[5] With then First Lady Luz Banzon Magsaysay who helped in the approval of the town site reservation in now Barangay Cabinuangan, the municipality got its name in honor to her who came and got prominence in Bataan, where also Tagalog settlers in the area came from during Commonwealth and post-World War II periods.

[6] New Bataan has a total land area of 55,315 hectares (136,690 acres) [7] and is situated north and west of Davao Oriental province; south of Municipality of Compostela and west of Municipality of Maragusan.

It is surrounded by mountain ranges, with over 50% of its territory being forest cover that has been the source of livelihood for some people living there.

The barangays of New Bataan that are mostly covered with forest are Andap, Tandawan, Camanlangan, Manurigao.

The northwestern portion of the municipality forms part on the contiguous plain of Compostela valley.