Mineral (Auction) Second Amendment Rules, 2026 notified for faster operationalisation of mines
The Ministry of Mines on 30 March 2026 notified the Mineral (Auction) Second Amendment Rules, 2026, allowing exclusion of non-feasible portions of blocks and introducing a unified mining portal.
Summary
The Ministry of Mines notified the Mineral (Auction) Second Amendment Rules, 2026 on 30 March 2026 to speed up the operationalisation of auctioned mines. The rules allow exclusion of portions of a mineral block where mining is not feasible because of forests, wildlife corridors, rivers, nallahs, habitation or infrastructure, if those portions hold less than 25% of the block's estimated resources. A unified mining portal will handle block preparation, clearances and monitoring, and will issue the letter of intent (LoI) automatically on receipt of the first upfront instalment or performance security. For blocks auctioned after 30 March 2026, the two-year extra period for executing a mining lease beyond the initial three years from the LoI applies only to blocks involving forest land, and the second upfront instalment is due within one year of the LoI.
Key facts
- Notified
- 30 March 2026
- Rules
- Mineral (Auction) Second Amendment Rules, 2026
- Non-feasible area
- Can be excluded if it holds <25% of block's resources
- Unified Mining Portal
- Block preparation, clearances, monitoring; automatic LoI
- ML execution
- Extra 2 years beyond 3 only for forest-land blocks
- Upfront payment
- 2nd instalment within 1 year of LoI (blocks auctioned after 30 Mar 2026)
Practice MCQs 3 questions
Under the Mineral (Auction) Second Amendment Rules, 2026, a non-feasible portion of a mineral block can be excluded if it contains less than what share of the block's estimated mineral resources?
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Correct answer: C — 25%
The rules allow exclusion of non-feasible portions holding less than 25% of the block's total estimated resources.
Consider the following statements about the Mineral (Auction) Second Amendment Rules, 2026: 1. For blocks auctioned after 30 March 2026, the additional two-year period for executing a mining lease is available to all blocks regardless of forest land. 2. A unified mining portal will issue the letter of intent automatically on receipt of the first instalment of upfront payment and/or performance security. Which of the statements given above is/are correct?
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Correct answer: B — 2 only
Only 2 is correct. The extra two years beyond the initial three is now allowed only for blocks involving forest land.
On which date did the Ministry of Mines notify the Mineral (Auction) Second Amendment Rules, 2026?
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Correct answer: D — 30 March 2026
The rules were notified on 30 March 2026; the previous amendment to the Auction Rules was on 17 October 2025, and the MMDR Amendment Act, 2025 took effect on 1 September 2025.