REPUBLIC OF THE PHILIPPINES
HOUSE OF REPRESENTATIVES
QUEZON CITY

SIXTEENTH CONGRESS
FIRST REGULAR SESSION

H.B. No. 4037

Introduced by HON. AL FRANCIS C. BICHARA

EXPLANATORY NOTE

This bill seeks to promote serious investors in the mining industry by
facilitating and/or shortening the processing of exploration permits, and providing
grounds for the cancellation therefor in order to prevent speculation.

Mining is being touted as one of the pillars of economic development by
the present administration. Indeed, our country is rich in mineral resources. With
proper regulations to protect the environment and ensure sound mining
practices, mining has great potentials to develop and spur the economic growth
of our countryside through infrastructure development, job creation and of
course, an increase in government revenues, particularly of host local
government units.

The industry has already attracted a lot of investors, serious or otherwise,
as result of the rise of metal prices in the world market. Together with the influx of
investors, however, are the speculators, middlemen, shysters and all other
personalities trying to cash in on the booming industry. As a result, there are
certain mining claims which are being applied for exploration _ by individuals
and/or corporations who are not serious investors but are mere speculators. On
the other hand, there are serious investors who are discouraged to come in due
to the delay in the processing of permits.

This bill, therefore, seeks to address these concerns through the following,
to wit: a) providing for a mandatory period for the approval of exploration permit;
b) providing for automatic approval of exploration permit; and c) grounds for the
cancellation of exploration permit . With these measures emplaced, we can now
separate the serious investors from mere speculators and at the same time,
streamlining and cutting bureaucratic red tape.

In view of the foregoing considerations, approval this measure is urgently
recommended.

AL FRANCIS C. BICHARA
trict, Albay


SIXTEENTH CONGRESS OF THE)
REPUBLIC OF THE PHILIPPINES —)
FIRST REGULAR SESSION )

+ H.B.No. 4037

Introduced by HON. AL FRANCIS C. BICHARA

AN ACT AMENDING CHAPTER IV SECTION 20 OF REPUBLIC ACT NO.
7942 OTHERWISE KNOWN AS “PHILIPPINE MINING ACT OF 1995” BY
FACILITATING THE APPROVAL AS WELL AS CANCELLATION OF
EXPLORATION PERMITS AND FOR OTHER PURPOSES.

Be jit enacted by the Senate and House of Representatives of the
Philippines in Congress assembled:

Section 1. Chapter IV, Section 20 of R.A. 7942, hereby amended to read
as follows:

Section 20. An exploration permit grants the right to
conduct exploration for all minerals in specified areas. The
Bureau shall have the authority to grant an exploration permit to
a qualified person. An application for an exploration permit shall
be acted upon by the Bureau within sixty (60) days from
submission by the applicant of all requirements, provided
however, that all requirements are submitted within ninety (90)
days from filing with the Bureau of the application permit,
provided finally, that should the applicant fail to submit the
requirements within ninety (90) days from filing of the
application for exploration permit, such application for an
exploration permit shall be deemed ipso facto abandoned with
finality.

Section 2. Any and all application for exploration permits not acted upon
by the Bureau within sixty (60) days from the submission of all requirements shall
be deemed approved and the applicant shall enjoy the rights and obligations of a
permittee.

Section 3. A holder of an exploration permit who fails to enter, occupy,
possess as well as to commence exploration work within sixty (60) days from
approval of the exploration permit, or incurs gross delay or deviation from its
approved work program of who fails to submit periodic reports to the Bureau
shall be summarily be divested of the rights and obligations of a permittee.

Section 4. The Bureau shall submit annually to Congress the names of
all holders of exploration permits, the terms, conditions and status of such
permit as well as other relevant information.

Section 5.. All other laws, acts, decrees, executive orders, issuances and
rules and regulations or part thereof which are inconsistent with any provisions
of this Act are hereby repealed, amended, or modified accordingly.

Section 6. This Act shall take effect within fifteen (15) days upon
publication in a newspaper of general circulation.

Approved,