Latest Stories

MGB eyes bidding of Surigao mining asset


MANILA, Philippines—A gold-rich area in Surigao del Norte may soon be up for bidding, according to the Mines and Geosciences Bureau (MGB). This, if the company formerly in charge of exploration loses its hold on the asset.

“The initial period for exploration is only 10 years. San Manuel Mining Corp. (SMMC), the company that used to explore the area, has had enough time,” MGB director Leo Jasareno told reporters.

Jasareno said the company might still appeal the MGB’s decision to deny its application for further exploration. “SMMC can take up the matter with higher authorities,” he said, referring to the Department of Environment and Natural Resources or DENR, the Office of the President, the Court of Appeals and the Supreme Court.

In November, the MGB denied the application of SMMC to undertake further exploration in the contract area covered by Mineral Production Sharing Agreement (MPSA) No. 004-91-X, which was granted on Jan. 7, 1991. It covers 1,480 hectares within Parcel II of Surigao Mineral Reservation.

Having exceeded the maximum exploration period allowed by law, MGB deemed SMMC unfit to continue to explore the area.

Jasareno pointed out that the MPSA was now in its 21st year but SMMC had yet to determine ore reserves.

The area is situated in Masapelid Island, Surigao del Norte.

The regional office of the MGB in Surigao City also said it found that illegal exploration activities in the area were being conducted by Bundok Mineral Resources Corp. (BMRC), an Australia-based company.

BMRC has no legal personality to explore the area because it has no approved agreement with San Manuel Mining Corp., Jasareno said.

The MGB is cleaning up “nonmoving” exploration permit applications and exploration contracts that have not produced results under the timelines set by law. Mining assets with canceled applications and permits will go on auction under new mining policy rules.

Jasareno said the hundreds of mining areas with canceled applications and permits would be assessed to determine which ones might be offered for bidding.

Section 3 of Executive Order 79 issued in July 2012 provided that  a “multistakeholder” team led by the DENR would “review” existing mining operations based on the specific mining contract or agreement and on other pertinent or applicable laws, rules and regulations, such as the Mining Act of 1995 and the labor code.

Section 5 provided that potential and future mining areas with known strategic mineral reserves and resources would be declared mineral reservations for the development of strategic industries identified in the Philippine Development Plan and a National Industrialization Plan “after proper consultation with all concerned stakeholders” including local governments.

Follow Us

Follow us on Facebook Follow on Twitter Follow on Twitter

Recent Stories:

Complete stories on our Digital Edition newsstand for tablets, netbooks and mobile phones; 14-issue free trial. About to step out? Get breaking alerts on your mobile.phone. Text ON INQ BREAKING to 4467, for Globe, Smart and Sun subscribers in the Philippines.

Tags: bidding , gold , Mines and Geosciences Bureau , Mining and quarrying , Philippines , San Manuel Mining Corp.

  • joboni96


Copyright © 2014, .
To subscribe to the Philippine Daily Inquirer newspaper in the Philippines, call +63 2 896-6000 for Metro Manila and Metro Cebu or email your subscription request here.
Factual errors? Contact the Philippine Daily Inquirer's day desk. Believe this article violates journalistic ethics? Contact the Inquirer's Reader's Advocate. Or write The Readers' Advocate:
c/o Philippine Daily Inquirer Chino Roces Avenue corner Yague and Mascardo Streets, Makati City, Metro Manila, Philippines Or fax nos. +63 2 8974793 to 94


  • Malaysia, Flight 370 relatives talk financial help
  • Celebrating Easter and creativity in New York
  • Man wins half marathon, dies in Argentina
  • Clouds to bring slight relief from summer heat
  • Canadians rally to legalize marijuana
  • Sports

  • Reigning champs Miami open playoffs with win
  • Spurs subdue Mavericks in playoff opener
  • Wawrinka beats Federer to win Monte Carlo Masters
  • Ageless Hopkins pitches 50-50 Mayweather deal
  • Goodbye MGM, Las Vegas for Pacquiao?
  • Lifestyle

  • Miss America: Don’t suspend teen over prom invite
  • Transitions and resurrection in the performing arts
  • ‘Archaeology tour’ of Cebu’s heritage of faith
  • Historic Fort Bonifacio tunnel converted into a septic tank
  • ‘Imports’ from London, and play of the year
  • Entertainment

  • ‘Captain America’ stays strong atop US box office
  • Easter musings
  • Solenn in shorts
  • Unmerry mix of attention-calling moves on ‘Mini-Me’ TV tilts
  • Persistence pays off for The 1975
  • Business

  • BDO seen keen on bidding for Cocobank
  • Bataan freeport investment pledges up 1,302%
  • Golden Week
  • Bourse to woo Cebu stock mart investors
  • Supper power
  • Technology

  • Nintendo’s trailblazing Game Boy marks 25th anniversary
  • Nasa’s moon-orbiting robot crashes down
  • Netizens pay respects to Gabriel Garcia Marquez
  • Nokia recalls 30,000 chargers for Lumia 2520 tablet
  • Facebook rolls out ‘nearby friends’ feature
  • Opinion

  • Gigi’s home
  • Palace stonewalls on MRT inquiry
  • Couple of things too
  • There is plenty of water behind Wawa Dam
  • Triduum thoughts of a young boy
  • Global Nation

  • Obama on mission to quiet Asia skeptics
  • Search for Etihad passengers launched
  • Japan presents $57-B ‘dream plan’ to solve Metro congestion
  • Tim Tebow’s charity hospital in Davao seen to open in 7 months
  • OFW died of Mers-CoV in Saudi Arabia, says family
  • Marketplace