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Philippines Asia's Best-Kept Secret

With a growing economy, the South East Asian country proves once again it has got what it takes to compete with the big players. The beautiful Philippines is performing well. For two years, growth has been strong on the back of a strong service sector and a government committed to internationalization. But the real evidence that the Philippines means business came last summer when ratings agency Fitch upgraded the archipelago of 92.2 million people from BB status to BB+, with a statement that acknowledged the progress made “on fiscal consolidation against a track-record of macro-stability, broadly favorable economic prospects and strengthening external finances.” The vote of confidence came hot on the heels of a government that, just 11 months into office, had shown an unprecedented commitment to revenue collection and fighting corruption. The Aquino administration, elected June 2010, use the slogan “If no one is corrupt, no one will be poor” as the guiding force in making the Philippines the place to invest. Ramon A. Carandang, Secretary of Presidential Communications Development and Strategic Planning Office explains how important this is to a government that wants to attract 17.3 billion dollars of investment in the mining sector over the next four years. “There are two aspects to eliminating corruption: the first is preventing it, the second is holding people to account. We are a relatively small government, we do not have a lot of resources. We have been experiencing a decade of almost uninterrupted growth, but paradoxically it has also come with greater gaps between the rich and poor, which is why we are now spending government money on social services. We have made significant in-roads in health care and education. We also have a conditional cash transfer program, for the poorest families. This is

a long-term program and stamping out corruption is a big part of it. All our departments have gone back and looked at what corrupt practices were being engaged in. We have developed and expect to file cases from the previous administration to signal that it will be punished, and we have already had some success. “We are also creating more clarity in busi- Manuel V. Pangilinan, ness registration. For real estate transactions, a Chairman, developer used to need something like 150 sig- Philex Mining natures to build a condominium. There were procedures that could take days that now just take a few minutes. We have now put business registrations online, so it takes less than a day to register a business. “What we are trying to do is entice the public sector to come in and take the burden of building infrastructure. We are trying to create an environment where the businesses can come in, where rules are clear and where laws are enforced. The private sector will be the engine of growth. The government is creating a level playing field, but the private sector must come in and intervene to create programs that ensure the growth of the economy.” For Ramon J.P. Paje, Secretary of Environment and Natural Resources, the fact that the Philippines’ is one of the most democratic countries in Asia stands it in good stead for investment, especially in the mining sector. “The big investors know this, they know that democracy has its own value and that as a democratic country, there are people protecting the environment. The real mining investors do not want to dirty the environment. They come because they know they can comply with the regulations. We have a vibrant industry that is recognized by the international community. “At the moment, small-scale mining is a very big challenge. It is producing even more gold than large-scale mining, but

THE PHILIPPINES’ LEADING NICKEL MINING AND PROCESSING COMPANIES NAC and CBNC are growth and bioharmony-oriented companies focused on nickel resources in the Philippines.

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SPECIAL ADVERTISING SECTION somehow we have to regulate it. Last year, the President also introduced the National Greening program declaring a total logging ban in the natural forests. The impact of this program on the mining industry will be that for every tree they cut down, they must replace it with one hundred seedlings, and they are not complaining.” Paje and his team have also introduced a scheme to clean up the rivers. “As we speak, there are 208 corporations adopting our rivers. Investors do not spend money on such schemes if they do not believe in the leadership. We have also lowered the air pollution level; when we came in, pollution was around 160 micro-rounds per normal cubic meter. The global standard is 90. We have managed to get it down to 116, just by apprehending the private emission testing centers that were handing out certificates without testing.” In October 2011, the Department of Environment and Natural Resources lifted its moratorium on mining permits and approved the renewal of ten exploration projects worth more than P426 million. The move followed the cancellation of more than 1,600 permits for pending or inactive projects. As the steward of the country’s mineral resources, the Philippines Mines and Geosciences Bureau (MGB) is committed to the promotion of sustainable mineral resources development. It recognizes that the development of a responsive policy framework in partnership with stakeholders to govern mineral exploration, mining and investment decisions and an effective institutional structure are fundamental requisites for the sustainable utilization of the country’s mineral resources. Leo L. Jasareno, acting director of the MGB, says: “We envision a minerals industry that is not only prosperous but also

