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HomePublic Resources CodeDiv. 6Pt. 2Ch. 3Art. 1§ 6801 Eligibility For Leases

§ 6801 Eligibility For Leases

Public Resources Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 6801 Eligibility For Leases

This law says only certain people and companies can get a mining lease or permit – mainly U.S. citizens, people who plan to become citizens, foreigners from countries that treat U.S. citizens the same, U.S. corporations or ones mostly owned by eligible people, and anyone covered by a treaty. If several groups bid together, they must list everyone.

Key Takeaways

  • •Only U.S. citizens, people who intend to become citizens, or foreigners from countries that give the same rights to U.S. citizens can hold a lease or permit.
  • •Corporations must be U.S. companies or have at least 90% of their shares owned by eligible people or other eligible corporations.
  • •Treaties can allow people from other countries to get a lease or permit.
  • •When several parties bid together, every name must be listed.

Example

A mining company called Rocky Minerals, Inc. wants a prospecting permit. Rocky Minerals is a U.S. corporation and 95% of its shares are owned by U.S. citizens, so it can get the permit. If a foreign company owned only 80% by U.S. citizens tried to apply, it would be denied.

Because Rocky Minerals meets the rule that a corporation must be organized under U.S. law or have at least 90% of its shares owned by people who can hold a lease, the law lets it get the permit. The foreign company doesn’t meet the 90% ownership rule, so it can’t.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 6801 Eligibility For Leases

A lease or prospecting permit under this chapter shall be issued only to and held by: (a) Persons or associations of persons who are citizens of the United States or who have declared their intention of becoming such, or who are citizens of any country, dependency, colony, or province, the laws, customs, and regulations of which permit the grant of similar or like privileges to citizens of the United States. (b) Any corporation or corporations organized and existing under and by virtue of the laws of the United States or of any state or territory thereof; or any corporation or corporations 90 percent or more of the shares of which are owned by persons eligible to hold a lease or permit under subdivision (a) or (c) of this section; or any corporation or corporations 90 percent or more of the shares of which are owned either by a corporation eligible to hold a lease or permit hereunder, or by any combination of such eligible persons or corporations, or both. (c) Any person who is not a citizen or national of the United States entitled thereto by virtue of any treaty between the United States and the nation or country of which that person is a citizen or subject. (d) In every case of joint bidding, the names of all persons, firms, or corporations interested in a particular joint bid shall be specified. (Amended by Stats. 2021, Ch. 296, Sec. 57. (AB 1096) Effective January 1, 2022.)

Last verified: January 11, 2026

Key Terms

corporationunited statesregulationleaseintentioncombination

Related Statutes

  • § 6804 Lease Assignment Approval
  • § 6805 Permit Cancellation Authority
  • § 6813 Oil Gas Claim Agreements
  • § 6815.1 Oil Gas Disposition Bidding
  • § 6803 State Surface Rights Reservation

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Public Resources Code. Section 6801.
View Official Source