Mining (Royalties) Regulations 2025 00-a0-00 Xml

Western Australia

Mining (Royalties) Regulations 2025

Contents

Part 1 — Preliminary

1.Citation1

2.Commencement1

3.Terms used1

4.References to mineral and mining tenement4

5.Effect of GST and net input tax credit on royalty5

6.Australian currency6

7.Conversion to Australian currency6

Notes

Compilation table8

Uncommenced provisions table8

Defined terms

Mining Act 1978

Mining (Royalties) Regulations 2025

Part 1 — Preliminary

1.Citation

These regulations are the Mining (Royalties) Regulations 2025.

2.Commencement

These regulations come into operation as follows —

(a)Part 1 — on the day on which these regulations are published on the WA legislation website;

(b)the rest of the regulations — on 1 September 2025.

3.Terms used

In these regulations —

additional rent has the meaning given in section 120E(1) of the Act;

additional rent return means a return lodged under section 120E(4) of the Act;

allowable deduction, in relation to the sale of a mineral —

(a)means —

(i)the reasonable costs, incurred by the royalty payer after the shipment day for a mineral, of the mineral being transported by a person other than the royalty payer in the form in which it is first sold; and

(ii)the cost of packaging material used to transport the mineral in the form in which it is first sold, incurred by the royalty payer;

but

(b)does not include any other cost associated with transporting the mineral, including, for example, the cost of packing the mineral for transport;

approved form means a form approved by the Minister under regulation 52;

beneficiated, in relation to a mineral ore, does not include —

(a)crushed, screened, washed, scrubbed, trommelled or dried; or

(b)separated by hydrocycloning or a similar technology; or

(c)blended with another mineral or with another form of the same mineral; or

(d)a combination of 2 or more of those processes;

beneficiation plant, in relation to ilmenite feedstock, means a mineral processing plant located in the State that produces, or is designed to produce, upgraded ilmenite with an average titanium dioxide content of not less than 90%;

blend means a blend or mixture of 2 or more minerals or forms of mineral;

Commissioner means the Commissioner of State Revenue;

Commissioner’s website means a website maintained by, or on behalf of, the Commissioner;

concentrate means the product of a physical or chemical process, performed by a mining tenement holder, in which —

(a)metal or a mineral (whether metallic or non‑metallic) is extracted from mineral ore; and

(b)the grade or quality of the metal or mineral is significantly improved;

financial year means a period of 1 year ending on 30 June;

gold-bearing material means material of any kind containing gold;

gold metal means gold that is at least 99.5% pure;

gross invoice value, in relation to a mineral, means the amount worked out by multiplying the following —

(a)the quantity of the mineral specified in an invoice for the sale of the mineral in the form in which it is first sold;

(b)the price for the mineral in that form specified in the invoice;

ilmenite feedstock has the meaning given in regulation 17(1)(a);

lodge means lodge with the Commissioner;

marketable quality, in relation to ilmenite feedstock, has the meaning given in regulation 17(2);

mineral has a meaning affected by regulation 4(a);

mining tenement has a meaning affected by regulation 4(b);

nickel by‑product means a by‑product or co‑product of nickel mining or processing;

produced, from a mining tenement in relation to a mineral, means the mineral is produced from —

(a)a mineral or another form of the mineral obtained from the mining tenement; or

(b)another mineral or another form of the mineral produced from a mineral obtained from the mining tenement;

production report means a report lodged under regulation 43(1) in relation to a mining tenement;

purchaser, of a mineral, means the person to whom the mineral is first sold;

quarter means each period of 3 months ending on 31 March, 30 June, 30 September or 31 December in a year;

related corporation, in relation to a body corporate (the first body corporate), means a body corporate that, under the Corporations Act section 50, is related to the first body corporate;

royalty return has the meaning given in section 120D(1) of the Act;

royalty value, in relation to a mineral, has the meaning given in relation to the mineral in regulation 14(2);

shipment day, in relation to a mineral, means —

(a)if the mineral is exported from Australia — the day on which the aircraft or ship transporting the mineral first leaves port in this State; or

(b)otherwise — the day on which the mineral is first loaded on a vehicle for transport to the purchaser of the mineral;

shipping costs, for iron ore, means any of the following costs reasonably incurred after the shipment day by the royalty payer for the ore in relation to shipping the ore —

(a)freight costs adjusted for the following —

(i)address commission;

(ii)despatch or demurrage at the port of discharge;

(b)dead freight costs;

(c)marine and cargo insurance costs;

(d)bunkerage costs;

sold includes transferred, shipped or otherwise disposed of, and sale has a corresponding meaning;

treatment facility means any plant at which gold-bearing material is treated or processed, but does not include a refinery.

