a project giving the greatest interest to the employment of
local labor and its supervision by professional staff.

ARTICLE 44 :

The permit for artisanal and semi-industrial exploitation confers on its

beneficiary, within the limits of the perimeter applied for and under the conditions
defined therein, the exclusive right to exploit the mineral substances for which it
is issued.

The authorisation for artisanal and semi-industrial exploitation does not confer on
its beneficiary any particular right to subsequently obtain a mining title.

It is a movable right that cannot be leased or subject to pledge or mortgage.

ARTICLE 45 :

The artisanal and semi-industrial operating permit is valid for two (2)
years.

It is renewable for periods of two (2) years by decision of the authority that issued
it and in the same form if the beneficiary has complied with its obligations under
the mining regulations and submitted an application in accordance with the
regulations.

ARTICLE 46 :
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The craft and semi-industrial operating permit defines the area it covers.
This square or rectangular area varies from twenty-five (25) to one hundred (100)
hectares. For the rectangular shape, the length must not exceed twice the width.

The beneficiary of an artisanal and semi-industrial mining permit must delimit this
area by establishing markers and markers in accordance with the mining
regulations and practices in force. If, after formal notice, the delimitation has not
been carried out, it shall be carried out ex officio, at the expense of the
beneficiary.

ARTICLE 47 :

In addition to the other provisions of the Mining Code dealing with the
relationship between artisanal mining and land owners, the beneficiary of an
artisanal and semi-industrial mining permit cannot, unless an amicable
agreement is reached between the parties :

- Engage in work on agricultural land;

- Hindering the normal irrigation of crops.

He is required to restore the cultivated land and the normal irrigation of

crops damaged by his work.

It is obliged to exploit mineral substances rationally and to protect the quality of

the environment.

ARTICLE 48 :

In the event of the discovery of a larger deposit, the beneficiary of an

artisanal and semi-industrial mining permit is required to declare this to the
Minister responsible for mines, who shall rule on the conditions under which the
exploitation may continue.

ARTICLE 49 :

Permits for artisanal and semi-industrial exploitation are not transferable.

However, they may be transferable under conditions set by decree.

ARTICLE 50 :

Surrender of all or part of the area of a craft and semi-industrial operating

permit as well as the permit itself
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is authorized at all times without penalty or compensation. However, it must be

accepted by the Mines Administration under the conditions provided for by the
mining regulations.

ARTICLE 51 :

Artisanal and semi-industrial mining authorisations may be withdrawn or

restricted by the authority that issued them and in the same manner for any
failure to comply with the obligations incumbent on the beneficiary under the
mining regulations.

ARTICLE 52 :

In the event of the expiry, renunciation or withdrawal of an artisanal and

semi-industrial mining permit or the forfeiture of its beneficiary, the area covered
by it shall be freed of all rights resulting therefrom from the day following the
expiry of the date of validity or the date of notification of the decision of the
Mining Administration.

CHAPTER IV - QUARRYING LICENCES

ARTICLE 53 :

There are two types of quarrying permits :

- the authorisation for permanent quarries, known as the authorisation to

exploit quarry substances ;

- the authorisation for temporary quarries, known as the authorisation for

the extraction of quarry materials.

ARTICLE 54 :

The quarrying permit is issued, subject to the previous rights, by order of

the Minister in charge of Mines after consultation with the competent
administrative authorities and the urban municipalities or rural communities
concerned, to natural persons of Ivorian nationality and to companies under
Ivorian law who have submitted an application in accordance with the mining
regulations and a project that gives the greatest interest to the employment of the
local workforce and its Supervision by tradespeople.
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The authorisation for the extraction of quarry materials is issued only after
payment of the extraction tax relating to the cubage for which it is applied for.

All owners of the land are required to obtain a permit before any quarry is
exploited on their land.

A quarry substance operating licence that has not been used within two (2) years
from its validity date has expired. The extraction permit will be issued after six (6)
months if it is not used within this period.

No quarry abandoned for two (2) years may be reactivated without a new
authorization.

ARTICLE 55 :

The quarrying permit confers on its beneficiary, within the limits of the perimeter
and the conditions defined therein, the exclusive right to exploit the quarry
substances found therein.

The operating permit shall include, in accordance with the laws and regulations in
force, the authorization to transport or cause to be transported the extracted
quarry substances and their concentrates or primary derivatives to the place of
storage, processing or loading, to dispose of them on domestic and foreign
markets and to export them.