socially, economically and environmentally sustainable, with broad community and political support.” It is also aiming to be the leading geoscience and geo-resources Bureau serving the public and nation with scientific reliability. The news that South African mining comJon Steen pany Gold Fields Ltd., the world’s fourth Petersen, President & CEO, largest gold producer could invest up to $2 bilIntex Resources lion to develop gold and copper prospect in the Philippines is, Jasareno believes, proof that the new regime is working. Huge mining potential For local mining company Philex Mining Corporation, the potential in mining is huge. “We have to install an enabling environment that will attract both domestic and foreign investors to come to the industry and open up new mines or old ones. Given the current prices, particularly of gold and copper being so high, old mines can be opened up as well, taking advantage of the leftover infrastructure," says Manuel V. Pangilinan, chairman of Philex Mining. "If the government wants to achieve its investment goal for 2016, there is no time to lose.” For Philex, now part of the First Pacific Group, expansion is a priority. “With respect to the existing mining in Baguio and Padcal, our main aim is to extend the mine-life beyond the stated year of 2017. It seems there is a decent chance we can extend it to two or three years, so there has been a vigorous effort in exploring for additional resources within the existing mining. We are looking at new mines, principally Northern Mind-

Investing in services, investing in the Philippines With our investments in infrastructure and partnership with government, we are building a strong foundation and working hard to meet the demands of a fast-growing country by raising basic services in energy distribution and production, clean water provision, sewerage, toll roads and health care to the next level.

Metro Pacific Investment Corporation Manila, Philippines. www.mpic.com.ph

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SPECIAL ADVERTISING SECTION anao, Surigao del Norte and our focus has been to look at ideal combinations of gold and copper." The company takes its corporate social responsibility extremely seriously. “Philex has been around for more than 50 years. We want to replicate our experience in Padcal: there is a self-contained community where we have provided housing to 14,000 people. The workers stay and live there, the children’s education is fully-subsidized up to high school and we provide employment, housing and medical care," Pangilinan says. "We also protect the environment; we plant trees, we make sure environments are not degraded and that the water supply and electricity are all environmentally friendly to the mine. When we thought the mine life might only extend to 2017, we started to plan how we could convert the livelihoods of the people who would elect to stay in the area, maybe in agriculture or fishing in the mountain; now we have more time. "What we call responsible mining is not just coming to extract the resources and when it is more or less exhausted you say goodbye to both the environment and the people. In Philex, we are long-term committed on both.”

Responsible mining means being committed to the environment and the people. Manuel V. Pangilinan, Chairman, Philex Mining

The company is also doing much to encourage entrepreneurialism. In 2009, it launched its Community Business Technology Centers (CBTCs) which aim to uplift employees, their families and neighboring communities to self-reliance. “We recognize that sustainable community-based business ventures and enterprises are critical factors in achieving this vision. The CBTCs aim is to help families become economically productive and able to send their children to good schools, build their own homes, support their health and leisure requirements among their basic needs.” Livestock, coffee, meat processing and aquaculture CBTCs are already in operation. “I would hate to see this country go back to the stone-age

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because we are afraid to touch the environment. Gold and silver are not produced chemically, they come out of the ground. When you build with cement, steel and aluminum, those are also extracted from the ground. "We have to be able to export our resources sensibly and responsibly and at the same time, David Rizzo, Pres. Asia Pacific protect the environment. That is what we would Teleperformance like our legacy to be.” Intex Resources is a diversified mineral exploration company based in Oslo. Dedicated to the responsible development of natural resoruces, Intex is listed on the Oslo Stock Exchange and is well financed and debt free. Its main asset is the worldclass Mindoro Nickel project in the Philippines. "We have done the design, we have defined the resources and seen the opportunity: what we need now are two types of partner, a major Filipino one, and a technical partner, someone who has built this type of mine before," says Jon Steen Petersen, president and CEO of Intex Resources. "Our philosophy is to put nature back into an estate, so that it can be reused for other projects once the mining is finished. We look at the whole context; we try to integrate all stages; which products should be waste products if not needed. "We believe we have the lowest carbon footprint of any mining project worldwide because we have utilized all the possibilities. Mining has become a social task more than a technical one. We provide sustainable job opportunities, which means 20,000 will have a job for as long as this operation lasts." Meanwhile Nickel Asia Corporation, the Philippines' largest producer of lateritice nickel ore and one of the largest in the world, has a long operating history, starting in 1977 with the sale of ore from its Rio Tuba mine. Since then, it has expanded to four operating mines and had sold a total of 60 million tonnes of ore up to 2010. "Coral Bay is world-class plant that has reached capacity and operates very efficiently, to the credit of the shareholders and owners of Nickel Asia Sumitomo Mining," says Gerard H. Brimo, president and CEO. "We want to diversify into gold and copper mining as there are a lot of opportunities for these metals. Sumitomo, also in gold and copper, will join us on this. It is a very exciting time."

