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 ANNEX “A” 

BOARD RESOLUTION 

AND 

SECRETARY’S CERTIFICATE


MINUTES OF THE SPECIAL MEETING
OF THE BOARD OF DIRECTORS OF
JOHSON GOLD MINING CORPORATION

A special meeting of the Board of Directors of JOHSON GOLD MINING
CORPORATION, a corporation duly registered under the laws of the Republic of the
Philippines at its main office at Unit # 12 Ameriza Complex, No. 37 President Avenue,
BF Homes, Parañaque City on May 28, 1999 at 10:00 o'clock in the morning.

All members of the Board of Directors being present, the President,
MR. ERNESTO C. GALILO, legally convened the meeting and declared the table
opened and ready to transact business.

Upon motion duly made and seconded, the following resolution were
unanimously approved and carried to with:

"WHEREAS, JOHSON GOLD MINING CORPORATION, will
enter a contract known as Mineral Production Sharing Agreement with the
Government, represented by Secretary of Department of Environment and
Natural Resources with office address at DENR Bldg; Visayas Avenue,
Diliman Quezon City."

NOW THEREFORE, it is hereby resolved. 

"RESOLVED, as it is hereby resolved that the PRESIDENT,
MR. ERNESTO C. GALILO, whose specimen signature appears below

ERNESTO C. GALILO -

is designated as the authorized signatory to sign all papers and documents
in behalf of JOHSON GOLD MINING CORPORATION in connection
with the aforesaid Mineral Production Sharing Agreement.

"RESOLVED finally that the Board's Corporate Secretary is
authorized to furnish the Secretary of Department of Environment and
Natural Resources a copy of this resolution."

There being no further business to be taken a, upon motion duly made and
seconded, the meeting was adjourned at 11:00 o'clock in the morning.

MA. TERESA C. BAUTISTA
Corporate Secretary




CERTIFICATION

That I, Ma. Theresa C. Bautista, of legal age, residing at 132 A. Chioco St., Phase
II, BF Homes, Parañaque City and presently the Corporate Secretary of JOHSON GOLD
MINING CORPORATION duly certify that the foregoing are the Minutes of the Special
Meeting of the Board of Directors of aforesaid corporation, and are true and correct of
my own knowledge.

MA. THERESA C. BAUTISTA
Affiant

REPUBLIC OF THE PHILIPPINES)
CITY OF PARAÑAQUE )S.S.

SUBSCRIBED AND SWORN to before me this day of June 1999 at
Parañaque City, affiant exhibiting to me her Community Tax Certificate No. 15411942 at
Parañaque City on January 7, 1999.

ORLINDA  ANGELA A. CASTRO

NOTARY PUBLIC

Doc. No. 246
Page No. 51 
Book No. 44
Series of 1999.


ANNEX “B”

LOCATION MAP


JOSE PANGANIBAN, CAMARINES NORTE SHEET 3562 IV

SCALE 1:50,000

JOHSON GOLD MINING CORP.
GAVINO LLV-NO.664

ERNESTO L. ESPIRITU
Geodetic Engineer

Reg. No. 0002175                
PTR No. 2229698X
Place Issued: 118198
Date Issued: PARACALE, CN


ANNEX “C”

THREE-YEAR WORK PROGRAM










THREE-YEAR-WORK PROGRAM

1.0 CORPORATE DATA

1.1 PROJECT NAME

1.2 JOHSON COLD MINING CORPORATION

Unit 12 Ameriza Complex, # 37 President Ave.
BF Homes, Parañaque City
Tel.no. 820-0527/ 825-8842
Fax no. 820-0539

1.3 CONTACT PERSON/ DESIGNATION
MR. ERNESTO C. GALILO - President

2.0 PROJECT DESCRIPTION

2.1 PROJECT DETAILS

2.1.1 Location: Sitio San Antonio, Luklukan Norte, Jose Panganiban,
Camarines Norte
2.1.2 Estimated Capital Cost: P23.0M
2.1.3 Commodity: Gold, Copper, Silver, Pb, Zn.
2.1.4 Present Status: Development
2.1.5 Description of Mining Method: Filled stepped-Face Overhand