The operating permit also makes it possible to establish in the Republic of Côte
d'Ivoire, in accordance with the regulations in force, facilities for the conditioning
and primary treatment of quarry substances.

ARTICLE 56 :

The authorisation to exploit quarry substances is valid for four (4) years
from the date of the Instituting Decree. It is renewable for successive periods of
four (4) years in accordance with mining regulations.

The permit to extract quarry materials is valid for a maximum period of one year,
renewable once.

ARTICLE 57 :
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The area for which the quarrying permit is granted is defined in the permit.

The beneficiary of an authorisation to exploit quarry substances must demarcate

the perimeter described in the authorisation by establishing markers and markers
in accordance with the mining regulations and practices in force. If, after formal
notice, the demarcation has not been carried out, it shall be carried out ex officio,
at the expense of the beneficiary.

ARTICLE 58 :

The beneficiary of an operating permit is required to operate the quarry in

accordance with the mining regulations and the development and exploitation
plans produced and approved by the Mining Administration.

ARTICLE 59 :

The extension of the perimeter of a permit to exploit quarry substances is

authorized, subject to previous rights or applications for authorization under the
conditions set by the mining regulations.

ARTICLE 60 :

Authorizations for the exploitation of quarry substances are transferable

and transferable subject to the prior approval of the Minister in charge of Mines
under the same conditions as mining titles.

Authorisations for the extraction of quarry materials are not transferable,

transferable or leaseable.

ARTICLE 61 :

The renunciation of a quarrying authorization is authorized at all times in

accordance with the mining regulations.

ARTICLE 62 :

Quarrying authorizations may be withdrawn or restricted for the same

reasons as for mining titles by the authority that issued them without
compensation or compensation.

ARTICLE 63 :
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In the event of expiry, waiver or withdrawal of a quarry exploitation permit

or forfeiture of its beneficiary, the area it covers is freed from all rights as of
midnight the day after the expiry of the validity period or the date of notification of
the decision of the Mines Administration.

In either of the cases provided for in this article, if the beneficiary of the
authorization wishes to sell the machines, devices, equipment, facilities,
materials, machines and equipment of which he is the owner, the owner of the
land will have a right of pre-emption which must be exercised under the
conditions provided for by the mining regulations.

The buildings, outbuildings, wells, galleries and in general all the

structures permanently established for the exploitation are left automatically and
free of charge at the disposal of the owner of the land under the conditions
provided for in the environmental management and rehabilitation program for the
exploited sites.

TITLE V- EXPLOITATION OF QUARRY PILES AND SLAG

HEAPS

ARTICLE 64 :

The exploitation for their use of masses consisting of mine piles and waste heaps
and quarry waste is subject to authorisation.

The provisions of Chapter IV of Title III dealing with quarry operating

authorisations apply to the operation of piles, slag heaps and waste from quarry
operations.

TITLE VI - SPECIAL PROVISIONS APPLICABLE TO CERTAIN MINERAL

SUBSTANCES

ARTICLE 65 : Designated Mineral Substances

Decrees of the Council of Ministers adopted on the proposal of the

Minister in charge of Mines designate those mineral substances falling within the
category of substances whose possession, processing, transport, trade and
processing as well as all related transactions are
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subject, according to their importance for the national interest, to the prior
authorization of the Minister in charge of Mines and to special rules.

TITLE VI - RIGHTS AND OBLIGATIONS ATTACHED TO THE EXERCISE OF MINING

OPERATIONS
OR CAREERS

CHAPTER I - PROHIBITION OR PROTECTION ZONES

ARTICLE 66 :

No prospecting, mining and quarrying work may be undertaken on the

surface within a protection zone of at least fifty (50) metres established on either
side of or in the vicinity of enclosed properties, walls or equivalent devices
without the consent of the owner or possessor or in respect of villages or groups
of inhabitants, wells, religious buildings, burial sites or places considered sacred
without the consent of the communities concerned, or outbuildings of the artificial
public domain except under the conditions established by the mining regulations.

ARTICLE 67 :

Zones of any size may also be defined for the protection of works,
research work, works or services of public interest, as well as in any place where
the general interest requires it. By order issued by the Minister responsible for
Mines at the request of the interested parties and after investigation.

The order creating a protection zone defines its limits and designates the
authorized access routes. It also designates the administrative authorities
responsible for issuing residence cards and residence or movement permits.

