Article 67p. 67

NATURAL RESOURCES AND ENVIRONMENTAL LAWS STATUTES and IMPLEMENTING RULES AND REGULATIONS

hundred

pesos

in

the

manner

prescribed

by

the

Regulations. In the event that no concession is granted

corresponding to such application, the sum paid shall be

returned

to

the

applicant

less

such

amount

as

corresponds

to

the

expenses

incurred

by

the

Government in connection with the consideration of the

application, as determined by the Regulations.

ARTICLE 35.Entry upon private property. — Right to enter

upon or to occupy private property in connection with

the Non-Exclusive Exploration Permit must be secured

from the owner or legal occupant thereof.

ARTICLE

36.Right

conveyed

under

Non-Exclusive

Exploration Permit. — Non-Exclusive Exploration Permit

issued under this Act conveys no right for the permittee

to make any exploratory drilling, nor carry any priority or

preferential right to the area it covers so as to entitle the

permittee

to

exclusive

Exploration

or

Exploitation

Concession, but is intended only to permit geological

and/or geophysical exploration, preparatory to making

application for exclusive Exploration Concession.

The permittee shall inform the Secretary of Agriculture

and

Natural

Resources

prior

to

undertaking

any

exploratory work as to the general nature of the work

proposed to be done, the size of the parties to be put in

the field, and the areas to be covered by such work. He

shall submit at the end of every six months a report on

the result of the geological and/or geophysical surveys

conducted by him.

ARTICLE 37.Term of Non-Exclusive Exploration Permit. —

The Non-Exclusive Exploration Permit shall be for a term

of not exceeding two years, renewable for another two

years, at the discretion of the Secretary of Agriculture

and Natural Resources.

CHAPTER IV Exploration Concession

ARTICLE

38.Definition

of

exploration.

—

The

term

"Exploration" means all work that have for their object

the discovery of petroleum, including, but not restricted

to, surveying and mapping, aerial photography, surface

geology,

geophysical

investigations,

testing

of

subsurface conditions by means of borings or structural

drillings, and all such auxiliary work as are useful in

connection with such operations.

Test wells drilled for exploratory purposes may be of such

size and type suitable for oil production, but the actual

production of petroleum is not included in the term

"Exploration,"

except

that

petroleum

found

during

exploration may be freely used by the concessionaire in

his operations for exploration purposes only with the

same concession: Provided, That petroleum may be

produced and marketed if necessary in the exercise of

sound petroleum engineering practices or produced and

marketed

from

wells

drilled

for

the

purpose

of

delineating a discovered petroleum deposit and only

after notice to the Secretary of Agriculture and Natural

Resources. When petroleum is produced and marketed

under such circumstances, the concessionaire shall pay

royalty to the Government in the same manner and form

as provided in this Act: Provided, however, That the right

to produce and market petroleum as authorized herein

may be terminated by the Secretary of Agriculture and

Natural Resources after a hearing and order to that

effect. (Amendments to R.A. No. 387 (Petroleum Act of

1949), Republic Act No. 3098, [June 17, 1961])

ARTICLE 39.Application for Exploration Concession. —

Application for Exploration Concession shall be filed with

the Director of Mines in accordance with the provisions

of article twenty-eight of this Act. The Regulations shall

prescribe

the

form and contents of application for

Exploration Concession.

ARTICLE 40.Map and technical descriptions. — A map of

the block desired to be explored shall accompany the

application for Exploration Concession. This map shall be

prepared in accordance with the Regulations, and shall

show the location of the block with regard to the

municipalities and province or provinces in which it is

located, the four corners of the block in case it is

rectangular, or the natural boundaries thereof in case

the block adjoins rivers, creeks, lakes, or shore lines, or

the extension or projections thereof into these bodies of

water in case the block is, in whole or in part, on

submerged lands.

The location of the block shall be plotted on Coast and

Geodetic Survey or Army base map, and shall show,

among others, the topographic features of the area. The

map shall be submitted together with the technical

description of the corner markings and the metes and

bounds or distances and bearings of the sides of the

block. The technical description and map shall also

indicate the bearings and distances of the tie line from

some

known

reference

location

monument to one

corner, preferably Number 1, of the block, in such a way

that the block desired can be plotted from such tie line

and descriptions on the Progress or Index Map of the

Bureau of Mines, where all areas applied for shall be

plotted to show the relative positions of such areas.

The

boundaries

of

the

block

desired

shall

be

well-established on the ground by placing permanent

and conspicuous monuments, posts or mounds of earth

on the corners, so that at any time, the block can be

identified, and later be tied to accurate surveys. The

bearings

and

distances

of

the

block

applied

for

exploration shall be sufficiently accurate so that the

approximate area of the block can be computed from

the given bearings and distances on the sides.

ARTICLE 41.Application fee for Exploration Concession. —

When an application for an Exploration Concession is

filed, the applicant shall pay an application fee of one

thousand

pesos

in

the

manner

prescribed

by

the

Regulations. In the event that no concession is granted

corresponding to such application, the sum paid shall be

returned

to

the

applicant

less

such

amount

as

corresponds

to

the

expenses

incurred

by

the

Government in connection with the consideration of the

application as determined by the Regulations.

ARTICLE 42.Areas available for Exploration Concessions.

— Exploration Concessions may be granted on any lands

within the Free, and National Reserve, Areas which are

not

covered

by

valid

and

existing

Exploration

or

Exploitation

Concessions,

or

by

Petroleum

Drilling

Leases acquired under the Petroleum Act (Act No. 2932),

or by petroleum mining claims located and held under

the Act of Congress of July first, nineteen hundred and

two, as amended.

ARTICLE 43.Size and shape of exploration blocks. —

Exploration concessions may be granted in lots or blocks

as compact as possible, and as closely rectangular as

possible in shape except when contiguous with the sea,

bays,

lakes,

rivers,

lagoons,

roads,

or

with

other

concessions

already

granted

which

are

of irregular

boundaries.

"Each block or lot shall not be more than one hundred

thousand

hectares

nor

less

than

twenty

thousand

hectares in area, and in no case shall the long dimension

of the rectangle be more than five times the short

dimension: Provided, That the Secretary of Agriculture

and Natural Resources may, upon hearing and order,

grant

exception

to

the

minimum

area

and

shape

provisions of this article when reasonably required by

© 2018 Compiled by RGL

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