Section 34(6) in The U.P. Minor Minerals (Concession) Rules, 1963
(6)Financial assurance has to be furnished by every lease-holder. The amount of financial assurance shall be Rupees Twenty five thousand for insitu-rock deposit and Rupees Fifteen thousand for sand or morrum or bajari or boulder or any of these in mixed state exclusively found in the river bed mines per acres of the mining lease area put to use for mining and allied activities. However, the minimum amount of financial assurance to be furnished in any of the forms referred to in sub-rule (7) shall be Rupees Two lakhs for each category of mines be respective of area.Provided that a lease-holder shall be required to enhance the amount of financial assurance with the increase in the area of mining and allied activities:Provided further that where a leaseholder undertakes reclamation and rehabilitation measures as part of the progressive closure of mine, the amount so spent shall be reckoned as sum of the financial assurance already spent by the leaseholder and the total amount of financial assurance, to be furnished by the lessee, shall be reduced to that extent.