The protection zones thus established may be reduced or eliminated, after

hearing the operator, under the same conditions as the institution.

The protection zones for research work may be opened to mining activity
according to the specific conditions defined by the mining regulations.

The interested parties may only claim compensation for the damage
suffered as a result of measures taken pursuant to this article if they had to
 23

demolish works or abandon work regularly carried out with a view to exploiting
the said areas prior to the order infringing their rights.

CHAPTER II - RELATIONS WITH LAND OWNERS

ARTICLE 68 :

The occupation of land necessary for the activity of prospecting,

reconnaissance, research or exploitation of mineral substances and the
industries related thereto, both inside and outside the perimeter of the mining title
or authorization as well as the passage on these lands for the same purposes,
are carried out according to the conditions and modalities established by the
mining regulations.

The occupation of these lands gives right to compensation for the benefit
of the owner of the land or the legitimate occupant. The simple passage on these
lands does not give right to compensation if no damage results. However, the
repeated passage which causes inconvenience, damage or disturbance of
enjoyment gives right to a fair compensation negotiated by agreement of the
parties where applicable with the arbitration of the mining administration.

This occupation includes, where applicable, the right to cut the wood
necessary for this activity and to use free waterfalls, all within the perimeter
defined in the mining title or authorization, subject to compensation or payment of
taxes or royalties provided for by the laws or regulations in force.

ARTICLE 69 :

The execution of works, within the perimeter of a permit or an operating

authorization by the owner of the land or by the State, gives the holder the right
to reimbursement of expenses incurred or payment of their fair value, less, where
applicable, the benefits that the latter may derive from them.

Disputes relating to the amount of compensation to be paid or any other

matters relating thereto are subject to arbitration by the Mines administration
under the conditions defined by the mining regulations.

ARTICLE 70 :
 24

The holder of an operating permit or beneficiary of an operating

authorization has the right to dispose, for the needs of his operation and the
industries related to it, of substances other than minerals whose felling is
necessarily entailed by his work. Failing this, the owner of the land may request
that he be allowed to dispose, against payment of fair compensation, of those of
these substances which are not used by the operator, unless they come from the
processing of extracted mineral substances.

ARTICLE 71 :

The occupation and the works referred to in Articles 67 and 68 may be

declared to be of public utility under the conditions provided for by the legislation
in force, subject to any specific or additional obligations which may be imposed
on holders of mining titles or beneficiaries of authorization.

CHAPTER III - RELATIONS BETWEEN OPERATORS

ARTICLE 72 :

Roads, power lines and other installations or infrastructure works

belonging to an operator and capable of common use may be used by
neighbouring establishments and be opened up for public use, provided that this
does not result in any inconvenience to the operator and, where appropriate, the
payment of fair compensation and the costs of use.

An agreement between the neighbouring operators, or between the

operator concerned and the Minister in charge of Mines and any other Minister
concerned, defines the conditions and procedures for opening these installations
for common use.

CHAPTER IV - SAFETY, HYGIENE AND MEASURES TO BE TAKEN

IN THE EVENT OF AN ACCIDENT
 25

ARTICLE 73 :

Any natural or legal person carrying out research or exploitation of mineral

substances under the provisions of Titles II, III and IV of the Mining Code, is
required to carry it out in accordance with the rules of the art in order to
guarantee the safety of persons and property.

The safety and health rules applicable to prospecting, reconnaissance, research

and exploitation of mineral substances, and to the transport, storage and use of
explosive substances are laid down in the mining regulations.

ARTICLE 74 :

Before undertaking any work, whether within the framework of a mining

title or an authorisation, the holder or beneficiary must draw up a regulation
relating to safety and health specific to the work envisaged. These regulations
are subject to the approval of the Mines Administration and once approved, the
holder or beneficiary is required to comply with them and to ensure that they are
respected.

ARTICLE 75 :

Any accident occurring in a mine or quarry or in their dependencies and

any cause of danger identified must be brought to the attention of the Mines
Administration, as soon as possible, by the holder of the mining title or
beneficiary of an authorisation.

In the event of imminent danger or accident in a working, mining engineers and

other authorized agents of the mining administration as well as police officers
shall take all necessary measures to put an end to the danger and prevent its
recurrence.

In cases of extreme urgency or in the event of the refusal of the persons

concerned to comply with these measures, they shall be carried out ex officio by
the administration at the expense of the persons concerned.

