Economical explain of the institutional arrangement on mineral right

Mineral right is implemented by two-phase (exploration right, exploitation right) method in predominate countries. In this paper, the particularity of mining is clarified and the root cause of the institutional arrangement-the first thing to do in mining is to search information on special 3-D geologic body-is pointed out. The institutional arrangement is in favor of mining firm to mitigate risk and keep the geologic information being revealed, which is efficient.