Transfer of Tax Exemption Privileges of Marinduque Mining & Industrial Corp. to the Nonoc Mining & Industrial Corp.

February 12, 1985

LETTER OF INSTRUCTIONS NO. 1447

 

WHEREAS, the mortgaged assets of Marinduque Mining & Industrial Corporation (MMIC) were jointly foreclosed by the Philippine National Bank and the Development Bank of the Philippines for the satisfaction of MMIC's matured and outstanding obligations in favor of the said government banks;

WHEREAS, both government banks have conveyed their respective title to, participation and interest in, and rights over, the foreclosed nickel mining refinery plant located at Nonoc Island, Surigao del Norte, to Nonoc Mining and Industrial Corporation which was organized by these banks to hold and operate the said nickel mining refinery facilities;

WHEREAS, previous to the foreclosure, MMIC was granted certain tax privileges under Republic Act No. 1828, as amended by the Presidential Decree No. 1887, over the nickel mining facilities at the Surigao Mineral Reservation at Nonoc Island, Surigao del Norte;

WHEREAS, Nonoc Mining and Industrial Corporation will operate the foreclosed MMIC assets in the above-mentioned area for the Philippine National Bank and the Development Bank of the Philippines;

WHEREAS, considering the extremely unfavorable and difficult position of the metal market, it is imperative that the tax privileges previously enjoyed by MMIC be transferred and granted to Nonoc Mining & Industrial Corporation.

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers vested in me by the Constitution and by law, do hereby order and direct that:

1. The tax privileges previously enjoyed by Marinduque Mining and Industrial Corporation and under Section 6, paragraph 1, of Republic Act No. 1828, as amended by Presidential Decree No. 1887, are hereby transferred to Nonoc Mining and Industrial Corporation. Pursuant to such tax exemption, the following shall henceforth be made applicable to Nonoc Mining and Industrial Corporation:

(a) Ministry of Finance letter dated June 30, 1983 exempting the Surigao Nickel Refinery from payment of the 3% ad valorem tax and under PD No. 860; aDSIHc

(b) Bureau of Customs Memorandum Order dated April 11, 1984 authorizing the sale of petroleum to Nickel Mining and Refinery Operations duty free;

2. All rights and privileges that are granted to an operator of the Surigao Mineral Reservation under Section 3 of Republic Act No. 1828, as amended, are hereby granted to Nonoc Mining and Industrial Corporation.

3. This Letter of Instructions shall take effect immediately.

DONE in the City of Manila, Philippines, this 12th day of February, in the year of Our Lord, nineteen hundred and eighty-five.