PHL pitches nickel investors on need to diversify sourcing

THE PHILIPPINES is exploring new partnerships and pitching itself to potential investors as a nickel supplier that will help users diversify their supply chains, the Board of Investments (BoI) said.

Speaking at the recent Organisation for Economic Co-operation and Development (OECD) Critical Minerals Forum, Trade Undersecretary and BoI Managing Head Ceferino S. Rodolfo said critical minerals have been singled out as a strategic investment priority eligible for expedited permits.

“The country is actively working to expand its production processing and refining capabilities, while aligning its regulatory environment with international standards to attract high-quality, sustainable investment,” the BoI said in a statement on Tuesday.

“As global partners increasingly prioritize secure and diversified critical mineral supply chains, the Philippines represents a strategic opportunity to build resilient, responsible partnerships that deliver broad economic and social benefits,” the BoI said.

The Philippines is the biggest exporter of nickel ore/concentrate after Indonesia banned ore exports to focus on domestic processing to capture more value-added. Philippine nickel buyers are dominated by China, which sources over 80% of its nickel imports from the Philippines.

At a high-level ministerial panel at the OECD forum, Mr. Rodolfo noted that the Philippines is leveraging its position as a leading nickel supplier through policy, permitting, and processing projects. 

Mr. Rodolfo cited the passage of Republic Act No. 12253 or the Enhanced Fiscal Regime for Large-Scale Metallic Mining Act, which shortens the permit-approval process for mining projects to 11 months from 11 years previously.

He also cited the upcoming 1,618-hectare AI-native industrial hub in New Clark City in Tarlac, which seeks to support the global AI supply chain for critical minerals, semiconductors, and advanced manufacturing.

The BoI also noted gaps in identifying and developing potential projects in mining.

The Philippines welcomed the OECD’s and the Asian Development Bank’s interest to support early-stage exploration, project preparation, innovative sharing mechanisms, and surveying for available minerals, BoI said. 

Earlier this year, the Philippines and US signed a memorandum of understanding to develop the domestic critical minerals and rare earths industry. — Beatriz Marie D. Cruz