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SPECIAL ADVERTISING SECTION

Promoting diversification A widespread privatization drive has meant change for many of the country’s state-owned companies and a growing sense of entrepreneurship across all sectors. For the National Power Corporation (NPC), an entity that used to be in charge of energy production for the whole country, NPC is now charged with the development and electrification of the island grid areas, and development of renewable fuels. Froilan A. Tampinco, Ceso IV, the president, takes up the story: “The major concerns of the industry now are the capacity build up, reinforcement of its transmission network and the usual issue of the price of electricity, he says. "With the private sector also involved in the transmission network, we expect the infrastructure to further Jose Mª K. Lim, improve and allow for a more stable network that Pres. & CEO, will bring about efficiencies in service and re- Metro Pacific Investment Corp. duced costs. Competition will also promote that. “In developing the off-grid island areas, we definitely see an opportunity for renewable energy technologies. Some of these are intermittent sources, so we will continue to maintain the conventional sources that we have in place right now and link the two. From our initial cooperative ventures, we are seeing good results from our interface with biomass and wind. Solar is also trying to get in; in fact we have completed a hybrid system involving solar panels in a mini-grid project in Masbate.” Meanwhile, Oceana Gold, a company that is listed in Toronto, Australia and New Zealand, is hoping to be producing gold in the Philippines by 2014. “The Philippines is highly mineralized and there is a lot of potential,” says Jose P. Leviste, Jr., chairman of OG. “We need to do more to make mining a bigger sector of the economy. Speaking as a Filipino, the promotion of sustainable mining is going to be good for the country's future.

Perspective of North Ridge (2nd Phase of Monterrazas de Cebu).

“Oceana Gold is producing almost 300,000 ounces of gold a year in New Zealand, and we hope to replicate that in the Philippines in due course. We are planning for the construction of the mine and at the same time our people in New Zealand have been training Filipinos so that once it is completed, it can go straight into operation. “We are also taking a look at our exploration programs because of our extensive tenements in the Philippines. As New Zealand is the Pacific Anchor, we hope to make the Philippines the Asian anchor. The company is in growth mode. The board and the Managing Director and CEO Mick Wilkes, are very interested in doing more things here.” Jose Rene D. Almendras, Secretary of the Department of Energy, is seeking to attract investors to various projects in which the PNOC Exploration Corporation (PNOC-EC)—the upstream oil, gas, and coal subsidiary of the state-owned Philippine National Oil Compan—operates, including oil and gas exploration and production, natural gas business, coal exploration and pro-

