TVIRD Concludes Acquisition of Siana Gold Project from Red 5 Limited
by Philippine Resources - December 18, 2021
Photo credit: Mining Journal
- TVIRD acquires 100% of outstanding GRC shares for a total consideration of US$19 million
- Red 5 will retain a 3.25% NSR payable on gold sales from succeeding operations at Siana
- GRC assets include a state-of-the-art processing facility with a throughput capacity of 1.10 million tons per year as well as key infrastructures in the Siana, Mapawa and Ferrer tenements
TVI Resource Development Philippines Inc. (TVIRD), local affiliate company of Canada’s TVI Pacific Inc. and majority shareholder Prime Asset Ventures Inc., earlier signed a binding agreement with Australia-based listed gold company Red 5 Limited. The agreement pertains to TVIRD’s acquisition of 100 percent of Red 5’s outstanding equity in its Philippine affiliated company, Greenstone Resources Corporation (GRC), which is the owner and operator of the Siana Gold and Mapawa Projects in Tubod, Surigao del Norte Province.
The agreement was signed by TVIRD President Engr. Yulo E. Perez and Red 5 Managing Director Mark Williams in July this year. The inked agreement is a landmark deal that underscores the restored investor confidence in the Philippine mining and extractives sector. As of September 20, the company has completed the acquisition of 100 percent of the outstanding equity of GRC.
“The acquisition of Greenstone, particularly the Siana Gold Project, dovetails with our group’s long-term growth strategy that is hinged on building a robust mining portfolio staggered across multiple commodities,” according to Perez.
“We are likewise encouraged by the current market performance of precious metals as well as the overall positive investment climate for mineral and resource development in the country,” he said.
Further to the agreement, TVIRD invested US$19 million in cash to Red 5 to obtain 100 percent of GRC shares. The company also confirmed that the cash portion of the purchase price was funded from internal resources.
Parallel to this, Red 5 is entitled to a 3.25 percent net smelter royalty (NSR) to be paid from the sale of up to 619,000 oz. of gold produced from Siana. The recognized NSR value is US$35 million based on a gold price of US$1,750/oz.
While the Siana project is currently on voluntary care and maintenance, it holds all the necessary government permits to restart operations, including an Environmental Compliance Certificate and an approved Declaration of Mining Project Feasibility.
“The company is currently developing plans to bring Siana back on-stream,” said Perez, citing TVIRD’s plan is to restart operations at Siana as soon as possible.
The project site is located in a 3,289-hectare Mineral Production Sharing Agreement area and includes a modern 1.1 million tonne per annum Outotec mill, gravity and Carbon-in-Leach (CIL) mill facility commissioned in 2012 at a capital cost of US$54 million that includes a single stage SAG mill and six CIL tanks.
Prior to signing the agreement, Red 5 confirmed that GRC spent over US$200 million in the development of Siana, which has the only modern gold plant in the region.
Resources and expansion plans
In its 2020 annual report, Red 5 cited a combined historical Indicated JORC12 mineral resource estimate for the Siana open pit and underground mine of 4.3 million tonnes @ 4.6 grams per tonne of gold and 6.8 grams per tonne of silver. It also cited a combined Inferred JORC12 mineral resource estimate of 0.5 million tonnes @ 8.9 grams per tonne of gold and 10.6 grams per ton of silver.
In addition to Siana, the agreement also covers the 1,482-hectare Mapawa MPSA and the 595-hectare Ferrer APSA claim. All assets and properties have obtained government approvals and relationships with key stakeholders.
The plant receives Grid power with a back-up 8MW diesel fired power station while the project has the necessary infrastructures in place: an administration building, warehouse, mess hall, camp facilities and accommodation, an engineering building and maintenance facilities
With the necessary technology, equipment and facilities, there also lies the potential to establish Siana as a processing center for other nearby prospects and gold deposits.
TVIRD key officers believe that the Siana and Mapawa tenements hold the potential for exploration. Meantime, Mapawa and Ferrer are in the early stages of exploration.
