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EASTERN VISAYAS

Mineral Profile

I. GENERAL INFORMATION

Region: Eastern Visayas (Region VIII)


Population (as of 2015): 4,440,150
Income classification: 1st Class
Major economic activities: farming, fishing, mining
Total Land Area: 2,225,343 hectares

Eastern Visayas or Region VIII is composed of the main Islands of Leyte,


Biliran, and Samar joined by the famous 2.7 kilometers San Juanico Steel
Bridge (Leyte – Samar) spanning across the San Juanico Strait. It is
composed of six (6) provinces, namely, Leyte, Southern Leyte, Biliran,
Samar (Western Samar), Eastern Samar and Northern Samar, one highly
urbanized city, one independent component city, five component cities,
136 municipalities and 4,390 barangays. The highly urbanized
city of Tacloban is the Eastern Visayas Regional Center (EVRC). The
provinces and cities occupy the easternmost islands of the Visayas group
of islands.
Eastern Visayas is one of the three regions situated in the middle of the
Philippines and serves to link the islands of Luzon and Mindanao

MINERAL PROFILE EASTERN VISAYAS REGION 2018 1


through the National Maharlika Highway that runs through it. It is
bounded on the east and north by the Leyte Gulf, Philippine Sea and the
Pacific Ocean with the San Bernardino Strait separating Samar island
from southeastern Luzon; on the west by the Maqueda
Bay, Camotes and Visayan seas, and on the south by the Bohol Sea with
the Surigao Strait separating Leyte island from northwestern Mindanao.
It has a total land area of 2,225,343 hectares or 7.2% of the country’s
total land area.
The region's sea and inland waters are rich sources of salt and fresh
water fish and other marine products. It is one of the fish exporting
regions of the country. There are substantial forest reserves in the
interiors of the islands. Its mineral deposits include chromite, uranium
(in Samar), gold, silver, manganese, magnesium, bronze, nickel, clay,
coal, limestone, pyrite and sand and gravel.
Eastern Visayas is primarily an agricultural region
with rice, corn, coconut, sugarcane and banana as its major crops.
Primary sources of revenue are manufacturing, wholesale and retail
trade and services. Mining, farming, fishing and tourism contribute
significantly to the economy. Manufacturing firms include mining
companies, fertilizer plants, sugar central, rice and corn mills and other
food processing plants. Tacloban is the hub of investment, trade and
development in the region.
Other industries include coconut oil extraction, alcohol distilling,
beverage manufacture and forest products. Home industries include hat
and basket weaving, metal craft, needlecraft, pottery, ceramics,
woodcraft, shell craft and bamboo craft.

MINERAL PROFILE EASTERN VISAYAS REGION 2018 2


II. LAND AREA AND MINERAL POTENTIAL

The region has a total land area of 2,225,343 hectares.  The total
area covered by approved mining rights is only 2% or
46,712.5217 hectares of the total land area of the region.
It is important to note that out of the region’s total land area, only
0.07% or 1,500 hectares are covered by operating mines out of
46,712.5217 approved mining rights.

Number of Mining Rights Issued by MGB Region-8


APPROVED
MINING RIGHTS
TENEMENT TYPE (AREA) NUMBER
MINERAL PRODUCTION
SHARING AGREEMENT
(MPSA) 46,480.9005 18
SAND AND GRAVEL
INDUSTRIAL PERMIT
(SGIP) 191.6212 20
MINAHANG BAYAN
40.0000 2

TOTAL 46,712.5217 has. 40

MINERAL PROFILE EASTERN VISAYAS REGION 2018 3


TOTAL LAND AREA OF REGION-8
VS.
OPERATING MINES (Has.)

TOTAL LAND AREA OF RE-


GION-8 VS.
OPERATING
TOTAL OPERATING MINES MINES (Percent %)
(1,500 Has.) 0.07%

TOTAL LAND AREA OF RE-


GION-8 VS.
OPERATING
MINES (Hectares)
100%

TOTAL LAND AREA OF REGION-8


VS.
APPROVED MINING RIGHTS (Hectares)

MPSA CONTRACT AREA (Has.) APPROVED MINING RIGHTS


2% (46,712.52 Has.)
VS.
TOTAL AREA OF REGION-8
(2,225,343 Has.)