2.1.5.1 Preparation - starting at farthest end of drift at the
farthest vein from shaft, two (2) compartment raises are
prepared for the initial cut in the stope. Subsequent
raises are advanced towards the x-cut at intervals of 9 m
or a total of 6 raises each heading. Ideally, these raises
are cribbed with ladder provision at the manway side
for access of mines to the stope. As both vein (generally
siliceous) and country rock (granodiorite) are generally
strong separated by distinct walls, the vein section is
blasted/extracted first and followed by the waste
portion. The ore is mucked into the chute and
subsequently broken waste is used to fill the open stope.
The faces are maintained in stepped pattern for
effective blasting of the ore and waste. In most
instances, broken ore can be immediately shoveled into
chute as the waste material next broken is just enough
to fill the stope and serves as platform for miners to
drill the next round. Raises are built up periodically to
maintain their tops at level with the filling. Sloping is
carried out close to the next level above leaving only a
thin pillar below the upper timbered level. Mining
progress upward to the next level after the 3-veins in
the lower most level are extracted. A 5-m wide shaft
pillar on both sides will be left behind.


2.1.7 Process Plant: CIL, 50 TPD

2.2 MINERAL RESERVES

2.2.1 & 2.2.2 Reserves Summary & Grade

SUMMARY OF ORE RESERVE/REGIONAL GEOLOGY:

The Sta. Ana and San Antonio area vein system lies at the western of the
Paracale Granodiorite intrusive emplaced upon an undifferentiated Jurassic
metamorphic sequence. For all practical purposes these two (2) lithologies are
the only important rock units in the district. 

This sequence occurs all around the Paracale, Jose Panganiban peninsula and
consist mostly of serpentinized periodotities and some minor talc and chlorite
schists. The ultramafic accounts for about 60% of the complex, and has been
completely altered into serpentinities. There has yet been no study done to
determine if this ultramafic body represent an opliolile series or not.

The talc and chlorite schists arebelieved to have been derived from the
diabasic components of the Early Miocene Universal Shale Formation, which
outcrops to the south of the granodiorite.

The Paracale granodiorite is an ovoid intrusive measuring some 12 kilometers
by 4 kilometers, it is emplaced in a west north west orientation with the
western end at the town of Jose Panganiban. It is composed mainly K-
feldspar, quartz and biotite. It has a generally uniform composition all
throughout.

The presence of a core and marginal phase, the elongation in a west-north
west direction together with the development of fractures perpendicular to this
axis of elongation has implied a certain mode of emplacement for the Paracale
granodiorite.

To account for the observed features of the stock, Gardner (1941) proposes a
mode of emplacement involving intrusion of the stock under an active
northest trending major stress axis. This will cause the stock to flow and be
elongated in response to this stress axis, and that is to flow in a west - nort
west direction. Wisser (1939) opines that the presence of the northeast
trending major stress axis is not necessary. He appeals to a passive influence
for the emplacement by suggesting that the stock flowed in the west-north
west direction because that is the path of least resistance - the schistocity of
the metamorphic complex being in that orientation.

The main vein systems:

The Sta. Ana and Sta. Ana East vein are gold bearing cross joints located near
the western contact of the stock. The major vein systems are:

1. Sta. Ana Main Vein
2. Sta. Ana East
3. Tacoma 3


In addition to the above three main veins, two secondary veins system were
also worked and these are:

1. Spokane vein
2. Turayog 4

Of these two secondary vein systems, Spokane vein was the most developed.
This vein system can be traced on strike for 600.0 m most of which is under
the metamorphic complex.

STA. ANA VEIN

                       Area(m2)   Width(m)   Sp.Gr.(t/m3)   Tons         Au g/t      %factor
Drill Ind.        9600           0.85           2.67                 21,787      7.4           100
Area-1           41,144        0.85           2.61                 28,013      7.4            30
Total                                                                             49,790      7.4

STA. ANA EAST SPLIT VEIN

                       Area(m2)   Width(m)   Sp.Gr.(t/m3)    Tons         G/t         % factor
Drill Ind.        17,596        0.77           2.67                 36,176      7.11       100
Area 1            98,676        0.77           2.67                 60,859      7.11       30
Total                                                                              97,035      7.11

2.2.2 Cut-off Grade, Gold: 5.00gm An / mt
2.2.3 Estimated Mine Life: 4-5 years @ 28,080 TPY
2.2.4 Potential for Additional Reserves: 96,000 mt.

