GU-Experimental mining license: The Strategic Mineral Extraction Before a mining license

The Guia de Utilização (GU) is a legal instrument that allows the controlled and exceptional extraction of mineral substances before a definitive concession of lavra is granted. Article 24 of Decree No. 9,406/2018 and Article 22 of Decree-Law No. 227/1967 (Brazilian Mining Code) outline its function, but its application reveals its strategic role. The GU is not a bureaucratic shortcut; it is a public management tool that balances technical rigor with the need to boost mineral production in specific contexts.

The issuance of a GU is conditional on situations that the National Mining Agency (ANM) considers exceptional, as per ANM Resolution No. 37/2020. These include:

  • Verification of technical-economic viability: Extraction allows the titleholder to validate the potential of the deposit and the viability of the enterprise before massive investments.
  • Extraction for analysis and industrial trials: Obtaining a considerable volume of samples is essential for beneficiation tests and to determine the quality of the ore on an industrial scale.
  • Strategic commercialization: At the discretion of the ANM, the GU allows for commercialization to meet public policies, such as strengthening small and medium-sized enterprises, promoting local productive arrangements, or guaranteeing the supply of inputs for key economic sectors like agriculture and civil construction.

In addition to its strategic function, the GU imposes rigorous obligations. It is important to note that the applicant must be the holder of the Research Permit, be current with the Annual Fee per Hectare (TAH), and present a valid environmental license. The effectiveness of the permit depends on the validity of the environmental license, which must be submitted within ten days after the GU is issued. The GU is valid for up to three years and can be extended for an equal period.

Despite its flexibility, managing the GU requires precision. The extraction must respect the quantity limits defined by the ANM for each mineral substance, and any operation outside these parameters or without a proper environmental license constitutes illegal mining. Infractions can result in fines, the seizure of equipment, and, in the most severe cases, the lapse of the mining right.

Why Is It Worth Having a Guia de Utilização?

The Guia de Utilização offers several advantages for holders of research permits. It allows a project’s viability to be tested before large investments, minimizing financial risks. The extraction of samples in a considerable volume is essential for beneficiation tests and to determine the quality of the ore on an industrial scale. Additionally, the GU can allow the commercialization of the ore to serve public policies, such as the strengthening of small and medium-sized companies, which generates revenue for the project while it is still in the research phase.

Understanding the Annual Fee per Hectare (TAH)

📷Canva/Edition by ÍGNEABR

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