TOTAL LAND AREA OF RE-


GION-8 VS.
MPSA CON-
TRACT AREA (Hectares)
98%
III. MINERAL RESOURCES DEVELOPMENT PROJECTS

MINERAL PROFILE EASTERN VISAYAS REGION 2018 4


Eastern Visayas hosts three (3) metallic mines:

Mining Projects/ Operators


2 chromite  Chromiteking Mining Corp. operated by
mines Techiron Res. Inc. located in Homonhon
Island, Guiuan, Eastern Samar
 Mt. Sinai Resources and Exploration
Corporation located in Homonhon Island,
Guiuan, Eastern Samar
1 magnetite  Strongbuilt Mining Development Corp.
sand mines located in MacArthur, Leyte.

MINERAL PROFILE EASTERN VISAYAS REGION 2018 5


IV. ECONOMIC CONTRIBUTION

 Gross Regional Domestic Product (GRDP)

The Mining and Quarrying sector contributed for PhP134 million or


0.9% of the total GRDP of the Region. The manufacturing sector
led the accounting with Php 3.07 billion or 19.5 % contribution.
The total GRDP of Eastern Visayas for 2018 was PhP 15.80 million.

GRDP is the aggregate of gross value added (GVA) of all resident


producer units in the region. Addition of the GRDP of all regions
will yield the Gross Domestic Product.

The tables below shows the production and sales of mining and
quarrying for CY 2018.

MINERAL PROFILE EASTERN VISAYAS REGION 2018 6


PRODUCTION

PRODUCTION 2018
Mineral Commodity / Mineral Products Unit Used
Quantity Value in Pesos

Copper (Metal) MT
Chromite DMT 51,484.83 376,540,747.20
Gold Kg - -
Silver Kg - -
Total Mettalics 51,484.83 376,540,747.20

Quicklime MT
Rivermix CU.M - -
Sand & Gravel CU.M 180,423.46 63,912,044.20
Slaked Lime/Hydrated MT
Stones/Cobbles/Boulders CU.M
TOTAL METALLICS 51,484.83 376,540,747.20
TOTAL NON METALLICS 180,423.46 63,912,044.20

TOTAL METALLICS AND NON-METALLICS for


MGB REGION 8 231,908.29 440,452,791.40

MINERAL PROFILE EASTERN VISAYAS REGION 2018 7


SALES
TABLE-1
METALLIC MINERAL SALES BY CONTRACT/CONTRACT HOLDER/OPERATOR 2018
TABLE-1
MINES AND GEOSCIENCES BUREAU REGIONAL OFFICE No. 8
METALLIC AND NON-METALLIC MINERAL SALES BY CONTRACTOR/OPERATOR
2018

Mineral Commodity / Name of Unit Grade Country


Permit Number Location Quantity Value (Pesos) Value (US $)
Mineral Products Chromiteking, Inc. MOA
Operator/Contractor Used Analysis of
with Techiron Resources, MPSA-292-2009-VIII
Chromite Inc. (Amended-B) 52% Cr2o3
Homonhon Island, Guiuan, Eastern DMT 45,827.00 300,626,126.40 5,685,971.77 50% (min) China
TOTAL 45,827.00 300,626,126.40

