The 1987 Philippine Constitution places all mineral resources under the ownership of the State and mandates that its exploration, development, and utilization shall remain under the full control and supervision of the State.
In furtherance of this mandate, President Ferdinand R. Marcos Jr. issued Executive Order No. 122 (EO 122), entitled “Establishing a National Policy Framework for Developing the Critical Minerals Industry and Reorganizing the Mining Industry Coordinating Council for the Purpose” on August 18, 2026. The issuance responds to the urgent need for an integrated national policy framework that will strengthen the country’s critical minerals industry, considering that there are approximately nine (9) million hectares of land throughout the Philippines which may contain various mineral resources.
The State recognizes that critical mineral projects must be prioritized and regulated in accordance with the abovementioned Constitutional mandate. EO 122 defines critical minerals as those “essential to clean-energy transition technologies, advanced manufacturing, digital infrastructure, national defense, and other strategic industries necessary to promote industrialization, energy security, economic resilience, and sustainability”.
Under the framework established by EO 122, the Department of Environment and Natural Resources (DENR), through the Mines and Geosciences Bureau, is tasked in formulating and implementing a national exploration and mineral-reservation program. This includes conducting preliminary exploration to identify areas with high prospectivity for critical minerals and preparing the Philippine Critical Minerals List to determine the critical mineral resources available within the country.
A significant feature of EO 122 is the establishment of a streamlined and digitalized process for mining-related applications through a Virtual One-Stop-Shop, which aims to expedite the approval of pending applications and to provide an online platform for the issuance of government permits, licenses, and regulatory clearances related to mining projects.
Likewise, the DENR is mandated to strictly implement the “Use It or Lose It” policy which authorizes the cancellation of critical mining projects and impose appropriate sanctions when a specific project fails, without valid justification, to comply with approved project timelines, work programs, or other commitments. This measure is intended to maximize the efficient utilization and sustainable development of the country’s critical mineral resources.
The Department of Trade and Industry – Board of Investments (DTI-BOT) is directed to formulate and implement a comprehensive development strategy designed to attract investments in value-added mineral processing. To promote this objective, it is mandated to prioritize partnerships that promote responsible sourcing standards for critical minerals, consistent with environmental, social, and governance criteria established by the Mining Industry Coordinating Council (MICC).
EO 122 also effectively reorganizes the MICC. It is now composed of the Secretaries of the DENR and the Department of Finance as co-chairpersons, and the Executive Secretary of the Office of the President, the Chairperson of the National Commission on Indigenous Peoples, the President of the Union of Local Authorities of the Philippines, and the Secretaries of the Department of Justice, Department of Science and Technology, Department of Budget and Management, Department of Trade and Industry, Department of Economy, Planning, and Development, Department of the Interior and Local Government, and Department of Labor and Employment as members of the Council.
In addition to its functions under Executive Order No. 79, series of 2012, the MICC is tasked in advancing the development of the critical minerals industry. These functions include – a.) reviewing investment-related aspects of the industry and monitoring program implementation; b.) advising the President on timely and effective measures to overcome barriers on investment and industry growth; c.) formulating and adopting sourcing standards consistent with environmental, social, and governance criteria; and d.) evaluating the feasibility of establishing a national valuation framework to assess the economic, social, and cultural effects of critical mining activities, including their impact on free, prior, and informed consent negotiations.
At the same time, the State acknowledges the potential contribution of private-sector participation to the development of the critical minerals industry. Accordingly, EO 122 encourages the disposition and privatization of government-owned critical mineral mining assets.
In sum, EO 122 seeks to establish and promote a comprehensive national policy framework for the development of the critical minerals industry in the Philippines through coordinated action among other government agencies and the meaningful participation of private-sector stakeholders. Furthermore, it should be viewed as an instrument for the effective implementation of the State’s Constitutional mandate to control and supervise the exploration, development, and utilization of all mineral resources in the country for the benefit of the Filipino people.