The government has decided to temporarily suspend the issuance of licenses for heavy mineral exploration and mining until the new National Mineral Policy is approved, enacted and implemented, Industry and Entrepreneurship Development Minister Sunil Handunneththi said Thursday.
The minister said the decision will remain in effect until Cabinet approval is obtained, relevant guidelines are gazetted and the policy is presented to Parliament. The suspension applies to all heavy mineral exploration and mining licenses, excluding minerals required for housing and construction activities.
He made the remarks at a special media briefing held at the Ministry of Industry and Entrepreneurship Development.
Handunneththi said the restriction will not apply to minerals such as sand, soil and gravel that are essential for housing and construction. However, the issuance of exploration and mining licenses for heavy minerals including ilmenite, rutile, zircon, garnet and similar resources has been suspended until the new policy framework is implemented.
The minister said the new National Mineral Policy has been formulated with the objective of ensuring maximum national benefit from the country’s mineral resources. He said the policy also seeks to standardize the licensing process to prevent decisions based on individual discretion and to improve transparency and accountability.
He said the policy document has already been prepared and submitted to the Cabinet of Ministers, and that the relevant regulations are expected to be gazetted and presented to Parliament before the end of next month.
Addressing reports circulating on social media regarding mineral removal in the Mirippawila area, the minister said no private entity has been granted approval under the present government for mineral extraction. He said permissions issued in September 2024 were limited to transportation-related activities and did not constitute exploration or mining licenses.
Handunneththi said the country has suffered significant losses due to illegal mineral extraction carried out using political influence in the past. He said a large number of court cases related to unpaid royalties and illegal mining activities are currently pending.
To curb illegal mining, the minister said Cabinet approval has been granted to establish a special enforcement unit to strengthen monitoring and prevent future violations.
Senior officials from the Ministry of Industry and Entrepreneurship Development and the Geological Survey and Mines Bureau attended the media briefing. (NewsWire)