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SPECIAL ADVERTISING SECTION duction, coal marketing and trading and port and warehousing operations. PNOC-EC currently holds interests in eight petroleum Service Contract (SC) areas, namely SC 37 (Cagayan), SC 38 (Malampaya), SC 43 (Ragay Gulf), SC 47 (Offshore Mindoro), SC 57 (Calamian), SC 58 (West Calamian), SC 59 (West BalaRamon J.P. bac) and SC 63 (East Sabina). Paje, Secretary Department of The SC 38 acreage is in the production phase, Environment and Natural Resources while the rest are exploration blocks. PNOC-EC also holds the rights for the development of the Camago-Malampaya Oil Leg (CMOL) Project in offshore Northwest Palawan under the Terms of Service entered into with the DOE in March 2006. The company is also taking the lead in the implementation of downstream natural gas infrastructure projects such as the Batangas to Manila Natural Gas Pipeline, and the Integrated Bataan Liquefied Natural Gas (LNG) Terminal, Power Plant and Natural Gas and Pipeline Projects. Gemiliano C. Lopez Jr., chairman and CEO of PNOC-EC says; “Aside from petroleum, PNOC-EC is also engaged in their coal business. The company holds Coal Operating Contracts in various parts of the country, namely COC 41 and COC 152 (Siay) in Zamboanga Sibugay, COC 122 and 141 in Isabela and COC 140 in Surigao del Sur. PNOC-EC also operates coal terminals in Zamboanga Sibugay, Cebu, Batangas, and North Harbor, which serve as its handling facility for local as well as imported coal that the company supplies to power plants and cement factories in the Philippines. “PNOC-EC also owns a private commercial port – the Ener-

gy Supply Base (ESB) located in Mabini, Batangas, which offers berthing, cargo handling, storage and warehousing facilities to energy companies and other commercial clients.” One of PNOC-EC’s key values is the improvement of the lives of the communities where it operates. It continues to implement Corporate Social Responsibility (CSR) Programs or what it calls Kaagapay Programs through the Community Relations Section. Sagittarius Mines, Inc., owners and operators of the Tampakan Copper-Gold project, is also committed to CSR. “We have estimated through our feasibility study that we will generate more than 7 billion dollars worth of taxes and royalties to the national and local government, that is $5 billion and $2 billion respectively. That money has to be spent wisely and will be able to create jobs and employment, put food on the table, reduce and eliminate the poverty cycle, improve health, education and make a significant difference to the local community," says general manager Mark Williams. “Within Southern Mindanao, we believe it will uplift about 10% to the gross regional domestic product of regions 11 and 12 and over the life of the project will also generate 1% GDP year on year for about 20 years to the national government. The wealth belongs to the country. Our position as a contractor is to help the government maximize and exploit that benefit for the people for today, tomorrow and the future.” Investing in the future Metro Pacific Investment Corporation is an infrastructure company listed on the Philippines Stock Exchange. It has a 40% public float, about $63 billion in equity, and a market cap

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Mines and Geosciences Bureau MGB Compound, North Avenue, Diliman, Quezon City, Philippines Tel: +63-2 920 9120 / 928 8642 | Fax: +63-2 920 1635 central@mgb.gov.ph | www.mgb.gov.ph

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SPECIAL ADVERTISING SECTION of 80 billion on a good day, according to Jose Mª K. Lim, CEO and president. “Investments are spread over four sectors,” he says. “About 55% are in distribution, where we jointly control a holding company that owns 39.1% of Meralco. In water, we hold the controlling interest of about 58% of Maynilad, the franchise holder for the western side of Metro Manila. In tollroads, we own two-thirds of the North Luzon Expressway, which has, since then taken operation in the Subic-Clark tollway. And finally, in health care, we have five different hospitals and manage a total of 1,600 beds: Metro Pacific (MP) is the largest hospital operator in the Philippines.” The company, which is expecting to make a profit of 4.8 billion this year, 20% more than 2010, is looking to expand its water network as fast as possible. “We have about 2 million people that are not connected to the network and they are buying water from third-party sources,” Lim says. “These are brought to them by tankers, or else they are from deep wells and are not potable. The future of our company is going to depend a lot on our success in connecting these two million, out of a total of 9 million. "We are also entering into power generation so that by 2014, we will expect the first investments in power plants. This is a joint venture with the Aboitiz group and a Taiwanese group. By far, the biggest investment for Metro Pacific (MP) in terms of new capital being raised, will be in the tollways sector. In Meralco, the company is well positioned to undertake expansion in power generation. In the case of tollways MP has to invest additional capital and we are programming a total investment of 25 billion over the next three years.” Having taken over water projects from the previous fran-

chise holder, that at the time was losing two thirds of the water supply according to Lim, MP looked outside for help with technology, and found successful partnerships with an Israeli company and a Canadian one for different aspects of the operation. “This is just one example, but all our partnerships have been more than satisfactory,” Lim says. “Our approach is to choose the partner who can provide the best and most appropriate technology and has the best chemistry with us as investors. We tend to provide the business processes and management systems, as well as the financing. For an infrastructure company with the growth potential of MP, driven by both water and power, I think there is incredible value to be created in the future. Now is a good time for people who are considering investing in infrastructure in the Philippines.”

