Last Oct. 7th, the Philippine Mining and Exploration Association’s (PMEA) Monthly Membership Meeting had a full house as members were eager to meet and welcome the newest, concurrent OIC Director of MGB, Engr. Michael V. Cabalda. He is also the Assistant Secretary for Mining Concerns, Mines and Geosciences Bureau, DENR.
Mr. Joey Nelson Ayson, PMEA President, reported the PMEA Matters and Industry Updates. This was followed by Mr. Cabalda's keynote speech.
The open forum had a lively exchange of questions, ideas, and forecast on what to expect in the near future in terms of MGB's plans and actions in supporting the mining industry.
Present during the meeting were Atty. Danilo Uykieng (OIC Director, MGB), Mr. Rufino Bomasang (former Undersecretary of Dept. of Energy), Mr. Joel Muyco (former MGB Director), Ms. Tata Corpuz (The Australian Trade Commission or Austrade), Mr. Rocky Dimaculangan (Towards Sustainable Mining , Chamber of Mines of the Philippines), and more.
Future Plans and Support for the Mining Sector
In his address to PMEA Members, titled “Challenges and Opportunities of the Philippine Mining Industry”, Mr. Cabalda highlighted the vital role of the mining industry in driving the Philippines’ economic recovery and transitioning toward sustainable practices. He also expressed the current administration's commitment to revitalizing the mining sector amid increasing global demand for critical minerals.
“…The current administration is placing significant emphasis on revitalizing the mining sector. This is not only because of its immense potential, but also due to its key role in driving the country's economic recovery.”
“This strategic move comes at a pivotal time as the whole world embarks on the journey towards net zero carbon emissions and a clean energy future. The increasing global demand for critical minerals places significant responsibility on the mining industry beyond ensuring the delivery of the useful programs and services.”
“MGB remains steadfast in its commitment to promoting sustainable and responsible mining practices.”
“Central to this is the Bureau's ongoing efforts to establish a policy framework that would allow the country to gain more from our mineral wealth. This would include streamlining of the permitting process.”
He pointed out that MBG aims to accelerate the permitting process, thus reducing approval time from 8 to 11 years to as little as 11 months. “We are working to ensure that our policies reflect the needs of the current administration and the realities of the industry,” he stated.
Additionally, he acknowledged the need for a thorough review of the “long overdue” Department Administrative Order (DAO) and improvements in People’s Small Scale Mining Act to foster inclusivity and economic contribution from local miners. He urged stakeholders to embrace innovation and sustainability, stressing that the future of the mining industry lies not just in resource extraction but in advancing mineral processing and downstream manufacturing.
Mr. Cabalda concluded by calling for collaboration in building a resilient mining sector that supports both economic growth and environmental stewardship. “Together, we can navigate the complexities ahead and establish a mining industry that is a cornerstone of our nation’s progress.”
"As we move forward, the challenge is not merely to extract resources, but to harness them in ways that elevate both our economy and our communities. The path ahead may be complex, but with our shared commitment to innovation, sustainability, and responsible mining, we can navigate these challenges successfully."
In closing, he said, "Let us continue to work together to build a mining industry that serves as a cornerstone that the nation's progress conflicting at all the economic recovery, but to a cleaner and more prosperous future."
[Makati City] Oct. 7, 2024 – PMEA Monthly Membership Meeting with Mr. Joey Nelson Ayson (PMEA President) and keynote speaker Engr. Michael V. Cabalda (OIC Director of MGB)
Energy Transition and Mineral Resources
Later in the meeting, there was an open forum and Q&A session where many participated in sharing their thoughts and questions to the guest speaker.
One of the participants in the discussion was Mr. Rufino Bomasang who is the Chairman of Upgrade Energy Philippines, Inc. Given his background as former Undersecretary of Department of Energy, Mr. Bomasang gave an informative talk about the mining industry’s role in the global energy transition. He read an excerpt of his speech during the Powertrends 2024 International Exhibition and Conference, held last Oct. 3-4, at New World Makati Hotel.
Mr. Rufino Bomasang, Chairman of Upgrade Energy Philippines, Inc.
He read, “The transition is now well underway and according to the International Renewable Energy Agency, RE accounted for two thirds of new power generating capacity in 2020 and countries around the world are setting ambitious targets for RE deployment.”
“However, major constraints remain, one of which is the shortage of minerals (e.g. nickel, cobalt, lithium, copper and rare earth elements, etc.) needed for batteries and expanded electricity infrastructure. They are essential components in modern technology, RE systems, electric vehicles (EV, and high-tech manufacturing.”
“In a recent interview with Sherry Duhe, CEO of Newcrest, Australia said ‘The mining industry needs to bring online the equivalent of 17 more Escondidas (the world’s biggest copper mine) just to meet global demand for copper under the energy transition.’”
Moreover, Mr. Bomasang noted, “The Philippines, with its vast untapped resources of nickel and copper, is potentially in a position to help facilitate the implementation of the global energy transition by expanding its production of said minerals to help address the shortage of critical minerals, which, if not addressed, could delay achievement of the UN’s ultimate objective of net zero emissions by 2050.”
“For the Philippines, the said expansion of critical minerals creates tremendous economic and strategic opportunities and benefits while further enhancing its energy security, provided it can effectively address key challenges and constraints to said expansion.”
He mentioned that among the regulatory and governance issues, some of the major issues are corruption, inconsistent regulations, inadequate enforcement of environmental and labor standards, and uncontrolled illegal mining.
“Can the Philippines actually address the various challenges and constraints and thereby realize the tremendous economic and strategic opportunities, while enhancing national energy security? I am optimistic the Philippines can with the current supportive policies of the Marcos administration government, which hopefully will be sustained under succeeding administrations.”
He clarified that this optimism is due to the fact that there has been a growing new paradigm of responsible mining in the Philippine mining industry since the promulgation of the Mining Act of 1995.
“We in the Professional Regulatory Board of Mining Engineering have actually witnessed said new paradigm in our recent mine visits. We have witnessed progressive rehabilitation in surface mining operations, particularly in nickel mines, modern more tailings disposal systems in copper mines, upliftment of the lives of surrounding communities, including those of indigenous communities, and extensive reforestation being conducted by the mining companies.”
“I particularly saw Semirara Coal Mine propagating marine life through a hatchery. Not surprisingly therefore the last ASEAN awards for best mining practice and best mineral processing practice were won by Rio Tuba in Palawan and Oceana Gold in Nueva Vizcaya, respectively.”
“All of these bode well for the future of the Philippine mining industry, the realization of the economic and strategic opportunities and benefits for the entire country, and enhanced energy security from the expansion of its nickel and copper production,” said Mr. Bomasang.
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Photos by Marcelle P. Villegas
