Nickel Asia Corporation (NAC) has secured additional operating rights in Zambales after its wholly owned subsidiary, Samar Nickel Mining Resources Corporation (Samar Nickel), entered into an Operating Agreement with San Juanico Resources Corp. covering a 3,432-hectare mineral area in the province.
In a disclosure to the Philippine Stock Exchange, NAC said the agreement grants Samar Nickel the right to operate San Juanico’s mineral claim holdings under Mineral Production Sharing Agreement (MPSA) No. 265-2008-III, which covers approximately 3,432.0731 hectares located in the municipalities of Candelaria and Sta. Cruz, Zambales.
The company said the operating agreement remains subject to approval by the Mines and Geosciences Bureau (MGB) and will take effect only upon the agency’s approval.
According to NAC, the contract area is believed to contain nickel ore and other associated minerals that may be extracted under the MPSA.
An MPSA is a mining agreement that allows a contractor to explore, develop, and utilize mineral resources within a designated area while sharing production with the government.
The transaction expands Samar Nickel’s access to prospective nickel-bearing areas in Zambales, one of the country’s established nickel-producing provinces.
NAC did not disclose details regarding potential resources, planned investments, or a timeline for development, noting only that the agreement will be submitted to the MGB for review and approval.
Nickel Asia is one of the Philippines’ largest nickel mining companies and supplies ore to both domestic and international markets. Through its mining subsidiaries, the company operates several nickel mines across the country and continues to pursue opportunities to strengthen its resource base.
With global demand for nickel expected to remain strong, how could the addition of new operating areas strengthen Nickel Asia’s long-term resource pipeline and production outlook?
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