CHAPTER V - PROTECTION OF THE ENVIRONMENT

ARTICLE 76 :
 26

The activities governed by the Mining Code must be carried out in such a
way as to ensure the protection of the quality of the environment, the
rehabilitation of exploited sites and the conservation of the forest heritage
according to the conditions and modalities established by the mining regulations.

ARTICLE 77 :

Any holder of a mining title or beneficiary of a quarrying authorization,

before undertaking any work whatsoever in the field within the framework of the
title or authorization, must prepare and submit for approval to the Mines
Administration and the Environment Administration and all other services
provided for by the mining regulations, a complete environmental impact study,
and an environmental management programme including a plan for the
rehabilitation of the sites and their projected costs;

Any substantial modification of the environmental management program

will have to be subject to prior authorization from the Mines Administration.

In order to preserve the health and well-being of the populations living

near the mining sites, periodic checks will be carried out :

- by the holder of the operating permit or authorization, at its own expense,

as part of its management program approved by the mining authority.

- on the other hand, by the mining administration and, where appropriate,

by an international body specialising in the field designated by the mining
administration, all at the expense of this administration.

In the event of non-standard pollution observed, the costs of control,

subsequent verification and the related fines will be charged to the holder
of the permit or authorization, in accordance with the terms and conditions
specified by the mining regulations.

ARTICLE 78 :

Holders of a mining title or a quarrying permit are required to implement

the environmental management programme approved by the Mining
Administration and the Environment Administration and to cover the costs.
 27

ARTICLE 79 :

In addition to the provisions of the Mining Code, holders of mining titles

and beneficiaries of authorizations are also subject to specific legislative and
regulatory provisions governing, in particular, the preservation of the
environment, urban planning, establishments classified as dangerous, unhealthy
or inconvenient, and the protection of forest heritage.

TITLE VII - TAXATION

ARTICLE 80 :

In addition to the royalties and taxes provided for in the General Tax Code,
including the tax on Industrial and Commercial Profits (BIC), the holder of a
mining title or beneficiary of an authorization is subject, for his activities in the
Republic of Côte d'Ivoire, to the payment of a fixed fee, a surface royalty and an
ad valorem or proportional tax.

ARTICLE 81 :

Applications for the allocation, renewal, transfer, transfer, farm-out,

transformation or renunciation of mining titles and authorizations relating to
prospecting, reconnaissance, exploration or exploitation are subject to the
payment of fixed fees, the amounts and terms of payment of which are
determined by the mining regulations.

Any request in this regard must, on pain of inadmissibility, be

accompanied by a receipt of payment of the fixed duty.

The fixed rights remain with the State regardless of the outcome of the request.

ARTICLE 82 :

Any holder of a mining title or a recognition authorisation is subject to the

annual payment of a surface royalty proportional to the area described in the title
or authorisation and the amount and payment terms of which are specified by the
mining regulations.
 28

ARTICLE 83 :

Any holder of an operating permit is subject to the payment of an ad-

valorem or proportional tax, the rate and basis of which are specified by the
mining regulations.

The ad-valorem or proportional tax is levied under the same conditions and
according to the same procedures, penalties and securities as turnover taxes.

ARTICLE 84 :

Any holder of an operating permit is subject to the payment of an

additional profit tax, the rate, basis of assessment and terms of applicability of
which are specified by the mining regulations.

ARTICLE 85 :

A rehabilitation account shall be opened at the beginning of the operation,

domiciled in a financial institution designated by decree.

This account will be used exclusively to cover the costs of the end-of-life
environmental remediation programme. The sums paid annually into this account
according to a scale established by the mining administration are free of taxes on
industrial and commercial profits. Holders of a mining title or beneficiaries of a
quarry permit are required to contribute to this account, the operating procedures
of which are defined by order of the Minister of Finance .

ARTICLE 86 :

- In addition to the advantages provided for by Articles 67 and 235-49 of

the General Tax Code and the new Article 1 of Law No. 90-434 of 29 May 1990
on the creation of a withholding tax as an advance payment on various taxes,
holders of a permit to explore for substances classified as mining are exempted,
during the research phase and in the context of their operations:

- half of the registration fees applicable in accordance with Article 558 of the
General Tax Code to contributions made during the increase in the capital of
companies ;
 29

Notwithstanding the foregoing, the annual tax obligation to submit the

operating account and results declaration and the elements determining the
patent remains.

