The landmark Philippine Mining Act of 1995 has helped drive foreign direct investment into the country due to its provisions on low corporate tax rates and supportive, mining-friendly legislations.  Owing to this, foreign direct investments for the country reached $8.9 billion in 2024 (PSA, 2024).

To date, revenues from mining projects and associated activities contribute to improving the quality of life of host communities, helping create thriving downstream industries and contribute to the national GDP. It is estimated that legitimate Large-scale has generated over US$7 billion in mineral exports for the country (MGB, 2023).  St. Augustine’s Kingking Copper-Gold Project is one of the Philippine Government’s top priority projects that is primed for development in the medium term.

With the 25.9% of the families in Davao de Oro living below the poverty threshold of $1.48 per person per day (PSA, 2021), St. Augustine provides a vast opportunity to make Kingking a catalyst for sustainable development of both indigenous and non-tribal communities in the area.

Under the Philippine Mining Act, mining companies are required to earmark 1.5% of their Operating Expenses for Social Development and Management Programs (SDMP) – essentially an investment into the local community’s education, employment, health care and overall sustainability.  On the national level, cumulative SDMP contributions of the mining industry have reached over US$564 million as of 2024 (MGB Primer, 2024). Through continued investments in Mindanao, companies like St. Augustine are able to contribute to the socio-economic development of local communities, effectively paving the way for enhancing their way of life.

Since the ratification of the Mining Act, the Philippine extractive industry has helped stimulate the nation’s economy.  In 2022, the administration of President Ferdinand Marcos, Jr. heeded the call of business groups and turned to mining that could help ensure a sustainable recovery of the Philippine economy from the disruptions of the COVID-19 pandemic and the threat of a global economic slowdown. The benefit of mobilizing investments for mine development has been underscored by the Department of Finance, assuring the Marcos administration’s commitment to continue creating an enabling environment for mining activities.

More than ever, responsible mining plays a critical role in the Philippines’ economic growth by providing employment, generating revenue through taxes and royalties, and spurring development in remote areas.  The industry’s contribution extends to infrastructure development and the promotion of local businesses.

And as the world embarks on a clean energy transition, the country’s extractives industry takes centerstage in the global shift from traditional energy sources that contribute to carbon emissions and climate change, to cleaner renewable energy generation that utilizes critical minerals like nickel, copper, cobalt – even precious metals like gold and silver.

This transition is a key element in addressing the challenge of climate change and moving towards a more sustainable and environmentally friendly energy system that covers mobility, domestic power requirements and the world’s industrial power needs.

It now becomes St. Augustine’s impetus to bring the Kingking Copper-Gold Project upon the threshold of the world’s clean energy transition.