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MiningPhilippines News
Volume 2013 / Issue 2
Anti-mining case hurts country’s
investments, confuses investors 2
Philippine Mining Forum, tackles
Mindanao and Mining Act 3
COMP holds orientation for DepEd lesson
plan writers for Grade 8 curriculum 5
MGB announces no-mining zone map at
Mining Forum 6
“No go zones” map to cut areas open to
mining by half 7
COMP, DLSU, Robredo Institute
partner for seminar on
Basic Mediation Practices 8
COMP and members join Brigada Eskwela
effort in Pasig school 9
First National EIS Convention held
by DENR/PCAPI 10
SMI launches 2012
Sustainability Report 11
Philex wraps up four-month
rehab of Padcal 12
COMP to partner with
UP Pi Sigma Fraternity in
Open Debate Tournament 12
Benguet Corp. hosts 33rd COMP Annual
Tenpin Bowling Tournament 13
COMP intervenesin petitions againstthe Mining ActIn a motion filed with the Supreme Court, the Chamber of Mines of the Philippines (COMP) -- represented by former Chief Justice Reynato Puno and former Supreme Court Associate Justice Vicente Mendoza – asked the high tribunal’s permission to intervene in two petitions again challenging the constitutionality of the Mining Act of 1995.
In their submission, Puno and Mendoza
said the Supreme Court has already
decided on the constitutionality of the
Mining Act in the landmark La Bugal-
Blaan vs. Ramos case in 2004, a decision
penned by former Chief Justice Artemio
Panganiban.
COMP joined its member respondents in
asking that the petitions filed by former
Akbayan Rep. Risa Hontiveros and others
in March 2008 against Sections 80 and
81 of Republic Act 7942, or the Mining
Act, be dismissed.
It further argued that since the La Bugal
ruling -- the longest in Supreme Court
history which took six years for the high
tribunal to deliberate on -- there has been
no material change in the circumstances
of the Philippine mining industry.
In This Issue
Quarterly Newsletter of Chamber of Mines of the Philippines
“There is no compelling reason for the
high tribunal to abandon its previous
ruling. To have the Supreme Court
revisit its ruling so soon after its decision
became final in 2005, will definitely shake
investor confidence and destabilize a
critically needed industry,” COMP added.
About Php 173 billion (US$4 billion) in
mining investments have been poured
into the country since 2004 following the
high court’s ruling, making the industry
a significant contributor to national
development.
Those investments include billions of
pesos invested in the countryside—a
crucial driver of inclusive growth that
benefits all — by COMP members for
rural development projects, as all large-
scale mining operations are located in
remote or hard-to-reach areas of the
country, the Chamber added.
COMP member companies have
established viable mining operations
under RA 7942 and have existing
agreements with the Philippine
Government and expect these to
be honored, the Chamber said. “Our
members’ investments under these
agreements support job creation,
inclusive growth and poverty alleviation,
to page 5
2
The petitions against the Mining Act before the Supreme Court only hurt the country;s investments and confuses investors, the Chamber of mines of the Philippines (COMP) said.
“Mining investments include billions
of pesos invested in the countryside--a
crucial driver of inclusive growth that
benefits all--by COMP members for rural
development projects, as all large-small
scale mining operations are located in
remote or hard-to-reach areas of the
country”, said COMP Vice President for
Legal and Policy Ronald Recidoro.
“These investments support job
creation, inclusive growth and povery
alleviation, at the same time protect the
environment and uphold human rights,”
Recidoro added.
About P173 billion (US$4 billion) in
mining investments have been poured
into the country since 2004 following
the Supreme Court’s landmark ruling
in La Bugal-B’laan upholding the
constitutionality of the Mining Act or
Republic Act 7942, making the industry
a significant contributor to national
development.
While the mining industry as
represented by COMP believes that
the current fiscal regime already gives
government a fair and adequate share
in the proceeds from mining, it also
aknowledges government’s need
for additional revenues to fund its
development projects.
“The mining industry is always ready
to work with government in achieving
a revenue sharing scheme that will be
fair and equitable for all stakeholders,
government and investor alike,”
Recidoro said.
In a resolution of the Supreme Court en
banc dated June 25, 2013, the Chamber
was allowed to intervene in the petitions
filed by former AKBAYAN Partylist Rep.
Hontiveros, BAYAN member Casino, and
others.
COMP is represented by former Chief
Justice Reynato Puno and former
Associate Justice Vicente Mendoza.
Both are known constitutionalist, with
former Chief Justice Puno also widely
recognized as responsible for the
promulgation of the Supreme Court’s
Writ of Kalikasan.
The Chamber’s intervention, Recidoro
said, was necessitated by the fact that
the legal and economic interests of
its members - all large scale mining
companies - would be directly affected
by any decision that may be rendered by
the Court resolving the petition.
Recidoro said that the Mining Act
is world-class and at par with other
similar legislations of other countries
worldwide, such as Australia, Canada,
and the United States, in terms of
revenue sharing as well as environmental
protection and social development.
