WHEREAS, it is necessary to further encourage the development of guano resources to help alleviate the fertilizer shortage and boost agricultural production;

WHEREAS, the amendment of a certain provision of Decree No. 412, providing for the disposition, development and utilization of guano deposits for fertilizer purposes has been strongly recommended by the Director of Mines and Executive Director of the Fertilizer Industry Authority to further encourage the development of guano resources;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers vested in me by the Constitution, do hereby decree and order the following:

SECTION 1. Section 11 of Presidential Decree No. 412 providing for the disposition, development and utilization of guano deposits for fertilizer purposes is hereby amended to read as follows:

"SEC. 11. Fees.—The permits fee for gratuitous and commercial permits shall be determined and fixed by the Director of Mines but the same shall not be more than two centavos (P0.02) per kilo of guano removed. Fifty per centum (50%) of such fee shall accrue to the province and fifty per centum (50%) to the municipality from where the guano is extracted: Provided, That in case of cities the whole amount shall accrue to the city concerned.

SEC. 2. All laws, decrees, orders, rules and regulations or part hereof inconsistent with this Decree are hereby repealed or modified accordingly.

SEC. 3. This Decree shall take effect immediately.

Done in the City of Manila, this 14th day of May, in the year of Our Lord, nineteen hundred and seventy-four.