A small mining licence does not exist as a separate category in Guatemala. The Mining Law (Decree 48-97) sizes mining rights by area and term, not by operator: it grants the same three mining rights to everyone, and a small commercial operation needs an exploitation licence from the General Directorate of Mining (DGM) of MEM. This guide covers what the law actually requires, what it costs under the law’s own canon schedule, the procedure and its deadlines, and the one exemption for construction materials.
Quick summary: No separate small-mining licence exists. Commercial extraction needs an exploitation licence — up to 20 km², for up to 25 years plus one equal extension (Art. 28-29). Costs set by law: Q1,300 grant canon, 12 units/km² a year (a unit is Q100 until MEM sets it), and 1% royalties (0.5% State, 0.5% municipality). An approved environmental impact study is required (Art. 20). Non-commercial extraction of construction sand, clay and rock needs no licence (Art. 5).
The three mining rights
| Right | Area | Term | Legal basis |
|---|---|---|---|
| Reconnaissance | 500 to 3,000 km² | 6 months + up to 6 more | Art. 21-22 |
| Exploration | Up to 100 km² | Up to 3 years + two 2-year extensions (area halved each time) | Art. 24-25 |
| Exploitation | Up to 20 km² | Up to 25 years + one equal extension | Art. 28-29 |
MEM can grant larger exploration or exploitation areas when the size of the project requires it, shown by a study (Art. 15). Areas are measured in square kilometres (Art. 13). Any individual or legal person, national or foreign, can hold mining rights (Art. 9).
The construction-materials exemption
People who extract surface clays, sands, rocks and other materials used directly in construction — excluding decorative rocks — do not need an exploitation licence when the extraction is not for commercial or industrial purposes. They must still comply with the Environment Law, and municipalities oversee the rational use of these materials. If the materials are associated with minerals in exploitable concentrations, a licence is required (Art. 5).
Requirements
Every application goes to the Directorate, original and one copy of the petition and annexes, and must include (Art. 41):
- Applicant’s full name, age, marital status, occupation, nationality, domicile, ID or passport number and address for notifications
- For a company: a certified copy of its incorporation deed registered at the Mercantile Registry; its shares must be only registered (nominative) shares
- Proof of representation if acting through an agent or legal representative
- A clear request for the type of mining right, and a sworn statement of no legal prohibition
- A name for the mining right, different from existing ones
- Location, description and size of the area, with a map sheet signed by a registered civil or mining engineer or geologist
- The minerals to be exploited and the term requested
- A general work programme, signed by a registered civil engineer or geologist
- Place, date and legalized signature
An environmental impact study must be submitted for evaluation and approval; it is a requirement for the exploitation licence (Art. 20).
Step by Step
1. File the application with the DGM
File the petition and annexes listed above. If something is missing, the Directorate gives 30 days to correct it, extendable once in justified cases; otherwise the application is rejected and archived (Art. 43).
2. Edicts
For exploitation licences, the Directorate orders edicts published once, at the applicant’s cost, in the official gazette and another major newspaper. After receiving them, MEM must resolve within 30 days (Art. 45).
3. Oppositions
Anyone who believes they are harmed can oppose at any time before the resolution (Art. 46). The other party gets 10 days to answer; the opposition is resolved within 30 days, with a hearing the parties must attend in person (Art. 47). The licence is then granted or denied within 15 days (Art. 48).
4. Grant, canon and registration
On notification of the grant, pay the Q1,300 grant canon and the first year’s surface canon, pro rata (Art. 66). The holder of an exploitation licence must register the mining right at the Registro General de la Propiedad; the final ministerial resolution is the title (Regulation, Art. 5).
5. Start work
Before extracting, file a copy of the approved environmental study (Art. 31 a). Work toward exploitation must start within 12 months of notification (Art. 31 b); failing that is a ground for caducity of the licence, as are disposing of minerals without the Directorate’s authorization and suspending exploitation for three years (Art. 53).
Costs set by the Mining Law
| Item | Amount | Legal basis |
|---|---|---|
| Grant canon (any mining right) | Q1,300, on notification of the grant | Art. 66 a |
| Surface canon, exploitation licence | 12 units per km² or fraction, every January (first year pro rata) | Art. 66 d |
| Value of a unit | Q100 until MEM sets it by ministerial agreement; range Q100-Q1,000 | Art. 92, 67 |
| Royalties | 0.5% to the State + 0.5% to the municipality | Art. 63 |
| Royalty payment | Yearly, within 30 days after each calendar year | Art. 64 |
| Edicts | At the applicant’s cost | Art. 45 |
| Transfer of an exploitation licence | 5 units per km² or fraction | Art. 66 f |
The holder can import inputs, machinery, equipment, spare parts, materials and explosives used in its mining operations free of duties and customs charges (Art. 86).
Sanctions
The Directorate of Mining supervises compliance and imposes sanctions (Art. 56):
| Violation | Sanction | Legal basis |
|---|---|---|
| Late reports | 3 units | Art. 57 a |
| Failure to file reports | 6 units + one month to file, then suspension warning | Art. 57 b |
| Incomplete reports | 3 units | Art. 57 c |
| Buying or selling minerals from illegal operations | 100 to 1,000 units, doubling while it continues | Art. 57 d |
| Any other breach of the law | 5 to 100 units | Art. 57 e |
| Extracting without an exploitation licence | Immediate suspension + 100-1,000 units; criminal proceedings if the order is ignored | Art. 58 |
| Late royalties | Interest at the average bank lending rate | Art. 64 |
Related Procedures
- Hub MEM — Energy, Mining and Hydrocarbons — all Ministry procedures.
- MEM Gas Station Opening — another DGH license.
- MEM Hydroelectric Concession — renewable energy.
- Register Company at Mercantile Registry — prerequisite if corporation.
- Hub MARN — Environmental Licenses — environmental impact study.
- Hub SAT — Taxation and Customs.
- Hub MINECO — Mercantile Registry — commerce patent.
Official Links
- General Directorate of Mining (DGM): https://www.mem.gob.gt/mineria/
- Ministry of Energy and Mines (MEM): https://www.mem.gob.gt/
- Government Procedures Catalog: https://tramites.gob.gt/instituciones/mem/
- MEM central PBX: 2419-6464 (as listed on mem.gob.gt, October 2026)
- MEM physical address: Diagonal 17, 29-78 Zone 11 Las Charcas, Guatemala City
- Government hub: /mem/