Mineral Processing Permits (MPP)

MINERAL PROCESSING PERMITS (MPP)
General Provisions
No person shall engage in the processing of minerals without a Mineral Processing Permit.
Small-scale Miners Governed by RA 7076 and PD 1899 as to:

1. Processing of mineral ores and minerals produced
2. Licensing of custom mills or processing plants
Quarry/ISAG Permit Holders 1. Approved Work Program for the production period in lieu of MPP
Term of MPP : 5 years from issuance, renewable for 5 years, but not to exceed 25 years
Requirements 1. Complied with terms and conditions of MPP
2. Not been found guilty of Mining Laws and IRR
Mandatory Requirements for MPP Application

1. Application Form ✓
2. For corporation/ partnership/ association/ cooperative: SEC/CDA-certified true ✓
copies of Certificate of Registration, Articles of Incorporation/
Partnership/Association and By-Laws
3. Location Map/Sketch Plan (1:50,000 NAMRIA topographic map) showing ✓

coordinates/boundaries (in tabulated form) with major environmental features/other
projects (prepared, sealed and signed by a deputized Geodetic Engineer)
4. Feasibility Study (including work programs, plant site, mill and plant layout/design, ✓
details of technology employed in the proposed operation, anti-pollution
devices/measures and plant capacity) or Project Description and Financial
Statement incorporating social and environmental expenditures, taxes and fees
paid (for MPP applicant with existing mineral processing operation)
* The FS shall contain a provision guaranteeing the payment of the government share,
notwithstanding the grant of any incentives by other government agency/ies.
5. Certificate of Environmental Management and Community Relations (CEMCRR) or ✓

Certificate of Exemption
6. Environmental Compliance Certificate ✓
7. Work Program (prepared, sealed and signed by a licensed Mining Engineer or

Geologist)
8. Proof of technical competence in the form of: ✓
a. CV and track records in exploration/ environmental management.
b. Sworn statement of the technical person(s) who will undertake the
implementation of the Work Programs or employment contract/proof of availed
service(s)
9. Proof of financial capability: ✓
a. For an individual:
i. Latest ITR
ii. Credit lines/bank guarantees/deposits of at least P2.5M
b. For corporation/ partnership/ association/ cooperative:
i. Latest audited Financial Statements
ii. Annual Report for the preceding year
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iii. Credit lines/bank guarantees/deposits
10.Affidavit of Undertaking (using MGB form) ✓
a. The list of all mining applications he/she/it has filed
b. Mining permit/contract granted, including the corresponding hectarage and
location of the areas, disaggregated on a per province basis; and
c. list of other Applicant(s)/Contractor(s)/ Permittee(s) in which more than seventy
percent (70%) of the authorized capital stock is held by stockholders of the
applicant, including the corresponding hectarage and location of the area
disaggregated on a per province basis.
11.Interim Importation Permit/Certification from EMB (on the use of chemicals (e.g., ✓
cyanide, mercury) in compliance with R.A. No.6969)
12.Proof of payment of Filing and Processing Fee ✓

13.Brief history of applicant's activities for the last five (5) years ✓
14.Supply Contract/Agreement with mining rights holders ✓

15.Other supporting papers as the Secretary/ Director/Regional Office concerned may ✓
require or the applicant may submit
Filing of MPP Applications

1. By the applicant personally or
2. Through its duly authorized representative
Venue of Application: Regional Office concerned
Processing/Registration/Issuance of a Mineral Processing Permit
Approval Authority Project Cost Forward to

Secretary More than P500M -
MGB Director More than 200M to 500M MGB CO
Less than 200M Forward copy requirements and MPP
1. Upon approval of application, DENR Secretary through MGB RD shall notify the Permit Holder to
cause the registration of MPP within 15 days form receipt of written notice
2. Registration is effected upon payment of required fees
3. MGB shall release the MPP to the Permit Holder after registration
Rights and Obligations of the Mineral Processing Permit Holder

