Mines and Minerals Act, 2005 (No. 4 of 2005).

This Act provides rules relative to the exploration for and the exploitation of mineral resources and related matters such as the protection of the environment and the use of water resources.This Act declares all rights of ownership in minerals to be vested in the Basotho nation. Mineral rights may be acquires and exploited in accordance with this Act. The Act sets out restrictions on the acquisition of mineral rights. Mineral rights are: a prospecting licence; a mining lease; a mineral permit for small-scale mining operations (together: "mineral concessions"). Mineral concessions shall be granted by the Minister responsible for mining.The Act establishes the office of the Commissioner or Mines and Geology. The Commissioner shall carry out functions relating to inspection and control of mining operations. The act also establishes a Mining Board, which shall have principally advisory functions.A holder of a mineral concession shall not exercise that right in respect of, among other things, national parks and land used recently for cultivation. The owner of the land shall retain rights of grazing and cultivation on the land subject to a mineral concession.The Act formulates a general obligation to preserve and protect the environment and requires the applicants for a mining lease to submit a comprehensive environmental impact assessment as part of the feasibility study report. Other environmental requirements include rehabilitation of the mining area and the making of financial provision by the holder of a mineral concession for compliance with environmental obligations.