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What is a mining concession and how is it obtained?

In Chile, mines belong to the State, but individuals and companies may obtain mining concessions to explore for or exploit the minerals open to concession within a defined area. A concession is a real and immovable right: it may be sold, inherited or mortgaged and is independent of ownership of the surface land. Owning land does not make its owner the holder of the mining rights over it, nor does holding mining rights confer ownership of the land. (Library of the National Congress of Chile)

What types of concessions are there?

Exploration concession. It allows the holder to investigate the presence of minerals, but not to establish a mining operation. It lasts four years from the judgment constituting it and may be extended once, for up to four additional years, subject to the legal requirements. The extension is not automatic. (Library of the National Congress of Chile)

Exploitation concession, or pertenencia. It allows the holder to explore for, extract and acquire ownership of the minerals open to concession obtained within its boundaries. It has an indefinite duration, subject to the legal obligations required to retain it. A prior exploration concession is not required, nor does an exploration concession automatically become an exploitation concession. Substances such as lithium and liquid or gaseous hydrocarbons are subject to a special regime and, as a general rule, are not open to concession. (Library of the National Congress of Chile)

How is a concession obtained?

A concession is constituted through judicial proceedings before the civil court of first instance (Juzgado de Letras) with jurisdiction over its location. SERNAGEOMIN reviews and reports on the technical aspects, but the court grants the concession. The main stages are as follows: (Library of the National Congress of Chile)

  1. Filing the application. A pedimento is filed for exploration, or a manifestación for exploitation, identifying the applicant and the requested area. Before filing, it is advisable to review both existing concessions and pending applications: earlier rights may limit what can be obtained. (Library of the National Congress of Chile)
  2. Recording, publication and payments. In accordance with the court’s orders, the application and its ruling are recorded with the Mining Registrar (Conservador de Minas), and the registry entry is published in the Official Mining Bulletin (Boletín Oficial de Minería). The application fee must also be paid and, at the corresponding stage, the prorated first annual fee (patente proporcional). (Sernageomin)
  3. Technical processing. For exploration, the constitutive judgment is requested, together with a survey plan (plano) and the required supporting documents. For exploitation, a survey (mensura) is requested and carried out to mark out the pertenencias on the ground, by a civil mining engineer or a designated surveyor (perito mensurador). These proceedings give third parties opportunities to file oppositions (oposiciones). SERNAGEOMIN reviews the technical documents and reports to the court. (Sernageomin)
  4. Judgment and recording. Once the requirements have been met, the judge issues the judgment constituting (granting) the concession. A judgment extract (extracto) must then be published, recording must be requested from the Mining Registrar, and the corresponding plans must be filed. A pending application is not equivalent to a granted concession, although it may give rise to rights and priorities. (Sernageomin)

What obligations and limitations should be kept in mind?

The proceedings have strict, non-extendable deadlines, and failure to meet them may lead to a loss of rights. In addition, the concession must be maintained through payment of the annual concession fee (patente); non-payment may lead to an auction and loss of the concession. (Library of the National Congress of Chile)

A concession does not replace the permits needed to operate a mine. Access to and use of the land must be addressed separately, through agreements or easements as appropriate, as must environmental approvals, mining safety authorizations and any other requirements applicable to the project and its location. (Library of the National Congress of Chile)

Main legal framework: Law No. 18,097, the Organic Constitutional Law on Mining Concessions; the Mining Code, Law No. 18,248; and its Regulations, Supreme Decree No. 1 of 1986, as amended and in force. Procedural references: SERNAGEOMIN diagrams on the constitution of concessions. Review: September 2026. (Library of the National Congress of Chile)

SERNAGEOMIN reference material