NDIC Advances Rules for Critical Minerals in Coal
The North Dakota Industrial Commission has authorized the Department of Mineral Resources to advance draft rules implementing a new state law aimed at boosting development of critical minerals, including rare earth elements found in the state’s lignite coal deposits.
The action came during a commission meeting last week, following a presentation by department officials on the proposed regulations, the first of their kind in the U.S. related to critical minerals associated with coal.
House Bill 1459, passed earlier this year amid debate over mineral ownership and royalties, created a regulatory framework to encourage the extraction of the minerals, which are vital for electronics, clean energy technologies and national security. The law allows commingling of critical minerals with coal and sets minimum royalties for landowners.
The draft rules establish two main permit types: one for exploration, modeled on existing coal exploration programs, and another for processing facilities, drawing from past solution mining regulations. Exploration permits carry a $100 fee and require bonds for site reclamation, while facility permits involve cost reimbursement for reviews, comprehensive bonds covering demolition and restoration, and detailed plans for operations, environmental impacts and reclamation.
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