Upon importation, materials, machinery and equipment intended for

research activities whose importation is necessary for the implementation of the
approved program are exempt from all duties and taxes, including value added
tax. This exemption on importation also extends to parts and spare parts
intended for research machines and equipment. In all cases, the value of the
spare parts may not exceed thirty percent of the overall cost-insurance-freight
(CIF) value of the imported machines and equipment.

This list of materials, machinery and equipment eligible for exemption from
import duties and taxes is submitted with the application for the exploration
permit. When the exploration permit is issued, this list is attached to it to form an
integral part thereof. If certain equipment, materials or machines to be
subsequently imported are not on this list, a specific exemption request must be
made to the Mining Equipment Approval Commission, the creation, composition
and operating procedures of which are set out in mining regulations.

However, the following may not give rise to the exemption on imports :

- - materials, materials and equipment whose equivalent can be found

manufactured in the Republic of Côte d'Ivoire and which are available under
conditions at least equal to those of the goods to be imported;

- vehicles used for the transport of people and goods;

- furniture and other movable effects;

- and all other equipment not approved by the Mining Equipment Approval
Commission, the creation, composition and operating procedures of which are
set by Decree of the Council of Ministers.

ARTICLE 87 :

During the exploitation phase, mining companies holding an exploitation

permit benefit from the exemptions provided for by the General Tax Code.

During the period of completion of investments and start-up of production of a

new operation or expansion of the
 30

production of a mining company already established in the Republic of

Côte d'Ivoire, the materials, equipment and materials, as well as the parts and
spare parts, intended directly and definitively for mining operations, are exempt
from all duties and taxes including value added tax, collected at the time of their
importation by the holders of an operating permit. In all cases, the value of the
spare parts may not exceed thirty percent of the overall cost-insurance-freight
(CIF) value of the imported machines and equipment.
The list of materials, equipment, machines and materials, as well as the
parts and spare parts that may benefit from the exemption provided for in the
preceding paragraph, will be annexed to the operating permit of which it forms an
integral part.
The materials, equipment, machines and materials, which were used in
the research or exploration phase and which must be used in the operating
phase, must be included in the list of operating equipment.

For the purposes of exemption from imports, the investment period may
not exceed four (4) years from the date of the act establishing the exploitation
title. For an extension of exploitation works and an increase in production, this
period may not exceed two (2) years from the date of commencement of works
unless otherwise authorized by the Minister responsible for Mines.

The following may not give rise to the exemption on imports :

- materials, materials and equipment of which the equivalent can be found

manufactured in the Republic of Côte d'Ivoire or available on conditions
equal to those of the same goods of foreign origin;

- vehicles used for the transport of persons and goods other than mined
products;

- furniture and other household effects.

ARTICLE 88 :

The materials, materials and equipment referred to in Articles 86 and 87 of

the Mining Code imported by the holder of a exploration or exploitation permit
and which may be re-exported or transferred after use may benefit from the
temporary admission regime, with a fixed deposit set by Decree.

ARTICLE 89 :

In addition to the fees and taxes provided for in the General Tax Code,
including on industrial and commercial profits (BIC), the beneficiary of a
 31

Permit for artisanal and semi-industrial exploitation is required to pay a fixed fee,
a surface fee and an ad valorem or proportional tax for the extracted substances.
The amounts, rates and methods of collection of these royalties and taxes are
set by the mining regulations.

ARTICLE 90 :

The exploitation of deposits of substances classified as quarries gives rise

to the levying of a fixed fee or a surface fee. A tax on extraction and a tax on the
exploitation of quarry substances. The amounts, rates, and methods of collection
of these duties and taxes are defined by the mining regulations.

ARTICLE 91 :

Any natural or legal person habitually and repeatedly engaged in the purchase,
sale, transit, export or import of mineral substances governed by the Mining
Code, as well as in packaging, processing, processing, including the elaboration
of metals and alloys relating to these substances or their concentrates or any
primary derivatives, must make a declaration to the Minister in charge of Mines
and record the results of these operations in a regime kept up to date in
accordance with the mining regulations.

