QUEZON CITY, PHILIPPINES — The provincial government of Eastern Samar has mandated that six mining companies operating within its jurisdiction adhere to environmental and social protection standards and settle outstanding taxes by the year's end. The directive is part of the government's ongoing efforts to ensure responsible mining practices and tax compliance among businesses in the province.
According to Philippines News Agency, the Eastern Samar provincial government, the provincial legal officer Eden Ivy Rose Balagasay identified the companies in a briefing on Tuesday. These include Cambayas Mining Corp., Emir Mineral Resources Corp., Techiron Resources Inc., Mt. Sinai Exploration and Development Corp., Chromiteking Inc., and Nickelace Inc. These entities, associated with Global Min-met Resources Inc., and Verum Terra Geosciences Inc., hold Mineral Production Sharing Agreements (MPSAs) that are under scrutiny by the provincial administration.
Balagasay stated that Governor Ben Evardone has explicitly required these companies to fully execute environmental and social protection measures in line with their MPSAs. Failure to do so could lead to the revocation of their permits by the Department of Environment and Natural Resources (DENR). During a special meeting, Governor Evardone warned of potential actions, including requesting the DENR to cancel their MPSAs, if discrepancies in the implementation of the required measures were found.
Originally, the mining companies were given a two-week period to meet the compliance requisites. This deadline has since been extended to afford them additional time to meet their obligations. Partial reports on compliance have been submitted by the companies, and they have committed to providing complete performance and compliance reports promptly.
The resolution of these issues will be determined upon the completion of the provincial government's review and assessment of the mining firms' final submissions. The provincial legal officer confirmed that subsequent actions regarding the mining companies would be based on the governor's discretion following this evaluation.
Provincial Treasurer Antonia Macawile highlighted that some companies were also directed to clear their unpaid real property taxes (RPT). The collective RPT debt amounts to PHP133.8 million, which is calculated based on their chromite and nickel ore stocks outlined in their transport permits (OTPs). Demand letters and Notices of Tax Delinquencies have been issued by the Provincial Treasurer's Office (PTO) to the concerned miners, detailing their unpaid RPTs on extracted minerals.
Specifically, Cambayas is reported to owe PHP96.57 million for the period 2012-2016, Techiron PHP22.56 million, Emir PHP12.1 million for 2017-2022, and Mt. Sinai PHP2.58 million for the year 2013, with the assessments based on OTPs issued by the Mines and Geosciences Bureau (MGB). The unpaid RPTs for Verum and Global, operating Nickelace's MPSA, are yet to be determined.
Prior discussions revealed that the mining companies had disputed the RPT payments, considering them double taxation since they were already subject to excise taxes at the national level. However, Manuel Baldono, the provincial assessor, clarified that local government units (LGUs) are entitled to RPTs as per the Local Government Code (LGC) of 1991 and relevant ordinances, including Provincial Ordinance 02-09 Series of 2009. The miners' non-compliance with these tax obligations, particularly to the host LGU of Guiuan, stands in violation of the LGC and provincial regulations.