A stable fiscal and regulatory regime
is a necessary foundation upon which
mining investors will be encourage to
explore, develop, and ultimately operate
large-scale mines, the Chamber said.
COMP members have established viable
mining operations under RA 7942 and
have existing agreements with the
Philippine Government, and expect
these to be honored.
“Changing the regulatory regime will not
only undermine investments in mining,
but in other capital intense industries
like oil and gas. While government has
repeatedly said that changes will be
prospective. This, all the more effects
future investments as investors adopt a
wait and see policy.
Anti-mining case hurts country’s investments, confuses investors
2
The Chamber of Mines of the Philippines (COMP) will hold the Mining Philippines 2013 Conference and Exhibition with the theme “Moving Forward: Harnessing Opportunities” from September 10 to 12, 2013 at Sofitel Philippine Plaza Hotel.
Mining Philippines 2013 discusses the latest trends in the industry and the issues it faces, as well as the efforts of mining companies to further contribute to local and national development. It comes at a time when world metals prices are holding steady and the government is lifting its moratorium on mining applications, as it works on laying a clearer and more stable policy environment for the industry.
With over 500 local and international delegates expected to participate in the conference, and the region’s top mining companies and suppliers on hand to showcase their latest projects and prospects, the event offers remarkable business and networking potential for those in mining, minerals development, and allied industries.
3
As part of its information and education campaign for responsible mining, the Chamber of Mines of the Philippines (COMP) has launched the Philippine Mining Forum, a monthly event for the media designed to educate, inform, and give a better understanding of the mining industry as a positive contributor to the country’s social and economic development.
COMP successfully held the first
edition of the Forum last May 27,
with the theme “The Mindanao
Mining Agenda: Socio-Economic
Transformation” with support from
Sagittarius Mines Inc. (SMI).
Guest speakers were former Press
Secretary Jesus Dureza, B’laan tribal
chieftain Bai Dalena Samling, and
Tan Cailo, president of the Sta. Maria
Fisher Folks Association Inc. (SMFAI) in
Zamboanga del Norte.
In partnership with the Department
of Environment and Natural Resources
(DENR) and the Protected Areas and
Wildlife Bureau (PAWB), the Forum
was held at the Bulwagang Ninoy of
the Ninoy Aquino Parks and Wildlife
Center in Quezon City.
Over 20 reporters and media
organizations attended the Forum,
including representatives from GMA
News, the Inquirer, Philippine Star,
Business World, Business Mirror,
Philippine Mining Forum, tackles Mindanao andMining Act
Malaya, Sonshine News Network, and
DWIZ radio.
Dureza, currently president of Advocacy
MindaNOW Foundation Inc., said
responsible mining can bring about
peace and development and be a “life
changer” for the people in Mindanao.
In his presentation, Dureza said mining
companies can provide jobs and
livelihood to the people, which will be a
key to addressing hunger and poverty,
one of the root causes of insurgency in
the region.
“Poverty is always a trigger in peace
and order problems that we have,”
Dureza, who was presidential adviser
on the peace process during the Ramos
administration, stressed in a Business
Mirror report.
He also said mining companies should be
responsible enough to give something
back to the people and the environment,
the same way that communities should
be guardians of the environment and
partner of mining companies, being its
primary beneficiaries.
Dureza said Mindanao “is presently
troubled by illegal small-scale mining.
The entry of large-scale miners will
ensure responsible mining that will
be beneficial to various stakeholders,
particularly host communities.”
Benefits of responsible mining
Meanwhile, Bai Dalena Samling, the
female chief of the B’laan in Tampakan,
South Cotabato, said members of her
tribe are already benefiting from the
presence of SMI, the proponent of the
$5.9-billion Tampakan copper-gold
project.
“Without (SMI), maybe our children
would not be able to go to school until
now. There will still be no roads, no
water, or health centers,” Samling said.
Throughout 2012, SMI provided jobs
to more than 370 employees and 940
contractors; delivered community
health services to about 12,000 people;
provided financial support for tuition,
allowances and school supplies to
26,000 students; supported livelihood
opportunities for more than 6,000
households; reforested more than 340
hectares in partnership with community
groups, and contributed P1.8 billion
to the Philippine economy. (See “SMI
launches 2012 Sustainability Report”—
Editor)
Responsible mining has also “greatly
contributed” to the peace and order
situation in Zamboanga del Norte,
according to Cailo, a former Moro
National Liberation Front (MNFL) rebel.
Cailo now leads a group of 76 former
MNLF rebels that formed the Santa
to page 4
4
Maria Fisherfolk Association, and
noted in the Forum that they are now
living in peace as fishermen, getting
much-needed support from TVI
Resources Development Inc. (TVIRD)
that operates the Canatuan mine in
Siocon town.
Santa Maria is a coastal barangay in
Siocon town with the only port within
miles, which TVIRD uses to ship its
ores and bring in supplies. In 2012,
the company helped SMFAI acquire
a kubkoban, a large fishing boat that
the group built itself for almost a year
and now operates.