TABLE-2
NON-METALLIC MINERAL SALES BY CONTRACT/CONTRACT HOLDER/OPERATOR 2018

Mineral Commodity / Name of Unit


Permit Number Location Quantity Value
Mineral Products Operator/Contractor Used
Daryl Dexter L. Julio/Cleto IP-2009-000085-VIII Daguitan River, Brgy. Dita, Julita
Sand and Gravel Tragura (Second Renewal) cu.m. 23,140.00 3,691,933.00
Concrete Solutions, Inc. IP-2008-000076-VIII Salog River, Katipunan,
Sand and Gravel (3rd Renewal) Capudlosan, Hindang cu.m. 18,292.20 3,675,600.00
Sand and Gravel RAS Construction IP-2015-003-VIII (4th Daguitan River, San Pablo, Burauen cu.m. 34,511.00 14,285,750.00
Kinjap Rock Industry Renewal)
IP-2016-001-VIII Binahaan River, Brgy. Lourdes.
Sand and Gravel Corporation (3rd Renewal) Pastrana cu.m. 15,560.00 7,480,050.00
Manuel Salazar IP-2017-001-VIII Cabayongan/Mainit River, Brgy.
Sand and Gravel (Second Renewal) Tumbo, Alang-alang cu.m. 2,539.50 428,150.00
Rosa Emilia G. Mercado IP-2017-002-VIII (3rd Daguitan River, Brgys. Arado &
Sand and Gravel Renewal) Cabarasan, Dulag cu.m.
Sand and Gravel Rodolfo L. Servacio IP-2017-003-VIII Tagbaoto River, Proteccion, cu.m. 4,870.94 1,315,457.00
Heirs of Federico C. (3rd Renewal) Hilongos River, Brgys. San Anfres &
Daguitan
IP-2017-004-VIII (3rd
Paltad, Sr. Bonifacio, Julita
Sand and Gravel Renewal) cu.m. 23,730.00 8,065,000.00
Represented by Fe
P. Paltad
Clarita C. Madeloso IP-2017-005-VIII Daguitan River, Brgys. Cabacungan
Sand and Gravel (3rd Renewal) & Cabarasan, Dulag cu.m. 5,424.92 976,507.20
Ronald G. Ortega IP-2017-006-VIII (1st Panda River, Brgy. Sto Domingo,
Sand and Gravel Renewal) Dagami cu.m. 27,407.00 11,591,300.00
Rodolfo L. Servacio IP-2017-007-VIII (1st Subang Daku River, Brgy. Suba,
Sand and Gravel Renewal) Sogod cu.m. 942.20 356,927.00
Romeo N. Villeza IP-2018-001-VIII (1st Daguitan River, Brgy. Tambuco,
Sand and Gravel Renewal) Burauen cu.m. 8,025.00 2,192,700.00
Conrada R. Villahermosa IP-2018-002-VIII (4th Salog River, Brgys. Liberty &
Sand and Gravel Renewal) Proteccion, Hilongos cu.m. 8,393.90 7,612,900.00
Herminia A. Primer IP-2018-003-VIII (2nd Marabong River, Ilihan, San Jose
Sand and Gravel Renewal) West, Balatson, and Pangdan, cu.m. 1,347.00 515,750.00
Catingub, Celedonia S. IP-2018-004-VIII New Bagongbong River, Brgy. Can-
Sand and Gravel (4th Renewal) untog, Ormoc City cu.m. 6,394.00 1,918,200.00
Luz G. Ortega IP-2018-005-VIII (3rd Panda River, Brgy. Maragondong,
Sand and Gravel Renewal) Abre & Caanislagan, Dagami cu.m. 370.00 173,400.00
Marc S. Echevarre Bankerohan River, Brgys. Amagos
Sand and Gravel IP-2018-006-VIII cu.m.
& Liberty, Bato
Adelfa A. Lagat IP-2018-007-VIII (1st Marabong River, San Jose East,
Sand and Gravel Renewal) Bilibol, Burauen cu.m.
Marisse G. Serafica IP-2018-008-VIII (2nd New Binto-an River, Brgy. Doña
Sand and Gravel Renewal) Maria, Albuera cu.m.
Sand and Gravel Myles Anthony Siao IP-2012-009-VIII (4th Tagbaoto River, Capudlosan, cu.m.
TOTAL
Renewal) Hindang 180,947.66 64,279,624.20

MINERAL PROFILE EASTERN VISAYAS REGION 2018 8


 Production

The Region’s metallic production and exportation of chromite


concentrate of the Chomiteking, Inc. operated by Techiron, Inc. the
lone operating mines engaged in large-scale mining, for Calendar
Year 2018 increased compared to its production last year. Higher
tons of chromite ore milled,higher mill recovery and more
operating days were the indicated reasons for the said increase.
The production of the small scale mining declined due to the
expiration of two (2) small-scale mining contractors.

