The Philippine Nickel Industry Association (PNIA) is optimistic that the nickel sector’s resilient growth amidst the pandemic will continue to contribute greatly to the country’s economic recovery efforts. In 2020 PNIA members jointly spent over P167 million on their Social Development and Management Programs, P49 million on COVID assistance, and P532 million on their Environmental Protection and Enhancement Programs, through which over 7 million trees have been planted to date. “PNIA members are equally committed to ensuring sustainability in our communities through  community and environmental preservation efforts. The projects we implement for the community and the environment are as equally important to PNIA members as their operations. These aren’t just projects, this is part of the core of our business goals,” emphasizes PNIA President Atty. Dante R. Bravo. He also shares that the members of PNIA have already supplied approximately half of the 2020 Philippine nickel production and 31% of total production from January to March for the current year 2021.   Bravo added that the increases were driven by the continuous uptrend in nickel prices and by the robust demand from China’s stainless steel producers. “Despite the ongoing COVID-19 pandemic, the country’s nickel industry remained resilient with a reported increase of 4% in production growth and 18% in export value citing a comparison of year-on-year data for 2019 and 2020 as posted in a recent report of the Mines and Geosciences Bureau (MGB),” Bravo said. The MGB report also highlighted that the industry’s total direct shipping ore production was P38.85 billion in 2020, even higher than the P31.79 billion in 2019. The MGB’s recorded data also revealed that between January to December of 2020, the nickel industry produced 27.17 million dry metric tonnes (DMT) of nickel ore which is higher compared to previous year 2019’s total production of 26.21 million DMT. “We are hopeful to maintain this growth momentum especially after the issuance of EO 130 that lifted the ban on new mineral agreements as it will pave the way for new mining projects and entice more investments in the mining industry,” adds Bravo. Bravo also strengthened PNIA’s collective commitment to industry sustainability efforts as he announced that PNIA members will soon release their performance report on their alignment with United Nations’ Sustainable Development Goals (SDG) before the year ends.

South Cotabato officials will take another look at the delayed USD5.9 billion copper and gold project of Sagittarius Mines Inc. (SMI) in Tampakan town in the wake of the government’s move to accelerate its operations amid the continuing coronavirus disease 2019 (Covid-19) pandemic. South Cotabato Governor Reynaldo Tamayo Jr. said on Monday they will evaluate anew the proposed mining project even as he reiterated the local government’s stance to only allow “responsible mining” operations in the province. He confirmed that he met late last week with officials of the Department of Environment and Natural Resources (DENR) led by Undersecretary Jim Sampulna to discuss the status of the mining project. “The government wants to push through with the pending mining projects, including the one in Tampakan, to help our economy recover,” he said in his weekly radio program. Also present in the meeting were Assistant Secretary Nonita Caguioa, Mines and Geosciences Bureau (MGB) acting director Wilfredo Moncano, MGB-Mining Tenements Management Division chief Danilo Deleña, and MGB-Mine Safety, Environment and Social Development Division head Marcial Mateo. Tamayo said he has no problem with mining as long as it is done responsibly, and that the people and the environment are protected in the process. He said that has been his long-time stance and those of the previous top officials of the province, which has a standing ban on open-pit mining as set in the Provincial Environment Code approved in 2010. But he said SMI officials declared in a recent meeting that they are no longer pursuing the controversial mining method. Tamayo said he asked them to make another formal presentation to the provincial government, especially to the Sangguniang Panlalawigan or provincial board, regarding their proposed mining operation. “We want to see all the angles of what they are planning to do in Tampakan,” he said. The Tampakan project, which started in 1995, failed to take off as planned due to various problems, among them the ban on open-pit mining in the province. The Regional Trial Court Branch 24 in Koronadal City dismissed in October last year a petition for declaratory relief and injunction filed by pro-mining groups against the provincial government over the open-pit ban. The mining project, once approved, “would be the largest in the Philippines and among the largest copper mines in the world,” a company briefer said. It estimated an average yield of 375,000 tons per annum of copper and 360,000 ounces per annum of gold in concentrate over a 17-year period of mining and ore production. The proposed mine site covers around 10,000 hectares situated in the boundaries of Tampakan, South Cotabato, and Kiblawan in Davao del Sur.    Article Courtesy of Allen Estabillo - Philippine News Agency

The role of women in the mining industry is a daily reality that needs more awareness, sensitivity and acceptance. Last 30 April 2021, Philippine Nickel Industry Association presented their third episode of the Nickel Initiative Talks and Webinars Series with the title “Promoting Sustainable Development by Advancing the Role of Women in Mining”. 

The Philippine Mineral Reporting Code or the “Code” was created to set out minimum standards, recommendations and guidelines for Public Reporting in the Philippines of Exploration Results, Mineral Resources and Ore Reserves.

Philex Mining Corporation, one of the oldest and largest gold and copper producers in Southeast Asia, has, after the completion of confirmatory drilling and related technical studies on the mining methodology and Tailings Storage Facility (TSF) No. 3, successfully identified from the end of 2022 additional mineable reserves in its Padcal Mine that are feasible for mining. The updated remaining mineable reserves as of end March 2021 are estimated at 30.2 Million tonnes with average gold and copper grades of 0.23 grams per tonne (g/t) and 0.18%, respectively. This new estimate includes additional reserves of 16.2 Million tonnes from the previously declared estimated mineable reserves as at end 2020 of 17.4 Million tonnes with an average gold and copper grades of 0.27 g/t and 0.18% that was reported in February 2021. The additional mineable reserves are expected to be mined over two years, extending the life of Padcal Mine until December 31, 2024. The latest mineable reserves estimate was undertaken by Engineer Ricardo S. Dolipas II, an accredited Competent Person by the Philippine Society of Mining Engineers (PSEM) under the Philippine Mineral Reporting Code (PMRC) Guidelines.  More importantly, the extended Life of Mine will ensure the continuous employment of 1,831 Padcal employees and support the social development of the Host Local Government Units (LGU) and neighboring communities especially in this time of COVID 19 Pandemic. It will also give more time for the Company to bring the Silangan Project to development and commissioning stages. The Company is currently processing all required permits and other regulatory requirements in connection with this impending Life of Mine extension.

