Mind The Now Ate News Special Issue

at en ews speci al issu e

a primer on mining in the philippines and mindanao

Special FeatureThe challenges that entail the multi-million peso industry

The Price of MiningBehind the lucrative venture lies a risk to homes and lives

Mining & Human Rights Militarization, displacements and threats

NOWMIND

THE

NOWMIND

THE

2 m i n d t h e n ow

THE CONCERN that the Ateneo de Davao University express-

es forcefully this week against unacceptable min-ing in Mindanao through its International Confer-ence on Mining in Mind-anao on 26-27 January, 2012, flows from its being a Catholic, Jesuit and Fili-pino University. As a Catholic University it aligns itself with the Cath-olic Bishops Conference of the Philippines in its oppo-sition to such large-scale mining projects as the SMI-Xtrata Mining Project pro-posed for South Cotabato because of the likelihood of the severe environmen-tal degradation that it will bring, because of the dis-location of local peoples, and because of the ineq-uitable sharing of mining resources under current Philippine policy. It also supports the local dioceses

of Kidapawan, Marbel and Digos and the Catholic Educational Association of the Philippines in their op-position to the SMI-Xtrata Project. As a Jesuit University it aligns itself with the mis-sion of the Society of Jesus which includes the protec-tion and preservation of the environment. As a Filipino University it insists that, if mining is at all to be allowed, the Fili-pino people must have a greater share in the value of the minerals extracted than “zero to nil.” As a University in Mindan-ao, it expresses its support for the courageous and landmark ordinance of the Sanggunian Panlalawigan of South Cotabato against open-pit mining, and the implementation of this or-dinance by South Cotabato Governor Arthur Pingoy. While the DENR has re-

cently denied SMI-Xtrata an Environmental Clear-ance Certificate based on the conflict between the local provincial ordinance and the national Mining Act of 1995, the denial must be based on more than a mere conflict of laws. The International Conference on Mining in Mindanao will bring local and international exper-tise to bear on substantial negative impacts of the proposed project on the environment and on local communities, including the felling of protected rain forests, the harm to the fresh water supply of the communities, the ir-reparable damage to bio-diversity, and the mining method that will leave an open pit five hundred hec-tares large and 800 meters deep.

Fr. Joel Tabora, S.J.President

Ateneo de Davao University

M E S S A G E F R O M T H E P R E S I D E N T

at en ews speci al issue 3

IT IS never easy to writefor truth in this coun-try. Given the context

that Philippines is known as one of the world’s most dangerous places for jour-nalists, there are a lot of things a writer must con-sider. Among these are the validity of his informa-tion, reliability of sources, and especially the back-ground of the people and parties involved. A writer knows that the actors who play big roles in his story are the ones capable of bringing him either to the brightest or to the darkest place of his profession.

With the creeping culture of impunity in today’s gen-eration, it is not only jour-nalists or members of the press who are exposed to threats. As long as an indi-vidual has a cause to fight, an advocacy to propagate, he is endangered to be one of the victims of society’s horrors.

Several prominent en-vironmentalists around the world were killed in the name of environmen-talism. Like Thongnak Sawekchinda of Thailand

who fought for clean air, Adelino Ramos of Brazil who opposed illegal log-ging, and Eliezer “Boy” Billanes, a Filipino and a strong advocate against mining in Mindanao.

The numbers of slain en-vironmentalists are evi-dences of impunity; these are proofs of how greed can silence innocent peo-ple or even end their lives.

The objective to hor-rify green advocates in the country continues to strike, knowing that the people’s movement against mining is growing and gaining more support.

In line with ATENEWS’s goal to push responsible stewardship, we offer a set of relevant and truthful articles on mining in Mind-anao.

In this issue, our writers share the stories of hope of the common people and the battles of the deprived communities to live a safe and quality life. Also, the interests of the mining firms and the industry as a whole are incorporated for us to weigh both parties’ agenda.

We encourage every Mindanaoan to assess the pros and cons of mineral exploitation. We call eve-ryone to join the cause and say YES to a greener Mind-anao, and YES to a pro-people mining.

If all of us are willing to stand united to protect the best interest of the many and preserve the higher values of our community, fighting for what is right and writing for truth will be easy.

I would like to express my profound gratitude to the Office of the President for entrusting to us this spe-cial issue. To our support-ive moderator Dr. Victoria Tatad-Pre and to my hard-working Atenews colleagues who made this issue possi-ble, especially to Jake and Steven, thank you and keep the passion!

Reymond PepitoEditor-in-Chief

Atenews

M E S S A G E F R O M T H E E D I T O R


at en ews speci al issu e

The Price of MiningBehind the lucrative venture lies a risk to homes & lives

Mining & Human RightsMilitarization, displacements & threats

10

26

Contents

a primer on mining in the philippines and mindanao

NOWMIND

THE

The Island of Mindanao Photo/Chelys - eosnap.com


Reymond Pepitoeditor-in-chief

Karlo James David Bringasassociate editorTom Louis Herreramanaging editor

John Kessler Misterioassociate managing editor

Cyril Jerome Almanzornews editor

Kathleen Anne Velosofeatures editorEdward Lactaoen

associate features editorPaul Randy Gumanao

honorary editorGarry Camarillo

Jhar-Mae MagalonaJamira Anne Martinez

Almira Jane VillegasPamela Joy Yutiamco

senior writersUrsula Calipayan, Zyra Kee,

Florienne Melendrez, Kathleen Pastrana, Jenny Mae Saldaña,

Clemarie Secuya, Arielle Sta. Ana,Maybelle Yutiamco

writersCaycee Coronel, Maritoni Nanini,

JM Mercado, Miguel Alejandro Antonio, Geneva Shaula Almeria,

Farrideh Jadali Sabet, Louise Marie Loreno

photojournalistsPaul Anthony Crooks, Steely

Dhan Caballero, Nadine Caballes, Bea Trizia Jimenez, Zyra

Montefolcacartoonists

Steven Adrianne Chua, Jason Occidental, Sanju Chugani,

Jamela Rae Allagalayout & graphics

Francis Kenneth Barrina,Herc Casiple

web teamDr. Victoria Tatad-Pre

moderator

The Official Student Publication of Ateneo de Davao University

END THE SILENCE OF THE GAGGED!

AT E N EWS

Philippine Mining Act

Save the Palawan Movement

TampakanThe Tampakan Copper-Gold Project

Who’s whoLooking into different mining companies in the Philippines

OpinionWhy mining should not be in my backyard

About the CoverFeatured on the cover is the Panian Coal Mine on Semirara Island. Most of the coal extracted is used to generate energy in the Philippines, and some are exported to India & China.Photo/ISS Expedition 23 - NASA.gov

Mind the NowThe challenges that entail the multi-million

peso industry

060814

29

31

16


Laws

Laws are enacted tomaintain order and equity in a group, a

society or a country usu-ally for the benefit and betterment of the major-ity. But, unlike many other laws, there is one in the Philippines that continues to spark debates because of some of its effects that are apparently negative.

Back in 1995, the Sen-ate and the House of Rep-resentatives in Congress promulgated Republic Act No. 7942 otherwise known as Philippine Mining Act of 1995. This law aims to pro-mote national growth by setting rules regarding the exploration, development,

utilization and conserva-tion of the minerals and resources found within the Philippine territory. But ironically, this Act, which is supposedly enacted for promoting the welfare of the nation, is looked at negatively by some peo-ple due to some provisions contained therein that does otherwise.

