Semirara Mining and Power Corporation (SMPC) is preparing an upgraded mining plan aimed at securing government approval for the renewal of its coal operating contract (COC) for the Semirara Island mine in Antique, as it moves to sustain production and long-term operations.
The company said it is finalizing what it described as its “best mining plan” to support its application for a new contract covering continued exploration, development and extraction activities in the area. The existing contract, which governs operations on the 55-square-kilometer Semirara Island, is set to expire in 2027.
SMPC President and Chief Operating Officer Maria Cristina Gotianun said the company is working to ensure that the proposed plan meets regulatory requirements while maintaining operational efficiency and environmental compliance.
The mining plan will be submitted to the Department of Energy (DOE), which oversees coal operating contracts in the Philippines. Approval is a critical step for SMPC to continue its role as the country’s largest coal producer, supplying fuel for domestic power generation.
Focus on sustainability and compliance
The company emphasized that its updated proposal will incorporate improved mining methodologies and environmental safeguards, reflecting evolving regulatory expectations and industry standards.
Gotianun said the company aims to balance production targets with responsible resource management, particularly as scrutiny increases on extractive industries’ environmental impact.
The Semirara mine has long been a key component of the Philippines’ energy mix, providing a significant share of the coal used in local power plants. As such, continuity of operations is viewed as important not only for the company but also for national energy security.
SMPC noted that its revised plan is designed to ensure safe and efficient mining while minimizing environmental risks. This includes ongoing rehabilitation efforts, waste management improvements, and adherence to government-mandated environmental protections.
Strategic importance of contract renewal
The renewal of the coal operating contract is central to SMPC’s long-term strategy, as it seeks to extend the life of its core asset and maintain stable production levels beyond 2027.
Without a renewed contract, the company would be unable to continue operations in Semirara, which accounts for the bulk of its mining activities. The mine’s output plays a significant role in supplying coal to the domestic market, particularly for baseload power generation.
Industry observers note that securing regulatory approval will depend on the robustness of the proposed mining plan, particularly in addressing environmental, safety and community considerations.
The DOE is expected to evaluate the plan based on technical, financial and environmental criteria before granting approval.
