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PRESIDENTIAL DECREE NO. 1902
PRESIDENTIAL DECREE NO. 1902 -
FURTHER AMENDING CERTAIN SectionS OF PRESIDENTIAL DECREE NUMBERED FOUR
HUNDRED SIXTY-THREE, OTHERWISE KNOWN AS "THE MINERAL RESOURCES
DEVELOPMENT DECREE OF 1974," AS AMENDED BY PRESIDENTIAL DECREES
NUMBERED 1385 AND 1677
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WHEREAS,
efforts of the Government to accelerate the development of our natural
resources have been delayed by restrictions and limitations of time in
meeting the requirements of the laws and rules in securing clearances
and permits to undertake early mining operations:cralaw:red
WHEREAS, in order to help alleviate the present plight of the mining
operators and boost early exploitation of their concessions, the laws
and rules governing the submission of certain requirements should be
liberalized; and
WHEREAS, in the interest of the mining industry, and pursuant to the
policy of the Government to grant incentives to the industry in order
to accelerate mineral production, it is desirable to grant sufficient
time for submission of the requirements to make it more responsive to
the needs of the mining industry. chanroblesvirtualawlibrary
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines,
by virtue of the powers vested in me by the Constitution, do hereby
order and decree:cralaw:red
Section 1. Section 25 of Presidential Decree No. 463,
as amended by Section 14 of Presidential Decree No. 1385 and Section 4
of Presidential Decree No. 1677, is further amended to read as follows:cralaw:red
"Sec. 25. Group Development. — The claim-owner/lessee
may concentrate all the annual work obligations on any one or more of
several contiguous or geologically related mining claims in one
province, if it can be shown to the Director that such concentration of
work will be most advantageous and beneficial in the development and
operation of said mining claims: Provided, That any expenditure in
excess of the minimum amount required for work obligations per hectare
may be carried forward and credited to the work obligations of the
group claims for the succeeding year or years subject to field
verification by the Bureau: Provided, further, That if the expenditure
incurred for any claim is less than that required in any year, the
difference shall be paid and accrue to the Bureau of Mines and
Geo-Sciences to be used exclusively for the purposes mentioned in
Section 95 of the Decree." chanroblesvirtualawlibrary
Section 2. Section 27 of Presidential Decree No. 463,
as amended by Section 15 of Presidential Decree No. 1385 and Section 5
of the Presidential Decree No. 1677, is further amended to read as
follows: chanroblesvirtualawlibrary
"Sec. 27. Annual Work Obligations. — The
claim-owner/lessee shall submit proof of compliance with the annual
work obligations by filing an affidavit therefor and the statement of
expenditures and technical report in the prescribed form in support
thereof with the Mines Regional Officer concerned within one hundred
and twenty (120) days from the end of the year in which the work
obligation is required: Provided, That failure of the claim-owner to
comply therewith for two (2) consecutive years shall constitute
automatic abandonment of the mining claim: Provided, further, That, if
it is found upon field verification that no such work was actually done
on the mining claim, the claim-owner/lessee shall likewise
automatically lose all his rights thereto notwithstanding submission of
the aforesaid documents: Provided, finally, That the Director, in cases
of unstable peace and order conditions and/or involvement in mining
conflicts may grant further extensions."
Section 3. Section 33 of Presidential Decree No. 463,
as amended by Section 17 of Presidential Decree No. 1385, is further
amended to read as follows:cralaw:red
"Sec. 33. Mines Temporary Permit. — Pending the
issuance of a lease contract, the claim-owner may, upon proper
application duly filed with the Mines Regional Officer concerned, be
issued a mines temporary permit by the Director upon compliance with
all the obligations due on the mining claims subject thereof and the
posting of the surety bond in an amount to be approved by the Director.
This mines temporary permit shall be for a period of one (1) year,
renewable for a total period not exceeding three (3) years.
A special permit may be issued by the Director for the removal,
extraction and disposal of minerals found to exist in limited
quantities. Subject to the approval of the Minister, the Director shall
issue rules and regulations to ensure proper removal, extraction and
disposition of such minerals." chanroblesvirtualawlibrary
Section 4. Section 37 of Presidential Decree No. 463,
as amended by Section 8 of Presidential Decree No. 1677, is further
amended to read as follows:cralaw:red
"Sec. 37. Program of Work. — A claim-owner shall,
upon the filing of an application for mining lease, undertake
exploration, development and/or mining activities thereon in accordance
with the approved program of work: Provided, That within the period of
FIVE (5) YEARS, reckoned from the date of the grant of the lease
contract thereon, the mining area shall be placed in actual commercial
production: And provided, further, That failure to do so within the
period aforestated shall constitute automatic abandonment of the mining
claims.
The program of work shall be for a period of FIVE (5) YEARS, and the
claim-owner shall, at the start of every calendar year and during the
existence of the mining lease, submit to the Bureau of Mines and
Geo-Sciences for the approval of the Director an annual work program
describing in detail the kind and nature of mining activities to be
undertaken thereon for that particular year. Any deviation from the
approved work program shall be with the approval of the Director.
Holders of existing mining leases shall submit a revised or updated
work program within six (6) months from the date or approval of this
Decree.
The Regulations shall prescribe in detail the contents of the work
program."
Section 5. Section 60 of the Presidential Decree No.
463, is amended to read as follows:cralaw:red
"Sec. 60. Employment of Filipinos. — Lessees under
this Decree are obligated to give preference to Philippine citizens in
all types of mining employment within the country, insofar as such
citizens are qualified to perform the corresponding work with
reasonable efficiency and without hazard to the safety of the
operations; and are obligated likewise to maintain effective programs
of training and advancement commensurate with the demonstrated
abilities of such citizens to perform satisfactorily the various types
of operations involved. The lessee, however, shall not be hindered from
using employees of his own selection, subject to the provisions of
Commonwealth Act Numbered Six Hundred Thirteen, as amended, for
technical and specialized work which, in his judgment and with the
approval of the Director, requires highly specialized training or long
experience in exploration, development or exploitation of the mining
claim: Provided, That in no case shall each employment exceed five (5)
years: Provided, further, That no foreigner shall be employed as mine
manager, vice-president for operations or equivalent managerial
position, in charge of mining, milling, quarrying or drilling operation
without passing the appropriate or pertinent government licensing
examination or unless in special cases permitted by the Director for a
period not exceeding three (3) years without prejudice to other
applicable special laws."
Section 6. All laws, decrees, executive orders, rules
and regulations which are in conflict or inconsistent with this Decree
are hereby amended, modified or repealed accordingly.
Section 7. This Decree shall take effect immediately.
Done in the City of Manila,
this 7th day of February in the year of Our Lord, nineteen hundred and
eighty-four.
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