2.3 ACCESS/ TRANSPORTATION

2.3.1 Road - Panganiban Is accessible from Manila via the Maharlika
Highway (South Road). Travel time is 8 hrs. by bus.
2.3.2 Air Access - Daet, Southeast of Panganiban is served by thrice
weekly PAL flights from Manila.
2.3.3 Shipping - ROM ore will be milled at minesite for gold
recovery. If necessary, copper and other metal by-products can
be shipped through the Fabrica pier near the town.

2.4 UTILITIES

2.4.1 Power Supply Requirements and Alternatives. Power will be
supplied by company-owned generating units. Alternate supply
if needed can be tapped from the Canoreco grid.

2.4.2 Water Supply Requirement and Alternatives. Water
impoundment will be constructed above the mine area while a
pipe line will be installed or possible buried going to working
area.

2.5 MINING AND MILLING EQUIPMENT
2.5.1 - 2.5.2 List of Mobile and Fixed Equipment for Development
Mining and Construction, Purchased.

2.5.1.3 (1) Unit Electric Hoist, 3.0 ton cap.
(1) Unit Engine Hoist, 2-ton cap.
2.5.1.4 (1) Unit Electric Welding Machine
2.5.1.5 (3) Units Electric Pumps, centrifugal, 35 m TDH, 30
gpm capacity.
2.5.1.6 (2) Units pneumatic pumps (welden, M4) 30 gpm
capacity.
(2) Units air pump, submersible (W-M8) 60gpm
capacity.
2.5.1.7 (6) Units jack hammers, Toyo, SIG PBL-24-K Brand 

2.5.3 List of Mobile and Fixed Equipment for Mineral Processing

2.5.3.1 Two (2) Units Ball Mills 
Two (2) Units Agitation Tanks
Two (2) Units GenSet, 200 KVA combined power
One (1) Unit Dual Crusher, 5 t/h capacity
One (1) Lot Conveyors/Fine Ore Bin
Four (4) Units Leaching Tanks, 8.0 m3 cap. each
Three(3) Units Air Compressors, 100 CFM each
One (1) Unit Carbon Stripping & Electrowinning Cell

2.6 WORKFORCE INFORMATION

2.6.1 Total Operational Workforce : 60 - 90 men, 16 support group
2.6.2 Staff Organization Workforce: 12
2.6.3 Housing Options                      : 7

2.7 DEVELOPMENT PROGRAM

2.7.1 State of Development: A shaft (#1) to date had attained about
depth 30 m where the Sta. Ana East Split vein had been
intercepted.'The second shaft site was selected and about to be
started.

2.7.2 Description of Planned Activities: The shaft locations were
selected 50 meters apart. They are more or less along the
direction of the Sta/Ana vein's strike. Portal of shaft-1 is at 160
m while shaft-2 collar is at 150 m. The former shaft is collared
at the hanging wall, side of Sta. Ana vein, the latter is at the
immediate foot well of the same vein. Both shafts will be
driven vertically to L-100 and consequently openings will
attain total depths of 94 m and 84 m respectively, normal depth
of sumps included. Subsequent cross- cuts will be driven
easterly and westerly emanating from the shafts and will be
driven to cut the closely- lying 3 parallel veins. Drift driving
along these veins follows northward and southward reckoned
from the x-cuts of the two shafts. Maximum drift length will be
at 60 m measured from the x-cuts or a combined length of 120
m. per drift or 360 m per level. Upon completion of the
uppermost set of x-cuts and levels, main openings (shafts) will
be deepened to the second level at "0" level. Same


will be undertaken. The deepest level thus attained (L-100) will
be prepared for stoping by laying-out development raises
centered 9 meters apart. A total of 13 raises are envisioned for
each drift (3) at this level. Levels will be 30 m apart.

2.7.3 Targeted Sites/Areas (Refer to Map)

2.7.4 Schedule of Activities and Cost Estimates:

2.7.4.1 Details of Planned Openings:
2.7.4.1.1 Vertical Shafts (entries) will be
2-compartment measuring 6'x4'(1.83x 1.23
m) with chute and manway compartment.

