Texas is one of the largest mining states in the country, producing crushed stone, sand and gravel, cement, clay, salt, talc, and other industrial minerals. Mining and quarry businesses in Texas have access to regulatory programs, land reclamation funding, environmental compliance assistance, and workforce development programs.
Surface Mining Regulatory Programs
The Texas Railroad Commission regulates coal and uranium surface mining. The Texas Commission on Environmental Quality regulates other mining operations including aggregate, sand, and gravel:
- Permitting for surface mining operations
- Reclamation bond requirements and bond pools
- Water quality permits for mining operations
- Air quality permits for crushing and processing operations
Abandoned Mine Land Reclamation
Federal Abandoned Mine Land (AML) program funds reclamation of abandoned coal mine sites. These funds, administered through the Railroad Commission, create contracting opportunities for earthwork contractors, environmental consultants, and revegetation specialists.
Environmental Compliance Assistance
- TCEQ Small Business Assistance: Free technical assistance for mining businesses navigating environmental permits and compliance requirements
- TERP grants: Emissions reduction grants for replacing older diesel-powered mining equipment with cleaner alternatives
- Stormwater compliance: Assistance with stormwater management plans required for mining operations
Equipment and Capital Incentives
- Section 179 deductions: First-year deductions for qualifying mining equipment purchases
- Percentage depletion: Tax deduction based on gross income from mineral extraction, available for qualifying operations
- SBA 504 loans: Fixed-rate financing for major equipment and real estate purchases
- Sales tax exemptions: Certain mining equipment may qualify for Texas manufacturing exemptions
Workforce Programs
- MSHA training: Mine Safety and Health Administration training requirements create opportunities for training providers
- WOTC: Tax credits for hiring qualifying individuals into mining positions
- Skills Development Fund: Training grants for equipment operation and safety training
Critical Minerals Programs
Federal investment in domestic critical minerals production creates new opportunities for Texas mining operations:
- DOE critical minerals processing grants
- DOD domestic sourcing requirements for strategic minerals
- IRA Section 48C credits for critical minerals processing facilities
Bottom Line
Texas mining and quarry businesses operate in a strong regulatory environment with access to equipment deductions, emissions reduction grants, workforce programs, and growing federal interest in domestic mineral production.
Our screening report identifies which mining-related programs and incentives may apply to your Texas business. Start your free screening →