Lepanto Consolidated Mining Company and its subsidiary Far Southeast Gold Resources, Inc. (FSGRI) have signed an important agreement with the indigenous peoples (IPs) living in Mankayan, Benguet. This agreement, announced on July 30, 2026, allows the mining companies to renew their mining permit called MPSA 001-90-CAR.
What is This Agreement About?
Think of it like asking permission from the original owners of the land before you can continue working there. The indigenous peoples who have lived in Mankayan for generations need to give their “okay” – which is called Free and Prior Informed Consent (FPIC) – before Lepanto can renew its mining permit.
On July 30, 2026, both parties signed a Memorandum of Agreement (MOA), which is like a formal promise between the mining company and the indigenous communities. However, this agreement will only become official once the National Commission on Indigenous Peoples (NCIP) – the government office that protects indigenous peoples’ rights – issues a special document called a Certification Precondition.
How Long Will This Agreement Last?
The MOA will last for 25 years. According to the press release, this long period was agreed upon because Lepanto and the indigenous peoples have had a good relationship for many years, and because the Far Southeast Project will take a long time to develop.
What Do the Indigenous Peoples Get?
In exchange for allowing the mining operations to continue, the indigenous communities will receive:
- Monthly payments: The indigenous peoples will get 1% of the gross output (total production) from the mining operations every month. This is called a royalty payment.
- One-time payment: A total of ₱110 million will be given for various projects, including building an IP (Indigenous Peoples) building.
What Happens Next?
The signed MOA will be submitted to the NCIP for approval. Once approved, the NCIP will issue a Certification Precondition, which will then be submitted to the Mines and Geosciences Bureau (MGB) so that MPSA 001 can be officially renewed.
Who Signed the Agreement?
From Lepanto’s side, the agreement was signed by Knestor Jose Y. Godino (VP for HR, Training and Administration) and Charisma S. Pascua (Finance Group Manager). FSGRI was represented by VP Pablo T. Ayson Jr. and Assistant Corporate Secretary Odette A. Javier.
The indigenous communities were represented by their Chief Spokespersons: Cesar R. Pasiwen (current Municipal Mayor of Mankayan) and Frenzel A. Ayong (former Mayor), along with elected elders and leaders from all 12 barangays of Mankayan.
The signing was witnessed by other local government officials from Mankayan, the NCIP-FPIC team led by Engr. Alan Alatis, and MGB-CAR officials led by Engr. Virginia Briones.
About Lepanto Consolidated Mining Company
Lepanto Consolidated Mining Company is one of the Philippines’ established mining companies. Far Southeast Gold Resources, Inc. (FSGRI) is a subsidiary of Lepanto, meaning Lepanto owns and controls FSGRI. The company operates in Mankayan, Benguet, and this agreement is crucial for continuing their mining operations in the area.
Source Note:This article is based on the company’s official press release and disclosures filed with the Philippine Stock Exchange’s Electronic Disclosure Generation Technology (PSE EDGE) system. For the complete and official version of the announcement, readers may visit the PSE EDGE website and search for the company’s filing directly.