"This represents a strategic acquisition for TVIRD", said TVI Pacific Inc. Chairman and CEO Clifford M. James. "Management and the directors of TVIRD are excited about the acquisition, which coincides with the start-up at Balabag and positive changes in the Philippines Government and financial community attitudes towards mining projects.”
Philippine Resources - June 30, 2021
Imelda Residents: Help Came When We Needed It Most
A helping hand. TVIRD’s Community Relations team led by Khalil Tabernero distributed food packs to Imelda Town’s flood victims who were lining-up alongside the company’s service vehicle. Physical distancing was strictly implemented in the queues while some food packs were delivered directly to households by the team. “It was a touching gesture. The assistance provided to us came when we needed it most. Thank you so much, TVIRD,” said Imelda Town residents who were provided with food packs by TVI Resource Development Philippines Inc. (TVIRD). The assistance came after the devastating storm battered the town and hit Barangay Poblacion the hardest. Danny Gamil, leader of a barangay purok (a subset of a barangay) and neighbor Nolyn G. Palme said the arrival of the food packs helped their families survive for days after Storm Crising brought heavy flooding. Gamil is one of the town’s earliest settlers. He said all the residents of his purok and others of this barangay received the food packs delivered by the company’s Community Relations personnel who were led by Khalil Pope Tabernero. The company’s efforts provided immediate relief to an estimated 400 families in the municipality. Earlier, TVIRD provided assistance to some 250 families from Barangays Dimalinao, Kahayagan and Dipili directly after Crising battered these barangays with strong floods and extraordinary rainfall. PAGASA warned of “isolated to scattered flooding, including flash floods and rain-induced landslides” in vulnerable areas. Specifically for Zamboanga del Sur, this is not the first time that a natural disaster of this magnitude brought savage destruction to homes and farmlands. A touching gesture “I was really touched, seeing all those goods delivered to us by TVIRD. Its arrival comforted us, made us see the goodness of men,” said Palme, 29-year old wife of a fish vendor and mother of three. She said that their family had no income for days and that she and her husband have been clearing their house of debris after it was submerged by flood water. “Everything was washed away by the flood. We only salvaged our TV set and a cooking utensil. We are hard-up and do not have income. Adding to our misery was the lockdown imposed on us again – we cannot even go out. But thanks to TVIRD’s food packs, which sustained us for several days,” Palme said. Imelda food packs being distributeded Farmer and tricycle driver Gerson F. Bacleta, said TVIRD’s help was unexpected, especially since Imelda is located almost 50 kilometers from TVIRD’s facilities in Bayog Municipality, Zamboanga del Sur Province. “We did not expect it, but I am grateful because the assistance helped feed my family for three days. It was the only assistance that we received after the storm,” he said. “Sadly, my rice land is buried with mud and can no longer be salvaged,” Bacleta shared. He would have harvested about a month after the storm. Devastating flood Gamil said the May 14 flood was “devastating.” However, he also refuted reports that it was the first time Imelda town experienced this kind of flooding. “Hesus, 47 anyos na ko. Dili lang kay kini ang baha nga nakahatag ug daku nga kadaut sa among lungsod. May mga baha kaniadto nga nalunopan pod ang mga balay (Jesus! I am 47 years old already. This is not the only flood that brought so much destruction to our town. There were floods before that also submerged houses here),” he said. Imelda is a fourth-class municipality situated along Sibugay River, which is considered the longest body of water in Sibugay Province. During the May 14 flooding, a huge volume of water from the river found its way to Imelda and other towns of the province.