“Since our first expedition, the
kubkoban already earned a gross
income of P1,661,900, while every
crew member averages P3,000
[income] per expedition,” Cailo said at
the Forum.
“Now we have P148,000 in the bank
that we can use to purchase a delivery
vehicle,” he added in the Business
Mirror report.
Underscoring TVIRD’s contribution
to Zamboanga del Norte’s economy,
Dureza said: “I visited Siocon and have
personally seen how TVI’s presence
and economic activity elevated the
town from a third-class municipality to
first-class status.”
MGB announcements
Engr. Leo Jasareno, director of the
Mines and Geosciences Bureau (MGB),
delivered the Forum’s welcome
remarks on behalf of DENR Secretary
Ramon Paje and made some important
announcements:
• A draft bill on a new revenue sharing
scheme for mining would be filed in
Congress as soon as it resumes its session
in July, as the technical working group
assigned to prepare the draft bill was
to present it in a meeting of the Mining
Industry Coordinating Council (MICC) in
June.
• The MGB would release a no-mining
zone map, which identifies areas closed
to all mining activities, by June. (See
“MGB announces no-mining zone map
at Mining Forum” – Editor)
• A multi-sectoral team in every region
of the MGB was set to be established
by June. “This team will be reviewing
the performance of existing mining
operations within its regional scope every
two years, focusing on environmental
compliance,” Jasareno said.
In the context of the Forum’s theme,
Jasareno also reported that of the 397
mining contracts and permits issued by
the national government as of April, 123
or 31 percent are situated in Mindanao.
These include 106 mineral production
sharing agreements (MPSAs) out of
339 across the country, 16 exploration
permits out of 52 and one financial or
technical assistance agreement (FTAA)
out of six.
“The figures on operating metallic mines
are more interesting for Mindanao. Out
of the 38 operating metallic mines of
the country as of May, 20 or 53 percent
are in Mindanao,” Jasareno said in a
Philippine Star report.
Three major mining projects in
Mindanao include the Tampakan
copper-gold project of Sagittarius Mines
inc. in South Cotabato; the Boyongan-
Bayugo copper-gold project of a group
led by Philex Mining Corp. in Surigao del
Norte; and the Kingking copper-gold
project of Nationwide Development
Corp. in Compostela Valley.
Philippine Mining Forum
from page 3
4
5
To help develop awareness and appreciation of the importance of mining and minerals, the Chamber of Mines of the Philippines (COMP) held a “Mining 101” orientation for teachers tasked to develop lesson plans for Grade 8 students. This was held at the New Horizon Hotel in Mandaluyong City last May 18.
The orientation was the first step in
the efforts by COMP in partnering with
the Curriculum Development Division
of the Bureau of Secondary Education
(BSED) of the Department of Education
(DepEd) and curriculum development
experts under the K to 12 Program.
The goal is for students across the
country to learn about mining as a
vital industry for human survival and
as an important pillar of sustainable
economic prosperity.
The orientation was attended by
COMP holds orientation for DepEd lesson plan writers for Grade 8 curriculum
10 teachers, representing different
subject areas (English, Filipino, Science,
Technology and Livelihood Education,
Araling Panlipunan, and Edukasyon sa
Pagpapakatao).
Mr. Jose Bayani Baylon, vice president for
corporate communications of Nickel Asia
Corp.; Orly Oxales, COMP consultant and
deputy managing director of Stratbase;
and Engr. Rodalee Ofiaza of Sulu Sea
Minerals Management Corp., took turns
in orienting the teachers.
Jimbo Gulle, COMP Communications
Manager, facilitated the program with
Ms. Marivic Tolitol, Curriculum Project
Manager for DepEd.
Lesson plan writers, who are also teachers
in their respective schools, attended the
orientation meeting. They include Marlon
Daclis, Peter Tentoco, Angelo Espiritu,
Sheryll Gayola, Roselyn Salum, Jayson
Cruz, Johannsen Yap, Liza Alvarez and
Tolitol, under the direction of Dr. Jose
Tuguinayo Jr., BSED Curriculum Director.
The lesson modules will address various
topics and issues related to mining and
mineral development that need to be
clarified, debunked or in some cases
reoriented to be consistent with scientific
and fact based studies, according to
COMP consultant Oxales.
“This will also ensure relevance and
compliance with the DepED curriculum
standards,” added Oxales, who once
served as Director for Technical Services
of the DepEd from 1999 to 2005.
The modules “shall correct the
misconceptions, stereotypes, and in
some cases disprove mis-information
and false propaganda that demonize
the mining industry,” Oxales said. “At
the same time these lessons will seek
to enhance the learning experience
by providing educational material that
develops objective, scientific and critical
thinking skills,” he added.
COMP intervenes in petitions against the Mining Act
from page 1
and at the same time protect the
environment and uphold human
rights.”
COMP stressed that a stable regulatory
regime is a necessary foundation
upon which to encourage business
investment, foreign direct investment,
and the growth of industries. “An
adverse ruling by the high tribunal
on the petitions not only undermines
mining investments but also broadly
across all industries, severely impacting
the investment climate and harming the
country’s credibility. This will once again
be seen as changing the rules in the
middle of the game” COMP said.