TITLE VIII - FOREIGN EXCHANGE REGULATIONS

ARTICLE 92 :

- Holders of mining titles or beneficiaries of an authorization under the

Mining Code are subject to the foreign exchange regulations of the Republic of
Côte d'Ivoire

As such, during the period of validity of their permit and authorisation and subject
to compliance with their obligations, in particular with regard to foreign exchange
regulations, they may be authorised to:

- open and operate accounts in the Republic of Côte d'Ivoire and elsewhere in
local and foreign currency;
 32

- collect in the Republic of Côte d'Ivoire or abroad any funds acquired or

borrowed abroad, including the proceeds from the sale of their production;

- transfer abroad the dividends and income from the capital invested as well as
the proceeds from the liquidation or realisation of their assets;

- Paying foreign suppliers for goods and services necessary to conduct

operations.

The guarantee of free convertibility between the national currency and

convertible foreign currencies is governed by international treaties integrating the
franc zone and the West African Economic and Monetary Union (WAEMU).

Expatriate staff employed by the holder of a permit or the beneficiary of an

authorization residing in the Republic of Côte d'Ivoire are guaranteed the free
conversion and free transfer to their country of origin of all or part of the sums
due to them, subject to having paid the taxes and various contributions
applicable to them in accordance with the regulations in force.

TITLE IX - OF THE MINES ADMINISTRATION

ARTICLE 93 :

- The Engineers and Sworn Agents of the Mining Administration are

responsible, under the authority of the Minister in charge of Mines, for ensuring
the application of the Mining Code, as well as for the administrative and technical
supervision of the activities covered by the Mining Code. Their competence
extends to all research work, mining operations and their dependencies.

They are also responsible for:

- to exercise police surveillance for the conservation of buildings and the safety of
the soil. They observe the way in which the operation is carried out, either to
enlighten the operators on its disadvantages or improvement, or to warn the
competent authority of defects, abuses or dangers observed.

- to proceed, to the preparation, conservation and dissemination of

documentation concerning, in particular, mineral substances and mineral
resources. To this end, they have the power to carry out any operation to verify
the showing or deposits at any time.
 33

- - To contribute to the monitoring of the application of the provisions of

the legislation and labour regulations relating to the safety of workers in the
companies covered by the Mining Code. To this end, they have the powers
devolved to the Inspectors of Labour and Social Laws by the Labour Code.

ARTICLE 94 :

Perimeters relating to the substances mentioned in Article 65, the

protection and monitoring of which are ensured by the Mining Police, may be
established. The creation and operating procedures of this Mining Police and the
regulation of the protection zones are defined by Decree.

ARTICLE 95 :

Registers are kept up to date by the Mining Administration for mining titles
and authorizations issued under the Mining Code. In these registers, each title or
authorisation shall be entered into force and any administrative, civil or judicial
acts relating to them.

The Mining Administration also keeps up to date the maps on which the
delineation of the mining titles and authorizations in force is recorded, with the
corresponding registration number in the registers of titles and authorizations.

The registers and maps are communicated in accordance with the provisions of
the mining regulations to any applicant who can prove his identity.

ARTICLE 96 :

Engineers and agents of the Mines Administration have access both

during and after their execution, regardless of their depth, to any underground
boreholes or excavation work in order to verify that the provisions of the Mining
Code, in particular the rules relating to safety and hygiene, are respected.

Engineers and agents of the Mines Administration also have access to the works
and operating facilities to carry out the same checks.

Holders of mining titles and beneficiaries of authorizations, as well as those who

carry out work or their employees, must provide the Engineers and agents of the
Mining Administration with the means of access and verification
 34

they need. They must have them accompanied by qualified agents so that
they can obtain all the information they need.

At each of their visits, the Engineers and agents of the Mining Administration may
be presented with all the plans, registers and documents required to be kept by
the mining regulations and the labour regulations in terms of safety and hygiene.
They may make technical observations on the issues under their supervision.

ARTICLE 97 :

Any holder of a mining title or beneficiary of an authorization under the Mining

Code is required to keep up to date the registers to be supplied to the Mining
Administration, declarations, information, samples, reports and documents
whose content, form and frequency of production are specified in the mining
regulations.

The information and documents thus obtained may not, without the authorization
of the holder or beneficiary, be made public or communicated to third parties by
the Mines Administration before the expiry of a period of three
(3) years from the date on which they were obtained. Any agent of the Mines
Administration who comes to know the information and content of the documents
is subject to the same obligation of confidentiality.

ARTICLE 98 :

Any borehole, underground structure, excavation work, in progress,

whatever the object, whose depth exceeds twenty (20) meters gives rise to a
prior declaration to the Mines Administration.