The Department of Environment and Natural Resources (DENR) is still studying the possible lifting of the ban on open-pit mining, Malacañang said on Thursday. Presidential Spokesperson Harry Roque clarified that Executive Order No. 130, signed by President Rodrigo Duterte on April 14, does not include a lifting of the ban on open-pit mining. EO 130, which lifts the nine-year moratorium on mineral agreements, is to spur economic growth and support projects and programs of the government. “There is nothing in the executive issuance on mining which is EO No. 130 which lifts the ban on open-pit mining. I have conferred with [DENR] USec. Benny Antiporda and he says the matter is still being studied by the DENR,” Roque said in a Palace press briefing. He, however, reiterated that open-pit mining remains unacceptable for Duterte. In November 2017, Duterte said he agreed with the open-pit mining ban given the environmental damage it causes. Duterte, in his third State-of-the-Nation Address (SONA) on July 23, 2018, also warned the mining industry not to destroy the environment, saying environmental protection is one of his government’s priorities. “To the mining industry, I say this once again and maybe for the last time, do not destroy the environment or compromise our resources; repair what you have mismanaged,” Duterte said. Roque reiterated Duterte’s call to the mining industry to find other ways to extract minerals without destroying the environment. “But I understand from USec. Benny Antiporda that both the President and Secretary [Roy] Cimatu agreed that the mining industry must reinvent mining in a manner that would ensure that it is sustainable and would cost the least damage to the environment,” he added. Open-pit mining is allowed under Philippine law, but Duterte has rejected previous recommendations to lift the ban. The Philippines is the world’s biggest supplier of nickel ore and also among the top producers of copper and gold.

- 12 May 2021- MGB Director,  Atty. Wilfredo G. Moncano, presented mining industry updates during a virtual meeting of the Philippine Mining and Exploration Association (PMEA). - Executive Order No. 130, Section 1 which is lifting of Section 4, EO No. 79 - The moratorium on mineral agreement. - Moncano announces new MGB Regional Directors

The Department of Environment and Natural Resources (DENR) is targeting to facilitate the continuity of mining exploration projects in the country, the Philippine News Agency reported June 9. A still-unnumbered and soon-to-be-published DENR Administrative Order (DAO) will provide guidelines for automatic renewal of the exploration period covering such projects and timely declaration of mining project feasibility under various mining tenements, noted Mines and Geosciences Bureau (MGB) Mining Tenements Management Division OIC chief Danilo Deleña. He said the DAO will cover all exploration permits and mineral production sharing agreements, financial or technical assistance agreements, and other similar mining tenements under the exploration stage. "That DAO's issuance aims to ensure continuous conduct of exploration activities by all permittees, contractors and other holders of mining tenements,' he said Tuesday during the virtual MGB stakeholders' forum on government mining policies. The existing renewal process is for parties concerned to submit all required documents and pay the renewal fee so MGB can evaluate their applications and approve these if justified, he noted. He said MGB has been studying how to facilitate the process as several mining stakeholders already clamored for this, citing difficulty in complying with renewal requirements. "The DAO answers their clamor," he said. Such DAO will still require mining stakeholders concerned to pay the renewal fee and MGB to review their applications, he added. Unlike the existing renewal process, he said documentary requirements in the DAO are minimal but stakeholders must submit these 60 days before their respective exploration periods expire. "If all's well with their applications, they'll be automatically renewed," he said. According to Deleña, preparations are already underway for the DAO's publication in a newspaper of general circulation and submission to the University of the Philippines Office of the National Administrative Register. "We're hoping to have the DAO published in a few days," he said. MGB said of the Philippines' total land area of 30 million hectares, some nine million hectares have high mineral potential. However, only 2.42 percent of the country's total land area was covered by mining tenements as of May 31, 2020, noted MGB. The country's primary mineral commodities are gold, nickel and nickel products as well as copper, MGB said. Available MGB data showed mining contributed some PHP102.3 billion to the country's gross domestic product last year. National and local taxes, fees, and royalties from mining totaled PHP25.52 billion during the said period, MGB added.