Profit-oriented?It can’t be denied that

the abovementioned stat-ute is crafted with hopes of boosting the country’s economy and gaining more revenue by attracting more investors. The idea is rein-forced merely by the fact

that it allows a hundred percent foreign ownership of mining operations. This could have been some-thing good considering its possible contribution to the country’s profits. But, there is one sad truth: Chapter XIV, Section 80 of the said statute states that “The total govern-ment share in a mineral production sharing agree-ment shall be the excise tax on mineral products…” In short, the only way the country could gain from it is through its small share on taxes.

Aside from this, Section 90 grants the incentives to the contractors as pro-

The Senate of the Philippines Photo/Joe Arazas

PhilippineMining ActA closer look BY FLORIENNE MELENDREZ


vided for under the Om-nibus Investments Code of 1987. Because of this, they are allowed to benefit from the income tax holi-day that ranges from three to six years from the start of commercial operations depending on the status of the contractor’s projects. Putting in mind the fact that the country’s income is only through taxes plus the fact that the contrac-tors are enticed through the tax holiday incentives, we already have a picture of the “huge profit” the Philippines gets.

No state controlIn the case of La Bugal-

B’Laan Tribal Association versus Ramos, Justice Car-pio Morales expressed his opinion saying that the provisions of RA 7942 on MPSAs (Mineral Produc-tion Sharing Agreements) and FTAAs (Financial or Technical Assistance Agreement) do not give the State any control and supervision over the min-ing operations. This is be-cause the “share” of the state in a mineral produc-tion sharing agreement as referred to in Section 80 is limited exclusively to the excise tax on mineral products.

In the same manner, Mo-rales also said that the “share” of the state in an FTAA under Section 81 is not related to the capital or operating expenses of the foreign contractor. “The State’s “share” constitutes

the same excise tax on mineral products, in ad-dition to other direct and indirect taxes. The basis of the excise tax is the selling price of the mineral prod-uct. Hence, there is no rea-son for the State to approve or disapprove the capital or operating expenses of the mining contractor,” he added. Thus, the statute does not give the State any power and regulation over mining operations which superficially violates 1987 constitution specifically Article 12, Section 2 which states that “The explora-tion, development, and utilization of natural re-sources shall be under full control and supervision of the State.”

Aside from the provi-sion’s constitutionality be-ing questioned, this also makes it apparent how such provision indirectly paves way for the unjust exploitation of minerals in the country.

A violationAside from the negative

effects of the somewhat “flawed” provisions men-tioned above, it can’t be denied that there are also provisions in the said law that continues to be vio-lated.

Section 64 of the same law makes clear the rules on mine labor and states that “no person under six-teen (16) years of age shall be employed in any phase of mining operations and no person under eighteen

(18) years of age shall be employed underground in a mine.” Despite the obvi-ous and clear rules, there have been reports regard-ing the issues on child la-bor in mining operations.

According to 2001 Na-tional Statistics Office Sur-vey on Children, there are some 14,000 children en-gaged in mining and quar-rying. Half of these chil-dren are between 10 - 14 years old, and there have been reports that there are some child workers as young as five working in quarries and mines. Apart from the lax implementa-tion of this provision of the law, another issue that reveals itself in here is the continuous employment of children by the Mining Corporations because of cheap labor.

The Mining Act, though with its attempt of uplift-ing the country’s economy by making its provisions enticing to the investors, apparently remains imper-fect for the Philippine set-ting. Instead of resulting to betterment, it only ignited disputes due to some of its provisions that led to inequity of rights. With all these, is it still justifiable if it remains implemented in spite of the defects? Is it right if the government will still wait for more vio-lations of the law before they start to do something about it? The answer is ob-vious


Laws

Save the Palawan Movement

1995 TOFIL Awardee for Government Ser-vice, Atty. Christian S.

Monsod, has been one of the strong advocates of the No To Mining In Palawan Movement. Last Novem-ber 22, 2011, he presented arguments that stirred those in the pro-mining and anti-mining side, even those far in between.

“(1) Mining is one of the most contentious activi-ties in our country because most of the minerals are located in the rural and in the mountainous areas where the poorest of the poor are located – farmers and indigenous peoples – and in smaller islands where, in addition, the livelihood of fisherfolk are also endangered by mining tailings spilling into the

rivers and shorelines.”The word ‘mining’ might

have a luminous gleam to it, because we expect gems, jewelry, and even technology to accessorize and emphasize our “beau-ty” and “comfort”. Behind the glistening outputs of mining though, are devas-tating outcomes that have been at the grave cost of those who have more rights to it that any one else- the indigenous peoples. These people are either usually unaware of the suppos-edly dominating rights they have to their home, or are made to believe the favorable agreements they would get into. Royalty fee promises have never been honored, mainly be-cause mining companies such as CitiNickel make

use of their advantage over the underprivileged and weakly represented.

“(4) In any case, there should be a moratorium on mining in these areas until the government (DENR/MGB) has put in place the safeguards which the Phil-ippine Development Plan (Chapter 10) admits are not yet in place.”

“(6) The mining industry is pressing for approval of mining applications and operations, warning that investments might dry up and the international community is becoming alarmed at the instability of the rules and delays in government approvals.”

The Strategic Environ-mental Plan (SEP Law) supposedly protects the land and the people from

What Monsod’s contentions have baredBY ARIELLE STA. ANA


any extractive activity that will ultimately cause de-struction. It seems though, that this law has not been serving any purpose at all, for mining giants have proceeded with the op-erations even without a legitimate consensus on the matter. The owners of the land have full entitle-ments to reject or accept activities to be done in their homelands, as justi-fied by the Free Prior and Informed Consent (FPIC) requirement. The Pala-wan Council for Sustain-able Development (PCSD) even has a questionable position on the CitiNickel operations. Sadly, as it turns out, these bodies and guidelines are just for formalities. Will they ever serve their purpose?

“(7) (e) mining as God’s bounty to serve human-ity – COMMENT: Minerals can serve other purposes than being dug up and ex-ported. Science says that they are needed to anchor forests (especially in island ecosystems). Since we are the number one disaster area from typhoons, the value of mineral rocks to our forests and biodiver-sity is just as high. As for the argument that miner-als are the raw materials for modern conveniences, the point is that, in cases where mining is allowed, the minerals should be priced at full cost, includ-ing environmental and so-cial costs. Otherwise, our poor, who bear these costs are effectively subsidizing the rich in their consumer-

ism.”Minerals were situated

underground because they have purposes which, even science, cannot counter. The extraction of these eliminates the anchoring function it has for the for-ests, and consequently, health-hazardous gases such as carbon monoxide are released. The value of the minerals to the ecosys-tem is much higher than the cost of the minerals processed into the modern conveniences we avail of today. The well-to-do have to take their part in giving back, though the price to pay will never equal what has been lost to nature and endured by the dwellers who cannot even dream of touching the treasures they also deserve.

The beauty of Palawan island Photo/sofluna.com

Facts


The price of miningBehind the lucrative venture lies a risk that endangers homes and lives BY JHAR-MAE MAGALONA


Looking for mineral deposits through mining is a gamble.