TITLE X - OFFENCES AND PENALTIES CHAPTER I -

GENERAL PROVISIONS

ARTICLE 99 :

Mining Engineers and other sworn agents under the Mining Administration
have the status of judicial police officers for the investigation and establishment
of violations of the Mining Code. This search may include body searches.
 35

The other agents of the Administration are required to transmit to the Mines
Administration their reports of investigation and establishment of violations of the
Mining Code as well as the mineral substances seized.

The civil and military authorities are required to lend a hand to the agents of the
Mining Administration on first requisition.

ARTICLE 100 :

In all cases of disputes relating to mining activities, the reports and opinions of
the Mines Administration take the place of expert reports.

The reports recording the offences and the products seized are sent to the
territorially competent Public Prosecutor, and the defendants are referred to the
Public Prosecutor's Office.

CHAPTER II - CONTRAVENTION

ARTICLE 101

- Any person who:

- opposes in any way the occupation of a mining perimeter by its holder;

- exploits without authorisation any quarry product on its own land;

- buys or transports materials from unauthorized quarries;

- holder of a research permit, disposes of the products extracted during his or her
prospecting or mineral exploration work, without declaring it.

ARTICLE 102

- Anyone who :

- holder of a mining title or an authorisation, does not comply within 15 days with
the instructions of the sworn agents of the Mines Administration, relating to
hygiene measures:
 36

- - rents, lends or assigns an authorisation to a third party, without the

prior consent of the Mines Administration;

- extracts quarry materials without permission on public land or on private land.

ARTICLE 103

- Will be punished by a fine of 100,000 to 500,000 F anyone who:

-
- - engages in the trade of precious stones and metals without authorization;
-
- - holder of a mining title or authorization, does not comply within 15 days with the
injunctions of sworn agents relating to security measures and the preservation of
environmental quality;
-
- - holder of a mining title or authorization, does not provide the Administration,
within the prescribed time limits, with detailed reports on the work, results
obtained, declarations of production statistics, entries, exits and on stocks of
products for commercial and processing operations:
-
- - exploits, without authorization, mineral substances other than those covered by
the mining title or authorization;
-
- - pays late fixed fees, surface and proportional royalties;
-
- - engages in mining activities in an area of less than 50 meters radius around
enclosed properties, walls or an equivalent device, without the consent of the
owner or possessor:
-
- - does not bring to the attention of the Administration any accident that has
occurred or any cause of danger identified in a mine or quarry or in its
dependencies:
-
- - provides its production and sales declarations after the deadline prescribed by
mining regulations;
-
- - holder of a mining title or authorization, modifies or attempts to modify the
perimeter regularly assigned;
-
- - reduces or attempts to reduce the taxable value of the extracted products;
 37

- - voluntarily inflicts violence or assault on civil servants in the exercise of,

or occasionally, their profession.

ARTICLE 104

- Anyone who:

- holder of mining titles, proceeds, without prior authorisation granted by

Decree of the Council of Ministers, to the merger or division of the said titles;

- holder of a mining authorisation or title, does not comply with the

obligations attached to the rights conferred on him by them;

- holder of a mining title, does not submit to the prior approval of the
Administration any memoranda of understanding, contracts and agreements
by which it intends to entrust, assign or transfer in whole or in part the rights
and obligations attached to the said title;

- does not pay fixed fees, surface and proportional fees

- does not provide monthly production and sales reports;

CHAPTER III - OFFENCES

ARTICLE 105

- Will be punished by a fine of 1,000,000 to 2,500,000 F and imprisonment of 6

months to 2 years or one or the other of these two penalties only, anyone who:
-
- - knowingly provides inaccurate information in order to obtain a mining title
-
- - engages in mining work in areas prohibited for mining activity;
-
- - engages in mining activities with expired mining permits or titles;
-
- - engages in mining activities without complying with safety and hygiene rules
and provisions relating to the preservation of environmental quality;
-
- - fails to comply with the provisions provided for in the safety and hygiene
regulations drawn up in accordance with Article 73;
-
- - illicitly engages in prospecting, research or exploitation of mineral substances
other than precious stones and metals
-
- - holder of mining titles, does not regularly update, under the conditions provided
for by the regulations, the extraction, sales and shipping registers of the
extracted products, or refuses to present said registers to the agents authorized
to control them.
-
 38

- ARTICLE 106
-
- shall be punished by a fine of 2,500,000 to 5,000,000 F and imprisonment of 2 to
5 years or one or the other of these two penalties only, anyone who:
-
- - illicitly engages or attempts to engage in prospecting, research or exploitation of
the precious stones and metals referred to in Article 65;
-
- - falsifies or modifies in any way a mining title;

ARTICLE 107

Any person shall be punished by a fine of between 5,000,000 and 10,000,000

francs and imprisonment for a term of 5 to 10 years, or either of these two
penalties only, without prejudice to prosecution arising from the undertakings
entered into and stipulated in the operating permit (PE) granted under this law. :

- - holder of his title stripped of his title, refuses to comply with the
disciplinary provisions provided for by the texts in force.