2.7.4.1.2 Mode of Advance
After the initial cut, 2 sequence drilling and
blasting will be followed such that a
provision for sump water is maintained at all
times. A combination of 14 slabbing and
trimming holes is envisioned for each round
of blasting. After mucking and hoisting of
the blasted material, shaft timbering follows
and carried out close to near bottom, only
leaving the sump portion untimbered
temporarily.

2.7.4.1.3 Estimated rate of advance
With the. above advancing sequence, it is
- estimated to attain a 2 m advance per day,
fully timbered section, with shaft lining, air
and water pipes. Tons waste / meter
advanced is 1.23 x 1.83 x 1 x 2.50 = 5.63
mt/m.

2.7.4.1.4 Cost Estimates.

2.7.4.1.4.1 1.Labor (Direct) - A hoistman, (1)
topman (dumper), 1 lead miner
(driller), 2 helpers (mucker), or a
total of 10-man crew per shift
complimented by a compressor
operator, a hoistman, a topman, a
framer and a pumpman. Sixty men in
2 shafts, 3 shift a day. Labor cost is
P358.5 / day or P982 per meter,
assuming shafts will be advanced
3.65m per day with 3-blasting
cycles.

2.7.4.1.4.2
Timber Supports:
Wall plates - (2) x 5" x 5" x 6', 25 Bd.Ft. or P312.50


Linning (-30) x1" x6" x3.28 49 Bd.Ft. or 612.50
FACTOR/m: 102bd.ft
P1.275.00/m

2.7.4.1.4.3
Explosives - 3 rounds of 14-15 holes per blast,
holes depth ranging 3-6',advance of 3.65 m/day.

Dynamite : 114 sticks @ 6.60/pc or P752.40
Anfo : 105 pcs. @. 2.11/pc or 221.55
O.B.C : 45 pcs. @ 7.00/pc or 315.00
Safety Fuse: 87m @ 7.50/m or 654.00
                                                     P1,942.95

FACTOR/m: P1942.95/3.65 or P 532.30/m

2.7.4.1.4.4
FOL
Compressor and Genset fuel consumption is
estimated @ 400 liter /day @ P8.75/l. If 2 shafts
are simultaneously driven then cost per meter on
fuel is P 479.45/m.

2.7.4.1.4.5
Aggregate total cost per meter in shaft sinking:
a. Labor- P 982.00/m
b. Lumber- 1,275/m
c. Explo - 532.3/m
d. FOL - 479,45/m
P3,268.75/m

2.7.4.2 Crosscuts and Levels (Drifts)

2.7.4.2.1 Dimensions: Crosscuts emanating from
shafts to serve as access to drifts will be 5 x
7" opening (1.52 x 2.13 m). Levels or Drifts
will also be of the above dimensions.

2.7.4.2.2 Mode of Advance: The vein at end of x-cut
farthest from shaft will be developed first,
throughout its entire length or 66 m each
reckoned southwards and northwards from
both crosscuts of each shaft. In as much as
veins (.3) ranging in thickness from 0.77 to
0.85 m will be drifted, the ore section will
be .blasted separately from the country rock
to avoid dilution of the ore. Fig. 5 & 6.

2.7.4.23 Estimated Rate of Advance: Crosscuts
maybe advanced faster say at 3 m/day as
these headings will be mostly in country
rock except in horizons where it intercepts
the veins. A minimum of twenty (20) - 6 ft
holes is planned for each round of blasting.

waste which is to be blasted after extracting
the ore portion. Rate of advance in drifting
due to 2 alternate blasting sequences will be
at 2 m/day.