However, in this undertaking, it is not only money, time and labor which is at stake, it also involves life. There are countless tragedies that can happen in a mining site. This is because mining is a highly dangerous activity that can lead to numerous disasters, including minor to severe injuries or even deaths.

Aside from that,

mining has also caused a lot of damage to the environment. Some of these include various sea spills that marred the coral reefs and sea life in general, deforestation in these mining sites making wide areas bare, and even exposure of different animal lives to poisonous chemicals.

Yet, despite the danger that mining creates, this does not seem to be enough to scare people away from the industry.

The promise of wealth that the mines carry causes the people to disregard the possibility of unpleasant circumstances happening. Their desire to have a better life overpowers the fear they have. It is also this desire that has caused innumerable mining incidents in the country.

Pantukan IncidentMining can either be

small-scale or large-scale. Small-scale mining are those that are usually

Soldiers and rescuers carry a victim recovered from the site on Jan. 6, 2012, a day after a landslide occurred at the small-scale mining community of Pantukan, Compostela Valley in Southern Philippines.Photo/inquirer.net AP


conducted by small groups who identify probable sites wherein mineral deposits might be abundant. On the other hand, large-scale mining are those that are conducted by large mining companies. But before they could start their operations, they must first provide the necessary feasibility studies to be approved by the Mines and Geosciences Bureau (MGB). It is often believed that these large mining companies are the only ones responsible for the many lives that have been lost in mining incidents; but it isn’t always the case. Of the many mining-related disasters that had happened, a significant portion of it was caused by the small-scale miners. Just recently, a mining catastrophe caused by small-scale mining took place at Pantukan,

Compostella Valley.The landslide that

happened last January 5 in Pantukan was the effect of the small-scale miners’ unregulated tunneling plus the frequent rains that had happened weeks prior to the incident.

These factors made the soil unstable, triggering the landslide that buried 62 houses and killed over 36 people. Although the landslide was classified as generally rain-induced, the factor that the mining has intensified the predicament cannot be denied. Disaster Reduction Chief Benito

Ramos stresses out that the victims also have their share of culpability. There was an approved ‘No Habitation Policy” that was agreed on June of last year. The miners didn’t observe this and in return they have this consequence to live with. Part of the blame also goes to the local officials who failed to enforce the ban. Even after the numerous landslides that had happened within the vicinity -one happened last April, killing 14 people and another in the year 2009 which resulted to 26 deaths- they do not appear to have learned anything.

According to some survivors, they were lucky enough to have heard the warning shots. They believe that the rest of those who were not able to escape may have chosen to ignore these warning shots or might not have heard them for they were in deep slumber. However, it is sad that despite everything that has happened, there are still a great number of miners who will choose to

5/1Pantukan Landslide

25 killed16 injured

PANTUKANCompostela Valley

Photo/Philippine Army


go back to the mining site. They say that they have been relying on mining for a very long time now and it would be hard for them to look for another source of income. They are fearful for their lives, but they would rather live in fear than die of hunger.

Mining Incidents in Palawan

Large-scale mining companies have always argued that mining won’t be as harmful as it was before. They say that the mining laws and the technological advancements that exist are sufficient to guarantee that there is responsible mining. But is there really such a thing?

Just last year, there have already been two mining-related accidents in Palawan. The first one happened last March when a barge of Rio Tuba Nickel Mining Corporation overturned due to terrible weather just about 3 to 4 kilometers from the pier. It carried 188 wet metric

tons of low grade nickel which was supposed to be transported to China. Although RTNMC initially claimed that the damage done should not be that great for there are no corals in the area where it spilled, it isn’t supported by evidences for no immediate assessment was conducted to identify the impact of the incident.

Another accident of the same nature happened to the Citinickel Mining Corporation’s vessel. It destroyed approximately 1000 square meters of coral reef area. However, the company did not disclose the incident to the local authorities. It was only after a concerned citizen tapped the Philippine Coast Guards that the incident was raised to the concerned agencies. Even so, the MGB says that the company cannot be liable for the incident that has happened because their accountability ended when they loaded the minerals to the ships. There have been arguments raised in

relation to this defense. The first one is that the shipping is part of the mining process. Secondly, it happened within the Palawan territory and lastly, they didn’t disclose the incident.

We are lucky to live in a country that is wealthy in mineral deposits. However, this fact is also responsible for creating the dilemma on whether it is better to mine or not. Mining has been the reason for the many lives lost and resources damaged. Nonetheless, we cannot deny the reality that it has also been beneficial for some of us individually, and for the economy of our country. In the end it will all boil down to the consequences that you can live with. Are the riches enough to compensate for every life lost? Is mining worth the price we have to suffer for it?

TIMELINE

Pantukan LandslideThe Pantukan Mining Landslide that

happened last January 5 buried 62

houses, took the lives of 36 people, and

left another 36 more missing. What

could have caused this incident?

5/2Start of retrieval operations

5/15Retrieval operations halted

62 homes buried36 killed


The Tampakan Copper-Gold Project - A closer look BY PAMELA YUTIAMCO

Facts

THE PHILIPPINEShas a lot to give. With its diverse culture

and rich natural resources, the rest of the world is no doubt drawn upon the Pearl of the Orient Seas. In the eyes of a commoner, culture and especially natural resources should be preserved. However, to a profit-maker it means a lot of opportunities. Two views now stand at the opposites of a pole. Which one weighs the heaviest?

Mining in the Philippines is one of the most controversial issues in the country. Although a law has already been enacted, there are still an increasing number of people who disagree.

Among all the mining companies established in the Philippines, let’s zoom in to the one located in Tampakan. Tampakan is one of the 11 local government units in South Cotabato. It is a major producer of corn, banana, pineapple, gold and

copper, forest products and fiber, woodcrafts bamboo and rattan. Seeing the potential market of gold and copper, a wide area of Tampakan is now utilized by Sagittarius Mines Inc. (SMI).

Sagittarius Mines Inc. is a Filipino company which is part of a global diversified mining group, Xstrata Copper. Xstrata Copper holds the 4th largest global copper producer and is providing the technical and managerial resources for the development of the mining project in Tampakan.

According to SMI, the project could enable a better future for the host communities, the people of southern Mindanao and would make a significant contribution to the Philippines as a whole. In fact, in order to gain the confidence of the people, SMI showed that it has a responsible track record: Presidential Mineral Industry Environment

Award (2010, 2009 and 2006); Best Mining Forest Program Award –Exploration (2010), with special awards (2009 and 2008); Safest Mine Award –Exploration (2010); Award of Distinction, Safety Organization of the Philippines, Inc. (2010); Anvil Award of Excellence –Communication Tools (2010); Top Taxpayer (Withholding Tax), Region XII (2010, 2009 and 2008) and Outstanding Stakeholder, Department of Education, Region XII (2009).

Why not mining?The Tampakan project

carries with it a lot of opportunities. Most of it are about the economic growth of the country: Significant “multiplier” effect –an additional annual average contribution of 1% GDP over the 20 year life of the Project; Total tax and royalty revenues to the Philippines estimated to be PhP346 billion;

TampakanTAMPAKANSouth Cotabato


Annual contribution of an additional 10.4% GDP for Region XI and Region XII; Opportunities for up to 10,000 workers during construction and 2,000 during operations; Engagement of local and national contractors and service providers. In addition to that, SMI shows its commitment to sustainable development: Sustainable Development describes our commitment to balance economic, environmental and social considerations and ensure the long-term viability of our business and the communities in which we operate; SMI invests for the long-term in the Tampakan Project, which provides a basis for social and economic development in the region; and SMI aims to invest in skills, education, health, social and enterprise development.