CY Production (Quantity) Value (in peso)


(MT)

2017 34,959.04 267,062,953.60

2018 51,484.83 376,540,747.20

Production of Metallic Minerals in Region VIII

The non-metallic production of Sand and Gravel increased due to the


increase of approved Sand and Gravel Industrial Permits (SGIP). By the
end of 2018, there were twenty (20) approved Sand and Gravel
Industrial Permits. The total volume of production of sand and gravel for
2018 increased to 180,423.46 cubic meters with the value of PhP
63,912,044.20 pesos, and a total volume of sales amounting to
170,343.56 cubic meters with the value of PhP 60,100,866.20 pesos.

CY Production (Quantity) Value (in peso)

MINERAL PROFILE EASTERN VISAYAS REGION 2018 9


(MT)

2018 180,423.46 63,912,049.20

Production of Non-Metallic Minerals

 EXPORTS

 For CY 2018, total chromite concentrate exported was


45,827.00 metric tons valued at 300,626,126.40 million.

Chromite Concentrate Exports, 2018


Country of Destination/ Quantity Exports Value
Name of Company MT Value (PhP) Value (US $)
CHINA
Chromiteking, Inc.
Chromiteking, Inc. 45,827.00 300,626,126.40 5,685,971.72
TOTAL

MINERAL PROFILE EASTERN VISAYAS REGION 2018 10


 EMPLOYMENT

For 2018, there are 860 personnel currently employed in both


operating metallic and non-metallic mines in the region. The
employment rate is lower compared to 2017 due to the expiration
of two (2) small-scale mining permits.

Mining EMPLOYMENT 2018


PROVINCE Contractor/Permit Holder Location
Tenements/Permit Female Male Total
Eastern Samar 110 566 676
Cambayas Mining Corporation. On May 2016, Homonhon Island,
Assigned to Chromiteking and Operated by MPSA-292-2009-VIII Guiuan, Eastern Samar
Techiron Resources, Inc. 69 342 411
Minahang Bayan of SSMC-01-2016-VIII Llorente, Eastern Samar
Waso Small Scale Mining SSMC-02-2016-VIII
Producers Association, SSMC-03-2016-VIII
Strong “K” Waso Miners SSMC-04-2016-VIII
Association,
Binalay Small Scale Mining
Producers Association,
Small Scale Mining Association
(VILABIN). 41 224 265
-
Samar -
-
Northern Samar -
-
Leyte 33 146 179
Various Sand and Gravel Permit Issued by MGB-
RO8 Leyte 29 140 169
Dulag, Mayorga,
MacArthur, Javier and
Strong Built (Mining) Development Corp. MPSA-254-2007-VIII Abuyog, Leyte 4 6 10
-
Southern Leyte 3 2 5
Various Sand and Gravel Permit Issued by MGB-
RO8 Southern, Leyte 3 2 5
Biliran -
-

TOTAL 146 714 860

*Employment data is based on the notarized Monthly Production, Sales and Employment Data
Report submitted by mining companies to the Mines and Geosciences Report under Chapter XXIX,
Section 270 of DAO No. 2010-21.

MINERAL PROFILE EASTERN VISAYAS REGION 2018 11


 TAXES AND EXTRACTION PAID
The amount of excise tax paid increased due to the implementation
of the TRAIN Law which imposes a 4% excise tax on metallic & non-
metallic resources.

ESTIMATED EXCISE TAX PAID FOR METALLIC MINERALS

CY Value (in peso) Estimated Excise Tax


(PhP)

2018 300,626,126.40 12,105,045.06 (4%excise


tax)

ESTIMATED EXCISE TAX PAID FOR NON-METALLIC MINERALS

CY Value (in peso) Estimated Excise Tax


(PhP)

2018 180,423.46 2,067,656.45 (4% excise


tax)

The estimated extraction fess also increased due to the increase in


production and increase in the approved sand gravel permits for
CY 2018.

