The validity period for operation of all medium-scale gold mining sites in Homalin Township, Sagaing Region, have been over and no extension is reported, according to local sources. 

Permission for new gold mines stopped in recent years, and the ones whose contracts were still valid were operating. But their validity period has not been over and they cannot renewed, said an official from No (2) Mining Office in Homalin Township. 

"Homalin has stopped granting new medium-scale gold mines for a long time. Now, all of them have their permits expired," the official said. 

A local gold miner from Homalin said the authorities had returned pawned gold to some applicants who sought permission for running medium-sized gold mines. 

"Some businesspeople gave gold waiting for contracts. But no contract was made and their gold was returned. Actually, the State is making a loss. Most miners would start mining after they have given gold to the government and applied for permission. As contract making takes about a year, almost all gold has been dug when a contract is signed. Entrepreneurs cannot bear losses. It is the government that has to make losses. 

A medium-scale gold mine is permitted on 20 acres of land. When a miner starts applying for permission, he has to pay 24 tickles of gold to the government. Permission is four years. 

Although Homalin Township permits no longer medium-scale gold mines, the region government has allowed over 200 small-scale ones.