MINING “SECTION 4. Grant of Mineral Agreements Pending New Legislation. No new mineral agreements shall be entered into until a legislation rationalizing existing revenue sharing schemes and mechanisms shall have taken effect. The DENR may continue to grant and issue Exploration Permits under existing laws, rules and guidelines.” - Executive Order No. 79, July 6, 2012.
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MINING“SECTION 4. Grant of Mineral Agreements Pending New Legislation. No new mineral agreements shall be entered into until a legislation rationalizing existing revenue sharing schemes and mechanisms shall have taken effect. The DENR may continue to grant and issue Exploration Permits under existing laws, rules and guidelines.” - Executive Order No. 79, July 6, 2012.
With an estimated $1.4 trillion in reserves, Philippine mining potential ranks fifth in the world, covering an estimated 9 million hectares, but less than 2% of these have mining permits. After long stagnation, the sector began coming back after a 2005 SC decision affirming RA 7942, considered a world-class legal framework for sustainable development. Minerals development should be a government priority and has great potential for jobs and revenue. Government has identified over 60 priority PPP mining projects. Mining can support poor rural areas through high quality jobs, local tax payments, and community development. The national government receives substantial royalty and tax payments. Government revenue from mining has more than doubled to PhP 22.2 billion in 2011 from PhP 10.4 billion in 2007. Full development of the sector, however, continues to face significant challenges. Lengthy tedious approvals for Exploration Permits (EPs) continue to impede investment. Several LGUs have closed their provinces to mining. Industry is concerned that the Writ of Kalikasan might disturb lawful activities. An investor cannot tell easily if land is ancestral land. Skilled Mines and Geosciences Bureau (MGB) personnel often leave public service. EO 79 has imposed a moratorium on new mining permits, pending the passage of a new law on the revenue sharing scheme between industry and government. Designation of “no-go” areas may undervalue areas closed to mining for minor tourist or agricultural value. The immediate future for the growth of the mining sector is not positive.