ESTIMATED EXTRACTION FEES PAID FOR NON-METALLIC MINERALS

CY Volume of Production Estimated Extraction


Fees Paid (PhP)
MINERAL PROFILE EASTERN VISAYAS REGION 2018 12

2018 180,423.46 7,295,258.80


V. SOCIAL DEVELOPMENT AND MANAGEMENT

Total amount committed by the mining companies in the region for


the development of their host and neighboring communities
through their approved Social Development and Management
Program (SDMP) is PhP4,815,144.86. Around five (5) barangays
stand to benefit from the implementation of approved
community/social projects.

SDMP refers to the comprehensive 5-Year plan of the Contractor


authorized to conduct actual mining and milling operations
towards the sustained improvement in the living standards of the
host and neighboring communities by creating responsible, self-
reliant and resource-based communities capable of developing,
implementing and managing community development programs,
projects, and activities in a manner consistent with the principle of
people empowerment.
Summary of Approved 5-Year Social Development and
Management Programs (SDMP), By Region
Mining Company Commitment in
PhP (based on
2018 Annual
Approved SDMP)

MINERAL PROFILE EASTERN VISAYAS REGION 2018 13


Chromiteking Inc. – Techiron Resources Inc. 4,815,144.86
Total 4,815,144.86

SDMP OF CHROMITEKING INC. Operator: TECHIRON RESOURCES,


INC.

A. Livelihood Programs
 Charcoal Making
 Ginger Production
B. Health Program
 Medicines thru BHW
 Garbage Collection and Proper Waste Disposal
 Coastal Clean-up Campaign “Tabing Dagat Ko Linis Ko”
C. Human Resources & Development Programs
 Public Utilities
 Construction of Brgy. Pagbabangnan Bridge 1
 Construction of Brgy. Cagusuan covered court (partial)
 Repair and maintenance of roads and canals
 Repair of Canawayon Elementary School stage
 Construction of Cantilado spillway, Brgy. Pagbabangnan
 Services
 Maintenance of street lights
 Subsidy of diesel fuel for Brgy. Cagusuan
D. Educational Support Programs
 Scholarship
 Financial Assistance (3rd and 4th year High School)

MINERAL PROFILE EASTERN VISAYAS REGION 2018 14


 College Scholarship (3 Students)
 Summer Educational Program (SEP)
 Support Services
 Sasakyan Ko Kabubwason Mo (School Service)
 Financial Assistance (Graduation/Moving up Ceremonies)
E. Information, Education & Communication (IEC) Campaign
 IEC on Techiron as new operator
 IEC on forest fire
 Regular SDMP/ASDMP regular meetings
 Responsive mining campaign
 Quarterly publication
F. Mining Technology & Geosciences
 Project identification and prioritization/feasibility study
 Cooperative seminar
 Development of maps/technical data
 Development of technical database

MINERAL PROFILE EASTERN VISAYAS REGION 2018 15


VI. ENVIRONMENTAL PROTECTION AND MANAGEMENT

The total amount committed by the mining companies operating in


the province for the implementation of their approved
plans/programs/projects/activities under their Environmental
Protection and Enhancement Programs (EPEP) is P1,183,026.35.

EPEP refers to the comprehensive and strategic environmental


management plan for the life of the mining project on which
Annual EPEPs are based and implemented to achieve the
environmental management objectives, criteria and commitments
including protection and rehabilitation of the disturbed
environment.

The total amount committed by the mining companies operating in


the province for the Final Mine Rehabilitation and/or
Decommissioning Plans (FMR/DP) is P88,575,000. FMR/DP is an
integral component of the EPEP that specifically deals with mine
closure. While Final Mine Rehabilitation and/or Decommissioning
Fund is the financial mechanism established by a
Contractor/Operator to support the implementation of the
FMR/DP.
*Figures in both programs are not yet approved by the MGB-Central Office

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MINING FOREST PROGRAM

The total number of seedlings planted by mining companies in the


province is 171,420 in 143.3875 hectares of mined-out areas and
other areas as of end of December 2018.

Under the National Greening Programs, the mines sector has


committed to reforest 99.53 hectares from 2012-2013. As of
December 2018, a total of 143.3875 hectares were reforested.

MINERAL PROFILE EASTERN VISAYAS REGION 2018 17

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