2.7.4.2.4 Computation of incidental production and
waste tonnages development- Per round of
blasting, with holes depth of 5' 11", effective
advance will be 4.5' or 1.37 m. Ore tonnage
will thus be:
x1.37 (1.) x 1.83 (h) x 0.85 (ore thickness) x
2.67 = 6.0 mt or 4.15 mt/meter.
Waste tonnage per blast: 0.65 + 0.15 (2.13)x
                                                         2
1.37 x 25 = 3.0 mt or 2.2 mt/meter.
         6

Drifts and / or x-cuts -

2.7.4.2.5 Cost Estimates
a. Labor cost computed @ P558/m
assuming 2 drift headings are worked
simultaneously at any given time during
development.
b. Timber support - Considering that
headings will be supported, per meter
advance on heading requires; 4 pcs. 5"θ
x 7' round timber for side and top logs,
to wit:
Posts: 2 pcs. 5"θ x 7.5' x P25 or P56
Cap: 1 pc. 5" θ x 4.5' or P16.50
Girts: 2 pcs. 5" θ x 3.28’ or P29.00
Laggings: 26 pcs. 1" x 6" x 3.28 or 43
bd.ft.: @ 12.50/bd.ft. P537.50
Factor/m: 4 pcs 5" 0 x 7' & 43 bd.ft.of
Lumber amounting to P639.00/m.

c. Explosives - 2 rounds of 21 blast holes
per day to be able to advance a minimum
of 3 m/day.

Dyn: 84 sticks @ 6.60 or P554.40
Anfo: 168 pcs. @ 2.11 or   354.50
OBC: 42 pcs. @ 7.00 or      294
S.F: 51m @ 7.50 or             382.5
                                           P1,585.4/3
Factor: P528.45/m

d. FOL: 400 l/day x 8.50/l or P3500/day
FACTOR: P3500/ 6m advance in 2 drifts

or

P583.35/m

2.7.4.2.6 Aggregate Cost per meter in Drifts or x-cuts:
Labor: P558/m




P2,308.8/meter

2.8 PRODUCTION PROGRAM AND COST ESTIMATES

2.8.1 Slope raises with chute and manway - The first 2 meters of
each raise adjacent to the back of the drift will be advanced in
preparation to sloping. During actual production, each slope
raise will have an influence width of 9 meters along plane of
vein. As earlier mentioned under mining method, faces of slope
will be stepped-back for effective ore and waste breaking. To
establish this pattern, the farthest raise (# 1) is initially
advanced for 6 m ht., (# 2) for 4.5 m, (# 3) for 3 m and (# 4) for




1.5 m. The intervening ore between these raises is
consequently drilled and blasted to form the initial cut stoping
is likewise- carried out in the adjoining shaft, same vein
extension of the same level. This will result to 4 stope raises
per shaft or 8 slope raises in 2 shafts being worked
simultaneously per day.

Ore ranging in thickness from 0.77 - .85 m will be blasted
ahead of the country rock to avoid dilution and sorting. Broken
ore is shoveled unto chutes before blasting the waste portion.
Muck or waste will lie used for filling mined-out sections and
will serve as platform for miners.

In ore zone, interval of holes is 0.45 m. In a 9 m wide section,
60 holes per round is required. In rock, 20 holes.

Estimated advance of stope face is 1.52 m. Tonnage ore per
round is 0.60 x 9 x 1.52 x 2.67 (thick x length x depth x sp. gr.)
or 20 mt/blast. To attain a minimum stope width of 1.52 m,
after ore extraction, it is necessary to blast 0.67 m of rock.

Tonnage of waste is 0.67 x 9 x 1.52 x 2.5 or 22 nit per round.

Conservatively, a round in ore per day per shaft with 4 slope
raises each will produce 60 mt, in 2 shafts. One hundred twenty
(120) mt per day production is attainable.

2.8.2 Estimated period of extraction per vein (drift) per level: At L-
100 N & L-100 S, Sta. Ana vein, total tonnes ore is: 2 x 60 x
30 x 0.85 x 2. 67 or. 8170 mt. Period of extraction is 8170/120
or 3 months. At Sta. Ana East Split, tonnage is : 2 x 60 x 30 x
0.77 x 2.67 or 7,400mt. Period of extraction is 7400/112 or 3
months. At Sta. Alia West Split, same level total tons is same
as Sta. Ana East spill?life of 3.0 months.

2.8.2.1 Details of lumber requirement per meter of cribbed
raise.

Wall plates: (2) x (5) x 5" x 5" x 5' or 104 bd.ft.
End plates/Driders: (4) x (3) x 5" x 5" x 3.5' or 77.5
bd.ft.

