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Enumerate the three (3) kinds of Mineral Agreements (do not abbreviate)

Question

Enumerate the three (3) kinds of Mineral Agreements (do not abbreviate)

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  1. Mineral Production Sharing Agreement (MPSA): This is an agreement where the government shares in the production of the contractor, whether in kind or in value, as owner of the minerals. The contractor provides the financing, technology, management, and personnel necessary for the implementation of this agreement.

  2. Co-Production Agreement (CA): This is an agreement between the government and the contractor where both undertake to contribute to mining operations. The government contributes its share in the agreement through its mineral resources while the contractor provides the services and technology necessary for the mining operations.

  3. Joint Venture Agreement (JVA): This is an agreement where a joint-venture company is organized by the government and the contractor with both parties having equity shares. Aside from earnings in equity, the government is entitled under this agreement to a share in the gross output.

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