However, no matter how good the numbers look, SMI faced a lot of

criticisms and negative feedbacks from the locals. The project seems to have a lot of drawbacks.

Why, of all means, mining?What SMI sees as an

opportunity seems to be the opposite for the people in Tampakan, and South Cotabato as a whole. Based on Clive Wicks, who co-wrote with Dr. Robert Goodland a book published in 2009 titled “Philippines: Mining or Food?,” Central Mindanao would have 20 percent less water in 20 years and this might worsen due to the destruction of the watershed in the mining area. SMI plans to clear 3,935 hectares of forest, including identified old growth rainforest for the construction of an 800-meter deep and 500-hectare wide open-pit. It has a 300-meter high and 500-hectare wide waste rock storage where an estimated 1.6 billion tons of toxic waste rock will be

dumped. Wicks said that the environmental impact study and assessment of SMI failed to explain why the toxic waste rock could not be stored in the mine pit itself instead of being placed in a dumpsite, which would increase the risks of cancer to surrounding communities and that the mine will seriously undermine the government’s plans for water supply, agriculture, irrigation and forestry.

With the pros and cons laid down, which alternative now looks more promising? Going through with mining can boost up the economy maybe to the point wherein we will no longer be a third world country. Not going through with it will preserve what’s left with our environment.

Which one? Make a stand.

Sources (http://www.pg.com/fr_

FR/downloads/annual_reports/

PG_2010_AnnualReport .pdf),

Inquirer News

Tampakan Copper-Gold Mine Project SiteGraphics/Jamela Allaga Source/SMI SCALE 1.50 km

Open Pit

Waste StocksStorage Facility

FreshWaterDam

TSFQuarry

Tailings Storage Facility

Concentrator

WASTE ROCK CONVEYOR

ORE CONVEYOR

Employee Village

Left Photo/©alvindomingcil


S P E C I A L F E AT U R E

Samantha Sotto once said in her book Before Ever After,

“Life is a trade - a barter of choices and consequences. Nothing you have is without a price paid by yourself or someone else. Some days you will get more than what you paid for and on others you will pay more than what you should.” In a way, mining

gave the people a better life- a faster, easier and more convenient way to do things. Today, most of the things happen in an instant. It is possible because mining has provided the people with more than their needs. Everyone has made the most out of the products given by the said activity, directly or indirectly. However, it

appears that something is trying to get back what the people owe. It is true that mining gives the people a lot but the more they receive, the bigger the challenge is for the choices made entail one’s responsibility.


at en ews speci al issue 17at en ews speci al issue 17

BY KATHLEEN PASTRANA, JENNY MAE SALDAÑA, CLEMARIE SECUYA &

ALMIRA JANE VILLEGAS

The challenges that entail themulti-million peso industry

MINDT H E

NOW


MINERALS PLAYa major role in the pursuit of

great innovations. Today’s generation is proof that everyone benefits from it, whether consciously or unconsciously. Copper and aluminium are needed to carry electricity to our homes and offices. It takes products manufactured from minerals to keep iPods, Mp3 players, and cell phones running. As standards of living rise globally, so does the demand for mineral resources, compromising the environment with the depletion of mineral deposits and the exhaustion of mines

in areas rich in these resources.

The Philippines, endowed with the bounties of nature, is known to be home to reserves such as chromium, coal, copper, gold, nickel and other minerals. With an estimate of 5 million hectares of mineralized lands, the country is said to have a staggering $840 billion worth of mineral wealth. Ideally, the mining industry could have brought significant contribution to the Philippines especially in its economic development. Looking in the positive aspect, mining could generate direct and

indirect employment opportunities for labourers in the local area. Since mining projects are supposed to help the locality for its social development function, investing on infrastructures, roads and other social amenities surrounding the mining sites are sort of a requirement for mining firms. Other than that, the taxes collected from mining are claimed to be of significant value to the total revenues collected by the government.

However, contrary to all the supposed benefits coming from these mining activities, there is little

Mind the now

Phot

o/si

erra

foot

hills

repo

rt.c

om

Economicallyspeaking

How the mining industry affects the market


significance as to the changes it has brought to the macro-

economy. For one, it has relatively low labor-output ratios. Since the labor c o m p e n s a t i o n from this sector only amounts to 13.3% against

20.7%, it can only give an average

labor absorption index of 0.64. In other words, the employment opportunities created out from mining activities are not enough to alleviate the problem in unemployment

and poverty as well. Even though the Philippines exports minerals, processing of these deposits do not happen domestically most of the time. That’s why mining-generated employment has reached only an average of 177,000 as of 2009 and less from the previous years. The contribution these mining activities have made to the economic growth of the country has reached only an average of 1.44% since 1975.

Since mining activities desecrate and deplete natural resources affecting

other economic sectors such as agriculture, fisheries and tourism, it makes no considerable benefits to the local economy as a whole. Although the revenues collected from the mining firms form part of the national budget, it should be stressed out that the government can only collect 2% of excise taxes from these firms’ total output. Thus, the government revenues coming from mining activities are not significant compared to the income generated by the investors out of our

THE EARTH has been gifted

with enough resources to

feed its inhabitants. People

are sometimes under the

impression that they will

never run out of these

resources, so they take their

abundance for granted.

Circumstances define our

needs, and sometimes to be

able to meet those needs,

people find ways to acquire

them. These ways, no matter

how great they seem to be

in people’s minds, are not

entirely contributing to the

improvement of the earth’s

life. The need for food should

always be met with support

for the life of both animals

and people. However,

through the constant use and

abuse of modern technology,

the safety of the future

generations has been set

aside. The desire to improve

the present overshadows the

idea that the future’s needs

are valuable, too.

The Philippines, as a tropical

country, has lands suitable

for growing and harvesting

different crops. It also has

numerous fishing areas

that provide a wide range

of fish species and marine

resources. Tampakan,

a municipality found in

the province of Southern

Cotabato, is a good example

of a place gifted with

resources like fiber, corn,

pineapple, rubber, coffee,

rice, bananas, and a lot more.

South Cotabato has been

labelled as the Food Basket

of Mindanao because it is

one of the major suppliers of

food all over the Philippines.

It contains vast agricultural

areas and numerous rivers

that enable them to grow

UP CLOSE

Food vs. Mining

Farmers incorporate rice straw back in the field Photo/Isagani P. Serrano IRRI


crops and at the same time

provide a stable water supply

for drinking and irrigation

purposes. The condition of

the soil that surrounds the

place is also appropriate

for raising animals such as

ducks, chickens, pigs, and

cattle. People dwelling in this

place are fortunate enough

to have easy access to these

resources.

However, upon finding out

that Tampakan also contains

one of the biggest copper

deposits in the Southeast

Asia-Western Pacific region,

mining companies such

as the Sagittarius Mines

Inc. (SMI) developed the

Tampakan Copper Project

located around 65 kilometers

north of General Santos City

to mine copper and gold.

SMI claims that pursuing

this project will greatly

contribute to the progress of

the country’s economy.

