The government aims to increase total mining contribution to the GDP from .5 to about 2 percent even as the Mines and Geosciences Bureau will enforce the ‘Use it or Lose It Policy for Mining Tenements’ to penalize inactive operations and open mineral-rich areas to new investors. The government will also dispose of idle state-owned mineral assets to attract private sector development.
The Department of Environment and Natural Resources (DENR) is looking to unlock billions of pesos in untapped mining resources through new regulations that will revive idle mineral assets and accelerate industry development starting this year.
DENR Undersecretary for Integrated Science Carlos Primo David said the agency wants to expand the sector’s contribution to the economy.
“The DENR is looking at increasing mining’s contribution to the Gross Domestic Product from .5 to about 2 percent,” David said at the Mining Philippines 2025 Conference and Exhibition at the Grand Hyatt Manila on Wednesday.
Overall strategy
“The regulations are part of the overall strategy to unlock the natural resources of the country,” he added.
He said the policy package includes a draft Executive Order (EO) and Administrative Order.
“A draft EO on the critical minerals framework is like the little sister of the fiscal regime, which, as I see it, is to correct and clarify some of the regulations in the 1995 Mining Act,” he said.
As part of the reforms, the Mines and Geosciences Bureau (MGB) will enforce the “Use it or Lose It Policy for Mining Tenements” to penalize inactive operations and open mineral-rich areas to new investors.
The government will also dispose of idle state-owned mineral assets to attract private sector development.
David said the bureau targets to “strengthen the protection of mining investments from unilateral adverse policy shifts,” including “retroactive amendments to local ordinances, zoning bans, restrictions on mining methods, or arbitrary changes in fiscal terms.”
Additionally, the DENR-MGB is also “looking at standardizing a transparent valuation methodology for FPIC negotiations while respecting indigenous agreements,” noting delays caused by unclear benefit-sharing rules.
Reviewing limits on mineral processing permits
To support long-term investments, the bureau is reviewing the 25-year limit on mineral processing permits “with the hope of extending” it. The regulatory overhaul also covers small-scale mining.
At present, the MGB is preparing a new registration system to formalize operations and improve traceability in gold production. David said groundwork has already started for the disposal of inactive mining assets.
Meanwhile, during the same conference, President Ferdinand R. Marcos Jr. declared that the government will run after irresponsible miners who endanger lives with their mining practices.
Strict law enforcement
“We will strictly enforce the laws against practices that destroy forests, that poison rivers, that endanger lives. Mining should build communities, not burden them,” he said.
Marcos stressed that mining operations must be consistent with the country’s environmental commitments which include the Paris Agreement and the Philippine Energy Plan.
“We must power the future without endangering the earth that sustains us. Irresponsible mining has no place in our nation,” he said.
Marcos said that his administration shared a common vision of a responsible, inclusive, and climate-resilient mining in the country, helping the industry uncover the rich minerals of the country.
He added that the government is looking into simplifying the process of mining applications “to attract quality investments.”
Revenue must benefit people
The President also urged mining companies to ensure that their revenues “bring tangible benefits” for the people, (with) discovery of wealth helping build schools, hospitals, and roads, and further improving infrastructure in the country.”
He also called for strengthening transparency and accountability of the mining sector.
“The Filipino people deserve to know how their resources are being managed, for these are their treasures as much as they are the nation’s,” he said.
“Sustainability, after all, is measured by how many lives we uplift and how faithfully we guard the blessings of our land for the generations to come,” he added.
Chamber of Mines commended
Marcos recognized the efforts of the Chamber of Mines of the Philippines in uniting industry leaders, partners, and stakeholders and keeping them accountable.
“Your adoption of the Towards Sustainable Mining Program — a global benchmark for environmental, social, and governance standards — proves that responsible mining is achievable. The Philippines stands proud as the first in Asia to implement this program, joining countries like Canada and Australia [in] upholding ethical practice,” he said.
