GoI Introduces Offshore Areas Mineral Trust Rules, 2024 to Enhance Offshore Mineral Exploration

Current Context: The Government of India has introduced the Offshore Areas Mineral Trust Rules, 2024 to enhance offshore mineral exploration and production.

• These rules establish a framework to oversee mineral activities in India’s offshore areas. 
• Key highlights include:
• Financial Contributions: Holders of production leases must contribute 10% of their royalty payments to the Trust, which will be used for various initiatives.
• Sustainable Exploration: The Trust aims to promote sustainable exploration while ensuring environmental conservation and community welfare.
• Technological Advancement: The Trust will support innovation and technological advancements in offshore mineral exploration.
• International Cooperation: It will also promote international cooperation in technology and knowledge exchange.

Question:

1 As per the latest Government of India’s Offshore Areas Mineral Trust Rules, 2024, What is the percentage of royalty payments that holders of production leases must contribute to the Offshore Areas Mineral Trust?

• A) 5%
• B) 7%
• C) 15%
• D) 10%

Answer: D) As per the Offshore Areas Mineral Trust Rules, 2024, holders of production leases are required to contribute 10% of their royalty payments to the Trust. This fund will be used for initiatives such as environmental conservation and community welfare.