1. Permit Holder
2. Its heirs
3. Successors-in-interest
Rights:
1. Exclusively conduct mineral processing
2. All other rights provided for in Mining Laws and IRR
Obligations:
1. Fully comply with the terms and conditions of the MPP
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Terms and Conditions of a Mineral Processing Permit
1. The Permit shall be for the exclusive use and benefit of the Permit Holder
2. The government office concerned shall, whenever practicable, use and utilize its own vehicle/s
3. The Permit Holder shall assume full responsibility and be liable for damages to private and/or
public property(ies) that may be occasioned by its operations.
4. The Permit Holder shall submit to the MGB production and activity reports prescribed.
5. The MGB may conduct an on-site validation of the submitted reports. The Permit Holder shall be
charged verification and inspection fees.
6. The Permit Holder shall effectively use the best available appropriate anti-pollution technology and
facilities to protect the environment in compliance with the requirements of the ECC and P.D. No.
984. This should be undertaken in coordination with the EMB.
7. The Permit Holder shall conduct its operations in accordance with the provisions of the Mining
Laws and its IRR.
8. The Permit Holder shall not discriminate based on gender.
9. The Permit Holder shall respect the right of women workers to participate in policy and decision-
making processes affecting their rights and benefits.
10. The Permit Holder shall pay fees, taxes and other obligations.
11. The Permit Holder shall conform to laws, rules and regulations regarding, among others, labor,
safety and health standards;
12. The Permit Holder shall comply with its obligations under its ECC;
13. The term of the Permit shall be for 5 years from issuance thereof, renewable for 5 years but not to
exceed 25 years. No renewal shall be allowed unless:
1. Permit Holder has complied with all the terms and conditions of the MPP
2. Permit Holder has not been found guilty of violation the Mining Laws and IRR.
14. The Permit Holder shall give preference to goods and services produced and offered in the
Philippines of comparative quality and cost. The contractor shall give preference to:
1. Qualified Filipino construction enterprises, construction materials and skills available in the
Philippines
2. Filipino sub-contractors for road construction and transportation
3. Philippine household equipment, furniture, and food
15. The Permit Holder shall give preference to Filipinos in all types of employment for which they are
qualified, and that the technology shall be transferred to them
16. In case of foreign corporation, representations, and warranties that the Permit Holder shall not
raise any form of financing from domestic sources of funds, whether in Philippine or foreign
currency, for conducting its mineral processing, except payments for dispositions:
1. for its equity
2. foreign investments in local enterprises which are qualified for repatriation
3. local supplier's credits
4. other generally accepted and permissible financial schemes for raising funds for valid
business purposes
17. Alien employment shall be limited to technologies requiring highly specialized training and
experience subject to the required approval
18. In every case where foreign technology are utilized and where alien executives are employed, an
effective program of training understudies shall be undertaken
19. The Permit Holder shall utilize the best available appropriate and efficient mineral processing
technology
20. The Permit shall be subject to cancellation, revocation and termination as provided in Sec. 115
21. Withdrawal by the Permit Holder from the Permit shall not release it from all financial,
environmental, legal and/or fiscal obligations
22. The Permit Holder shall comply with all other applicable provisions of the Mining Law and IRR
58
23. Such other terms and conditions consistent with the Constitution, Mining Law, IRR and those which
the Secretary may deem to be for the national interest and public welfare
Renewal of Mineral Processing Permit

1. Submit Application for Renewal
2. Prior to expiration
3. Submit to MGB
4. May be approved by Secretary/Director/Regional Director
5. Permit Holder has complied with all the terms and conditions of MPP
6. Permit Holder has not been found guilty of violation of the Mining Laws and IRR
Mandatory Requirements for Renewal:

1. Justification of renewal
2. Comprehensive and validated technical report prepared, signed, and sealed by a licensed Mining
Engineer or Metallurgical Engineer and an Environmental Officer
a. Outcome of operations
b. Level of ECC Compliance
3. Audited financial statements covering the term of the MPP
4. Work Program duly prepared, signed and sealed by a licensed Metallurgical Engineer
5. Other supporting papers as the Regional Office concerned may require
Cancellation/Revocation/ Termination of a Mineral Processing Permit

1. Due Process
2. By the Secretary, upon the recommendation of the Director/Regional Director
3. Grounds:
a. Failure to comply with the terms and conditions of the MPP and ECC
b. Violation of any provision of the Mining Laws and IRR
c. Failure to pay taxes and fees due the government for 2 consecutive years
d. Any misrepresentation in any statement made in the application or those made later
e. When national interest and public welfare so require or for environmental protection or
ecological reasons
4. Effect: the cancellation/revocation/termination of shall not release the Permit Holder from all
obligations particularly regarding ecological management, to the public or private party(ies) at the
time of cancellation/ revocation/termination
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MINERAL PROCESSING PERMITS (MPP)

Small-scale Miners Governed by RA 7076 and PD 1899 as to:

Mandatory Requirements for MPP Application

3. Location Map/Sketch Plan (1:50,000 NAMRIA topographic map) showing ✓

5. Certificate of Environmental Management and Community Relations (CEMCRR) or ✓

7. Work Program (prepared, sealed and signed by a licensed Mining Engineer or

12.Proof of payment of Filing and Processing Fee ✓

14.Supply Contract/Agreement with mining rights holders ✓

Filing of MPP Applications

Venue of Application: Regional Office concerned

Processing/Registration/Issuance of a Mineral Processing Permit

Approval Authority Project Cost Forward to

Rights and Obligations of the Mineral Processing Permit Holder

Renewal of Mineral Processing Permit

Mandatory Requirements for Renewal:

Cancellation/Revocation/ Termination of a Mineral Processing Permit

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