Philex Mining Corp. distributed noche buena packs to PWDs, senior citizens, and front liners the company’s host communities in Barangay Tabaan Norte in Tuba, and Barangay Gumatdang in Itogon, both in Benguet province. After mining firms heeded the government’s call last year to help ease the nation’s burdens from the Covid-19 pandemic, over a million families and hundreds of thousands of front liners nationwide felt the industry’s all-out support in addressing their most pressing needs. From food, medicines, and PPEs in the early months of the lockdown, to healthcare infrastructure, education, and livelihood assistance, host and neighboring communities of mining projects continue to find solace in the industry amidst the lingering contagion. All told, the industry spent over P380 million in 2020 for Covid-19 initiatives from mining companies’ Social Development and Management Program (SDMP) funds, realigned to buttress the government’s pandemic response. A total of 1.1 million households and nearly 300,000 front liners all over the country benefitted from the effort. The SDMP is a 5-year budgeted plan for development programs in mining communities, which the Mines and Geosciences Bureau (MGB) has allowed to be realigned during this pandemic. Some companies even complemented their SDMP spending with Corporate Social Responsibility funds to ensure greater positive impact and to reach more beneficiaries. RELIEF, MEDICAL and LOGISTICS SUPPORT According to the MGB, the industry distributed nearly 390,000 relief packs and goods, over 6,000 boxes of medicines, some 1,600 hygiene and medical kits, 11,000 PPEs, 194,000 face masks, 5,000 face shields, 3,000 gallons of alcohol, 2,000 gallons of disinfectant and other cleaning supplies, as well as 4,000 units of other medical supplies. Mining firms also provided isolation units for communities, as well as food and logistics support for medical front liners, checkpoints personnel, rescue personnel and volunteers, Indigenous People (IPs), senior citizens, solo parents, and other vulnerable sectors. In the provinces of Nueva Vizcaya and Quirino, for instance, almost 19,000 households received medicines, PPEs and food supplies from OceanaGold Phils., Inc., whose Didipio copper-gold project has not been operating since July 2019 as it awaits the renewal of its contract with the government. Also in Nueva Vizcaya, FCF Minerals Corp. provided food supplies to 10,500 households in the towns of Quezon and Kasibu. Filminera Resources Corp. and PhilGold Processing and Refining Corp., for their part, capped their Covid-19 efforts in their host province of Masbate with a Christmas food distribution drive in nearby Albay for some 400 families – about 100 of them IPs – who were among the hardest hit by Typhoons Rolly and Ulysses. The companies also donated P5 million to help rebuild damaged houses and distribute relief goods following the 6.6 magnitude earthquake in Masbate. In Benguet, Lepanto Consolidated Mining Corp. (LCMC) and Far Southeast Gold Resources, Inc. opened their Casubigan camp to serve as the town’s temporary Covid-19 quarantine facility following the request of town mayor Frenzel Ayong. In addition, the company equipped its Lepanto hospital staff with complete PPEs, isopropyl alcohol, disinfectants, vitamin C, and other medical supplies. With the help of Lepanto weavers, LCMC provided all its 1,600 with face shields and 3-ply face masks. To stem the transmission of the virus, LCMC rolled out mass testing to over a thousand mine employees. Those who were found positive were sent to the company’’s temporary isolation facilities, with free meals for the entire quarantine duration. Also in Benguet, Philex Mining Corp. (PMC) lent support for the purchase of medicines by several barangays and to augment the government’s Social Amelioration Program (SAP). Aside from the SAP, the company gave cash assistance to families in Barangay Camp 3, Tuba. PMC, via its subsidiary Silangan Mindanao Mining Co. Inc. (SMMCI), likewise allowed the use of Silangan’s stockyard in Barangay Macalaya as temporary isolation facility of Placer town in Surigao del Norte. Cagdianao Mining Corp. (CMC) bankrolled the cost of materials and labor for the “Katre-Karpintero” program of Dinagat Islands Governor Arlene “Kaka” Bag-ao who sought to address the need for more beds in the province’s quarantine facilities in the province. “Equipped with sufficient materials,” she said, “150 beds were completed in record time (5 days). Of course this also provided extra income for our (21) carpenters.” The industry likewise supported the establishment of two molecular technology laboratories and a COVID-19 testing center, as well as the procurement of over 17,000 rapid test kits. Taganito HPAL Nickel Corp. (THPAL) partnered with Nickel Asia Corp. and its affiliates CMC and Taganito Mining Corporation (TMC) in donating P18 million to the Philippine National Red Cross that, in turn, will build a P28-million molecular testing lab in Caraga. The lab can help boost pandemic response in the region through faster diagnostic results, rapid identification of infected patients, and faster contact tracing to limit the spread of the virus. TMC donated some 5,000 rapid anti-body test kits (RATs) to Surigao del Norte to help detect possible cases of Covid-19 throughout the province. THPAL, on the other hand, provided the Claver town LGU with RATs, antigen test kits, a multicab and motorcycle, and an iChroma II antigen device, which has a higher accuracy rate in detecting Covid-19 than the standard rapid diagnostic equipment. Moreover, THPAL joined the Army 30th Infantry Battalion in providing relief goods to 489 IP families in Gigaquit town. Lt. Col. Jeffrey Villarosa, 30th IB commander, said the effort will help save the IPs from exploitation by rebel groups. Meanwhile, Platinum Group Metals Corp. (PGMC) provided 6,000 RATs and PPEs to the Caraga Regional Hospital, Surigao del Norte Provincial Hospital, Surigao City Health Office, and Claver Rural Health Unit. TVI Resource Development Phils., Inc. (TVIRD) turned over several boxes of PPEs to the Zamboanga Sibugay Provincial Hospital, while PMC donated PPEs as well to at least 5 hospitals in Baguio and 3 in Benguet. Face masks, face shields, disposable gloves, isolation suits, and goggles were turned over by PMC to Benguet governor Melchor Diclas and Baguio City mayor Benjamin Magalong. The same equipment were also distributed to the municipalities of Tuba, Itogon, Sablan, and Tublay for use by front liners. At the PMC corporate office, face masks were distributed to medical front liners at the Philippine Children’s Medical Center through the Alagang Kapatid Foundation Inc. Drums of alcohol were donated to the Philippine National Police – Cordillera Autonomous Region and wash stands were provided for the Benguet provincial government as well as to Barangay Ampucao in Itogon. Food assistance was also given to Barangays Ampucao and Dalupirip in Itogon. Various cash and rice