Daily Tribune

BUSINESS

Pala’wan IP group, Ipilan Nickel strengthen partnership with execution Supplemental MOA for royalty payment

DT · Jun 7, 2024, 6:12 PM

Following a rigorous two-day discussion and validation, on 1 June 2024, NCIP facilitated the finalization and execution of a Free, Prior and Informed Consent - Supplemental Memorandum of Agreement (Supplemental MOA) between the Pala’wan Indigenous Cultural Communities / Indigenous Peoples and Ipilan Nickel Corporation (INC).

In the Supplemental MOA, INC committed to pay a 1 percent royalty to the Pala’wan IP group. The royalty shall be based on INC’s gross output for minerals sold from the time it commenced commercial operations in September 2022 until 2025. In addition to the payment of royalty, INC also allocated a one-time contribution of P10,000,000 to the IP group. This voluntary contribution, which shall be in effect until the renewal of the Mineral Production Sharing Agreement (MPSA) in 2025, may be used to fund the construction of a common tribal hall, delineation of the IP group’s Certificate of Ancestral Domain Title (CADT), and other identified health, education, livelihood, and infrastructure projects.

The NCIP-facilitated event saw significant support from IP leaders from six barangays—Barong-barong, Ipilan, Calasaguen, Aribungos, Maasin, and Mambalot (BICAMM). They were joined by INC's officer-in-charge resident manager and legal officer, as well as the provincial legal officer from the NCIP. This broad representation strengthens the legitimacy of the FPIC process and ensures effective oversight to uphold the agreement.

During the event, the NCIP also discussed the preparation of a Community Royalty Development Plan (CRDP) to ensure proper management of the royalty and lead the oath-taking ceremony for the newly elected officers of the Indigenous Peoples Development Office-BICAMM.

The execution of the Supplemental MOA marks a significant milestone in fostering a positive and collaborative relationship between the company and the Indigenous communities. It also demonstrates INC’s commitment to prioritizing community development alongside its responsible mining practices.