J'sco Holdings Acquires Additional Development and Operation Rights for Nickel Mine Owned by Philippine Government

As global cathode material companies intensify efforts to secure nickel amid surging demand, JESCO Holdings is gaining momentum in the nickel ore business by acquiring additional nickel mines owned by the Philippine government.

On the 20th, JESCO Holdings announced that its local partner, EVMDC (EV Mining & Development Corporation), has obtained the development and operation rights for nickel mines owned by the state-owned company PMDC (PHILIPPINE MINING DEVELOPMENT CORPORATION) under the Philippine Department of Environment and Natural Resources (DENR).

JESCO Holdings has secured a total of 7,192 hectares of nickel mines in the Philippines, the world's second-largest nickel ore producer, including an existing 4,492 hectares. According to the contract, EVMDC agreed to oversee the development and operation of the mines in exchange for paying 20% of the post-tax mining revenue.

The newly acquired mines consist of three sectors, each approximately 900 hectares, totaling 2,700 hectares. Notably, a first-round sample drilling conducted prior to the main contract confirmed a high nickel content exceeding 1.8%, classified as high-grade nickel. Since this is a high-grade nickel area previously developed by the Philippine state-owned enterprise, EVMDC reportedly achieved the final contract after more than six months of lengthy negotiations.

JESCO Holdings plans to complete approvals this year and commence mining early next year. The mines are designated as Joint Operating Agreement (JOA) areas by PMDC, allowing additional drilling without the need for existing mining rights procedures or permits. Upon submitting an assay laboratory analysis report and drilling report to the Mines and Geosciences Bureau (MGB), along with a composition analysis of nickel content, reserves, and development plans, mining of nickel ore can begin immediately after approval.

This area is directly designated and owned by the Philippine government as a nickel mine, featuring high-purity nickel ore deposits. Additionally, a single port within the mining area allows barges to dock, providing an optimal location that eliminates the need for overland transport of nickel ore. This significantly reduces production costs and enables setting higher sales prices, making it expected to be more profitable compared to other nickel mines.

A company official stated, “EVMDC demonstrated strong will and capability to the Philippine government for nickel mine development, and with JESCO Holdings, which has 60 years of experience, participating as a major shareholder, the proactive development of the nickel mine had a positive effect.” The official added, “In August, when the second drilling begins, domestic and international battery manufacturers as well as smelting companies that demand nickel ore will be encouraged to conduct on-site visits in the Philippines.”