Philippine Resources - August 31, 2021
From Educators to Licensed Professionals: TVIRD Scholars Make Waves in Their Chosen Fields
Photo Caption: Our future. Children study and play at the Canatuan Elementary and National High School – an institution that TVIRD helped build during its operations in the area from 2004-2014, and from which time the company has been the host municipality’s strongest partner in promoting responsive education. (TVIRD file photo) Siocon, Zamboanga del Norte / July 2021 – She knows what it is to be poor at a young age, being born to poor parents and raised by a single mother who died while she was in her primary years. The harrowing experience of being bullied because of poverty made Joanamarie Gabayan vow to have a stable job in the future. At 19, she fulfilled her promise to herself and joined the academe where a decent, fulfilling and stable job as a professional teacher awaited her. Joanamarie, “Joan” to family and friends, earned her degree in elementary education in 2015. She took and passed the professional board examination for teachers then and landed a teaching job the following year – thanks to the scholarship program of TVI Resource Development Philippines Inc. (TVIRD) in Canatuan. Now 25 years old and already married, Joan is currently teaching the Subanon children at Barangay Tabayo Elementary School of this town. Assigned as an Indigenous People Education (IPEd) teacher by the Department of Education (DepEd), she instructs her pupils on basic education that is responsive to their context, respects their identities and promotes the values of their indigenous knowledge, skills and other aspects of their cultural heritage – all in line with DepEd Order 50 series of 2016. Looking back at her humble beginning, Joan said she is forever grateful to the company that helped her realize her dream. “I could not have reached this far without TVIRD,” she said. Giving back Police Corporal Rasul Agang, also a former scholar of the company agrees with her. A graduate of BS in Criminology at a state university in Siocon town, Corporal Agang is now proudly serving his “kababayans” as a member of the Siocon Police Station. At 27, Rasul said he “walks the talk” of the PNP Motto which is to “Serve and protect.” A son of a fisherman, Rasul shared that ever since he was young, he wanted to become a police officer. “That was my dream, and I was able to achieve it through the help of the company. I am always proud of being a scholar and part of the TVIRD family, knowing that it is a responsible mining company,” he said. Rasul cited TVIRD’s ongoing final mine rehabilitation in Canatuan, which started in 2016. The program consists of “re-greening” and restoring the company’s former mine site to its former condition and covers all disturbed areas during its 10-year mining operations from 2004. Equally thankful is geologist-scholar Ryan Lumabi, also a Subanon from Sitio Canatuan. Ryan currently works as a project geologist at Premium Megastructures Inc. in Misamis Oriental. “I just want to say thank you very much to TVIRD for making my dream possible. It really was impossible for me to reach my dream given that we were poor. But (they) gave me the opportunity to study and graduate as well as assisted me financially while taking the board examinations,” he said. Investing in education “TVIRD believes that education plays a vital role in empowering its Subanon partners; hence, the company must invest on it,” according to TVIRD President Yulo Perez who was then Canatuan General Manager who institutionalized the company’s College Scholarship Program in early 2005. According to him the program seeks to provide the poor but deserving Subanons with access to education so they will be able to help the tribe’s elders in managing the development of their homeland – all according to their needs and outlook, and within their cultural and traditional framework. Also included in the grant were underprivileged but deserving non-tribal scholars residing within the immediate community and the host municipality of Siocon. From 2004 to 2020, TVIRD spent more than Php11-million pesos for its scholarship program. The amount is on top of the construction cost of the first school buildings and library of Canatuan Elementary and National High School as well as the salaries of both school’s first four school teachers. TVIRD also provided school buses for the pupils and students of both schools. The first bus could accommodate 48 passengers and ferried the children as far as Sitio Kilometer 8, a sub-village of Kilalaban of the neighboring town of Baliguian, and Sitio Paduan of Barangay Candiz in Siocon town. When TVIRD concluded its Canatuan operations in 2014, it also produced professional teachers, nurses, midwives, civil engineers, agriculturists, geologists, an environmental engineer, a forester and a member of the Philippine Navy. Geologist Ryan Lumabi mentioned earlier that the education provided to him by the company gave him the fighting chance to reach his dream. “Mining may cease, and TVIRD may eventually leave Canatuan. But the education it provided will live on in the hearts of its scholars whose lives were touched and changed for the better,” he concluded.