For an infrastructure company with the growth and potential of Metro Pacific, there is incredible value to be created. Jose Mª K. Lim, Pres. and CEO, Metro Pacific Inv. Corp.

In the meantime, GENVI Development Corporation, a private development company from Cebu, is focused on raising living standards of the Cebuanos through its Monterrazas multiuse real estate project. The family run company is looking for investors to buy their land and develop it. “We control the largest open property inside the city limits,” says Augusto Villalon, president and chairman. “We are only seven minutes away from the center and ten to fifteen minutes away from the business center. We are currently selling

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SPECIAL ADVERTISING SECTION residential lots, and there are lots for first-home buyers. We want to build an integrated township within the city, with commercial areas, particularly business processing outsourcing offices, schools and a hospital.” His sister, Margarita F. Villalon, vice president and treasurer, notes how Cebu is an up and Ramon A. coming part of the Philippines. “Cebu is a place Carandang, Sec. of Presi. Comms. that for the last two years has done really well ecDev. and Strategic onomically, in terms of housing and services. It is Planning Office in the middle of the country and has attracted a lot of people to its shores. We invite investors, owners, stakeholders to come and see what we are doing, and if they are interested in building a master plan community, we are open to talking to them. There is still an enormous opportunity for growth.” Helping clients achieve their goals Small and medium-sized investors who want to be part of the Philippines’ future would do well to talk to Philequity Management, Inc. (PEMI) An investment management company established in 1993, PEMI is committed to helping clients achieve their long-term financial objectives by offering an array of mutual funds to suit their needs. PEMI has been named by the Investment Company Association of the Philippines (ICAP) as the best-performing equity fund in the five-year and 10-year categories for the third year running. It has also been recognized by ICAP as the best performing bond funds in the five-year category. As Roberto Z. Lorayes explains: “We are heavily weighted in the mining sector due to the boom, and in power and infrastructure, because by next year, most of the PPP projects will come in. We also have Business Processing Outsourcing, consumer based companies that are doing very well, and it seems the property companies are booming. We have started three additional funds: a natural resources fund, a strategic loan fund and a small cap fund. “We will come out stronger from the new reforms. For one thing, foreign fund managers can see that Filipinos are being responsible with their monetary policies. Everything is well managed and you don’t see panic because we don’t depend on interest rates.

“Many institutions that were in distress are now on their feet. The new government has a lot of credibility in the business sector, which helps a lot. Mr. Aquino has been in power for just a year, but he has a very high confidence rating among the business sector. Banks have cleaned up their balance sheets , whereas before there were a lot of non-performing loans. Now these are down to 2%.” Education, BPOs and creative industries The largest engineering school in the Philippines, the Mapúa Institute of Technology (MIT) is making pioneering progress to ensure Filipinos have access to a world-class standard of higher education. Sponsored by the Yuchengco Group of Companies, well known for its commitment to powering synergies and improving the quality of life of Filipinos, the establishment prepares undergraduates for careers in engineering, the sciences, and I.T., to name just some. Now with more than 2,000 students, the Makati-based institute continues to introduce new programs to keep the Philippines, and Filipinos, competitive. Dr. Reynaldo B. Vea, MIT’s president, explains why: “All the ASEAN countries will open their borders by 2015, and that will facilitate the movement of goods, services, information and people,” he says. “Our effort is therefore focused on a national qualifications framework that covers technical and educational training. We are also moving away from a “one size fits all” standard to focus on excellence.” With this in mind, the school has invested heavily to become ABET accredited. The U.S.-based Accreditation Board for Engineering and Technology recognizes academic programs at universities and colleges preparing graduates for entry into professional disciplines of applied science, computing, engineering, and technology. “We have adopted an outcomes-based system where the focus will be on quality improvement,” Vea says. Meanwhile business processing outsourcing is rising steadily to become a sector with great potential. David Rizzo has spent more than 16 years in the contact center industry and the past nine years with Teleperformance, the world’s leading provider of outsourced customer experience management. He moved to Manila in 2003, to establish Teleperformance’s offshore Philippines footprint and has since spearheaded its ascent as one of the country’s premier outsourcing contact center providers.