@112 m/month advance (13 Raises x 26 m / 3 mos.)
FACTOR: 20,304 bd. ft./mo. 6.50 bd.ft. /mt. or P12.50


2.8.2.2 Required Manpower and labor cost during regular
mining, working 8 stope raises in 2 shafts, daily basis, 3
shifts:

3 shift bosses             @ P160 or P480
3 hoistmen                 @    135 or 405
3 topmen                    @    130 or 390
3 compressor optrs.  @    135 or 405
2 pump tenders         @    135 or 405
2 framers                    @     135 or 270
2 tractman/pipemen @     135 or 270
24 lead miners            @    145 or 3480
24 muckers                  @    130 or 3120
24 trammers               @     130 or 3120
Total 91 men                       P12,345/day.
                                               P320,970/mo.

2.8.2.2.1 Direct Labor Cost: P320,970/mo. or
P102.85/mt.
2.8.2.2.2 Explosives:
Forty holes per round in both. Ore and waste
section per raise x 8 raises or 320 holes.

Dyn: 320 x 2 = 640 sticks/ or 3. cases x P1550 = P4650
Anfo: 320 x 4 = 1280 pcs / or 6.4 sacks x P422.5 = 2704
OBC : 320 x 11= 320 pcs /or 3 boxes x P700 = 2100
SF : 320 x 2.44 m = 780 / or 1.5 rolls x 3750 = 5625
Total                                                                       P15,079
Cost: P15,079 / 120- P125.65 /mt.

2.8.2.2.3 FOL: 400 1/day x 8.75/l or P3500/day
P3500 / 120 = P29.15 /mt

2.8.2.2.4 Lumber for cribbed raises computed at
P81.35/mt (see details, 2.8.2.1)

2.8.2.2.5 Drill steel computed @ P14.50/mt
Total Mining Cost Per Ton (Ex-portal):

2.8.3 Labor Cost + Explosives + FOL + Timbers/Lumbers and
Others.

P102.85 + 125.65 + 29.15 + 81.35 + 14.50
or P353.50 /mt.

Add: Development Cost:
182 m of shaft @ 3,268.75 /m - P594,910
1840 m of x-cuts ft drifts @ P2,308.8 = P4,248,190
P 4,843,100 / 57,425 mt = P 84.35
                                                 60.17/mt

Aggregate Mining Cost: P353.50 + 84.35 or P437.85 /mt

Mining (19-36th mo.) : 15,526,252
This program, 3 yrs. : P23,723,300

Capital Equipment and Cost.

Factors and Costs used in this program

Phase: I Development 

Shaft                      Unit/Quantity               Cost/Unit       Cost/Meter
Lumber                 102 bd.ft                       12.50               P1,275
Explosives
a. dynamite          31 pcs                            6.60                 -
b. Anfo                  28 pcs                            2.11                 -
c. OBC                   12 pcs                            7.00                 -
d. SF                      24 m                               7.50                532.30
e. FOL                   571                                  8.75                479.45

Drift X-cut                                                                            Cost/Meter

Lumber                 4 pcs.5 ft θ x 7ft            12.50             101.50
                               43 bd.ft                          12.50             537.50
Explosives
a. dynamite          28                                    6.60                -
b. Anfo                  56                                    2.11                -
c. OBC                   14                                    7.00                -
d. SF                      17                                    7.50                528.45
e. FOL                    67                                   8.75                583.35

II Mining

Stope Raise (cribbed)                                                         Cost/mt

Lumber                  81.35                            6.50                 12.50
Explosives                                                                            125.65
FOL                         -                                    -                         29.15
Direct Labor          -                                    -                        102.85
Others 14.50
Total                                                                                      P353.50

Unit Cost

ITEM: FOL             ADO (1750/drum)                                 8.75/mt
Rd. Timber           5"0 x 7.5                                                  25 / pc
Lumber                 bd.ft                                                        12.50/bd.ft. 

