Mining Waste, Fraud, and Abuse Prevention Act of 2025
The Mining Waste, Fraud, and Abuse Prevention Act of 2025 would overhaul how hardrock minerals on public (federal) lands are located, developed, and regulated. The bill would largely close federal lands to new entries under the general mining laws, require most pre-existing mining claims to transition into leases or other authorized forms, and establish a tightly regulated framework of prospecting licenses, leases (competitive and noncompetitive), and permits. It also creates an emphasis on environmental protections, financial assurances, and post-closure reclamation, funding a new Abandoned Hardrock Mine Reclamation Program and boosting oversight, reporting, and enforcement. In short, the bill shifts management of hardrock mining from a largely "open-entry" approach toward a structured leasing and permit system with stronger environmental and financial accountability. The effect would significantly alter the economics and timing of hardrock mining on federal lands, increasing upfront regulatory and financial requirements (e.g., royalties, leases, permits, and reclamation costs) and creating new pathways for state revenue and public-reclamation funding. The bill also includes protections for sacred sites and other sensitive lands and introduces a robust inspection and audit regime to curb waste, fraud, and abuse.
Key Points
- 1Closure to entry and transition for existing claims: As of the act’s effective date, federal lands are closed to new entry under the general mining laws. Existing claims without approved plans of operations must convert to the new system or be relinquished, with a possible 10-year window (shortened to 3 years in certain scenarios) to transition or convert to noncompetitive leases; nonconverted claims may be void. The conversion process would be governed by new regulations and require coordination with surface management agencies and compliance with environmental/health laws.
- 2Prospecting licenses and hardrock leases (noncompetitive and competitive): The bill creates a path for prospecting licenses (exclusive rights to prospect for up to 2 years on up to 2,560 acres, with fees and annual rentals) and, upon discovery of a valuable deposit, a noncompetitive hardrock lease (minimum 12.5% of gross value, $10/acre/year rent, 20-year term with potential 10-year renewal) for land in the license area and necessary processing lands. Competitive leasing is allowed for areas not covered by licenses, capped at 2,560 acres, and uses terms equivalent to noncompetitive leases.
- 3Small miner’s lease and royalty structure: A separate program for small miners allows exclusive rights for up to 3 years on up to 200 acres, with no royalties on production during the primary term and reduced or capped royalties on renewals if conversion to other lease types occurs. A small miner must meet specific thresholds (e.g., income limits, claim counts) and transfers are tightly restricted. The act also provides conversion options between small miner leases and other lease types with tailored royalty rules.
- 4Royalty and revenue framework; use of proceeds: Royalties are required on production, with at least 8% for production under existing operations before the act and at least 12.5% for production under new leases or permit modifications after the act. A portion (25%) of royalty and related revenues is allocated to states where the land is located; the remainder funds the Abandoned Hardrock Mine Reclamation Program for reclamation activities. The act also requires detailed recordkeeping, reporting, and payments, with joint and several liability for royalty payers and provisions for audits and enforcement.
- 5Environmental safeguards, permits, and reclamation: The bill emphasizes environmental considerations through a general standard for hardrock mining on federal land, required exploration and operations permits, financial assurances, and a comprehensive reclamation framework. It authorizes inspections, annual reporting, and post-closure monitoring and maintenance. It also preserves protections for sacred sites and requires compliance with other federal/state environmental, health, and worker-safety laws; it includes a framework for consultation and environmental review, though certain royalty-related leases may be exempt from NEPA analysis unless surface disturbance is modified or extended.