Appraisal, Development And Management Of Mineral Resources In The Philippines

INTRODUCTION The Philippines is endowed with mineral resources, much of which still remains unexploited. The country's known reserves, at least for the major mineral commodities, have increased every decade since the first major discoveries more than 80 years ago. Mining, therefore, naturally evolved as one of the pioneer industries and has ever since been a major factor in economic development. The Philippines has entered a new era in mineral resources development and management. One significant feature of this era is the degree to which the government is involved with the industry. In recent years, the state has increasingly encouraged the private sector to carry out detailed exploration aided by governmental contributions through extensive geological and geophysical surveys, fundamental researches and even indirect financial assistance in some specific areas. Significant changes in mineral resources development policies were brought about with the promulgation of Presidential Decree 463 or the Mineral Resources Development Decree of 1974. The Decree provides for a more rational system of administration and disposition of mineral lands to promote mineral resource exploration and exploitation. Various forms of incentives are provided. Foreign entities are allowed to participate in development through service contracts with leaseholders or with the government in the case of reserved areas. The thrust in mineral resources development has been focused on the base metals which as envisioned would provide the foundation for sound economic development. In recent years, however, major strides have been made to promote the exploitation of the non-traditionally produced commodities especially the non-metals. Development likewise point to the growing determination of the government and the private sector to expand benefits from mining. This is evident in efforts to promote downstream processing operations and to encourage investments in exploration, exploitation and mineral processing ventures. The integrated mineral resources development plan, therefore, proposes the vertical integration of mining extraction activities with the processing requirements of the metal-based manufacturing industries. While mining activities shall continue to be carved out by the private sector, the government shall influence the industry's direction by establishing legitimate goals to maximize benefits through an integrated approach giving due consideration to environmental protection and resource needs of future generations. STATUS OF MINERAL RESOURCES DEVELOPMENT Extent of Exploration Application of modem exploration tools and concepts complemented by intense infusion of foreign technology and rapid development of indigenous expertise have enabled the government jointly with the private sector to geologically explore vast grounds and to expand the country's known mineral resources. Approximately 93% of the country's total land area of 30 million hectares have been geologically mapped on at least 1:250,000 scale. Of the 93% total coverage, roughly 37.54% or 11.07 million hectares have been done on scales of 1:10,000 to 1:50,000 as shown in Figure I. Only 3.07% of the total coverage have been surveyed in detail. Land gravity surveys have been undertaken on over 45% of the total, while some 77,300 line km. of aeromagnetic surveys have been flown over 110,000 sq. km. of land area. Processing of data is almost complete. Total magnetic intensity and IGRF-corrected maps are available. Geological interpretation utilizing Landsat MSS imagery and low altitude aerial photography augmented by ground truthing have been undertaken in several large areas with very encouraging results. Beach and offshore mineral surveys were initiated in 1977 and have covered substantial areas in northwest and southeast Luzon and northeastern Mindanao. Highly promising areas for detrital magnetite, chromite, gold and some heavy minerals including ilmenite and titanium have been identified. In the petroleum sector, two offshore oilfields are currently producing from Miocene limestone reefs in Northwestern Palawan. Another field from the same area will be on stream in mid-1982.