The Hontiveros-led petitions, COMP
said, are issues for the Executive and
Legislative branches of government
to decide, and not lodged with the
Supreme Court or the judiciary which
is already overly burdened with more
important cases for its consideration.
“It also challenges not only the stability
of the decisions of the Supreme Court,
but also the high tribunal’s institutional
integrity,” it added.
Mining Philippines Newsletter
Official Quarterly Publication of the Chamber of Mines of the Philippines
Newsletter Staff:JIMBO OWEN B. GULECommunications Manager
COMP Communications CommitteeMark Williams, John Arnaldo, Roy Antonio, Ian Callow, Manolo Labor, Guillermo Feliciano Jr., Arnold Romero (Sagittarius Mines, Inc.); John Ridsdel, Kaycee Crisostomo (TVI Philippines); Rochelle Hilario, Atty. Francis Ballesteros (Philex Mining),; Michael Garcia, Rhea Roxas (Atlas Consolidated); Chito Gozar, Marie Joy Josue (OceanaGold Philippines); and JB Baylon (Nickel Asia Corp.)
For questions, comments, suggestions, and article or photo contributions, please [email protected], or contact (02) 635-4123 to 24, (02) 635-4159, and (02) 635-4160 (fax).
REVJON OBLEADesign & Layout
ARTEMIO F. DISINIChairmanBENJAMIN PHILIP G. ROMUALDEZPresidentNELIA C. HALCONExecutive Vice PresidentRONALD REX RECIDOROVice President for Legal and Policy
6
The Mines and Geosciences Bureau (MGB) announced a June 2013 release of a no-mining zone map, which identifies areas closed to all mining activities, during the first Philippine Mining Forum at the Bulwagang Ninoy of the Parks and Wildlife Center in Quezon City last May 27.
MGB Director Engr. Leo Jasareno made
the announcement during his opening
remarks on behalf of Environment
Secretary Ramon Paje at the Mining
Forum organized by the Chamber
of Mines of the Philippines (COMP),
supported by Sagittarius Mines Inc.
(SMI).
A check at the MGB website as of June
20, however, reveals no such map yet
in place. The bureau also has not issued
any statement on the no-mining zone
map’s actual release date.
“The no-go zone map is now being
finalized by the technical working
group (TWG) assigned by the Mining
Industry Coordinating Council (MICC). It
is expected to be operational by June of
this year, which means that very soon we
will put to rest the debate on which areas
are open or closed to mining,” Jasareno
said in a Manila Bulletin report.
“The map will make us decide whether
or not a particular portion of the country
is open or closed to mining. Since it is
an integrated map, it will also contain
the additional areas closed to mining
as provided by Executive Order (EO) 79,
like agricultural lands, tourism sites, and
critical habitat, among others,” he added.
MGB announcesno-mining zone map at Mining Forum
Jasareno pointed out that EO 79 was
issued on July 6, 2012 by President
Aquino to institutionalize mining
reforms in the country, as well as to
ensure environmental protection and
responsible mining in utilizing mineral
resources.
Under the implementing rules and
regulations of EO 79, areas banned
from mining were expanded to include
tourism development areas identified
not only in the National Tourism
Development Plan but also in local
development plans.
Other areas where mining is not allowed
include:
• Areas that have been expressly
provided for in Republic Act 7942 or the
Philippine Mining Act
• Protected areas established
under the RA 7586 or the National
Integrated Protected Areas System
(NIPAS);
• Prime agricultural lands;
• Lands covered by RA 6657 or
the Comprehensive Agrarian Reform
Law as amended
• Plantations and areas devoted
to valuable crops;
• Strategic agriculture and
fisheries development zones and fish
refuge and sanctuaries declared as such
by the Department of Agriculture; and
• Other critical areas, island
ecosystems and impact areas of mining
that the DENR may identify pursuant to
existing laws, rules and regulations.
6
7
The Integrated “No-Go” Mining Zones Map as proposed by the Technical Working Group (TWG) for Environmental Protection and Legislation of the Mining Industry Coordinating Council (MICC) would potentially reduce the areas open to mining by as much as 50 percent, to about 4.5 million bectares, the Chamber of Mines of the Philippines (COMP) learned.
The MICC TWG held consultation on the
no go zones, as directed by Executive
Order No. 79, was held last July 12 at
Malacanang, with the mining industry,
environmentalists and civil society
consulted in separate sessions.
The Chamber gathered that the
planned no-go zones map will
prioritize the Strategic Agricultural and
Fisheries Development Zones (SAFDZ)
as mandated by the Agriculture and
Fisheries Modernization Act or Republic
Act 8435.
Under the SAFDZ, entire provinces
will be declared tourism or agriculture
development zones, and thus closed to
mining, thereby cutting the areas open
to mining by half.