ARTICLE 108

- Attempted offences and complicity provided for in this title within the
meaning of Articles 24 and 27 of the Criminal Code are punishable.

In all cases of infringement, the Administration may settle at any time or request
in the event of a conviction:

- the cancellation of the mining authorisation or title;

- the temporary or permanent closure of the perimeter concerned by the mining

authorisation or title;
 39

- - the general or special confiscation for the benefit of the State, of the
equipment used to commit the offence and the resulting proceeds;

- the posting of the conviction decision at the place of offence and at the capitals
of Departments and Sub-Prefectures for 3 months;

- publication of the sentence in three daily newspapers published in the Republic

of Côte d'Ivoire, three times successively at the expense of the convicted
person(s);

- suspension or professional ban;

- a ban on staying or appearing in court, in accordance with the provisions of

articles 77 and seq. of the Criminal Code.

ARTICLE 109 :

The provisions of Articles 117 and 133 of the Criminal Code relating to
mitigating circumstances and suspended sentences shall not apply to the
offences provided for and punishable by Chapters II and III of this Title.

ARTICLE 110 :

The penalties provided for in this chapter shall be imposed without

prejudice to the tax fines provided for in the Mining Code.

ARTICLE 111 :

In the event of a repeat offence, the fine will be doubled and imprisonment for a
term not exceeding ten years may be imposed.

TITLE XI - MISCELLANEOUS PROVISIONS

ARTICLE 112 :

In the event of disagreement between the holder of a mining title or the

beneficiary of an authorisation and the State in the implementation of this Act and
its implementing texts, the Mining Administration and the holder or beneficiary
may
 40

jointly appoint one or more independent experts to act in an advisory capacity

to attempt to resolve the dispute.

If the disagreement persists, unless an establishment agreement provides

otherwise, any resulting dispute shall be decided in the last instance by the
competent courts in the Republic of Côte d'Ivoire or by an arbitral tribunal under
Ivorian law.

The rights of the holder or beneficiary shall be suspended until the final auction
unless he provides a guarantee in a form and for an amount acceptable to the
Mining Administration.

Until the final award, the Mining Administration may take any precautionary
measure it deems necessary for the protection of persons, property, the
environment and the operation.

ARTICLE 113 :

Decrees issued by the Council of Ministers on the proposal of the Minister

in charge of mines shall establish, as necessary, the procedures for the
application of the Mining Code.

ARTICLE 114 :

The Minister in charge of Mines shall set up any Mining Advisory

Committee, whose composition, powers and functioning shall be defined by
Ministerial Order, for consultation on all matters relating to mining activity, the
Mining Code and, in particular, on the amendments to be made to mining
regulations.

ARTICLE 115 :

Mining or quarrying installations and extracted substances may be

requisitioned or expropriated by the State only in return for fair compensation.

ARTICLE 116 :

Holders of mining titles or beneficiaries of authorizations under this law are

not eligible for the provisions of the Investment Code.
 41

TITLE XII - TRANSITIONAL PROVISIONS

ARTICLE 117 :

Permits and authorisations valid on the date of entry into force of this Act
shall remain valid for the duration and the substances for which they were
issued. They retain their definition for the duration of their validity. Renewals shall
be made in accordance with the provisions of this law. Agreements in force on
the same date shall also remain valid for the duration of their period of validity.

TITLE XIII - FINAL PROVISIONS

ARTICLE 118 :

Law No. 64-249 of 3 July 1964 on the Mining Code and all previous
legislative provisions relating thereto are repealed, with the exception of the texts
adopted for its implementation, which will remain in force until a new
implementing regulation has been adopted.

ARTICLE 119 :

This law shall be published in the Official Journal of the Republic of Côte
d'Ivoire and executed as a law of the State.