donations were also given to the municipalities of Tuba, Itogon, and Sablan. While SMMCI’s copper and gold project is currently placed on extended pre-mine care and maintenance status, the company still donated PPEs to medical front liners within its host and neighboring communities. It also distributed surgical PPEs to the Caraga Regional Hospital in Surigao City, the Provincial Hospital in Placer, and the Municipal Health Offices of Placer, Tagana-an, and Mainit. To improve the Cagdianao town’s emergency response and speed up relief operations, CMC provided the LGU here an ambulance unit and a service truck. For its part, Sagittarius Mines, Inc. (SMI), which has not even extracted minerals in Tampakan, South Cotabato since the company’s inception in the 1990s, turned over a four-wheel drive truck to the LGU for its relief efforts in remote mountainous barangays. LCMC also donated a service vehicle to the Mankayan municipality. Local officials who received the donations for their respective towns said the transport equipment would drastically improve their logistics capabilities. PMC, on the other hand, provided funds for diesel fuel used by barangay emergency vehicles in hauling goods and ferrying medical patients and front liners to and from Baguio. Over in Cebu, Carmen Copper Corp. distributed health kits to 175 journalists from different media outlets in recognition of their contributions to the fight against Covid-19. LIVELIHOOD and FOOD SECURITY Mining projects also distributed some 92,000 sacks of rice to communities all over the country. Rio Tuba Nickel Mining Corp. (RTNMC) and Coral Bay Nickel Corp. (CBNC), for instance, donated P30 million worth rice for Palaweños following the call of Palawan Governor Jose Ch. Alvarez for a joint public-private sector effort to address the food security threat posed by the pandemic. PMC, meanwhile distributed sacks of rice to families in Barangays Camp 1, 3, and Ansagan in Tuba, Benguet, as well as in Barangays Ampucao and Dalupirip in Itogon. PGMC allocated P12 million of its P31-million Covid-19 assistance initiatives for the company’s Food Security Project, which aims to provide food on the table and, at the same time, a livelihood source for partner communities. Portions of the workforce that were displaced since the onset of the pandemic compelled the inception of this project, which is jointly funded by PGMC’s SDMP and Annual Environmental Protection and Enhancement Program budgets. Most of the produce from the project’s communal gardening-cum-organic vegetable farming, egg machines, and aquaculture components are bought and consumed within the community; some are bought by PGMC and its employees. The project, implemented in close coordination with the Claver municipal government and the Surigao del Norte Agricultural Office, has been lauded by the Department of Environment and Natural Resources as “one of a kind”. On the other hand, a bangus farming project sponsored by Hinatuan Mining Corp. – another Nickel Asia Corp. subsidiary based in Tagana-an, Surigao del Norte – yielded more than 1700 kilos of bangus in the project’s first harvest ever. Lilibeth G. Becera, President of the 90-strong United Fisherfolk Association of Bagong Silang said the harvest “is a big achievement for us small fisherfolk because the lockdown has limited our movement in the community and the bangus helped many of us during this quarantine.” Agata Mining Ventures, Inc. (AMVI), a subsidiary of TVRD, distributed more than 5,000 relief packs that included over 11,000 kilograms of organic vegetables from AMVI’s Mabakas Farm School – certified by the Technical Education and Skills Development Authority (TESDA) – and some of its 1,300 graduates. The recipients included the company’s employees in the its Agusan del Norte mine site and Mamanwa IPs, many of whom are farmers themselves who would have otherwise faced the risk of spoilage of their produce due to quarantine restrictions on transportation. In Carrascal, Surigao del Sur, meanwhile, Marcventures Mining and Development Corp. distributed vegetable seeds to urge residents to start their home garden and grow their own vegetables amid the ongoing health crisis. Dubbed “Gulayan sa Panimalay,” the program is part of the municipality’s food sufficiency strategy, where residents are encouraged to produce fresh and healthy food from their backyard to their tables, save on food expenses during the pandemic, while enjoying a steady supply of fresh produce from their own backyard. A project of the Department of Agriculture, the program also supports local rice farmers through financial assistance, free hauling services and direct purchase of their rice products at a competitive farm gate price. EDUCATION and SKILLS TRAINING SMI helped procure 642 transistor radios for students of Columbio Central Elementary School in Sultan Kudarat as part of the LGU efforts to promote the Department of Education’s distance learning program during this pandemic. Columbio town mayor Edwin Bermudez said the local radio station that SMI also helped establish is now being utilized for distance learning. Barangay Datalblao chair Bai Naila Mamalinta likewise attested that SMI has been providing support not only in the area of education, but also for the health and socio-economic well-being of her Blaan constituents for many years now. Back in Surigao del Norte, Taganito Mining Corp. recently turned over some 7,172 workbooks worth P2 million to the provincial government for the use of public schools in the province. The workbooks were handed over to provincial governor Francisco Matugas. Looking beyond the pandemic, Rio Tuba Nickel Mining Corp. and Coral Bay Nickel Corp. are poised to provide residents of Bataraza in the southern part of Palawan the opportunity to shape a brighter future when the company’s P42 million state-of-the-art training center opens after Covid-19. Once fully operational, the center will offer training courses, such as driving, scaffolding, welding, bread and pastry production, among others. The new facility will have audio-visual rooms and dedicated areas for various workshops, and will be equipped with conveyor belts, overhead cranes, vertical structure platforms, and electrical simulators for the training sessions. It will host classes for skills education and job-preparatory training based on the courses that TESDA offers. VACCINE In 2021, mining firms have been allowed again by the MGB to realign their SDMP and Safety and Health Program funds to procure Covid-19 vaccines for critical stakeholders. The Chamber of Mines of the Philippines welcomes the MGB decision as this will help support the vaccination of employees and members of host communities. More significantly, this will provide a big boost to the government’s Covid-19 vaccination program and help hasten the nation’s recovery from this pandemic.   Article Courtesy of the Chamber of Mines of the Philippines