Representatives of the Chamber,
led by its Chairman Artemio F. Disini,
impressed upon the MICC TWG that
mining and mineral exploration are not
incompatible with agriculture, fisheries ,
and even tourism.
COMP also stated to the TWG that in
a policy matter as important as land
use, which impacts a whole host of
industries, the determination of what
priority uses should be for a given area
must be reserved for Congress as the
duly elected representatives of the
people.
Local government units (LGUs) and
communities should also have thier say,
and the decision of what activities to
allow, or what to ban, should not be left
solely only to the MICC, the Chamber’s
representatives added.
Planned overlays to the current no-
go mining zones map must also be
verified and corrected, as patented
mining claims and all approved mining
“No go zones” map to cut areas open to mining by half
tenements have not yet been excised
from the proposed map. The current
no-go zones also recognize exceptions
such as NIPAS protected areas.
The Chamber called for the TWG to study
the no-go zones more extensively, as
exclusions should not be based simply
on the topography of the areas but also
comparisons should be made on the
economic potential between two or
three possible economic activites - such
as mining, agriculture, tourism and etc.
COMP also proposed that mineral
exploration must continue to be allowed
so that the government will know what
it is giving up in favor of agricultural or
tourism activity.
8
To enhance the skills of its members in dealing with their respective local mine communities, the Chamber of Mines of the Philippines (COMP) partnered with the De La Salle University Jesse M. Robredo Institute of Governance in a three-day Training Seminar on Basic Mediation at the DLSU Taft campus in Manila from May 14 to 16.
The Robredo Institute, named in honor
of the late Local Governments Secretary,
developed the seminar that focused on
building the capacity of Corporate and
Community Relations Managers and
Field Officers of large-scale mining firms,
enabling them to engage in mediation
activities as a means of preventing
conflict and managing disputes with
local stakeholders.
Conducting the seminar was Jessica
Carter, an international consultant for
mediation and negotiation and current
Senior Advisor for Mediation Practice
at the Ministry of Business, Innovation
and Employment of the New Zealand
government. Dr. Francisco A. Magno,
director of the Robredo Institute,
was also on hand to welcome the
participants.
Carter has had extensive experience
teaching mediation and negotiation,
skills and ethics, and has delivered
COMP, DLSU, Robredo Institute partner for seminar on Basic Mediation Practices
capacity building programs to
mediators, business leaders, lawyers,
students, and community groups in New
Zealand, Australia, the United States and
the United Kingdom. She specializes
in multi-party mediation, negotiation
and facilitation, and has undertaken
training in extreme negotiations,
responding to crisis and managing
tense communications.
The seminar enabled the participants to
accomplish the following:
• To understand the basic concepts,
methodologies, and strategies in
mediation;
• To apply mediation approaches in
the context of actual problems and
challenges faced by the large scale
mining sector on the ground; and
• To facilitate the development of a
corporate mediation plan anchored on
actual field level experiences.
Representatives from Nickel Asia
Corp., Oceana Gold Philippines, Philex
Mining, Benguet Corp. and Lepanto
Consolidated Mining joined COMP
officials in the seminar, which marked
the second time that the Chamber and
DLSU’s Political Science Department
co-organized an event in 2013. The first
was the “Harnessing Mineral Resources
for Sustainable Development” mining
forum and CSR photo exhibit in January.
“The COMP is pleased to partner once
again with the DLSU Political Science
Department and Jesse M. Robredo
Institute of Governance, this time on
a very worthwhile capacity building
initiative on the subject of mediation,”
said Atty. Brenda Jane Angeles-
Mendoza, COMP vice president for CSR,
in her welcome remarks for the seminar.
“Mediation is no longer the wave of
the future, it is fast becoming the
preferred mode of dispute resolution
today,” Mendoza added. “I understand
that mediation puts premium on party
-- not lawyer -- empowerment and
preservation of relationships, as well as
culturally appropriate processes, where
parties seek to understand the nature,
stage, and sources of their conflicts
then pursue some problem-solving
exercise, where interests rather than
mere positions matter, and where they
strive to achieve mutually satisfactory
outcomes -- solutions that we may not
necessarily want but can live with.”
“It is for these reasons that our judicial
system has embraced mediation under
the general rubric of ADR (alternative
8
to page 10
Member companies demonstrated that responsible mining extends beyond mine sites and communities when they teamed up with officials of Maybunga Elementary School Annex in Pasig City in the Brigada Eskwela 2013 clean-up activity from May 20 to 24.
Officials of COMP and representatives
of Lepanto Consolidated Mining Co.,
Philex Mining Corp., TVI Resources
Development (Philippines) Inc., Far
Southeast Gold Resources Inc., Intex
Resources, MRL Gold, San Beda College
of Economics, and the Philippine Mine
Safety and Environment Association
joined teachers and parents of the
Barangay Maybunga community in the
Brigada effort.
A project of the Department of
Education, Brigada Eskwela is a
nationwide voluntary effort which
started in 2003, bringing together
teachers, parents and the community
to clean up and repair public schools
and prepare the facilities for the school
opening.