Despite the function of

copper in the production

of things like gadgets and

household appliances, some

people like Church leaders

and local officials combat the

idea of the Tampakan Copper

Project. A great number of

people will suffer if this will

be pursued because the

methods used in mining

involve the use of toxins.

Even the option to consider

the use of cyanide to extract

gold poses a threat to them.

Aside from jeopardizing

the health and safety of

the people living in the

villages near the mining site,

agricultural lands are also

threatened. The food that

they take is in danger of being

exposed to these toxins. The

crops produced will lose their

health value, and over time, it

may even stop its production

because the environment

will no longer be fitting for

growing them. If this were

to happen, the people will

lose their means of livelihood

which has not only served

them, but also most of the

people in the Philippines.

These toxins will result to

Hard rock open-pit mine Photo/mining-law-reform.info

resources. Since the 2004

nullification of some provisions of the Mining Act of 1995, foreign investors started participating in mining projects in the country. As a result, foreign direct investments increased and the inflows of foreign currency are continually growing making the Philippine peso stronger in the markets. But these

Copper ore Photo/John Zander

air and water pollution—the

cause of the deterioration of

the quality of different water

resources such as fish, which

is considered a staple food.

In a town in Sultan Kudarat

called Lutayan, for instance,

people depend on the fish-

pen industry found in Lake

Buluan. Geologists found out

that the mine dumps, residue,

or the left-over materials

of the mining activity will

drain into Lake Buluan. If

this happens, the water will

become polluted and it will

be harmful for the people to

eat the fish and other marine

resources coming from it.

Aside from the destruction

of river systems, the impact of

mining can also put the food

security of the whole region

at risk. An example of this is

the fruit plantations found in

Tampakan. These plantations

will be affected, resulting to a

decrease in the production of

fruits. There is no guarantee

that the once fertile lands

will not lose its ability to be

productive. People will have

no choice but to eat food

that might have lost most of

its nutritional value. This will

not help in the progress of

the food industry, especially

in a place where most of

the residents depend on

agriculture as their main

source of living.

The harmful effects of

mining activities to the food

industry outweigh the good

it does to the economy of

the country. Indeed, mining

comes with consequences

that are difficult to battle. If we

allow ourselves to surrender

to the consequences, we

would find it hard to undo

what has already been

done. The effects are long-

lasting, and it is up to our

efforts to prevent them from

happening.

Photo/blah2blah.blogspot.com

events have created negative impacts on other local resource sectors for they decrease the price competitiveness of goods. What’s worse is that when our local currency rises in value, there is a tendency that other nations won’t be able to afford our exported goods. Thus, a decrease in the export of manufactured goods and increase in the import of products happen.

With the extent of the mining activities in the country, the comparative advantages the Philippines might get out of it seem fewer than the opportunity costs incurred. Though it is true that the country has a great potential for economic growth with mineral deposits on hand, the exploitation of these

resources may result negatively in the future. If mining will be extensively practiced, then the opportunity costs would increase as well because mining activities hinder the public from using resources that should have been used in agricultural or manufacturing purposes. Though the increase in the number of foreign investments coming from mining can be considered as a comparative advantage in favour of the Philippines, social setbacks can still be a deterring factor.

Since minerals are non-renewable resources, the main problem that the government is facing – aside from ensuring responsible practices in mining – is sustainability.

Minding these conditions, the government should consider the creation of activities that promote the development of local industries instead of mainly focusing on r e s o u r c e - e x h a u s t i n g projects that do not only create irreparable damage to the environment but negative social impacts as well. Since we are still a developing country, it will not help the economy if the limited resources we have left will be wasted with the false assumption that the Philippines is growing economically. Instead of exploiting the country’s natural resources, establishing firm laws and policies would be the first step to attain the rapid growth we desire for the Philippines.


Mind the now

An open-pit mining facility Photo/Stapanov Alexander

MINING DOES notonly affect one’s economy, but it

also affects one’s health. According to the Institute of Occupational Health and Safety Development (IOSHAD), it is due to the nature of mining that miners are constantly exposed to intense heat due to poor ventilation. Miners usually have fluid and salt deficiencies due to constant sweating, increased stress on the heart, heat stroke, and reduced fertility due to high temperature.

Poor ventilation causes the brain to malfunction and may lead to death especially in underground operations. Vibrations can cause permanent bone damage and vibration syndrome, also known as the “dead finger” syndrome, which can lead

to gangrene in the hands and fingers. It can also cause digestive problems due to the constant shaking of internal organs, heart problems and disruption of the nervous system.

Repetitive Stress Injury (RSI) is caused by overloading of a particular muscle group from recurring use or maintenance of constrained posture. Miners who suffer from this usually complain from weakness of affected muscles, heaviness, “pins and needles” sensation, and numbness.

Mines also expose workers to different types of airborne particulates. These make the workers vulnerable to systemic toxic effects due to the absorption of lead, manganese, cadmium, zinc, and

other toxic material. Fumes are emitted by the chemicals being used or by the machines that are employed during mining operations. This, coupled with poor ventilation may trigger accidents and may result in the death of the workers.

Hearing impairment and/or disruption of body functions like blood circulation and hormone imbalance are caused by noise or irritating and hazardous sounds, which are inevitable with mining operations. Inaudibility and hearing loss may become immutable. Other non-auditory effects are increased blood pressure and peptic ulcer due to increased gastrointestinal motility.

According to a study conducted by the United Nations: Department

Health than Wealth

Can we still say that there are “benefits” in

mining?


of Economic and Social Affairs last August 2007, mining also causes water pollution. This is due to the toxic mine tailings that are usually impounded in tailing dams. When the pressure in the tailing dams builds up, especially during times of heavy rainfall, mining companies drain their tailing dams of waters, or worst, face the risk of having it burst or collapse. In either case, the tailings will have to find their way out thus polluting the water, river, and adjacent lands.

This happened in Mankayan, where the Abra River before the mine was deep and narrow prior to mining operations. It was five meters wide and abundant with fish and surrounded by verdant rice paddies. Now, there is a wide abyss of barren land on either side of the polluted river. Fruit trees and animals have died from the poisoned water.

Mining does not only cause water pollution but also brings water-borne

diseases. Liquid waste that is generated after the metals or minerals have been extracted is disposed of in a mining pit. When the pit gets filled up by mine tailings, they become a stagnant pool of water. This pool of water, if not treated properly, might cause water-borne diseases. This might also be the breeding ground of deadly mosquitoes, which cause diseases like dengue or malaria, endangering not just the lives of miners but also other people in the community.

Mining also triggers the spread of skin diseases. After all, most chemicals associated with it are skin hazards. According to a study entitled Selected Health Issues in Mining conducted by R. Larry Grayson and Douglas F. Scott, there are more than 350 skin illnesses associated with poison oak/poison ivy and dust which are said to be the major contributors to skin disorders. It may have been prevented if proper

personal protection had been used. One example of skin illness brought by mining is dermatitis. Dermatitis is a skin inflammation usually caused by allergic reaction to specific allergens. Chemicals, allergens in dermatitis, associated with mining are factors of dermatitis.

Aside from the miners, people in the nearby communities are also greatly affected. People living near mining areas may get a disease called Silicosis, which is a form of occupational lung disease that is caused by inhalation of crystalline silica dust.