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SPECIAL ADVERTISING SECTION The Philippines has grown into one of Teleperformance’s largest markets and is among its fastest growing operations worldwide. As President of Teleperformance Asia Pacific, Rizzo is also the senior executive responsible for its business across China, Indonesia, Vietnam and Singapore. Operating more than 7,000 workstations from six contact centers located in and around Manila and Bacolod City, Teleperformance Philippines was recognized as BPO Employer of the Year, at the international ICT awards presented by BPAP and the Canadian Chamber of Commerce last year. “This is a special honor,” Rizzo says. “It inspires all of us to stay completely focused on the wellbeing of our people, our clients and the communities in which we live and work.” Starting as a traditional animation service provider for Walt Disney Television Animation, Toon City Animation, Inc. has steadily grown over the years to become a choice subcontracting animation facility of Asia. It is the animation production house for major clients around the world, including Walt Disney Television Animation, Universal Animation, Warner Bros. Animation, MoonScoop Productions among others, and offer the very best in high quality traditional 3D/CGI and flash animation artistry. Juan Miguel R. del Rosario, president and CEO of Toon City says: "Our expertise in 2D is solid already and different production houses in the west have recognized this. We are new to CGI, but we have the talent and it will be our next growth area. There is also gaming, for computers and telephone apps. It’s a world we have not touched on, but it is all animation." Meanwhile in the real estate sector, developers are struggling to keep up with demand, with a huge backlogue of local properties waiting to be built, and increasing foreign demand. An infant company, SOC Land was established in November 2010 as a spin-off from South China Resources, which has been in business for more than 100 years. “After seeing the demand for three or four million homes, and the sector not being serviced properly, our aim was to give a better product,” says John P. Reyes, CEO of SOC Land. “We give 80 per cent open space for more amenities, without raising the costs. This is a key differentiating product in a small city where everyone is cramped. Our maiden project, Anuva, which means 'A new beginning' in Russian, personifies us. Through this, we want to develop this

openness. The buyer has something other than a gym or swimming pool. We want to give them greenery in an ever-expanding city where space is a precious commodity." Growth is also happening in the aviation industry. Airphil Express is a private airline, and the leading promo airline carrier to Manila and other destinations. The fastest-growing budget airline, it was recently awarded the top airline reliability performance award for the Q400* aircraft in the Oceania region. “We want to give everybody VIP service from the time they book," says CEO Brian Thomas Hogan. "Our segmentation is a little bit different than a lot of other low-costs. We want the community to come to us because it is a good experience, not

We are expanding into North Asia, especially China, and filling a gap in the market. Brian Thomas Hogan, CEO, Airphil Express

because it is the cheapest and that is the only place they can go to. Social media and young people are really our target. We’re looking at 18-34 year-old women, especially women who are working at the BPOs who want to go out and travel within the country. When you look at the destinations in this country, it is mind-boggling that we do not get more foreign visitors. We are expanding rapidly into North Asia, especially China. We are filling a gap in the market. " Otto Energy Ltd., an ASX-listed company in Australia, now has all its assets in the Philippines where it has two whollyowned subsidiaries: NorAsian Energy, which operates three exploration blocks, and the Galoc Production Company, which operates and holds 33% of the Galoc oil field. “For us, the most exciting block we operate is SC-55, a large block off the south west corner of Palawan,” says Ross Prasser, Otto’s country manager for the Philippines. “BHP Billiton recently farmed in and as of their agreement will drill one to two deepwater wells to earn up to 60% working interest. A number of large prospects have been identified from the 3D seismic, all located in deep water. Another block we are excited about is the SC-69, offshore between Leyte and Cebu. We are interpreting

