The contract mining agreements are generally used to establish a professional relationship between the owner of the area of mines and the contract miner. In this contract the owner provides the mining area to a contract miner in lieu of a fee for a certain period of time. This is a type of contractual agreement in which miner gets the mine for a particular period and the contract for mining can be extended by the mutual consent of both the parties.
In these agreements both contractor and the area owner agree to certain terms and conditions on the basis of which they continue their relationship. These agreements do not ensure profits for both the parties and any of the involved party may incur losses, and most of these losses arise from the direct claims that are made under the contract.
Contract Mining Agreement
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