Two Masbate-based companies Filminera Resources Corp. and Phil Gold Processing & Refining Corp., are poised to donate thousands of doses of COVID-19 vaccines to the workers of local government units in Masbate province, and will proceed further to vaccinate all Filminera and PhilGold employees. This is the latest of the firm’s set of resolute responses, which had already allocated P38 million wholly for anti-Covid 19 health defenses for their workers and residents of local government units in Masbate province. Earlier this year, Filminera and PhilGold had turned over two sets of CMAC video laryngoscope to the Masbate Provincial Hospital to enable the health facility to enhance the hospital’s success rate in treating patients with severe Covid-19 symptoms, leading to the patient’s recovery. Provincial Health Officer Dr. Luisito Co acknowledged the firm’s community commitments, saying: “The Filminera and Phil Gold medical equipment donations have made the Masbate Hospital the only medical facility in the entire Bicol region that has the CMAC laryngoscope.” A total of P38 million was reallocated from the two firms’ 2020 Social Development and Management Program funds for Covid assistance meant for the province of Masbate, municipality of Aroroy, and selected institutions in the Bicol Region. Of the P38 million total budget, P11.2 million was taken from Filminera’s SDMP funds, while P21.9 million was from PhilGold’s SDMP funds, and P5 million from PhilGold’s CSR funds was allocated to buy the ambulance unit, including the equipment. It will be recalled that an ambulance unit plus more medical equipment were donated to Masbate. At the height of the lockdown last year, the frontliners in the medical field, as well as the police force and municipal risk reduction and management office, received two months worth of food support through the mine site's catering services, PPEs and disinfectant materials A total of 21,320 families in the eight impact barangays and the 33 neighboring barangays in Aroroy received food packs. Weekly supply of food packs were given to those within the impact barangays, and two tranches of food pack distribution were donated to families living in the remaining 33 neighboring barangays. Other municipalities in Masbate province received  800 sacks (containing 50 kilos each sack) of rice to augment their relief food packs distribution. Medical supplies and disinfectants were also given to the Rural Health Unit of Aroroy. Filminera is the holder of the mining tenements and environmental compliance certificate, while PhilGold, wholly owned by Vancouver-based gold producer B2Gold, operates the processing plant.

The Mines and Geosciences Bureau (MGB) is updating the mineral resources and mineral reserves database on state-owned mining assets in preparation for their sale. About P21 billion in revenue can be generated by 100 mining projects in the pipeline, which can be used to help support economic recovery from the coronavirus pandemic, the MGB said in a BusinessWorld report. Updating the list of state-owned mining assets for sale will support government revenue, Environment Secretary Roy A. Cimatu said. “This is in preparation for the bidding and sale of mining assets to gain revenue and help the country recover from the economic devastation of the coronavirus disease 2019 (COVID-19) pandemic,” Cimatu said. MGB Director Wilfredo G. Moncano said some assets under the Privatization and Management Office (PMO) of the Finance Department have sufficient data and can be put up for auction soon. According to the MGB chief, the PMO and the Philippine Mining Development Corp. are responsible for the sale of the government-owned mining assets via auction. PMO mining assets include Pacific Nickel Philippines, Inc. in Surigao del Norte; North Davao Mining Property in Davao del Norte; Maricalum Mining Corp. in Negros Occidental; and Marcopper Mining Corp. in Marinduque. President Rodrigo R. Duterte signed Executive Order No. 130 on April 14, which removed the nine-year ban on new mineral agreements and allowed the review of current mining deals for potential renegotiation. MGB Director Wilfredo G. Moncano said some of the information required for a possible sale is the volume of mineral resources and reserves, and the technical basis for the estimates. “A mineral resource refers to the concentration of materials of economic interest found in the Earth’s crust, while a mineral reserve is the economically mineable portion of a mineral resource,” Moncano said in a statement. He identified Basay Mining Corp. in Negros Oriental, which ceased operations in 1983, and the Marinduque Mining and Industrial Corp. in Samar, which was foreclosed by the Development Bank of the Philippines and the Philippine National Bank in 1984, as some of the idle government mining assets to undergo the review.

Black sand mining has been “massive” along the Luzon coastline with Chinese miners extracting the mineral with heavy equipment and shipping them out in barges, Probinsyano Ako party-list Rep. Jose “Bonito” Singson Jr. said during a House committee hearing last week. The situation warrants the imposition of a ban against exporting black sand ore, or magnetite, an ore of iron used in steel production, the lawmaker from the Singson clan of the Ilocos region said in a CNN Philippines report. Singson authored House Bill No. 6321, which seeks to prohibit the exportation of black sand and its derivatives in its raw form to other countries. “[Chinese miners] would bring their barge and then they would use massive machinery to extract the black sand from our shoreline,” Singson told the House Committee on Natural Resources in a CNN Philippines report. Ronald Recidoro, Chamber of Mines of the Philippines executive director who attended the virtual hearing, shared a similar observation. “It appears the contractor is helping by dredging the river, but why does the contractor cart out black sand? When you dredge, you just put it aside,” he said in a separate interview. Recidoro added that the regulatory regime for magnetite black sand really needs to be reviewed, since the national government currently has no oversight function on this. Black sand mining should be covered by national policy, such that the national government should keep watch over black sand miners whose operations span as far as Cagayan province, which is prone to massive flooding, both Singson and the Chamber of Mines said. Raw black sand should first be processed locally to create a domestic industry that generates jobs, they added. “We have steel manufacturing plants in Iligan that use only recycled steel/iron and imported iron as raw materials,” Recidoro said. Industry data show black sand mining exists in the Ilocos Region, including Cagayan province, as well as in Leyte. The Ilocos Region faces the South China Sea or the West Philippine Sea that China increasingly has been trying to militarize. China’s huge appetite for steel has brought it closer to Philippine shores, which Singson said is a red flag as Luzon’s coastlines are receding.