Philippine Resources - June 30, 2021
One Year Hence: Communities are at the Heart of Agata COVID-19 Initiatives
Photo Credit: TVI Resources - Agusan del Norte PDRRMC receives COVID-19 Kits that include rubber boots, alcohol, face shields, face masks, gloves, and water supplies. It has been more than a year ago since the World Health Organization (WHO) declared COVID-19 as global pandemic. This deadly virus triggered devastating economic and social disruption as it shuttered business establishments and affected millions with death and disease. By the end of the first quarter in 2020, the Philippines was likewise left vulnerable to the effects of COVID-19. In active response to the needs of the community, Agata Mining Ventures Inc. remained committed more than ever to serving its stakeholders by rolling-out projects that aimed to mitigate the negative impacts of the pandemic. COVID-19 initiatives At the onset of the pandemic, the company distributed various Personal Protective Equipment (PPEs) from Manila as part of its immediate response to the needs of medical frontliners in the Mindanao region. Along with mother company, TVI Resource Development Philippines Inc. (TVIRD), Agata distributed critical PPEs: N95 face masks, face shields and surgical and examination gloves to protect frontliners, including local government personnel, medical workers, police, civilian volunteers and checkpoint personnel. It also provided relief to more than 10,000 families in its respective areas and sourced majority of its fresh vegetables from farmers and other goods from local establishments. The company’s initiative did not only address food shortage but also provided a source of income for local producers. Aside from directly supporting the livelihood of farmers and fisherfolks, Agata also aided its communities by capacitating its people with new skills. The company’s Mabakas Techno Demo Farm provided scholarships and trainings for the locals, bringing its total number of scholars since 2018 to almost 4,000. The National Certificate courses at Mabakas are funded by the company’s Social Development and Management Program (SDMP) funds and conducted in partnership with the country’s Technical Education and Skills Development Authority (TESDA). These courses also aim to help the graduates obtain alternative livelihood and tap economic opportunities despite the pandemic. Agata extended additional assistance to displaced students by providing school equipment to enable them to study from home. The company distributed heavy-duty photocopiers and paper supplies to partners Barangay Tinigbasan National High School and Elementary School, Barangay Lawigan Elementary School and Kauswagan De Oro Elementary School in Barangay E. Morgado. A reliable partner Today, Agata continues to performs its role in building communities as it creates employment opportunities for the general welfare of its stakeholders. During the pandemic, the company recruited a total of 78 new personnel – majority of whom are from Caraga. “I am thankful that despite COVID-19 I am able to get a new job. I know it is not easy to be employed, given our situation now,” stated Precious Erap, resident of Butuan – a newly-hired purchaser at Agata. Dareem Angob, a resident of Santiago Municipality of this province, expressed that her ‘acquired knowledge’ from the Mabakas Organic Farming course, which she took during the pandemic, is very useful and that she now has a vegetable garden right at her doorstep. Agata likewise promotes organic backyard gardening as an alternative source of food and income during the lockdown. It also conducts regular information and education campaigns on COVID-19 to keep the communities abreast of health protocols. Driven by its philosophy of “Starting it right, keeping the end in mind,” Agata continues to operate responsibly throughout the pandemic while ensuring the integrity of both the community and its natural environment. It also continues to create new innovations that conserve natural resources as well as pave the way for the people’s progress – all for a sustainable future.
Marcelle P. Villegas - January 22, 2022
Senator De Lima passed a resolution against lifting of open-pit mining ban
Before the year ended, DENR Secretary Roy Cimatu signed the Department Administrative Order (DAO) No. 2021-40 that lifts the ban on open-pit mining. The order was passed last 23rd of December 2021. This covers mining for copper, gold, silver and other complex ores. DENR made this decision with hopes to revive the mining industry so it may once again provide job opportunities in rural areas. This decision was a response to counter the economic downturn that resulted from the global pandemic.
