QuestionsQuestions (DENR ADMINISTRATIVE ORDER NO. 99-57)
DAO No. 99-57 is issued pursuant to Section 8 of R.A. No. 7942 and Section 275 of DAO No. 96-40 (the Revised Implementing Rules and Regulations of R.A. No. 7942).
Sand and gravel permit applications may be accepted without the consent of prior FTAA, Exploration Permit, or Mineral Agreement applicants, except when the request involves Mineral Agreement applications for sand, gravel and alluvial gold.
They are allowed when they are sand and gravel permit applications, and consent is not required from FTAA/exploration/mineral agreement applicants except for Mineral Agreement or Exploration Permit applications involving sand, gravel and/or alluvial gold.
Exploration Permit term is renewable for like periods but not to exceed a total of six (6) years for nonmetallic minerals and eight (8) years for metallic minerals.
Renewal is not allowed unless the permittee complied with the permit’s terms and conditions and has not been found guilty of violation of the Act and the implementing rules.
In cases where further exploration is warranted and the permittee has substantially implemented the Exploration and Environmental Work Programs (verified by the Bureau/concerned Regional Office), the Secretary may grant further renewal subject to the performance surety requirement and inclusion of feasibility studies.
The permittee must set up a performance surety equivalent to the expenditure requirement of the Exploration and Environmental Work Programs.
Yes. DAO 99-57 explicitly provides that the conduct of feasibility studies shall be included during the term of the Exploration Permit.
Transfer/assignment is allowed subject to approval of the Director/concerned Regional Director, considering national interest and public welfare, but is disallowed in cases involving speculation and must satisfy eligibility requirements.
Yes. A permittee may convert totally or partially its Exploration Permit by filing a Letter of Intent prior to expiration. The MA/FTAA application must be filed within 30 days from the LOI filing. Failure to file within the period is construed as election to continue until exploration permit expiration.
The term of the Exploration Permit shall be deducted from the terms of the Exploration/Pre-Feasibility Study/Feasibility Study period of the Mineral Agreement or FTAA.
An applicant may convert totally or partially its Mineral Agreement application into an Exploration Permit application by filing a Letter of Intent with the Director/concerned Regional Director without losing priority rights over the area; compliance and payment of conversion fee are required.
The date of filing of the Exploration Permit application shall be reckoned from the date when the Mineral Agreement application was filed.
TEP becomes a one-time, non-renewable permit with a term not exceeding one (1) year, issued after initial evaluation based on area/status/clearance, capability, work programs, community consultation proof, and absence of adverse claim/protest/opposition. If the Mineral Agreement application is disapproved by the Secretary, the TEP is automatically canceled.
The applicant must have a valid and existing Mineral Agreement application, Area Status and Clearance, NCIP Precondition Certification, endorsement from the concerned Sanggunian, and no pending mining dispute/conflict as certified by the Panel of Arbitrators/Mines Adjudication Board.
SMP is for one (1) year and renewable once. Further renewal may be allowed depending on deposit nature, operation propriety, environmental/community relations track record, compliance with SMP terms, and diligence—subject to Secretary approval.
Before construction/development/utilization, the application must include: (1) Mining Project Feasibility Study, (2) Development/Construction/Utilization Work Program, (3) Approved survey plan, (4) Environmental Compliance Certificate, and (5) Environmental Protection and Enhancement Program.
An FTAA applicant may convert totally or partially its FTAA application into an Exploration Permit application by filing a Letter of Intent without losing priority rights. Compliance and payment of conversion fee are required, and the EP application date is reckoned from the date the FTAA application was filed.
Contractors/permit holders must submit marketing contracts/sales agreements for registration before any sale/shipment, update the Director on changes, and reflect registration numbers in reports. Late/non-submission is a ground for withholding other pending transactions and, for renewal applications, grounds for denial. It also requires written certification of timely and complete report submission for renewal.