It is certainly true that mining causes some h e a l t h - e n d a n g e r i n g effects basing from the aforementioned facts. Mining therefore is beneficial if we close our eyes from the grave destruction it carries with it.

IN THE infamous Marcopper disaster

of 1996, on Marinduque Island, a mine

tailings spill more than four million metric

tons of waste that caused widespread

flooding and damage to farm lands and

property. Villages were evacuated and

an estimated 20,000 people along the

Boac River were affected. The river was

subsequently declared biologically dead.

MANY HUMAN rights and environmental

activists who were against mining were

victims of extra-judicial killings.

MINING OPERATIONS invariably evicted

indigenous peoples from mining sites and

poses an imminent danger to indigenous

culture.

UP CLOSE

Mining Facts BY URSULA CALIPAYAN Boac River

Photo/forum-adb.org


Environmentat stake

How mining affects the environment

THE THIRDLaw of M o t i o n

states that for every action,

t h e r e ’ s always an equal and o p p o s i t e r e a c t i o n . In mining,

the more minerals are

drawn out, the greater the impact

to the environment and the society. One question must be figured out, what happens next after the exploitation?

Before a mining project starts, certain requirements must be complied first and certain processes must

be undergone. Every action made by mining companies is carefully studied and evaluated. Companies are obliged to secure an Environmental Compliance Certificate (ECC), which confirms that a mining company had fulfilled the given requirements of the Environmental Impact Assessment (EIA). ECC is a prerequisite set by the government for projects that are environmentally critical or near critical area. The purpose of these agreements is to mitigate future unwanted effects of mining. Given those protocols, it is unfortunate that the environment still suffers.

Directly speaking,

THE GOVERNMENT will

most likely make a profit out

of mining. It somehow boosts

the economy of the country.

Minerals found become

determinants of how rich

a country is in its natural

resources. For some, mining

gives them food, shelter

and clothing for it is their

way of surviving financially.

Even though some miners

have already met accidents,

they would still work back

because it is their only way

of supporting their families.

Through mining projects,

different activities are also

made possible. They get to

sponsor different events,

which people are glad to

have.

However, at some point what

consequently happens to

the environment will have

an effect on the people.

Even worse, culture is also

deeply affected. Indigenous

People are preserving their

ancestors’ legacy. Places

sacred for IP’s are being

transformed into mining

pits leaving them no choice

but to let go of what it used

to be. There is no doubt

that the IPs home place is

rich in all kinds of minerals.

For hundreds of years, they

spent their lives protecting

and preserving their heritage

is very important for a tribe.

Most of them were born

and laid to rest in their land.

Aside from that, the places

being grabbed by mining

companies are a source of

livelihood for the Indigenous

People. They cannot fight

against it when their right to

ancestral domain has been

taken away from them. The

land taken away from them

was their life.

Mining is somewhat an

eye-opener to the people. It

would be pretty surprising

if people were not affected

by it. The people may

UP CLOSE

Socially not-so-good


mining is a big contributor to the degeneration of the environment. Deforestation is the first step towards mining. Trees and some other plants are being cleared to make way for the miners to dig up minerals. What used to be vegetation and mountainous portions of land are now flat plains. Residential areas are also affected; decreasing in size. The conversion is extreme. The destruction of the forests may lead to a big impact since the region affected by mining will most likely become a disaster-prone area. It is unsurprising nowadays that many accidents or tragedies occur. If it is traced back, it will all

point to one main reason; mining. The pulling out of stones and minerals involve several use of machines and certain chemicals. Because of this, wastes are inevitable. The wastes produced, if not disposed of properly, will greatly affect the land and water property of the environment, thus making it polluted. The chemical wastes, through pipes, are discharged to nearby rivers, lakes and other bodies of water. Having dams to serve as the catch basin may also be risky.

Everyone should be aware that the wastes are toxic. It won’t be surprising to see dead aquatic creatures floating; after all, their habitat will probably

be polluted. Pipe leaks make toxins penetrate the soil. If that happens, it will affect the chemical composition of the soil making it unsuitable for planting. Mining obliterates the beauty of the environment. Mining leads to massive exploitation of resources. They say that small-scale mining is more harmful than large-scale but the issue is not that what is more hazardous or not; it is that it contributes to the damage of the environment.

participate in meetings,

see the assessments and

attend workshops that are

given. Mining companies

do have corporate social

responsibilities to take.

Benefactors are mostly

people living near the sites.

Mining companies give

scholarships, livelihood

trainings and other projects

that are beneficial to the

people. Certain mining

groups do give back but the

real concern is; would it last

or just cover the present

situation?

Other social impacts might

include the change in the

behaviour of people living

near a mining site. It could

also be the change of lifestyle

or views regarding certain

matters.

Mining causes a great shift,

a big adjustment to all that

has life. Whether we like it

or not, it somehow destroys

the balance among living

organisms. Biodiversity is

at stake. All that lives has

to fight for survival. Mining

creates a domino effect.

What happens to a certain

aspect affects the other. The

approach of mining to the

people may be good, but

how would people act on the

impacts associated with it?

Who’s going to be blamed?

After all, for every action,

there’s always an equal and

opposite reaction.

At the end of the day, the

effects of mining are all-

encompassing, reaching a

point that it affects everyone

in one way or another.

Compared to the limited

resources available, people

have unlimited wants and

needs that can only be

satisfied through these

resources that are in danger

of depletion if not well taken

care of. Human beings are

created to guard and protect

the world but it is ironic that

we are the ones destroying

it. The sad truth is that no

matter what the effects of

mining are, people can still

do almost nothing about

it, since they are still the

beneficiaries of the products

coming from it.

Left Mt. Matutum, South Cotabato Photo/letters2mindanao.wp.com


Mining & Human Rights

Analysis

SHE IS a nun. But because she stays in the communities

more often than she is in her convent, the military detained her for eight straight hours in a barracks on February 16, 2009 on the allegations that, instead of just praying in her convent, she is organizing folks to become rebels.

He was an environmental activist. But because he was a vocal critic of the Xstrata-SMI mining operations in Mindanao, he was tagged as “anti-development” and, while buying a newspaper one afternoon, was shot dead on March 9, 2009.

He was a veterinarian. But because, instead of treating animals, he was more passionate in broadcasting the environmental destruction caused by large-scale foreign mining operations and called for a mining moratorium in Palawan, he was shot dead on January 24, 2011.

Sister Stella Matutina, OSB, Mr. Eliezer “Boy” Billanes, and Dr. Gerry Ortega are just few among the hundreds of leaders who were repressed because of their advocacy against destructive policies. They are not against development, but they are against development aggressions that cause ecological damage and a chain of human rights violations. If a nun, an activist, and a doctor were not exempted from repression, what awaits the ordinary people in the community who cannot even defend their rights?

Lumads say militarization is number one

Even before Pres. Benigno Aquino III ordered for a strengthened military and paramilitary deployment in mining areas after members of the New People’s Army burned the three-billion peso worth of large-scale mining

equipment in Claver, Surigao del Sur in October last year, the investment defense force (IDF) has already been in existence.

In a government press release dated February 8, 2008, former Pres. Gloria Arroyo “instructed the Armed Forces of the Philippines (AFP) to create an Investment Defense Force (IDF) to protect vital infrastructure and projects from terrorists, including the New People’s Army and other rebel groups who stand in the way of development particularly in the rural areas.”