Benguet Corp. reported on June 2 that its net income jumped over nine times in the first quarter from a year ago. The listed miner is riding high on the momentum of "exceptional operating performance" in 2020 after the Department of Environment and Natural Resources lifted the suspension of its nickel operation in Zambales province. Benguet said it registered consolidated net income of P518.6 million in the first quarter of 2021, up from P56.7-million net income in the same period last year. The company said consolidated revenue also grew by more than three times in the three-month period from a year earlier. “The 915-percent increase in after-tax income was the result of combined earnings from its gold, nickel and lime projects which accounted for total consolidated revenue of P1.3 billion in the first quarter of this year or over three times of last year’s revenue of P408 million,” the company said in a statement. While cost and operating expenses unavoidably went up by 68 percent year-on-year to P571.1 million on higher corresponding production, Benguet said selling expenses and payment of excise taxes and royalty fees to the government, prudent cost management, substantial nickel export, and improved gold production volumes supported the big positive variance. “Amidst the pandemic, the company is steadily pursuing a growth strategy as it continues to implement precautionary measures to protect the health and safety of its employees, contractors and the host communities,” Benguet Corp. said.

Last December, Apollo Global Capital’s (PSE: APL) subsidiary, JDVC Resources Corporation, announced that Department of Environment and Natural Resources granted them a permit to start the commercial operations of the country’s first offshore magnetite iron mining project. According to JDVC and APL consultant, Jun Herrera, the mining operations in Cagayan are expected to start by mid or end of February. He said that the first newly-built deep sea mining vessel arrived in Cagayan and needed to take shelter for now due to strong sea currents. In relation to this project, they assured the government that there will be minimal impact on the marine ecosystem as per the studies and survey conducted by a Singapore-based company. Their study shows that there is no coral or aquamarine life within the mining area which is located 150 meters below sea level. Herrera stated that three more vessels are expected to arrive this year. The vessel is capable of commercial extraction, sampling, testing and production of magnetite iron. [1] With regards to the apprehension of some residents of Ballesteros in Cagayan that this offshore mining operation will destroy the coral ecosystem, APL addressed the issue by stating that such assumption by the locals has no basis. APL stated last January, “We won’t even be mining in their waters. In the first place, our mining operation will be in the waters of Buguey and Gonzaga towns, and at a distance of over 14 kilometers. That’s more than two horizon lengths away from the shoreline.” Lazaro Ramos, a resident of Ballesteros, sent a formal complaint to DENR Secretary Roy Cimatu. Ramos warned them of the possible “catastrophe” that the offshore mining will bring about should it resumes. He mentioned in comparison a study conducted by Craig Smith from the University of Hawaii regarding the ocean seabed in the NE Pacific abyssal waters. APL, however, contradicted this argument by Ramos and said that the study by Craig Smith is applicable to a different part of the ocean and not necessarily comparable with the mining site in Cagayan.  “That’s a different part of the Pacific. It looks at the ocean bed more than 200 meters below sea level, whereas we can only go down to 150 meters with current technology. Moreover, the Smith study did not look at magnetite iron reserves. From the experience of countries like Indonesia, Japan and New Zealand, magnetite iron is known to be toxic to corals, fish and other aquamarine life.” Moreover, JDVC emphasised on the study results done by the Singapore-based survey company whom they commissioned to conduct a full “sea bottom profile” of its mining tenements off Cagayan. As mentioned, their study reveals no corals or aquamarine life in the area. APL also reported that they have done their part in coordinating with the locals and providing corporate social responsibility activities for the residents of Buguey and Gonzaga. “We’re proud to say that over 90 percent of the residents support us and are even anxious for us to get started.” According to Herrera, the municipalities of Aparri, Buguey and Gonzaga received funding from the Development Bank of the Philippines. These are the municipalities covered by the mining project. DBP grated JDVC a grant worth $8-million credit line for the magnetite iron mining project.   Herrera said, “We have proven to them [DBP] that it’s environmentally safe.” He added, “The DBP loan has zero borrowings yet as of now, hence, our company remains to be zero debts and internally funded by our shareholders. The DBP loan will only kick off once we have the letter of credit presented to the bank for the discounting the letter of credit of export buyers, to obtain a 90-day working capital, to fund the production of the ordered iron ore.” This project is seen as profitable, because magnetite mining has a strong market globally. In China, for example, they consider the steel industry as their “roadmap for their economic recovery”. Herrera mentioned that JVDC is an ISO-certified company. This means that there is an assurance that they shall comply with environmental standards. With all these assurances of a promising mining project ahead, some still have apprehension about it, perhaps rooting down to past incidents. In November 2020, the Cagayan Valley region was greatly affected by the Super Typhoon Rolly and Typhoon Ulysses. The two simultaneous typhoons are classified as category-5 and category-4 tropical cyclones respectively. As an effect, the devastation was great marked by massive flooding in Isabela and Cagayan provinces. [2] The residents in those areas blame the National Irrigation Association (NIA) for the flood when they opened the floodgates of the nearby Magat Dam on the last minute. The two provinces were submerged in high waters as high as a two-storey building. NIA on the other hand firmly contradicted such claim and explained that the release of water from Magat Dam was not the main cause of flooding. NIA points out that proper and sufficient warnings were given to those communities in low-lying areas. Additionally, they stated that the volume of water released was only 25% of the carrying capacity of the Cagayan River. The river is the longest stream in the Philippines that serves as the catch basin of the nine provinces in three regions. [2] Aside from the two typhoons, a second issue related with the river was about the illegal magnetite