Philex Mining Corporation, one of the oldest and largest copper and gold producers in Southeast Asia, is looking at expanding its Padcal mine in Benguet by investing in Macawiwili Gold Mining and Development Co., Inc.

In a disclosure to the Philippine Stock Exchange, Philex said it recently set into motion its plans for expansion with the signing of a Term Sheet with Macawiwili.

MGMDCI is a 90-year old company engaged in mineral exploration and production in Itogon, Benguet with over 800 hectares of contract area under its Mineral Production Sharing Agreement (MPSA).

Philex said Macawiwili has been exploring various mineral deposits, including gold and copper, for several decades.

“The Term Sheet outlines the parties’ clear intentions to explore commercial, financial, and technical avenues in preparation for possible shares acquisition by the Company in MGMDCI,” said Philex.

Activities to kick off this partnership will include conduct of due diligence and scout drilling activities on the property of MGMDCI covered by MPSA in Itogon, Benguet Province., located adjacent to the existing Padcal Mine of Philex.

“This is a good addition or extension to the Padcal Mine. I hope that this is the start of something good and that it would ride the wave of higher metal prices in gold and copper,” Philex Chairman Manuel V. Pangilinan.

He noted that, “any addition, expansion, or extension to the Padcal Mine would greatly benefit not just our employees and their families, but also our host and neighboring communities, and our nation as a whole.”

“Our interest to pursue investments in the Macawiwili property is part of our business direction for this year to broaden interest in ‘green metals’ through mergers and acquisitions,” said Philex President and CEO Eulalio B. Austin, Jr.

He added that, “We need to hit the ground with this at the soonest possible time considering that this property is adjacent to our Padcal mine and would go a long way in fulfilling company plans for expansion and extension of the life-of-mine of Padcal.”