Philippine Resources - January 21, 2022
WIDENING OF LAWTON AVENUE IN TAGUIG CITY FINISHED BY Q2 OF 2022
Photo credit: Department of Public Works and Highways The Department of Public Works and Highways (DPWH) has fast-tracked the widening works at Fort Bonifacio-Nichols Field Road or Lawton Avenue in Taguig City to meet its target completion by the second quarter of 2022. “As the government increases mobility in Metro Manila amid the pandemic, this project is vital in addressing traffic woes experienced by motorists,” said DPWH Secretary Roger G. Mercado during project inspection on Thursday, January 20, 2022, along with Senior Undersecretary Rafael C. Yabut, Assistant Secretary Wilfredo S. Mallari and National Capital Region (NCR) Director Nomer Abel P. Canlas. The road widening has three phases with the 1.34-meter Phase 1 traversing from 5th Avenue to Bayani Road completed and opened to the public on November 17, 2020. “We are keen in expediting the completion of the remaining two phases of the project with Phase 2 covering 1,100 lineal meters from Bayani Road to Philippine Navy and Phase 3 covering 240 lineal meters from Philippine Navy to Pasong Tamo Extension,” said Secretary Mercado. Once fully completed, the 3.1-kilometer, four (4)-lane Lawton Avenue will be converted into a six (6)-lane thoroughfare that can accommodate influx of vehicles traversing the area and will help decongest traffic in nearby Epifanio delos Santos Avenue (EDSA), South Superhighway and C-5 Road. It will also complement the 961.427-lineal meter Bonifacio Global City-Ortigas Center Link Road Project which has improved access to and from the cities of Taguig, Pasig, Makati and Mandaluyong. The widening of the Lawton Avenue is part of the EDSA Decongestion Program, one of the flagship projects of the Duterte administration under the Build Build Build Program.
Philippine Resources - January 19, 2022
Vulco® R67 mill lining rubber compound is revolutionising mine site mill operations
Photo: Inside the discharge end of a ball mill being fitted with spiral lifters and rubber grates. Vulco® R67 mill liners last significantly longer and deliver a measurable reduction in mill downtime, installation and maintenance costs. Vulco® rubber is renowned throughout the mining industry for its exceptional wear life and reliability in mill lining systems. These abrasion- and impact-resistant rubber compounds have been developed with advanced technologies by the Weir Minerals’ team of expert engineers and material scientists who are continually refining Vulco® rubber products to keep them at the forefront of mill lining systems technology. Having identified a need for higher-wearing rubbers for mill lining systems, the material science experts commenced developing an industry leading, premium-grade rubber compound with superior wear life and performance in mill lining applications. The result was the Vulco® R67 rubber – an optimum material which is manufactured with proprietary new compounds and innovative methods of processing to deliver outstanding wear life and longer uptime. Extensive field research, compound testing and site trials were conducted to ensure that it was not only able to withstand severe abrasion in typical mill system applications, but that it is best in class. In fact, it has been the most wear-resistant rubber compound that Weir Minerals has ever developed for mill lining applications. The R67 compound boasts a high hardness, elongation, tensile and tear strength, and is suitable for lifter bars, head/shell plates and grates. When it’s utilised in conjunction with metal cap mill liners, the result is a versatile, economical and efficient product that weighs up to 50% less than steel alone. The added benefit is a lighter product that’s faster, easier and safer to install. Revolutionising wear lining Since its launch in 2018, many mining operators from around the globe have implemented the R67 compound into their mill lining systems. They have reported as much as 20-40% improvement in wear life, which is resulting in fewer mill lining replacements and longer mill campaigns. This reduction in shutdowns has a dual benefit of increased cost savings and improved plant availability. What are the benefits for the mill operators? With a liner that can run significantly longer, operators have experienced a wide range of benefits including: Improved wear life A measurable reduction in mill downtime Increased uptime and processing Easier and safer installations Reduced maintenance costs In addition to this, the mines benefit from having an experienced and dedicated team from Weir Minerals who custom-engineer the liners to suit each mill’s unique requirements for optimal wear life. 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At the end of the trial the R67 showed 30-40% better performance than the incumbent liners and the customer installed a full set of R67 liners in their mill. Another trial in the USA took place in an iron ore mine with several dozen ball mills in operation. Here, Vulco® R67 liners delivered a 17% increase in life compared to the failed shell plates from the mine’s original mill lining system supplier. The company was extremely impressed with the results and installed a complete shell liner in their ball mill. Moving to Chile, a copper mine was keen to trial the R67 compound to see if they could improve the wear time of a competitor rubber liner. After a three-month trial, all liners were physically measured showing that the Vulco® R67 liners fully worn wear life projected from the actual wear would be 80% longer compared to the incumbent liners. 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