6. INVESTORS GUIDE HN - 2021 SPECIAL PERMISIONS

6. SPECIAL PERMITS

HONDURAS INVESTOR´S GUIDE 2020-2021

j. Environmental license and contract for mitigation measures k. Contingency plans (Risks, natural disasters, and performance) l. Closure and abandonment plan m. Update of the original financial statements, signed, stamped, and sealed by a certified expert in the accounting area (balance sheet, income) with closing date to the fiscal year. n. Minimum investment plan. o. Social impact assessment at the operational and closure stage that considers an environmental impact study. Once the application with the respective documents has been accepted, the Mining Authority will order the publication of a single extract of it, in a written journal, and a transmission in a radio station of the area and on the Mining Authority website, and will begin its valuation from the technical and legal perspective. If within fifteen (15) days following the publication, an opposition is filed and being of an incidental nature, it will be processed separately, according to the corresponding administrative procedure. If no opposition is filed, or the one filed has been resolved, the Mining Authority shall decide on the application and mining concession, within a period no longer than forty-five (45) days. The Mining Authority will issue the corresponding resolution and being favorable will order its registration in the Mining and Cadastral Registry Unit. *According to Articles 67 and 70 of the Mining Law and Article 26 of the Regulations of the General Mining Law. 6.12.3 SMALL MINING PERMIT APPLICATION The mining authority is empowered to grant permits for small-scale mining of metals and gems or precious stones. In the case of small non-metallic mining, the Municipal Authority may grant it. Small-scale mining is defined as mining activities using simple mechanical means, with the capacity to reach the production volumes set out in Article 86 of the General Mining Law. REQUIREMENTS: a. Full name, general information of the applicant and/or representative. b. Copy of personal identification document and National Tax Registry; in case of legal representation must present document that accredits said representation, duly authenticated.

c. Authenticated Power of Attorney or Special Power of Attorney in favor of a legal professional and copy of the professional college membership card. d. Corporate, Merchant, or legal personality Articles of Incorporation of the company, individual merchant or Legal Status e. Affidavit of not being included within the disqualification of the General Law of Mining. f. Payment receipt of territorial fee, according to the area requested (currently not being requested by the ruling of the Constitutional Chamber of June 23, 2017) g. Field inspection fee per application. h. Request to the Mining or Municipal Authority in accordance with the form designed, which must include: • Location of the requested area

• Form of exploitation • Substance of interest • Volumes of material to be exploited

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