4.References to mineral and mining tenement

In these regulations —

(a)a reference to a mineral includes a reference to —

(i)a material containing the mineral; and

(ii)a form of the mineral;

and

(b)a reference to a mining tenement includes a reference to land the subject of an application for a mining tenement.

5.Effect of GST and net input tax credit on royalty

(1)In this regulation, decreasing adjustment, GST, increasing adjustment, input tax credit, net GST and supply have the meanings given in the A New Tax System (Goods and Services Tax) Act 1999 (Cth) section 195‑1.

(2)In these regulations —

(a)a reference to a royalty value or price of a mineral is taken to be a reference to that value or price reduced by the amount of the net GST (if any) payable on the supply to which the royalty value or price relates; and

(b)a reference to the value of a mineral at a particular point in its production (other than its supply), or in a particular form, is taken to be a reference to that value reduced by the amount of GST that would be payable if the mineral were supplied at that point or in that form.

(3)For the purposes of working out a value or price of a mineral in these regulations, an amount that relates to obtaining the mineral from a mining tenement (an expense) that may be deducted from another amount is reduced by the net input tax credit (if any) that arises in relation to the expense.

(4)The net input tax credit that arises in relation to an expense is —

(a)the input tax credit that arises in relation to the expense; plus

(b)the sum of any decreasing adjustments in relation to the expense; minus

(c)the sum of any increasing adjustments in relation to the expense.

6.Australian currency

In these regulations, a reference to an amount of money, a cost or a price is a reference to the amount, cost or price in Australian currency unless otherwise stated.

7.Conversion to Australian currency

(1)In this regulation —

foreign currency means a currency other than Australian currency;

RBA exchange rate, for a foreign currency for a day, means the rate for converting the foreign currency to Australian currency for that day published by the Reserve Bank of Australia on its website.

(2)This regulation applies for the purposes of converting an amount from a foreign currency to Australian currency when the conversion is necessary to work out the amount of a royalty payable for a mineral.

(3)The conversion is to be calculated using the average of the RBA exchange rates for the foreign currency for the quarter in which the shipment day for the mineral occurs.

(4)Despite subregulation (3), for the purposes of paragraph (a) of the definition of gold spot price in regulation 30(1), the conversion is to be calculated using —

(a)the RBA exchange rate for the foreign currency for the day on which the price is fixed; or

(b)if there is no RBA exchange rate for that day — the RBA exchange rate for the foreign currency last published before that day.

[Parts 2‑7 have not come into operation.]

[Schedule 1 has not come into operation.]

Notes

This is a compilation of the Mining (Royalties) Regulations 2025. For provisions that have come into operation see the compilation table. For provisions that have not yet come into operation see the uncommenced provisions table.

Compilation table

Citation	Published	Commencement
Mining (Royalties) Regulations 2025 Pt. 1	SL 2025/154 28 Aug 2025	28 Aug 2025 (see r. 2(a))

Uncommenced provisions table

To view the text of the uncommenced provisions see Subsidiary legislation as made on the WA legislation website.

Citation	Published	Commencement
Mining (Royalties) Regulations 2025 (other than Pt. 1)	SL 2025/154 28 Aug 2025	1 Sep 2025 (see r. 2(b))

Defined terms

[This is a list of terms defined and the provisions where they are defined. The list is not part of the law.]

Defined termProvision(s)

additional rent3

additional rent return3

allowable deduction3

approved form3

beneficiated3

beneficiation plant3

blend3

Commissioner3

Commissioner’s website3

concentrate3

decreasing adjustment5(1)

expense5(3)

financial year3

first body corporate3

foreign currency7(1)

gold-bearing material3

gold metal3

gross invoice value3

GST5(1)

ilmenite feedstock3

increasing adjustment5(1)

input tax credit5(1)

lodge3

marketable quality3

mineral3, 4

mining tenement3, 4

net GST5(1)

net input tax credit5(4)

nickel by-product3

produced3

production report3

purchaser3

quarter3

RBA exchange rate7(1)

related corporation3

royalty return3

royalty value3

sale3

shipment day3

shipping costs3

sold3

supply5(1)

treatment facility3

This work is licensed under a Creative Commons Attribution 4.0 International Licence (CC BY 4.0). To view relevant information and for a link to a copy of the licence, visit www.legislation.wa.gov.au.

By Authority: GEOFF O. LAWN, Government Printer