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Australian firm digs gold, copper in N. Vizcaya
despite ECC violation

A few years ago, Nueva Vizcaya communities protested plans by a large Australian mining company to extract high grade ore and copper in one of their fertile valleys, Didipio. The firm, the Climax-Arimco Mining Company, had been granted a mining permit by government and, despite the opposition, the environment department was not listening. The company’s operations have since begun but the vigilant watch by environmentalists and other groups continues.

By BULATLAT.COM

With the full knowledge of the Department of Environment and Natural Resources (DENR), a controversial Australian mining company continues to operate in Nueva Vizcaya province.

The Legal Rights and Natural Resources Center (LRC)-Luzon office last week revealed that the Climax-Arimco Mining Company (CAMC) continues to operate its Didipio Gold and Copper Project in Didipio, Kasibu, Nueva Vizcaya in violation of the Environmental Compliance Certificate (ECC). Didipio is located some 200 km northeast of Manila.

Judith A. Pasimio of LRC-Luzon office said that CAMC has “blatantly violated” the conditionalities of the ECC and “DENR has done nothing about it.” LRC is a policy advocacy NGO assisting the Didipio residents in their opposition against the mining project in the province.

Among the conditionalities of the ECC, issued by then DENR Secretary Antonio H. Cerilles in 1999, is a letter endorsement of the Regional Development Council (RDC) that the mining project conforms with the Regional Physical Framework Plan.

To this day, however, the RDC has not issued any letter of endorsement. “In fact, what RDC issued on Oct. 27, 2000, was a resolution Rejecting the Proposal of Climax Arimco Mining Corporation to Operate the Didipio Gold/Copper Mining Project,” Pasimio revealed. “The absence of such endorsement is made even palpable by this resolution.”

The ECC provides that non-compliance with any of the conditions shall be “a sufficient cause for the suspension or cancellation” of the certificate.

Inaction

No action has been taken by DENR Secretary Heherson T. Alvarez.

Two months ago, Alvarez said that he would order an immediate review of the mining operations of CAMC. This was his response to a letter from Bishop Ramon Villena of the Diocese of Bayombong, Nueva Vizcaya to President Gloria Macapagal-Arroyo. Bishop Villena was calling for the pull-out of CAMC in the province citing non-acceptance of the project by the local communities.

But there seemed to be no movement yet towards any kind of review – no review team has been set up, no visit has been arranged, Pasimio said.

“Alvarez need not even have to step out of his office or create a task force to find out sufficient bases for the cancellation of the ECC of CAMC,” the LRC-Luzon official said. “No RDC endorsement equals ECC violation. ECC violation equals cancellation. It’s that clear and simple.”

“Alavarez seems to have fallen into lethargy, after showing off so much energy in that one controversial decision he made with the Canadian mining company in Mindoro,” observed Pasimio.

Recently, Alvarez, after public consultations and a visit to Mindoro Oriental, revoked the Mineral Production Sharing Agreement (MPSA) of Crew Minerals in the province, citing environmental threats and lack of social acceptability. Crew expressed its disappointment with the decision and declared that it will appeal the revocation.

Meantime, CAMC affirmed that it will not withdraw its mining project in Nueva Vizcaya

“We hope Alvarez would not fall into stupor, thinking he has done enough good work for the mining issue,” Pasimio said. “He just might wake up to an angered and desperate people. And that is not really a comfortable situation to be in.”

CAMC is one of the two mining companies which have been granted by the Philippine government the controversial Financial or Technical Assistance Agreement (FTAA). The other was Western Mining Corporation (WMC), also an Australian company. WMC has withdrawn its operations in Mindanao, after being subjected to a strong campaign against its mining project by the B’laan communities and various national and international support groups.

Mining projects

The Dinkidi gold and copper project in Didipio Valley is CAMC’s major core asset in the Philippines although it has at least two more mining projects in Mindanao, southern Philippines – the Mt. Paco gold exploiration permit in Surigao Peninsula and the Manhulayan gold and mining prospect in Butuan City.

The company is pouring in $138 million to develop its Dinkidi project, known to have 4 million oz. of high grade gold and 1 billion lbs. of copper resource. It has also acquired some $42.5 million in equity and quasi-equity plus $90 million senior project loan from the Standard Bank London, Ltd.

The Dinkidi project, acquired through a 1994 Financial or Technical Assistance Agreement (FTAA) operates mainly by open pit mining.

CAMC’s Paco gold exploration permit covered some 3,035 hectares 20 km south of Surigao City. Its Manhulayan gold and copper prospect is located 70 km south of Butuan City in eastern Mindanao. Bulatlat.com

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