mining at the mouth of the Cagayan River in the municipality of Aparri. The provincial board of Cagayan appealed to President Rodrigo Duterte in 2019 to stop the dredging operations of Pacific Offshore Exploration, Inc. (POEI) due to potential threat to the environment and the livelihood of the locals. The Chinese company Zhong Hai Gravel Group headed by Dong Biao Su is POEI’s partner in that operation. The company was controversial recently after the Bureau of Customs and the Philippine Coast Guard raided its Zhonhai 68 dredging vessel during a maritime security patrol off the Bataan coast. “Bureau of Customs are poised to issue a warrant of seizure and detention against the undocumented vessel.” However, the Chinese Embassy in Manila claimed that the vessel is technically non-Chinese because it is registered under an African flag of convenience. [2] Currently, JDVC Resources Corp. is the first and only company that was granted a declaration of mining project feasibility by Department of Environment and Natural Resources (DENR) to extract magnetite sand and other minerals in Cagayan. In response to Cagayan’s decade-old black sand mining problem, the launching of Cagayan River Rehabilitation Project last February 2 is seen to solve the problem. DENR stated early in February that mining regulations will strictly monitor the extraction of magnetite or black sand in the coastal waters and rivers of Cagayan province. [3] With regards to APL’s/JDVC Resources Corp.’s offshore magnetite iron mining, MGB Director Wilfredo Monaco stated the project has gone through an environmental impact assessment system processes and the company has secured an environmental clearance certificate (ECC) from the Environmental Management Bureau (EMB). [3]  “JDVC has undergone environmental impact assessment and the company was issued an ECC, which means environmental issues have been considered by the EMB,” Moncano stated. Magnetite or black sand mining is supposed to be banned in the Philippines, but Moncano explained that the extraction of the said mineral offshore is allowed. He said, “Mining in shoreline is prohibited but offshore mining is allowed.  If it is at least 1,500 meters from the shoreline going out to the sea, it is allowed.” He also assured that the company’s operation will be monitored by the MGB and EMB, that in case of any destruction or damage to the coastal or marine ecosystem by JDVC Resources Corp., there will be a corresponding penalty under the mining law. “What is important is that the JDVC will not cause damage to the coastal or marine ecosystem,” he said. As for mining in rivers like in the Cagayan River, it is also allowed as long as the primary purpose of the project is river rehabilitation or restoration. One example is their plan to extract some 7 million metric tons of sand to remove three of the 19 sandbars along is stretch. Moncano said that the DENR-MGB will also monitor the dredging operations because while the activity is primarily flood mitigation, the minerals to be extracted include magnetite sand. [3] Moncano stated, “Black sand mining is also part of the purposes that’s why we will assess the mineral content of the river channel. If the magnetite sand contained surpasses the threshold of 6 percent, we will charge the company of 4-percent excise tax.” He said that every shipment will undergo mineral assessment. (--Marcelle P. Villegas, PRJ) References: [1] Flores, Alena Mae S. (31 Jan. 2021). Manila Standard. "Apollo Global announces subsidiary’s start of magnetite mining operations in Cagayan". [2] Gamboa, J. Albert (5 Feb. 2021). Business World. "Building back better in Cagayan Valley". [3] Mayuga, Jonathan L. (4 Feb. 2021). Business Mirror. "MGB exec vows to keep tabs of Cagayan River magnetite quarry operations set to start in February".

After the tragic landslide that occurred at the open pit’s north wall at around 4:15 p.m. on Monday, 21 Dec. 2020,  Mines and Geosciences Bureau (MGB) 7 ordered the immediate suspension of the mine operations in Carmen Copper Corporation (CCC). According to MGB’s report last 22 Dec. 2020 on their official website, they stated “Initial investigations revealed there was no mining activity in the area on that day.” [1] On that day, landslide debris fell on the water at the pit bottom. This has an elevation of 41m above sea level. The landslide created a tsunami-like wave that reached an elevation of 105m in the southern portion of the pit where the workers were located. On 22 Dec. 2020, four fatalities were recorded along with six missing. [1] Further on, an assessment of the area was conducted by Director Pacquito Melicor Jr. (DENR Central Visayas Regional Executive Director), Director Armando Malicse (MGB 7 Regional Director), MGB Region 7 team, and Mine Safety, Environment and Social Development Division. CCC and Toledo City Disaster Risk Reduction and Management team continued their search and retrieval operations on a limited scale due to unstable condition. MGB 7 technical personnel continues its on-site inspection and investigation in accordance with R.A. 7942 (Philippine Mining Act of 1995) and the DENR Administrative Order Nos. 2010-21 (Consolidated IRR of RA 7942) and 2000-98 (Mine Safety and Health Standards). [1] A list of names of workers who died was given by CCC to the Toledo Police Station Chief, Lt. Col. Junnel Caadlawon. The second list contains the names of those who are still missing. [2] Those who died from the landslide are the following: Junil S. Lagola, age 44, from Barangay Don Andres Soriano, leadman Ernesto G. Caspe, age 54, from Dasmamac, Lutopan, checker Juan M. Tapang, age 44, from Don Andres Soriano Village, heavy equipment operator Dionisio Labang, from barangay Uling, Naga, backhoe operator/Anseca Contractor Those who are still missing are the following: Jose B. Carpentero, age 31, from Barangay Biga, heavy equipment operator from Mine Services Department Jonwel S. Herediano, age 33, from Barangay Don Andres Soriano, pump operator Simeon B. Laconas, age 33, from Barangay Biga, leadman - mine services department John Paul L. Resuelo, age 27, from Barangay Biga, heavy equipment operator Renante F. Sepada, age 35, from Barangay Bagakay, pump operator Alfred C. Tautho, age 33, from Barangay Mainggit, welder Carmen Copper Corp. (CCC) expressed their support and commitment to provide free education until college and allowances to all the children of its employees who died or are still missing after the tragedy last December. Based on a press statement of the company last 27 Dec. 2020, they have provided various forms of financial and other assistance to the immediate families of its deceased workers. [3] Additionally, CCC also offered employment opportunities for the victims’ next of kin, spouse and children. “CCC has given the same attention to the immediate family of the missing CCC employees and will afford them of the same commitments