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| Mineral Resources Code (Brazil) | |
|---|---|
| Title | Mineral Resources Code (Brazil) |
| Long title | Código de Recursos Minerais |
| Enacted by | National Congress of Brazil |
| Date assented | 1967 |
| Status | in force (amended) |
Mineral Resources Code (Brazil) is the principal statutory framework regulating mining activities in the Federative Republic of Brazil. The Code establishes rights, duties, licensing procedures, fiscal rules, environmental obligations, and oversight mechanisms for extraction of metallic and non-metallic minerals across Brazilian territory. It intersects with constitutional provisions, federal agencies, state regulations, and international instruments affecting mineral governance.
The Code was adopted by the National Congress of Brazil during the period of the Brazilian military government (1964–1985), reflecting policy priorities associated with industrialization promoted by the Ministry of Mines and Energy (Brazil), the National Department of Mineral Production and later institutions such as the National Mining Agency (ANM). Its origins trace to earlier imperial and republican mining statutes influenced by the Código Civil Brasileiro and debates in the Constituent Assembly of 1891 and subsequent legislative reforms in the Republic of the United States of Brazil. Major legislative moments include post-dictatorship constitutional reforms in 1988 by the National Constituent Assembly (1987–1988), jurisprudence from the Supreme Federal Court (Brazil), and later regulatory modernization initiatives linked to the World Bank and bilateral technical cooperation with the United States Agency for International Development and European partners. Key policy drivers included responses to mining disasters involving companies such as Vale S.A. and global commodity cycles influenced by demand from People's Republic of China and trade relations with the European Union.
The Code defines mineral resources, mineral rights, exploration, and exploitation activities and distinguishes between solid mineral deposits and other natural resources recognized under the Constitution of Brazil (1988). It allocates certain competencies among federal authorities including the Ministry of Mines and Energy (Brazil), the National Mining Agency (ANM), and state-level secretariats such as the Secretariat of Environment (São Paulo), while also interacting with rights of indigenous peoples under the Fundamental Law of Indigenous Peoples and land-tenure regimes adjudicated by the Brazilian Institute of Environment and Renewable Natural Resources (IBAMA). Definitions align with technical standards from institutions such as the Brazilian Association of Technical Standards (ABNT), geological surveys like the National Department of Mineral Production and international bodies including the International Seabed Authority in matters of jurisdictional boundaries.
The Code sets a sequence of administrative acts for prospecting licenses, research permits, and mining concessions administered by the National Mining Agency (ANM). Applicants interface with state registries, municipal planning authorities and licensing bodies such as the Environmental Licensing Authority (varies by state), and must comply with technical requirements established by the Brazilian Geological Survey and tax registries including the Federal Revenue Service of Brazil (Receita Federal). Permit review processes are subject to administrative law principles applied by the Council of the Republic and adjudication by courts including the Superior Court of Justice (Brazil). International investors often engage legal counsel familiar with treaties like the Energy Charter Treaty (where applicable) and bilateral investment agreements with countries such as Portugal and Japan.
The Code articulates proprietary-like rights over mineral concessions, obligations to pay royalties, and contributions to municipal, state, and federal fiscus administered through agencies such as the National Treasury Secretariat (Brazil). It prescribes obligations for safety overseen by entities like the Ministry of Labor and Employment (Brazil) and technical compliance with standards from the Brazilian Association of Technical Standards (ABNT). Fiscal provisions interact with tax jurisprudence adjudicated by the Supreme Federal Court (Brazil) and multilateral fiscal guidance from organizations such as the Organisation for Economic Co-operation and Development where transfer pricing and tax treaties with United States partners are relevant. Concessionaires’ duties include rehabilitation, compensation to affected communities including those represented by the National Indian Foundation (FUNAI), and reporting to the National Mining Agency (ANM).
The Code coexists with environmental statutes such as the National Environmental Policy Act (Brazil) equivalents and regulation enforced by IBAMA and state environmental agencies like the Environmental Protection Agency of Minas Gerais (FEAM). Requirements include environmental impact assessments, public hearings supervised under administrative law frameworks involving the Public Prosecutor's Office (Ministério Público Federal), social license considerations engaging civil society organizations such as Greenpeace Brazil, and obligations arising from international instruments including the Escazú Agreement and the Convention on Biological Diversity. High-profile mine tailings failures prompted reforms coordinated with the National Council for the Environment (CONAMA) and resulted in stricter standards for dam safety, community relocation, and corporate liability for companies such as BHP and Vale S.A..
Oversight is exercised by the National Mining Agency (ANM), auditing bodies like the Federal Court of Accounts (TCU), and prosecutorial actions by the Ministry of Justice and Public Security (Brazil). Enforcement mechanisms include administrative sanctions, criminal referrals to the Public Prosecutor's Office (Ministério Público Federal), civil liability adjudicated by the Superior Court of Justice (Brazil), and corrective measures overseen by state secretariats. International compliance instruments and investor-state dispute settlement cases have involved arbitral tribunals under rules of institutions such as the International Centre for Settlement of Investment Disputes.
The Code has been amended through legislative acts passed by the National Congress of Brazil, regulatory ordinances issued by the Ministry of Mines and Energy (Brazil) and decrees promulgated under presidential authority such as by presidents including Fernando Henrique Cardoso, Luiz Inácio Lula da Silva, and Michel Temer. Legal challenges have been brought before the Supreme Federal Court (Brazil) and the Superior Court of Justice (Brazil) by states like Minas Gerais, municipalities, indigenous associations, and corporations, often implicating constitutional provisions from the Constitution of Brazil (1988) and international obligations under instruments such as the International Labour Organization conventions. Contemporary reform debates involve proposals in the Chamber of Deputies (Brazil) and the Federal Senate (Brazil) to update fiscal regimes, environmental safeguards, and permitting efficiency in line with practices in jurisdictions such as Australia and Canada.
Category:Brazilian legislation