COMP and its members donated
cleaning supplies and equipment,
and Intex/MRL Gold donated an
additional 10 electric fans for Maybunga
Elementary, which Principal Myrna J.
Visaya accepted in behalf of the school
located along West Bank Road of the
Floodway area.
Barangay Chairman Jun-Jun Concepcion
thanked COMP and the volunteers, who
staged a brief parade around the school,
during the opening program.
“On behalf of COMP, I would like to
thank you for your active participation,
and for those who pledged to go back
there in the coming days to continue
cleaning,” COMP vice president Brenda
Jay Mendoza said. She said the effort at
Maybunga “will be featured by DepEd in
their national and regional newsletters.”
“I think we have made a point during
the activity that while COMP members
are responsible miners in their
respective communities, particularly
felt through the mandated SDMP
(Social Development and Management
Program), many companies go over
and beyond the legal requirements and
outside their immediate communities
through this type of CSR activity,”
Mendoza added.
COMP also thanked Philex for arranging
to bring a TV5 news crew to cover
the entire event. Mendoza was
interviewed on camera and appeared
in the combined news report on the
Brigada that included sound bites from
celebrities and Education Secretary
Armin Luistro.
9
COMP membersjoin Brigada Eskwela effort inPasig school
proceedings. Now, we have an Office
of ADR under the DOJ (Department of
Justice),” Mendoza said.
In mining situations, Mendoza said
mediation may be useful in processes
involving the EIA (Environmental
Impact Assessment), FPIC (Free Prior
and Informed Consent), protected area
management, grievance mechanisms,
consultation on the SDMP (Social
Development and Management
Program), CSR, and post-mining
scenarios, among others.
dispute resolution); even Congress
enacted an ADR law which mandates
all agencies to promote and integrate
the principles of ADR in their respective
10 10
The Chamber of Mines of the Philippines (COMP) and its members were active participants in the First National Convention on the Philippine EIS System -- catering to Environmental Impact Assessment (EIA) practitioners across the country -- held last June 19 to 21 at the Manila Hotel.
Organized by the Department of
Environment and Natural Resources
(DENR)-Environmental Management
Bureau (EMB) with the Pollution
Control Association of the Philippines
Inc. (PCAPI), the convention promoted
“a common understanding and
appreciation of the Philippine EIS
(Environmental Impact Statement)
System among its various stakeholders.“
COMP member Sagittarius Mines Inc.
(SMI) was a major sponsor, and Oceana
Gold, Coral Bay Nickel, Taganito Mines,
and Far Southeast Gold were sponsors.
Representatives from Philex Mines,
Platinum Group Metals Corp., and FCF
Minerals attended the convention.
Atty. Brenda Jay Angeles-Mendoza,
COMP vice president for corporate social
responsibility, also served as facilitator
in various plenary sessions on the
“Historical and Regulatory Framework
of the Philippine EIS System,” “Forging
Partnerships,” “Setting Standards,” and
“Moving Forward.”
Joselito Bacani, former Chairman of the
COMP Environment Committee, spoke
and delivered a paper on “Challenges
and Opportunities in Environmental
Management: Perspectives on EIA
Compliance and Related Initiatives of
the Chamber of Mines of the Philippines”
on the second day of the convention.
Bacani reported that COMP,
“notwithstanding the challenges
in complying with EIA and related
regulations, continues to work
towards strengthened environmental
management that is consistent with EIA
objectives by taking initiatives (among
its members) and seizing opportunities
(internationally-recognized standards
and practices) for improved compliance
and responsibility.
He mentioned that COMP developed
the book Compliance and Beyond:
A Corporate Social Responsibility
Guidebook for the Philippine Mining
Industry, “which seeks to encourage
its members not only to comply with
the law, but to undertake voluntary
initiatives that demonstrate its
responsibility to mitigate the social
and environmental impact of mining
First National EIS Convention heldby DENR/PCAPI
activities, fostering community growth
and development.”
Bacani also reported that COMP
was accepted as a member of the
International Council on Mining and
Metals (ICMM) in 2012. “The ICMM
principles seek to guide the mining
industry in continually improving
its environmental performance,
contributing to biodiversity
conservation and integrated approaches
to land use planning,” he said. “Initiatives
related to this are urged to be measured,
monitored, managed, and disclosed in a
Sustainability Report using the Global
Reporting Initiative (GRI) framework.”
While the mining industry is “still in
a pioneering stage in demonstrating
the results and outcomes of its
environmental management efforts
through the EIA process and other
best practices tools, Bacani said COMP
remains positive “that the country’s
evolving mining industry, with its
stronger commitment toward bringing
progress that is also socially and
environmentally sustainable, will reach
that point where mining matters.”
Other representatives to the convention
came from companies in the oil and
power sector, national government
agencies, local government
units, academic institutions, non-
governmental organizations and civil
society groups.
Basic Mediation Practices seminar
from page 8
11
Real stories of real people from Southern Mindanao captured the hearts and minds of people during the Sustainability Report launch of Sagittarius Mines Inc. (SMI) on June 6. The Manila launch was the culminating event after two other rollouts in Davao City on May 29 and Koronadal City on May 31.
