State-run pension fund Government Service Insurance System (GSIS) has invested P1.46 billion in mining firm Nickel Asia Corporation (NAC).
In a disclosure to the Philippine Stock Exchange, NAC said the GSIS investment involved a purchase of a total of 233.55 million common shares, done through a block sale approved by the PSE last April 12.
“GSIS’ investment in NAC shows that it is possible for a company to grow responsibly. Our commitment to sustainable development is something we take seriously, and we are happy to attract like-minded entities that believe in the value of responsible mining and renewable energy,” said NAC President and CEO Martin Antonio Zamora.
GSIS President and General Manager Wick Veloso said “GSIS continues to look for ways to lengthen its fund life through viable investment opportunities such as the successful vertically integrated mining ore production and processing businesses of NAC.”
“Our decision to invest in NAC supports the goal of safely growing our funds for our members’ benefit, while positioning strategically to aid both the Electric Vehicle industry and nation-building,” he added.
By 2025, NAC aims to achieve its twin goal of becoming a premier ESG investment in the country and becoming one of the top 25 companies in the Philippine Stock Exchange in terms of market capitalization.
NAC recently bagged the right to be the exclusive mining service contractor for two properties in Davao Oriental that have already been issued Mineral Production Sharing Agreements.
The firm disclosed to the PSE that Hallmark Mining Corporation and Austral-Asia Link Mining Corporation have accepted NAC’s Letter of Intent (LOI).
The LOI will make NAC or its wholly-owned subsidiary the sole and exclusive mining service contractor for Hallmark’s MPSA covering 4,999.71 hectares located in Mati and San Isidro, Davao Oriental.
It will also be the sole contractor for Austral-Asia’s MPSA covering 5,000 hectares located in Mati and Gov. Generoso, Davao Oriental.
“NAC’s commitments under the LOI are subject to NAC’s conduct of due diligence and exploration activities as well as the execution of definitive agreements among the parties,” the firm said.
It added that, “The LOI also permits the conduct of a feasibility study to determine the economic and technical viability for NAC to establish a High Pressure Acid Leach (HPAL) or equivalent mineral processing plant within the MPSA area.”