“The function of the Investment Defense Force,” according to the press release, “is for the military to give a protective shield to power assets, other infrastructures and minerals development projects.” President Aquino continues and strengthens the IDF.

The indigenous peoples or the Lumads, who stand in the way of destructive

Militarization, displacements & threatsBY PAUL RANDY GUMANAO

Balikatan ExercisesPhoto/natoreyes.wp.com


and exploitative “development”, are the forefront victims of human rights violations, particularly the right to life and security.

In a 10-day mission in Cordillera this month dubbed as the Beaconsfield Initiative of the United Church of Christ in Canada, the mission participants encountered two citizens belonging to indigenous people’s communities who were arrested without charges by the soldiers from the 50th Infantry Batallion of the Philippine Army. Mssrs. Edward “Kiwet” Galao, 30, a farmer from Concepcion, Cervantes, Ilocos Sur, and Hilario Bantew, 42, a resident of Mankayan, Benguet, were detained since September last year and the Beaconsfield Initiative finds it illegal and morally wrong.

Illegal arrest and detention of members of the local communities who resist the operations of large-scale and export-oriented mining are widespread in the Philippines, especially in Mindanao. According to Dulphing Ogan, secretary-general of Kusog sa Katawhang Lumad (KALUMARAN), a Mindanao-wide organization of Lumads, if they were to rate the different forms of human rights violations against indigenous peoples, they would mark militarization

first. In most indigenous communities where mining concessions are rampant, many Lumads are being organized into paramilitary elements who are allegedly ordered to be on duty for 24 hours without pay to become pawns in fighting against the so-called “enemies of development”.

One of these paramilitary groups organized by the military was the Alamara-Bagani Force, which, according to the late Father Fausto “Pops” Tentorio, PIME, was responsible for his near-death experience in 2003. Alamara-Bagani Force wanted to kill Fr. Pops for being a staunch opponent of destructive projects in Arakan Valley, North Cotabato.

Overall, the fate of the Lumads in a militarized community is either getting recruited to the paramilitary, or getting harassed for not being “supportive” to the military’s efforts to pave the way for the entry of large-scale mining and even logging concessions.

Away from home: eviction from the ancestral land and transgression of the right to self-determination

In Kiblawan, Davao del Sur and Tampakan, South Cotabato alone, where Xstrata-SMI operates, 870 families have been targeted for eviction from their communities. Of these, 582 families are

Lumads and 288 are non-Lumads. The company, according to their Environmental Impact Statement in April 2011, has promised to pay the residents to relocate them without any complaints. It even pledged to shoulder the dowries of would-be grooms from the Lumad communities so as to hasten the process of eviction. This scheme is not just unique to Xstrata-SMI but a seemingly standard operating procedure among all mining concessions.

Towns and cities will be the new homes of the Lumads. Here, they will be forced to eke out a living and become the poorest of the poor. Worse, they will end up becoming beggars and slum dwellers laughed at and abused by many.

For the indigenous peoples, “Our land is our life. Take it away from us, and we will die.” Not only the physical body of our Lumads will perish, but their rich cultural heritage, too, when their ancestral domains are mined. The Lumads themselves are treasures that are more valuable than any copper or gold. The Indigenous People’s Rights Act (IPRA) provides that no mining operation is allowed in ancestral domains without the free, prior and informed consent of the Lumads. The question, however, is whether the consent of the Lumads


is free from coercions, threats and bribes, and well-informed prior to the mining operations.

According to anti-mining advocates, the efforts of the mining companies to offer free education to Lumad children is a trash when they no longer have a community to go back to, when they no longer have the right to self-determination to forward. The effort to provide jobs to Lumad parents is shallow when nature, where they really find a living, is wasted.

The quest for a balanced and healthful ecology

Just this January 5, tons of soil and rocks buried to death around 40 individuals in a landslide in Sitio Diat, Napnapan, Pantukan, Compostela Valley. The place is a zone for small and medium-scale mining operations.

Landslide is just one. The more alarming environmental impacts of mining operations, especially that of large-scale, include removal of rainforest communities; greenhouse gas production from forest conversion, energy consumption and industrial processes; increased flooding potential; heavy metal contamination of the water; increased acidity of soil and water; changes in drainage morphology; and many more.

Even the food security is

threatened as agricultural lands in the region face wide-scale pollution and destruction. The absence of genuine land reform and the lessening land-productivity caused by pollution, force the already-burdened farmers to leave their farms, some would become small-scale miners.

The national sovereignty and patrimony at the mercy of foreign monopoly capitalists

If large-scale and destructive mining poses a big threat to the people, why does the government allow and even encourage its operations?

The Philippines is home to $840 billion worth of untapped minerals. If the government fully implements the Philippine Mining Act of 1995, according to the Chamber of Mines, the Philippines could increase its mineral exports from the present $500 million annually to $2.5 billion. That, according to HSBC projections, would help the Philippines make it to the top 14 economies of the world by 2050.

But RA 7942, or the Philippine Mining Act of 1995, is believed to be an anti-people legislation that is subservient to foreign monopoly capitalists. The Philippine’s current mining policies place the country’s natural resources in the hands of

multinational companies for them to fully-exploit the people’s patrimony.

Most critics of the RA 7942 say that some of the provisions of the act are clear impositions of the General Agreement on Tariffs and Trade-World Trade Organization (GATT-WTO). Along with the plans to liberalize, privatize and deregulate our markets as part of the general architecture of globalization, the continued full-offering of our mineral deposits to foreign corporations make the Philippines a prostituted nation that provides pleasure to dominant economies while it suffers from risks of incurable maladies.

The bottomline is that, the Philippine mining industry is not really a Filipino industry, and the Philippine economy is not a sovereign Filipino economy.

What the Filipinos really need

Alyansa Tigil Mina (ATM), one of the vocal critics of large-scale and destructive mining in the Philippines, said they are not totally against mining, but the repressive mining policies. ATM, like all other anti-mining crusades, recognizes the necessity of minerals in the sustenance of the humanity.

PANALIPDAN-Mindanao, another environmental NGO, said that the country


needs a National Mining Plan and a National Industrialization Program. By planned, they mean mining only what and how much is needed by the people, and mining under stricter policies that ensure environmental sustainability, access to justice, and protection of human rights for affected communities.

S O C K S A R G E N D S AGENDA, an alliance of church-based NGOs, peoples organizations, and environmental advocacy groups in South Cotabato,

North Cotabato, Sultan Kudarat, Sarangani, General Santos and Davao del Sur, shares the following courses of action for the people to forward:

Educate the people on large-scale mining and the disaster it will bring when not stopped. We must debunk all the lies and misinformation being peddled about the mining activities.

Organize all affected sectors and supporters for a concerted action against large scale mining.

Launch Protests as

expressions of our resistance. We can do this through caravans, march-rallies, petitions, pickets, signature campaigns, texting, lobbying, and barricades.

Build a strong and active alliance against large-scale mining not only throughout South and Central Mindanao but also in the entire archipelago, and even outside the country.

Support the People’s Mining Bill for a just, sustainable and pro-people mining policy.

