Question & AnswerQ&A (PRESIDENTIAL DECREE NO. 1902)
The main purpose is to further amend certain sections of Presidential Decree No. 463, also known as "The Mineral Resources Development Decree of 1974," to liberalize requirements and extend time for submission of permits and clearances, thereby accelerating the development and exploitation of mineral resources in the Philippines.
It allows the claimowner or lessee to concentrate all annual work obligations on one or more contiguous or geologically related mining claims in one province, which can be advantageous for development and operation, subject to approval and field verification by the Bureau.
Failure to comply for two consecutive years constitutes automatic abandonment of the mining claim.
The claimowner must file an affidavit, a statement of expenditures, and a technical report in the prescribed form with the Mines Regional Officer within 120 days from the end of the year in which the work obligation is required.
Yes, the Director may grant further extensions in cases of unstable peace and order conditions or involvement in mining conflicts.
The claimowner must file a proper application, comply with all obligations due on the mining claims, and post a surety bond approved by the Director.
The claimowner must undertake exploration, development, and/or mining activities in accordance with an approved program of work, and the mining area must be in commercial production within five years from the lease grant date, or else the mining claims are automatically abandoned.
Foreigners cannot be employed as mine managers or equivalent without passing the appropriate government licensing examination or unless permitted by the Director for up to three years, and no foreigner may hold such positions beyond five years of employment.
Lessees are obligated to give preference to qualified Philippine citizens in all types of milling employment, maintain effective training programs, and only employ foreigners for specialized technical work with the Director's approval.