Laws, Regulations & Annotations

M

590.0000 MINES AND MINERALS

Annotation 590.0025

590.0025 Stockpiled Ore and Tailings. Materials severed from the earth by mine operators become personal property that falls into three broad categories: (1) economic-grade ores ready for processing; (2) low grade ores that will be processed in the future if and when economic conditions warrant; and (3) waste materials, i.e., tailings.

The first category qualifies as raw material held for processing and sale. As such, it is eligible for the business inventory exemption. The second category is either inventory intended for future sale or, lacking a current market, worthless personal property. It is either exempt or of no enrollable value. The third category is clearly personal property of no value. This may change when the tailings are returned to a permanent resting place and again become land and if the materials later become economic to mine. LTA 9/16/1991 (No. 91/62).