Exploration, Location and Lease of Lands Containing Petroleum and Other Mineral Oils and Gas

August 31, 1920

ACT NO. 2932

AN ACT TO PROVIDE FOR THE EXPLORATION, LOCATION AND LEASE OF LANDS CONTAINING PETROLEUM AND OTHER MINERAL OILS AND GAS IN THE PHILIPPINE ISLANDS

SECTION 1. All public lands containing petroleum or other mineral oils and gas, on which no patent at the date this Act takes effect has been issued, are hereby withdrawn from sale and are declared to be free and open to exploration, location and lease by citizens of the Philippine Islands or of the United States and by associations and corporations wholly composed of citizens of the Philippine Islands or of the United States or both: Provided, however, That parties having heretofore filed claims for any lands containing said minerals shall be given preference to lease their respective claims provided they file a petition to that effect within six months from the date of the approval of this Act.

SECTION 2. All such lands may be leased by the Secretary of Agriculture and Natural Resources in the manner and subject to the rules prescribed by the Council of State; said lease shall be in blocks or tracts of not more than four hundred hectares for each individual, and not more than twelve hundred hectares for any association or corporation: Provided however, That at the discretion of the Secretary of Agriculture and Natural Resources, more than one lease may be granted to any one person, association, or corporation.

SECTION 3. Leases under the provisions of this Act shall be for a period of not more than five years each, subject to renewal on such terms and conditions as may be authorized by the Council of State, and no such lease shall be assigned or sublet except with the consent of the Secretary of Agriculture and Natural Resources, and in this case, only to such persons or associations of persons and corporations as have the qualifications required of lessees.

SECTION 4. The exploration and exploitation of deposits of petroleum and other mineral oils and gas located in private lands shall be made only by persons, associations, or corporations having the qualifications required of lessees and under such terms and conditions as may be prescribed by the Secretary of Agriculture and Natural Resources and approved by the Council of State: Provided, however, That any location, occupation or use by locators of any private land for the purpose of exploiting and working any mineral deposits pursuant to the provisions of this Act shall be conditioned on just compensation.

SECTION 5. When this Act shall have been approved by the President of the United States, as provided in section nine of the Act of Congress of August twenty-ninth, nineteen hundred and sixteen, such fact shall be made known by proclamation of the Governor-General of the Philippine Islands, and this Act shall take effect on the date of such proclamation.

Approved: August 31, 1920