Northern Territory Consolidated Acts91. Notice to convert to mineral lease
(1) The Minister may, at any time during the currency of a mineral claim, where he considers that actual mining is in progress or contemplated by the claim holder and that the mining operations or proposed mining operations are such that they should be controlled under a mineral lease, give to the holder written notice directing him to show cause, within the time specified in the notice, why the holder should not apply for a mineral lease in respect of the claim area or any part of it.
(2) If the holder of a mineral claim to whom a notice under subsection (1) has been given does not, within the time specified in the notice, or such longer time as the Minister, in writing, before the expiration of that time allows, reply to the notice, or the Minister, on considering a holder's reply, is not satisfied that the holder should not apply for a mineral lease, the Minister shall give to the holder a further written notice directing him, within the time specified in the notice, to apply for a mineral lease in respect of the claim area or any part of it.
(3) Where the holder of a mineral claim to whom a notice of direction is given under subsection (2) does not apply for a mineral lease in respect of the land specified in the notice within the time specified in the notice, the Minister may, in his discretion, cancel the mineral claim.