CCC provided to the family of the deceased,” according to the company’s statement. CCC also extended support to the family of the contractor who was among the victims. [3] On 8 Feb. 2021, Toledo City Mayor, Hon. Marjorie Piczon-Perales along with Vice-Mayor Jay B. Go met the families of the victims at the open shed of the City Hall Garden to provide them with “ayuda” or financial assistance. This was posted on the Toledo City Public Information Office social media page. The mayor granted the families of deceased workers the amount of Php15 million. For the victims who are injured, they were given Php5 million. Additionally, they were all given food packs. [4] On 29 Jan. 2021, the Office of Senator Christopher “Bong” Go distributed assistance to the Toledo City residents who were affected by the landslide in CCC mine. This was held at the Carmen Copper Recreation Center, Toledo City, Cebu. During the distribution, 248 families received meals, financial assistance, food packs, vitamins, face masks and face shields. Senator Go also gave bicycles and shoes to selected recipients, and computer tablets for their children to be used for online classes. Health and safety protocols were strictly implemented to avoid the further spread of COVID-19. The Senator was not present during the distribution but he sent them a video message with words of encouragement. [5] Senator Go also offered assistance to those who needed major medical operations such as heart surgeries. He urged those in need of such medical attention to seek assistance from any of the Malasakit Centers in the province. [5] While the local and national government along with CCC are busy sending assistance to the families of the victims of the December landslide, mining industry in general received backlashes from various groups who believe that the deaths and injuries could have been prevented. Barely a month before the landslide, there had been reports from residents of Barangay Biga in Toledo City who claim they warned officials of the MGB Central Visayas and CCC as well about large cracks in the village prior to the landslide. However, they said that their appeal was not properly addressed. [6] Biga Barangay Captian Pedro Sepada Jr. told a local newspaper in Cebu last 29 Dec. 2020 that prior to the landslide, barangay officials called for an emergency consultative meeting on 26 Nov. 2020 with representatives of CCC, MGB 7 and Biga residents to talk about the possible measures to be done after the cracks were discovered. Sepada said that MGB 7 Director Armando Malicse and CCC Vice President for Safety, Ignas Alburo were present. No representative from the Toledo City government was present. Sepada noted that during the meeting, they were not given a concrete response or alternative solution by CCC or MGB to provide assurance to the residents that they will all be safe while mining operations are ongoing. But Sepada said that they were simply told by MGB 7 and CCC officials that their place remained safe. [6] According to the local news reports in Toledo City, residents now believe the huge cracks caused the fatal landslide.      “It was only after the landslide last Dec. 21, that they declared our area to be unsafe within a radius of 600-meter distance from the pipeline of Carmen Copper. They now say it’s unsafe. What happened to their guarantee of safety before?” [6] Governor Gwendolyn Garcia said last December that they shall leave the investigation to MGB before implementing any course of action. She mentioned that she will leave it up to the MGB 7 to decide whether or not CCC has any liability.  Garcia said, “The investigation is not our expertise nor is that our mandate. MGB has already issued a suspension of operations and MGB is going to undertake the investigation. So let’s put things in proper perspective. While the investigation is ongoing, perhaps it is best to wait for the results.” [6] “I am not taking any sides. I want to be as objective as possible. However, there are some personalities who are not as objective because they have their own interest in Carmen Copper. They want to control so that they can do business with Carmen Copper. This is a warning to those who want to make it difficult.” Garcia also noted that CCC mining operations have given so much to Toledo City in terms of employment and the city’s development. She said that a thorough investigation is needed in order to prevent those with “personal interest” in the mining operations of CCC from ruining the lives of so many people working there. [6] Garcia assured the Province will provide assistance and support to the families of miners who died and those who remain missing after the landslide. [6] Renester P. Suraltra, a college professor wrote a commentary last December on SunStar Cebu with the title “Toledo tragedy: The untold story”. He wrote, “Who is always responsible for any mining accident? Is it nature or man? Who is at fault? Is it the bad weather or the safety engineer?” “Accidents may happen in the workplace but it can also be avoided. We can’t discount the fact that accidents can happen because of unsafe supervision, lack of situation awareness, and failure to identify the potential threat. That’s the job of the safety engineer under the direction and supervision of sympathetic and responsible management. If workers are dying frequently then responsible mining is a big issue.” “There is another lesson to be learned in the Toledo mining tragedy. We should never compromise safety and security. We can’t always blame nature out of man’s folly. One should think that the mining industry provides short-term revenue but long-term harmful effect on nature and the environment. Life is much precious than copper and gold.” [7] Acknowledgement: Ryan Peter Vivo Penaranda for Cebuano to English translation from some news articles   Reference: [1] Mines and Geosciences Bureau Press Release (22 Dec. 2020)."Carmen Copper Mine In-Pit Landslide Incident". [2] ANV (23 Dec. 2020). SunStar Cebu. "Listahan sa namatay, missing sa Carmen pit gipagawas". [3] WBS and PR (27 Dec. 2020). SunStar Cebu. "Carmen Copper Corp. commits to help landslide victims' families".  [4] Toledo City Public Information Office Facebook Page (8 Feb. 2021). "Families of the victims of the land in Biga Pit Gitagaan ug ayuda in Toledo". [5] Office of the Presidential Assistant for the Visayas Facebook Page (31 Jan. 2021). "Hundreds of Toledo City, Cebu residents affected by a copper mine landslide receive assistance from Senator Bong Go". [6] Sabalo, Wenilyn (30 Dec. 2020). SunStar Cebu. "Biga chief claims please ignored before landslide". Retrieved from - https://www.sunstar.com.ph/article/1881418/Cebu/Local-News/Biga-chief-claims-pleas-ignored-before-landslide [7] Suralta, Renester P. (27 Dec. 2020). SunStar Cebu. "Tell it to SunStar: Toledo tragedy: The untold story". Retrieved from - https://www.sunstar.com.ph/article/1881194