Maharlika to Support Kalinga Mining with Major Loan
MIC – The Maharlika Investment Corporation has announced a $76.4 million (P4.425 billion) loan to support a gold and copper mining project in Kalinga province. This funding will assist Makilala Mining Company, Inc. in launching early development activities for the Maalinao-Caigutan-Biyog (MCB) Copper-Gold Project in the Cordillera region.
The loan will be used for various project components, including conducting a feasibility study, constructing roads, and providing training for members of the Balatoc Indigenous Cultural Community. Additionally, the funds will help Makilala Mining meet financial requirements outlined in its Mineral Production Sharing Agreement with the Philippine government.
Before granting approval, MIC conducted a comprehensive evaluation of the project’s technical, financial, legal, environmental, and socio-economic aspects. According to MIC President and CEO Rafael D. Consing, Jr., the investment aligns with the organization’s mission to promote economic growth and sustainable development. He emphasized that the decision to support the MCB Project reflects a shared commitment to responsible and inclusive progress.
The loan agreement was signed in the presence of key figures, including Makilala Mining President Atty. Julito R. Sarmiento and Australian Ambassador to the Philippines HK Yu. Ambassador Yu expressed optimism about the investment, highlighting the collaboration between Australian and Filipino companies in revitalizing the Philippine mining sector. He viewed the project as a strong indication that the country remains open for business and investment.
The funding will be released in stages, with an initial $10 million allocated for immediate project implementation. The agreement also includes provisions ensuring MIC’s involvement in key management decisions to maintain oversight and accountability. Discussions are ongoing regarding potential additional funding for the MCB Project.
Apart from the mining sector, MIC has also revealed plans to invest in the country’s power grid operations. The corporation received its initial funding from the Philippines’ two largest state-owned banks, which the International Monetary Fund has suggested may now require recapitalization to maintain financial stability.