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Mining Development Areas & Military

Deployment Areas under Oplan Bayanihan

67th IBPA25th IBPA

701st IBdePA

1002nd IBdePA

Davao del Sur

Davao del Norte

Davao Oriental

Compostela Valley

73rd IBPA

27th IBPA

39th IBPA

60th IBPA

72nd IBPA

1003rd IBPA

69th IBPA

84th IBPA

66th IBPA

71st IBPA

28th IBPA

1001st IBdePA

GEOGRAPHICALLY, thePhilippines does not

only have agricultural lands to boast of for the country also has mountains rich with metal and mineral resources. Metals like Chromium, Copper, Gold, and Nickel and mineral fuels like Coal can be found in our mountains.

Statistics also prove how rich we are in terms of these mineral and metal deposits.

An estimated production number of 40,847 kilograms of gold and 41,004 kilograms

of silver were reported in 2010. 58, 412 metric tons of copper content of concentrate and 19,312 metric tons of nickel content of concentrate were also specified in the same year.

Because of such abundance, different mining companies are currently operating in the country. These mining companies are categorized into two: large-scale and small-scale.

Companies with a large number of employees belong to the large-scale

Who’s whoLooking into different mining companies in the PhilippinesBY MAYBELLE ANNE YUTIAMCO


WE HAVE already seen the

hazardous tragedy brought

by mining operations in our

country. Many lives have been

lost and properties left wasted.

No wonder a lot of anti-mining

movements have increased

significantly, protesting to stop

all mining operations, may it

be in a larger or a smaller scale.

Who wouldn’t? Even the recent

landslide that happened in

Pantukan is caused by mining

malpractice.

But don’t get me the

impression that I want to ban

mining permanently. After all,

we cannot just deny the fact

that all of us benefited from the

products of mining.

The laptops that we use

today wouldn’t exist if there

were no mineral ore deposits.

The coins in our pocket are

made up of combined nickel,

copper, or zinc. Our highways

utilize metals which are mined,

not grown. Without mining,

there will be neither a bus for

commuters, nor a car to take

us to school or work. Mining

is an essential activity for our

day-to-day needs. What makes

it wrong is the means on how

it is done.

The irresponsibility of mining

operations in the country

aggravates concerns from the

people that the multi-national

corporations label as agents

against development.

The practice tends to be

abusive, with several mining

firms claiming lands as their

“mining areas” with the

government’s approval as if

it was their property. It is the

people’s property, and it’s

the place where indigenous

peoples have been residing for

many decades. Most mining

companies even go beyond

that just to maximize their

profit.

OPINION

Why mining should not be in my backyard BY JOHN KESSLER MISTERIO

mining category. These companies are operating in one to two large sites and stay until all the metal and mineral deposits are already exhausted. Small-scale mining companies, on the other hand, only involve a small number of people. These people are oftentimes considered as a pack of nomadic miners since they travel together to look for sites rich in minerals and metals.

The following are just some of the mining companies and big names involved in the Philippine mining industry:

Philex Mining Corporation Philex Mining Corporation

(the Company) subsidiaries started in the country in 1955. Philex is classified into two main business groups: Philex Mining Corportation, holding the mining business,

and Philex Petroleum Corporation, handling the oil and gas business.

The Company, Philex Gold Philippines, Inc., Silangan Mindanao Exploration Co., Inc. and its subsidiary, Silangan Mindanao Mining Corporation, Inc., are centrally involved in large-scale assessment, improvement, and use of mineral deposits. PGPI controlled the Bulawan mine in Negros Occidental till 2002. Currently, the Company runs the Padcal Mine in Benguet and SMECI, represented by SMMCI, operates the Boyongan and Bayugo mineral resources.

Philex Mining Corporation produced over 4,153 kilograms of gold, 4,096 kilograms of silver, and 16, 157 metric tons of copper content of concentrate last 2010.

Lepanto Consolidated Mining Company

Lepanto is a mining company primarily involved in gold bullion production. This company yields gold minerals from the Victoria and Teresa deposits in Mankayan, Benguet. Lepanto has secured a total of 46-patented mining claims in Mankayan, Benguet. Just like Philex Mining Corporation, Lepanto also has subsidiaries including Shipside, Inc., Diamond Drilling Corporation of the Philippines, and Lepanto Investment and Development Corporation

Lepanto also reports to have spent over P 127.15 million on environmental protection in 2010. 67% of the money went to tailings dam construction and management for the mill tailings and wastewater treatments. The remaining

In order to support the

country’s economy, the

government has opened its

doors to investors, signing

agreements and laws, and

allowing these companies to

utilize the natural resources

of the Philippines. Republic

Act 7942 seems to legitimize

destruction of IP communities,

environment, and of the food

supply in the name of “profit”.

The law has become

protectors of foreign mining

firms in extracting what is

supposed to be ours. Poor and

improper management has

resulted in various problems

leading to environmental and

social issues. The civil society

is strong in its stand against

mining, while the government

protects the interests of

the miners in the name of

“development”, as some of

them secretly benefits from it.

Getting a permit for

operations in mining seems to

be culturally inclined. Instead

of granting permits in the belief

that it passed the standards

for environment preservation

and several pre-requisites,

the government seems to fall

under the “palakasan” culture.

As long as those in the position

profit, the official role seems to

be one of camouflage.

I say mining should not be

in our backyard, if it poses a

greater threat than benefit.

What we need is the repeal of

a law that instigates zero-sum

game for the Philippines, and

the promotion of one that

mines for the benefits and

needs of our country.

Mining isn’t bad. What makes

it bad is the way it is done and

operated, making it unsuitable

to the current Philippine

setting. If this kind of processes

continue, and if government

officials would not be strict

enough in implementing

certain mining policies,

then I can say, irresponsible

mining should not be on our

backyard. The end can never

justify the means, and our

collective efforts on begging

for responsible mining will go

on unless the right authorities

will act in the name of integrity.

33% was spent on rehabilitation, reforestation, and resource management.

The Company also spent more than P 3.5 million on its Social Development and Management Program.

Atlas Consolidated Mining And Development Corporation

Atlas was first incorporated in 1935. It is listed in the Philippine Stock Exchange and was listed in the American Stock Exchange until May 1995.

Three subsidiaries were created in order to improve the Toledo Copper Complex, Berong Nickel Project and the Toledo-Cebu Bulk Water and Reservoir Project in 2004 and 2005. Consequently, Carmen Copper Corporation, Berong Nickel Corporation, and Aquatlas Inc. were incorporated.

Rapu-Rapu Processing Incorporated (RRPI)

RRPI is located in Rapu-Rapu Island, Albay and is the biggest private enterprise in Albay with more than US$ 100 million investments. RRPP is the first mining company to operate after the RA 7942 or the Philippine Mining of 1995 was enacted.

Over 80% of the employees are from Bicol. It is also the mining company in the Philippines to support the Final Mine Rehabilitation and Decommissioning Plan (FMRDP) before its approval and was awarded with the safest mining operation in the Philippines in 2010.

RRPI is a secondary producer of gold and silver in the Philippines. The company reports to have produced 705 kilograms of gold and 10, 480 kilograms of silver last 2010. It has also produced 5, 972 metric

tons of copper content of concentrate and 9, 268 metric tons of zinc content of concentrate in the same year.

Manuel V. PangilinanPhoto/planetphilippines.comPage 29 Atlas Consolidated Mining & Development Corp. LogoPhoto/blairezon


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