National Mineral Exploration Trust (NMET)
2022 OCT 27
Economic Development > Indian Economy and Issues > Government agencies
Why in news?
- Ministry of Mines issues General Instructions to Notified Exploration Agencies for submission of project proposals to National Mineral Exploration Trust (NMET).
About National Mineral Exploration Trust (NMET):
- The Mines and Mineral (Development and Regulation) Act, 1957 as amended in 2015, has introduced transparent & competitive auction process for grant of mineral concessions.
- It also provided for establishment of National Mineral Exploration Trust (NMET) to give impetus to the mineral exploration activities.
- The composition and functions of the Trust is prescribed by the Central Government.
- Now, as per the recent amendment in the MMDR Act in 2021 >> NMET has to be established as a “non-profit Autonomous Body”.
- Since its inception NMET has been funding various Notified Exploration Agencies to carry out exploration projects across the country.
Where do NMET get fund?
- NMET Fund receives money from holders of mining lease or a prospecting license –cum-mining lease, an equivalent amount equivalent to two percent of royalty paid in terms of the Second Schedule of MMDR Act.
Objective of the trust
- Taking up regional and detailed exploration, for coal and non-coal minerals, by giving priority to strategic and critical minerals
- Facilitate geophysical, ground and aerial survey and geochemical survey of Obvious Geological Potential areas and rest of India
- Organizing capacity building programmes to raise technical capability of personnel engaged in exploration
- Using Trust Fund for purposes necessary or expedient in the interest of conservation, development and exploitation of mineral resources of India
Consider the following statements regarding ‘National Mineral Exploration Trust (NMET)’:
1. It has been established under Mines and Minerals (Development & Regulation) Amendment Act, 2015
2. The composition and functions of the Trust is prescribed by the Central Government.
Which of the statements given above is/are correct?
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2