Our greatest resource is the community within which we interact Intex Resources safeguards local neighborhoods and the environment as part of our commitment to sustainable mining. Info@intexresources.com.ph | www.intexresources.com | www.intexresources.com.ph

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SPECIAL ADVERTISING SECTION the seismic 3D and have a couple of attractive-looking prospects. The proximity to Cebu would provide an attractive market for a gas discovery, and Otto has a 79% working interest in the block. "The government is very proactive in encouraging foreign companies to invest here, and the fiscal terms are quite attractive compared to other countries. There is a lot of untapped potential. The industry is relatively under-developed and the Philippines does not have an extensive infrastructure and supply chain which makes exploration more challenging.”

If you have a relatively cheap product to sell to a large population, we are a good target.

William B. Chiongbian II, President and CEO, Fast Logistics Group

Fast Logistics, a private company that provides a high level of service integration (sea freight, air freight, inland freight, trucking, warehouse leasing and management, distribution and trading, money remittance and shipping) to international clients, has a definite edge over its competitors. Catering to all the logistical needs of the customers, from the point of origin to the point of destination, Fast Logistics takes away the need to find local operators. “Our perspective is pretty straightforward,” says William B. Chiongbian II, president and CEO, Fast Logistics Group. “Everything is quantifiable in terms of what it costs to ship out, truck out, customs clearance, the needs to be able to sell it

also. If you have a relatively cheap product that can be sold to a large population, we are a good target. "Unlike in higher per-capita countries where people stock up on certain things that are good for a week or a month, people buy shampoo and coffee sachets on a daily basis here from small hole-in-the-wall type stores. We bridge some of the localized behaviour of the market.” Meanwhile, MyTel Mobility Solutions, Inc., the first and only Filipino mobile phone brand that offers dual SiM mobility, grew from a favor for friends to try out a local mobile phone brand in an attempt to join the playing field of established international giants. Three years on, it has become a definitive contender in the cell-phone landscape, consistently averaging significant sales figures. “As well as features, we put a lot of content useful to Filipinos in the phone. We put prayers in, historic information, sayings, recipes, government contact details, all the universities, the hospitals, first aid instructions and even the Bible. We wanted the public to know that we don’t just promote phones, we promote the Philippines. ” Incorporated in 1994, Boulevard Holdings, Inc. is a holding company involved in the development of hotels and resorts, tourism-related businesses and investments in strategic land locations and rentable real estate. Its subsidiaries are significant market leaders in their respective market niches for their products, catering to premiere and elite clients to maintain relatively higher profit margins. The company is aiming to expand its reputable Fridays Hotel brand to at least nine idyllic locations throughout Asia over the next ten years. “We have determined to create long-term value by increasing our capitalization, entering into joint ventures for tourist destination development and commanding a significant share in the primary resort home market outside Metro Manila,” says Jose Marcel Panlilio, chairman and CEO of Boulevard Holdings.

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One single name for a menu of valueadding end to end logistics supply chain solutions.

Leading Oil and Gas Development in the Philippines

Otto Energy Ltd - actively exploring and producing in the Philippines. Operator of the Galoc Oil Field. Otto Energy 4th Floor F&M Lopez II Building 109 C. Palanca St. Legaspi Village, Makati City, 1229, Philippines. Tel: +632 857 4300 | www.ottoenergy.com

The only school in East Asia with ABET-accredited programs Chemical Engineering (BS ChE) • Civil Engineering (BS CE) • Computer Engineering (BS CpE) • Electrical Engineering (BS EE) Electronics Engineering (BS ECE) • Environmental and Sanitary Engineering (BS EnSE) • Industrial Engineering (BS IE) Mechanical Engineering (BS ME) • Computer Science (BS CS) • Information Technology (BS IT) Mapúa Institute of Technology Muralla St. Intramuros, Manila, 1002 Philippines Telefax: +63 2 524-5570 Email: admissions@mapua.edu.ph

If you have BIG DREAMS, start HERE.

www.mapua.edu.ph

by Business Focus www.businessfocus.org.uk

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Philippines Country Report 2012