EXECUTIVE ORDER NO. 279 July 25, 1987
AUTHORIZING THE SECRETARY OF ENVIRONMENT AND NATURAL RESOURCES TO NEGOTIATE AND CONCLUDE JOINT VENTURE, CO-PRODUCTION, OR PRODUCTION-SHARING AGREEMENTS FOR THE EXPLORATION, DEVELOPMENT AND UTILIZATION OF MINERAL RESOURCES, AND PRESCRIBING THE GUIDELINES FOR SUCH AGREEMENTS AND THOSE AGREEMENTS INVOLVING TECHNICAL OR FINANCIAL ASSISTANCE BY FOREIGN-OWNED CORPORATIONS FOR LARGE-SCALE EXPLORATION, DEVELOPMENT, AND UTILIZATION OF MINERALS
WHEREAS, Section 2 of Article XII of the 1987 Constitution provides that the exploration, development and utilization of natural resources shall be under the full control and supervision of the State, and that the State may directly undertake such activities, or may enter into co-production, joint venture, or production-sharing agreements with Filipino citizens, or corporations, or associations at least sixty percentum (60%) of whose capital is owned by such citizens, which agreements may be for a period not exceeding twenty-five years, renewable for not more than twenty-five years, and under such terms and conditions as may be provided by law;
WHEREAS, Section 2, Article XII of the 1987 Constitution further provides that...
Details
Amends
n/a
Amended by
n/a
Executive Orders
Authorizing the Secretary of Environment and Natural Resources To Negotiate and Conclude Joint Venture, Co-Production, Or Production-Sharing Agreements For the Exploration, Development and Utilization of Mineral Resources, and Prescribing the Guidelines For Such Agreements and Those Agreements Involving Technical Or Financial Assistance By Foreign-Owned Corporations For Large-Scale Exploration, Development, and Utilization of Minerals
Executive Order No. 279
Summary of Executive Order No. 279
Authorizing the Secretary of Environment and Natural Resources
• To negotiate and conclude joint venture, co-production, or production-sharing agreements for the exploration, development, and utilization of mineral resources with Filipino citizens, corporations, or associations at least 60% owned by Filipino citizens. (Section 1)
• Such agreements may be for a period not exceeding 25 years, renewable for not more than 25 years. (Section 1)
Minimum Terms and Conditions for Agreements (Section 2)
• Management, technology, and financial services to be furnished by the contractor.
• Preference for the use of local goods and services.
• Contractor shall not require title to the contract area.
• Stipulated share in revenues and manner of payment.
• Exploration period not exceeding 2 years, extendible for another 2 years.
• Utilization and development period not exceeding 25 years, renewable for another 25 years.
• Relinquishment of portions of the contract area not needed for utilization and development after the exploration period.
• Work program and minimum expenditure commitment for the exploration period.
• Provisions on consultation and arbitration for interpretation and implementation.
• Employment and training of Filipino personnel.
• Industrial safety and anti-pollution measures.
• Restoration and/or protection of the environment.
• Transfer of technology to the government or local mining company.
• Furnishing of data, information, and access to books of accounts and records to the Bureau of Mines and Geo-Sciences.
• Commitment to community development.
• Other terms and conditions deemed in the best interest of the government.
Approval and Reporting Requirements
• Agreements entered into by the Secretary shall be subject to the President's approval. (Section 3)
• Agreements with foreign-owned corporations involving technical or financial assistance for large-scale exploration, development, and utilization of minerals shall be executed by the President. (Section 4)
• Large-scale mining is defined as proposals involving a committed capital investment of at least $50,000,000 in a single mining unit project. (Section 4)
• Agreements executed by the President shall be reported to Congress within 30 days. (Section 5)
Other Provisions
• The Secretary shall promulgate supplementary rules and regulations for implementation. (Section 6)
• Provisions of Presidential Decree No. 463, as amended, and other existing mining laws and regulations not inconsistent with this Executive Order shall remain in force. (Section 7)
Authorizing the Secretary of Environment and Natural Resources
• To negotiate and conclude joint venture, co-production, or production-sharing agreements for the exploration, development, and utilization of mineral resources with Filipino citizens, corporations, or associations at least 60% owned by Filipino citizens. (Section 1)
• Such agreements may be for a period not exceeding 25 years, renewable for not more than 25 years. (Section 1)
Minimum Terms and Conditions for Agreements (Section 2)
• Management, technology, and financial services to be furnished by the contractor.
• Preference for the use of local goods and services.
• Contractor shall not require title to the contract area.
• Stipulated share in revenues and manner of payment.
• Exploration period not exceeding 2 years, extendible for another 2 years.
• Utilization and development period not exceeding 25 years, renewable for another 25 years.
• Relinquishment of portions of the contract area not needed for utilization and development after the exploration period.
• Work program and minimum expenditure commitment for the exploration period.
• Provisions on consultation and arbitration for interpretation and implementation.
• Employment and training of Filipino personnel.
• Industrial safety and anti-pollution measures.
• Restoration and/or protection of the environment.
• Transfer of technology to the government or local mining company.
• Furnishing of data, information, and access to books of accounts and records to the Bureau of Mines and Geo-Sciences.
• Commitment to community development.
• Other terms and conditions deemed in the best interest of the government.
Approval and Reporting Requirements
• Agreements entered into by the Secretary shall be subject to the President's approval. (Section 3)
• Agreements with foreign-owned corporations involving technical or financial assistance for large-scale exploration, development, and utilization of minerals shall be executed by the President. (Section 4)
• Large-scale mining is defined as proposals involving a committed capital investment of at least $50,000,000 in a single mining unit project. (Section 4)
• Agreements executed by the President shall be reported to Congress within 30 days. (Section 5)
Other Provisions
• The Secretary shall promulgate supplementary rules and regulations for implementation. (Section 6)
• Provisions of Presidential Decree No. 463, as amended, and other existing mining laws and regulations not inconsistent with this Executive Order shall remain in force. (Section 7)