Phil Hogan (Carlow-Kilkenny, Fine Gael)
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Question 399: To ask the Minister for Communications, Marine and Natural Resources his views on the difference in levels of compensation paid by his Department in the form of royalties to his Department in respect of mining activity; the way in which it compares to the quarrying of rock; and if he will make a statement on the matter. [10284/05]

Noel Dempsey (Meath, Fianna Fail)
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Minerals are usually developed by private enterprise through a lease or licence issued under the Minerals Development Acts 1940-1999. The rate of royalty is settled by negotiation between the Department and individual developers, and, in agreeing a rate of royalty, attention is paid to such factors as the economics of the project, international practice and the need to ensure equitable returns to the parties.

Full details of all State mining leases and licences are set out in the six-monthly report on exploration and mining laid before the Oireachtas. In instances where privately owned minerals are developed, the State is statutorily required to compensate the owner, but any compensation paid is recoverable from the lessee or licensee of the minerals.

I have no statutory function regarding extraction or quarrying of rock, and consequently have no information on the subject. If the Deputy is seeking information on a specific matter, I will be glad to check it out.