Memorandum of Understanding

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Memorandum of Understanding Between the Department of Natural Resources Canada and the National Development and Reform Commission of the People’s Republic of China on Building the Dialogue Mechanism for Cooperation on Mineral Resources

THE DEPARTMENT OF NATURAL RESOURCES CANADA (“Canada”) and THE NATIONAL DEVELOPMENT AND REFORM COMMISSION OF THE PEOPLE’S REPUBLIC OF CHINA (“China”), hereinafter referred to as the “Participants”;

RECOGNIZING that in 2003 their Leaders decided to establish a Strategic Coordination Mechanism, for regular consultation on important bilateral, regional and international issues of long-term interest to Canada and China;

RECOGNIZING that Canada and China derive important economic and social benefits from mineral development and related industries;

RECOGNIZING that bilateral collaboration can increase the capacity of their countries to promote bilateral trade and investment;

RECOGNIZING that international regulatory initiatives and non-regulatory cooperation are having increasing impact on the future utilization of, and trade in, mineral resources and products;

DECIDING to explore ways to develop and expand mutual cooperation, inter alia, through information exchanges, official-level discussions, industry-led contact groups and collaboration on projects of mutual interest;

BASED on the spirit of equality, mutual benefit and friendly cooperation;

HAVE REACHED the following understanding:

  1. OBJECTIVES
    1. This Memorandum of Understanding (“MOU”) will establish a framework to promote cooperation between the Participants in minerals and metals, both bilaterally and in regional and multilateral fora.
    2. The Participants will establish a dialogue on cooperation in the area of mineral resources (“dialogue”) to promote the exchange of information on development and utilization of minerals and metals between their two countries; to enhance mutual understanding and cooperation; as well as to support the efforts of both countries to promote the sustainable development of mineral resources, the development of their respective sector-related industries and to expand and strengthen the results achieved through cooperation.
    3. These activities can involve cooperation in any area of interest in minerals and metals in both countries, as may be decided by the Participants.
    4. This MOU is intended to foster communication and cooperation on the basis of equality, reciprocity and mutual benefit. It is not intended to create any legally binding obligations.
    5. The Participants will implement the activities envisaged in this MOU in accordance with the laws and regulations of the country where the implementation is going to take place.
  2. AREAS OF DIALOGUE

    The Participants anticipate that the areas of information exchange and cooperation for the minerals and metals development and utilization may include, but not be limited to:

    1. The sustainable development and utilization of mineral resources;
    2. Development and utilization policies and practices relevant to mineral resources including trade, investment and market access;
    3. International policies and laws and regulations, and their effect on investment and the trade and utilization of minerals and metals and their products;
    4. Mining and mineral utilization technologies, including scientific research, exploration and development projects;
    5. Other areas as the Participants may decide;
    6. Mutually beneficial opportunities in trade, investment and training.
  3. STEERING COMMITTEE
    1. The Participants designate the Executing Agencies for this MOU to be the Minerals and Metals Sector of the Department of Natural Resources Canada and the Department of Industry and the Department of Foreign Capital and Overseas Investment of the National Development and Reform Commission of the People’s Republic of China.
    2. The Participants will establish a Steering Committee to monitor and foster cooperation under this MOU. The Co-Chairs of the Steering Committee will be the Assistant Deputy Minister, Minerals and Metals Sector, Natural Resources Canada and the Director General, Department of Industry / Department of Foreign Capital and Overseas Investment, National Development and Reform Commission of the People’s Republic of China.
  4. COMMUNICATIONS

    The Participants will ensure that any notice contemplated by this MOU is in writing. The addresses of the Participants for correspondence are those of the Co-Chairs of the Steering Committee.

  5. EXPENSES

    The Participants will pay for their own expenses on the implementation of this MOU, unless otherwise decided by the Participants.

  6. TIME AND PLACE

    The Dialogue will take place annually in Ottawa and Beijing alternatively, unless the Participants decide otherwise. The working languages will be English and Chinese.

  7. ENTRY INTO EFFECT, DURATION AND TERMINATION
    1. This MOU will take effect upon its signature by the Participants and will remain effective for a period of three (3) years.
    2. The Participants may extend or amend this MOU upon their mutual written consent.
    3. Either Participant may end this MOU at any time by giving a six-month written notice to the other Participant.

SIGNED in duplicate in Beijing, this 3rd day of December 2009, in the English, French and Chinese languages, each version being equally valid.

Signature
FOR THE DEPARTMENT OF NATURAL RESOURCES CANADA
Signature
FOR THE NATIONAL DEVELOPMENT AND REFORM COMMISSION, PEOPLE’S REPUBLIC OF CHINA