Section 78, The Mines and Minerals Act, 2009

(1) The holder of an exploration licence shall- (a) commence exploration operations within ninety calendar days of the date of issue of the exploration licence; (b) carry out exploration operations within the exploration licence area in accordance with his approved programme of exploration (c) comply with such annual programme of exploration operations expenditure requirements as prescribed; (d) not remove any mineral from the exploration licence area except for the purpose of having such mineral analysed, valued or tested; (e) be subject to all taxes, royalty and other fees relating to a sale of mineral specimens and samples as authorized in paragraph (d) of subsection (2) of section 77 as if the minerals sold were obtained under a mining licence; (f) inform landowners and users of land within the exploration licence area about exploration operations in such manner as prescribed and as directed by the Director; (g) compensate users of land for damage to land and property resulting from exploration operations in the licence area; (h) notify the Minister of the discovery of any mineral deposit of possible economic value within a period of thirty calendar days of such discovery; (i) backfill or otherwise make safe any boreholes or excavations made during the course of exploration operations to the reasonable satisfaction of the Director; (j) unless the Director otherwise stipulates, remove within sixty calendar days of the expiration of the exploration licence, any camps, temporary buildings or machinery erected or installed by the holder and repair or otherwise make good any damage to the surface of the ground occasioned by such removal to the satisfaction of the Director; (k) semi-annually submit to the Director and the Director of Geological Survey, a confidential report summarizing progress against the approved work programme in such form as (l) annually submit to the Director and the Director of Geological Survey, a confidential report containing the information required under the licence in such form as may be prescribed, which shall include, but not be limited to copies of the records required under subsection (2); (m) provide the full results, data and interpretation as prescribed of any airborne geophysical survey done in connection with the exploration licence area within six months of acquisition; (n) employ and train Sierra Leoneans in accordance with the approved proposals the particulars of which have been appended to the licence; (o) keep and maintain in Sierra Leone an address to be registered with the Minister and to which all communications and notices may be addressed; and (p) notify the Director whenever there has been a change in the ownership of the licence holder and any single interest exceeds forty percent interest in the licence holder. 58 59 Obligations of holder of (2) The holder of an exploration licence shall keep at the address referred to in paragraph (o) of subsection (1), full and accurate records, to the satisfaction of the Minister, of its exploration operations which shall show, among other things- (a) boreholes drilled; (b) strata penetrated, with detailed logs of such strata; (c) minerals discovered; (d) the results of any geochemical or geophysical analysis; (e) the results of any analysis or identification or minerals removed for such purposes; (f) the geological interpretation of the records maintained under paragraphs (a) to (e); (g) the number and particulars of persons employed; (h) other work done in connection with the exploration licence; (i) all expenditures made that satisfy annual prescribed programme of exploration operations expenditure requirements; and (j) such other matters as may be prescribed. (3) The holder of an exploration licence shall submit to the Director and the Director of Geological Survey not later than ninety calendar days after the end of each year of the licence, an audited statement of itemized expenditure directly incurred under the licence in respect to acceptable exploration activities as prescribed, and any moneys required to be spent under the provisions of paragraph (c) of subsection (1) and which are not so spent shall be a debt due to the Government recoverable in a court of competent jurisdiction. (4) Any person who fails to keep any record or information required to be kept under subsections (1), (2) or (3) or fails to supply any record or information to the Director or the Director of Geological Survey or who supplies any false or misleading record or information commits an offence and shall be liable on convictionin leones, or to imprisonment for a term of two years, or both; or less than thirty thousand dollars or its