A member of the Chamber of Mines
of the Philippines (COMP), SMI is the
contractor of the Philippine government
and holder of a financial and technical
assistance agreement (FTAA) that
manages the Tampakan copper-gold
project in Southern Mindanao.
SMI general manager for external affairs
Mark Williams said he was pleased to
share the 2012 Sustainability Report
with national government and business
leaders who attended the launch.
“Our achievements in sustainability to
date demonstrates our commitment
to achieving shared goals for the
region, improving social and economic
prosperity to enable a brighter future for
generations to come,” he said.
Throughout 2012, SMI provided jobs
to more than 370 employees and 940
contractors; delivered community
health services to about 12,000 people;
provided financial support for tuition,
allowances and school supplies to
26,000 students; supported livelihood
opportunities for more than 6,000
households; reforested more than 340
hectares in partnership with community
groups, and contributed P1.8 billion to
the Philippine economy.
Aside from the Sustainability Report
magazine, the launch showcased the
stories of SMI’s different stakeholders
who benefited from the companies
programs—on education, livelihood,
healthcare, resettlement consultation
and responsible mining advocacy
campaign.
The event touched on “a-day-in-the-life”
of a 73-year-old B’laan elder, Masalio
Sumangay, who has witnessed all the
changes that happened in her tribal
community. Sumangay said during the
dialogue with stakeholders that she felt
better now that she was seeing progress
everywhere and life for her people has
become more comfortable.
Her daughter Dalena, one of the tribal
chieftains, goes to many meetings to
promote responsible mining and tell
people about the benefits of mining.
Sumangay said SMI’s sustainable
programs should benefit all tribal
communities and barangay within the
project area so that the indigenous
peoples would not be jealous of the
benefits that one tribe was enjoying.
The video also featured Servanda
Enojales, a barangay health worker;
Rosario Pangilan, an abaca weaver; Ellen
Mae Ambat, former SMI scholar and
instructional manager/adult literacy
teacher; Cristie Carillo, former SMI
scholar; Allan Lorenzo, a resettlement
committee member and councilor of
Barangay Pula Bato; and Lolit Morales, an
advocate from the ‘Seeing is Believing’
program and official representative
of the Inter-Evangelical Christian
Community Group of South Cotabato.
“People should hear the truth about
responsible mining,” Morales said when
she was asked to be part of the panel
of stakeholders who shared her story in
SMI’s Sustainability Report launch.
Lorenzo said that since 1997, the
Barangay Community Development
Fund amounting to P1 million (later
increased to P3 million) has helped
them since the programs of the mining
company focused on barangays.
Ambat, for her part, encouraged the
youth to value education and avail
themselves of the scholarship programs.
She wanted to give back to her tribal
community and took advantage of
SMI’s program to teach adults like her
parents who wanted to finish secondary
education.
Enojales, meanwhile, attested to the
big improvement and accessibility of
healthcare services by the residents
of Kimlawis. She said: “I used to walk
four hours of muddy road just to reach
this barangay. Now, because of the
improved roads and availability of
transportation provided by SMI, I am
able to give children their immunization
and assist in giving the medical needs of
the barangay once a month.”
Pangilan’s family income has improved
tremendously because he was one of
the 30 farmers who were given a start-
up capital of P5,000 to grow and weave
abaca. He was able to enroll his four
children to school and provide decent
food on the table daily.
SMI launches 2012 Sustainability Report
12 12
Philex wraps up four-month rehabof Padcal
suspended in August 2012 after its
tailings pond collapsed.
Late in February, the Mines and
Geosciences Bureau (MGB) allowed
Philex to reopen a portion of the Padcal
gold and copper mine to conduct
remediation measures for its Tailings
Facility Storage Number 3.
Philex has also paid P1.034 billion
in penalties to the Department of
Environment and Natural Resources
(DENR) for the spill that affected Balog
Creek and Agno River.
“The major work has been the
construction of the spillway, which
should be finished by the end of this
month,” Pangilinan told reporters.
Pangilinan pointed out that Philex, the
country’s largest miner, has substantially
filled up the sinkhole that caused the
operations to halt almost a year ago.
Moving forward, Philex is planning to sell
more than P12 billion worth of shares
to finance other projects, including the
construction of a new tailings pond in
Benguet.
Proceeds will also be used to fund an
exploration program of the Silangan
and Kalayaan mining projects in Surigao
del Norte. The former is expected to
begin commercial operations by 2017.
The equity offering, Pangilinan said,
will depend on the government
allowing Philex to proceed with normal
operations. In April, shareholders
approved the P12.3-billion stock rights
offering that will support the repayment
of loans from First Pacific Group.
Philex Mining Corp. is expected to finish the rehabilitation of its Padcal mine in Benguet in August, paving the way for the sale of additional shares to finance projects in the facility, according to a report in the Philippine Star.
“Rehabilitation has proceeded well.
