CHILE · MINING
Key Facts
- The change Chile’s 2026 mining license fees are now due on 28 February 2027, not this year.
- The law Wednesday 28 October: Congress completed President José Antonio Kast’s first mining bill.
- The new fee A flat 0.4 UTM per hectare replaces a sliding scale that reached 12 UTM.
- Who gains Small and mid-size miners, who also get a lower fee for longer.
- Power Index Chile ranks 3rd of 14 in The Rio Times Latin America Power Index, with 62.9 points (November 2026 edition).
Chile has voted to delay the 2026 payment of mining fees until 28 February 2027, easing pressure on thousands of small and mid-size miners. The Chamber of Deputies, Chile’s lower house, sent the bill to become law on Wednesday 28 October.
The law also replaces a steep sliding scale of yearly license fees with a flat rate. For US readers who follow copper and lithium, it shows Chile’s new government cutting red tape for the mining sector.
What the New Law Changes
Chile charges miners a yearly license fee, called a patente, for every hectare of land under a mining concession. The new law postpones the 2026 payment to 28 February 2027 and also postpones concession auctions across the country once it takes effect.
Those auctions are how the state sells concessions whose owners did not pay. Delaying them protects miners who might otherwise lose their claims in 2026.
A Flat Fee Replaces the Sliding Scale
The old scale rose step by step, up to 12 UTM per hectare. A UTM is a monthly tax unit that Chile adjusts for inflation, used to keep fees in line with prices.
The new law sets a flat fee of 0.4 UTM per hectare and a reduced fee of 0.1 UTM per hectare for eligible holders. It amends the Mining Code and earlier mining laws, including Law 21.420 of 2022.
Who Benefits Most
Small and artisanal miners gain the most, as the area that qualifies for the reduced fee rises. It grows from 50 to 100 hectares for artisanal miners and from 100 to 150 for small producers.
Holders of up to 500 hectares who sell to the state miner ENAMI or another recognised buyer keep the reduced fee for five years. Tenants and others who legitimately operate a mine now qualify too.
Why Congress Acted
Law 21.420 of 2022 raised the cost of holding concessions, which led to more auctions and left small miners exposed to losing their land. The new bill was sent to Congress by President José Antonio Kast’s government in May 2026.
Daniel Mas, Chile’s economy and mining minister, said the state can no longer keep rules that hinder those who want to invest, explore and produce. The bill passed by a large majority, after near-unanimous votes in its two earlier stages.
In Plain English, Who Is Who
José Antonio Kast is Chile’s conservative president, who leads a pro-investment government. ENAMI is the state-owned mining company that buys ore from small producers.
The Chamber of Deputies is the lower house of Chile’s Congress. A patente is the yearly license fee a concession holder pays to keep exclusive rights to explore or mine a plot of land.
What It Means for You
Chile is the world’s top copper producer, and a calmer small-mining sector helps keep supply steady for US buyers of copper and electronics. The relief is aimed at small and mid-size producers, not at the largest US-listed groups.
Investors in Chilean mining names should watch how the new fee treats large holdings, which remains unstated. Our earlier reports on Codelco’s overstated copper output and Chile’s credit rating show why the state’s revenue and mining policy matter for investors.
What Is Not Known
The date on which the president will sign the law and the Official Gazette will publish it has not been stated. The new amounts take effect only after rules are updated, so the exact timing of the fee changes is unclear.
How the flat fee treats large copper and lithium producers is not stated. The cost of the changes to local governments, which receive part of the fees, is also not known.
More: Latin America news in English, every day from The Rio Times.
Frequently Asked Questions
When are Chile’s 2026 mining fees now due?
Payment of the 2026 mining license fees is postponed to 28 February 2027. Concession auctions across the country are also delayed once the law takes effect.
Who passed the law?
Chile’s Chamber of Deputies sent the bill to become law on Wednesday 28 October. It is the first mining bill of President José Antonio Kast’s government to clear Congress.
What is the new mining fee?
A flat 0.4 UTM per hectare replaces the old sliding scale that reached 12 UTM. Eligible holders pay a reduced 0.1 UTM per hectare.
Does this change copper supply?
The law targets small and mid-size miners and does not change production directly. It lowers the risk that small producers lose concessions over unpaid fees.
Sources: Chamber of Deputies of Chile, bill simplifying the mining license fee system sent to become law, 28 October 2026; Chile Ministry of Mining and Ministry of Economy, statements by Minister Daniel Mas, 28 October 2026; Chilean Mining Code and Law 21.420 of 2022.
This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error · Editorial responsibility: Matthias Camenzind, Editor-in-Chief
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