Illinois Administrative Code
Title 62 - MINING
Part 1702 - EXEMPTION FOR COAL EXTRACTION INCIDENTAL TO THE EXTRACTION OF OTHER MINERALS
Section 1702.14 - Requirements for Exemption
Universal Citation: 62 IL Admin Code ยง 1702.14
Current through Register Vol. 48, No. 12, March 22, 2024
a) Activities are exempt from the requirements of the State Act if all of the following are satisfied:
1) The cumulative
production of coal extracted from the mining area determined annually as
described in this Section does not exceed 16 2/3 percent of the total
cumulative production of coal and other minerals removed during such period for
purposes of bona fide sale or reasonable commercial use.
2) Coal is produced from a geological stratum
lying above or immediately below the deepest stratum from which other minerals
are extracted for purposes of bona fide sale or reasonable commercial
use.
3) The cumulative revenue
derived from the coal extracted from the mining area determined annually shall
not exceed fifty (50) percent of the total cumulative revenue derived from the
coal and other minerals removed for purposes of bona fide sale or reasonable
commercial use. If the coal extracted or the minerals removed are used by the
operator or transferred to a related entity for use instead of being sold in a
bona fide sale, then the fair market value of the coal or other minerals shall
be calculated at the time of use or transfer and shall be considered rather
than revenue.
b) Persons seeking or that have obtained an exemption from the requirements of the State Act shall comply with the following:
1) Each
other mineral upon which an exemption under this Part is based must be a
commercially valuable mineral for which a market exists or which is mined in
bona fide anticipation that a market will exist for the mineral in the
reasonably foreseeable future, not to exceed twelve (12) months from the end of
the current period for which cumulative production is calculated. A legally
binding agreement for the future sale of other minerals is sufficient to
demonstrate the above standard.
2)
If either coal or other minerals are transferred or sold by the operator to a
related entity for its use or sale, the transaction must be made for legitimate
business purposes.
Disclaimer: These regulations may not be the most recent version. Illinois may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
This site is protected by reCAPTCHA and the Google
Privacy Policy and
Terms of Service apply.