Actually, we’re already at the tail-
end of the process,” Philex chairman
Manuel V. Pangilinan said in the report.
“We are now applying for the lifting
of the mining suspension and that is
pending.”
Operations of the Padcal mine were
COMP to partner with UP Pi Sigma Fraternity in Open Debate Tournament
To better discuss issues about mining in a scholarly forum, the Chamber of Mines of the Philippines (COMP) is partnering with the Pi Sigma Fraternity of the University of the Philippines (UP)-Diliman in the latter’s Pi Sigma Month 2013, highlighted by an Open Debate Tournament from August 8 to 31.
COMP is signing up as a co-presenter
of the event – like its member Nickel
Asia Corp. -- and will provide debate
propositions, judges for debate
matches concerned with mining,
and guest speakers for both the
debate matches and educational
discussions with Pi Sigma.
The debate tournament is the annual
flagship event of the 40-year-old
fraternity, which hosts different
events to promote its twin principles,
“Paglingkuran ang Sambayanan”
(Serve the Society) and “Paragon of
Scholarship.”
First organized in 1988 to promote
socio-political awareness through the
intellectual process of debate, the
tournament has been “the biggest
and most anticipated event in the
university” according to Pi Sigma. It has
also been the longest running debate
tournament not only in the Philippines
but in Southeast Asia spearheaded by a
fraternity.
Venues for the event are the UP Claro
M. Recto Conference Hall and the
UP Malcolm Theater, both at the UP
Diliman Campus. The tournament is
expected to draw teams from colleges
and institutions across the UP System.
Apart from the Open Debate
Tournament, other activities of Pi Sigma
Month 2013 include an essay writing
contest, a photo contest, an “Open
Tambayan Celebration,” the “Canticum
Servitium – Music for the People”
concert, and a Miss University beauty
pageant.
13
Benguet Corp. hosts 33rd COMP Annual Tenpin Bowling TournamentSixteen teams led by defending overall champion Philex Mining Corp. returned to the lanes as the Chamber of Mines of the Philippines (COMP) launched its 33rd Annual Tenpin Bowling Tournament on June 4 at the Coronado Lanes of the Starmall Shopping Complex in Mandaluyong City.
Benguet Corp. is sponsoring this
year’s tournament, which has four
teams fewer than the 20 squads that
joined the 2012 event but is no less
competitive, as COMP members
enjoy the opportunity for stronger
camaraderie and friendly competition
that the weekly bowling contests
bring.
Atlas Mining and Carmen Copper
sponsored the previous year’s
tournament, which brought together
COMP members from the exploration,
mining, mineral processing, quarrying,
cement, oil and gas, and service
industries, as well as professional
associations.
Marcelo A. Bolano, Senior Vice
President of Benguet Corp., gave the
inspirational speech in the program
that opened the tournament. Nilo
Thaddeus P. Rodriguez, Benguet
VP for Systems & Audit, delivered
the welcome remarks, and COMP
Communications Manager Jimbo
Owen B. Gulle addressed the bowlers
in the opening remarks.
Other Benguet Corp. officials played
parts in the opening program. Rebecca
Rapisura, Division Manager, led the
Invocation; Raymond Cortez, Business
Development Manager, led the Oath
of Sportsmanship; and Pablo Gabriel
R. Malvar, Vice President of Business
Development, declared the tournament
open.
Tournament director Christian Kho of
Cathay Industrial Mill Supply introduced
the participating teams. Apart from
Philex, Benguet, Cathay Industrial and
COMP, the other teams include:
• Lepanto Consolidated/Far Southeast
Gold
• Atlas Consolidated/Carmen Copper
• Orica Philippines
• Civic Merchandising Inc.
• Filminera Resources/Masbate Gold
Project
• Philippine Associated Smelting and
Refining Corp. (PASAR)
• Quest Exploration Drilling (Philippines)
Inc.
• Atro Mining Corp.
• National Mapping and Resource
Information Authority (NAMRIA)
• Geological, Exploration and Drilling
Supplies (GXD)
• SGV&Co./Ernst&Young
• FAG Bearing Center
Philex’s 10-man squad nearly swept all
awards, including the championship,
to retain the overall crown in the 2012
tournament, awarding rites for which
were held at Dads Kamayan Saisaki and
Sambokojin Restaurant in SM Megamall
last February 1.
Amada Zabala, executive assistant to
Philex President and COO Eulalio Austin,
retained her trophies in the High Single
Scratch, High Single with Handicap,
High Series Scratch, and High Series
with Handicap categories — the same
categories she won in the event’s Ladies’
Division.
Philex’s Emylin Paragas, accounting
supervisor, and assistant manager for
Exports Danilo Papasin said it was the
fourth time Philex Mining became the
overall champion since 1990 after the
event’s maiden tournament in 1980.
Philex Mining earned an overall score
of 319.198 points, followed by the
combined team of COMP and Mines
and Geosciences Bureau with 314.342,
Filminera Resources (296.738), and FAG
Bearing Center (296.713).