Explosives:
Power Gel             (25kg/cs) 235                P1550/cs         6.60/bd.ft.
Anfo                       (25kg/bag) 125grm/pc P422.50/bag   2.11/pc
OBC                        (100pcs./box) 7.00/pc P700/box         7.00/pc
SF                            (500 m/roll)7.50/m P3750/roll             7.50/m


Prepared by:

VICENTE R. ANDAL
Reg. Mining Engineer
PRC Lic. # 000840



Certified by:                       Endorsed by:

ANTONETO C. TREMEDAL            ERNESTO C. GALILO
Project Superintendent                President

 PLATE No.3



+ I00 L

"0" LEVEL

L - 1OO



LONGITUDINAL SECTION


LOOKING NW
Scale 1:2000




+ 100 L
"0" LEVEL
L-100

VERTICAL SECTION A-B
LOOKING NE
Scale 2:2000


SHAFT-2

+100 L

"0" Level

-100 Level


VERTICAL SECTION X Y
LOOKING NE 


DETAIL ON S 

Scale 1:100 


ANNEX “D”

ENVIRONMENTAL COMPLIANCE

CERTIFICATE (ECC)




14-09-99 10:40

Republic or tins Philippines 
DEPARTMENT OF ENVIRONMENT
AND NATURAL RESOURCES
Region V
Rawis, Legazpi City

ENVIRONMENTAL COMPLIANCE CERTIFICATE 
(9908-045-2110)

The Environmental Management & Protected Areas Services (EMPAS) of the Department
of Environment and National Resources (DENR), Region V hereby grants this Environmental
Compliance Certificate (ECC) to the Proposed Initial Mining Development Project of
Johson Gold Mining Corporation located at Barangay, Luklukan Norte. Jose Panganiban,
Camarines Norte after complying with EIA requirements as prescribed in the promulgated
guidelines Implementing Presidential Decree No. 1583.

This Certificate is being issued subject to the following conditions:

1. That this Certificate is valid only for the Proposed Initial Mining Development Project 
covering an area of 9.0 hectares located at Barangay Luklukan Norte, Jose Panganiban,                               Camarines Norte;

2 That fast growing tree species shall be planted in appropriate vacant spaces within the project
area; 

3. That an effective appropriate garbage/solid waste management system shall be effected
within the project area.

4. That an adequate drainage system shall be provided along the perimeter of the project area in
order to prevent flow of sediments to nearby water systems;

5. That appropriate slope stabilization measures/rip-rapping shall Lie instituted to prevent evil
erosion along the sloppy areas;

6. That a contingency plan shall be submitted to this Office within sixty (60) days upon Issuance
of this Certificate;

7. That an abandonment and rehabilitation plan of mined-out areas in the project area shall be
submitted to this Office within sixty (60) days upon issuance of this Certificate;

8. That no existing vegetation shall be removed from the project area without the necessary
permits/clearances Secured from concerned government agencies;

9. That all mitigating measures described in the Initial Environmental Examination shall be strictly
effected and implemented;

10. That should any damage to life or property resulting from the project extraction, the proponent
shall pay Just and reasonable compensation to aggrieved parties;

11. That an ECC Billboard, with, dimensions of at least 2 feet X 4 feet, shall be installed at all
entry/exit points and at all perimeters of the project site facing public thoroughfares and proof
of compliance shall be submitted to DENR-EMPAS V within ninety (90) days from receipt of


13. that clearances/permits/licenses expressly required by other government
agencies/instrumentalities must be secured/complied with before the implementation of the
project;

14. That transfer of ownership of this project carries the same conditions in this ECC for which
Written notification shall be made by herein granted to this Office within fifteen (15) days from
such transfer,

Non compliance with any of the above stipulations will be sufficient cause for the suspension or
cancellation of this ECC and or a fine in the amount not to exceed Fifty Thousand Pesos (P 
50,000.00) for every violation thereof, at the discretion of this Office (Section 9 of P O. No. 1586)

Given this 25th day of August 1999.

THIS CERTIFICATE SHALL NOT BE CONSTRUED AS A PERMIT

CONFORME:                                                                                                               

ERNESTO C. GALILO

Proponent

RECOMMENDING APPROVAL                          APPROVED BY:

POBLEO M. I LORECE                                        OSCAR M. HAMADA
Regional Technical Director                             Regional Executive Director

Filing Fee                      :  P310.00
Processing Fee            : 1,750.00
Legal & Research Fee :      70.00
O.R. No. / Date            : 9369779/5-20-99

cc: EMU Manila
PENRO Cam. Norte
CENRO Daet
File

C:\ecc\johson gold mining corporation\ed\