1999 Minnesota Statutes

     93.08 Prospecting for minerals under waters of meandered 
  lakes and streams.  

    Subdivision 1.    Rules for issuance of permits.  The 
 department, with the approval of the executive council, shall 
 adopt rules for the issuance of permits to prospect for gold, 
 silver, copper, cobalt, coal, graphite, petroleum, sand, gravel, 
 stone, natural gas, and all minerals, excepting iron ore, under 
 the waters of any public lake or stream in the state, including 
 that portion of boundary lakes and streams within the boundaries 
 of the state, and for the issuance of leases for the mining and 
 removal of such minerals upon such terms and conditions as such 
 rules may prescribe.  

    Subd. 2.    Scope of rules.  It shall be provided in 
 such rules, among other things: 

    (1) No permit to prospect shall be issued for a period to 
 exceed two years; 

    (2) Each permit shall authorize prospecting only within the 
 area designated therein, which area shall not exceed the 
 limitations upon size prescribed by the rules; 

    (3) At any time prior to the expiration of any such 
 prospective permit, the holder thereof shall have the right to a 
 lease giving the exclusive right to mine and remove the minerals 
 specified in such permit within the area specified in the 
 permit; provided, if the rules adopted hereunder shall permit or 
 prescribe larger areas for permits than for leases, the permit 
 holder shall designate the specific part of the area covered by 
 the permit (not exceeding the limitations upon size of lease 
 areas) upon which a lease is desired; 

    (4) Minimum rents and royalties, and the other terms, 
 conditions, and covenants of all such leases shall be prescribed 
 by such rules prior to the issuance of any permits hereunder; 
 provided no rents or royalties shall be paid for muck and silt, 
 or sand, or gravel removed under a lease or permit issued to any 
 department of the state, any political subdivisions, the federal 
 government, watershed district, drainage and conservancy 
 district, drainage and flood control district, sanitary district 
 of the state, or any port authority, if such materials are used 
 for public purposes only, and are not resold to any private 
 party; and provided further that no rents or royalties shall be 
 charged for muck and silt, or sand, or gravel furnished to or 
 taken by any department of the state or any political 
 subdivision of the state, or any port authority, subsequent to 
 July 1, 1958, and prior to the effective date of Laws 1961, 
 chapter 336, if such materials were used for public purposes; 

    (5) No such lease shall be for a longer term than 50 years; 

    (6) All rents and royalties paid under such leases shall be 
 paid to the state treasurer on the order of the commissioner of 
 finance and shall be credited to the permanent school funds of 
 the state; 

    (7) No minerals shall be removed under such permits until 
 lease has been issued as provided by such rules, except that, 
 with the approval of the commissioner, sufficient minerals or 
 ore material may be removed for exploratory or assaying 
 purposes; 

    (8) The grantee of such permit or lease, the assigns, 
 representatives, and successors in interest of the grantee, may 
 be required to secure riparian owners against damage from the 
 use of such lease or permit.  

    Subd. 3.    Issuance of permits.  The commissioner 
 shall issue permits and leases in accordance with such rules. 

    Subd. 4.    Recording of permits and leases.  All 
 permits and leases, with the names and post office addresses of 
 all parties having an interest, issued by the commissioner under 
 authority of sections 93.08 to 93.12 and the rules adopted 
 thereunder, before delivery, shall be duly recorded at length by 
 the commissioner of finance in office record books to be 
 provided and kept for that purpose, and a certificate of such 
 record showing the date of record and the book and page thereof 
 shall be endorsed on each such permit or lease.  

    HIST: (6402-2, 6402-3, 6402-4, 6402-5) Ex1935 c 42 s 1-4; 1947 
 c 473 s 1,2; 1953 c 537 s 1; 1961 c 336 s 1; 1963 c 647 s 1; 
 1973 c 492 s 14; 1985 c 248 s 70; 1986 c 444