South Cotabato, Environment officials to tackle open pit mining

Environment officials will meet with the South Cotabato officials next week on the issue of how open pit mining can benefit not only the province but the entire country as well. “There could be several interpretations to open-pit mining. Even our mining lay has its own definition. And even if you look at the mining books, they also have their own definitions," said Region 12 Mines Bureau director Engineer Constancio Paye, Jr. Open-pit mining is the “method of extracting rock or minerals from the earth by their removal from an open pit or borrow." This type of mining, also known as "open-cast mining" and "open-cut mining," is used “when deposits of commercially useful minerals or rock are found near the surface." Paye said that if the provincial code will be strictly implemented, the ban would have to encompass quarrying because it is a form of open-pit mining based on the definition set by the Environment Code. Paye said the code’s definition should be clarified to avoid confusion. The code should state whether it includes quarrying or limestone mining and small-scale mining, he added. Earlier, Environment Secretary Ramon Jesus Paje said the department will continue to protect mining investments in the country, particularly investments from the $5.2 billion Tampakan copper and gold project in South Cotabato. In June, the provincial government of South Cotabato passed into law an environment code banning open-pit mining in the province. The move was seen as a hindrance to the Tampakan Copper-Gold Project, considered as the single biggest direct investment in the history of the Philippines. Sagittarius Mines, Inc. (SMI) holds a Financial and Technical Assistance Agreement (FTAA) with the national government to develop and operate the Tampakan project. Tampakan reportedly has the potential to become one of the biggest mines in the world, and is expected to employ 9,000 workers in its construction phase and over 2,000 during its operation. The taxes and royalties that are to be paid to local government units, host barangays and tribal communities were estimated at around P65 billion. The national government, on the other hand, stands to receive around P225 billion in taxes during the life of the mine. The project has an estimated world-class deposit of 13.5 million metric tons (MT) of copper and 15.8 million ounces of gold. The mineral resource reportedly also contains estimated average grades for molybdenum of 70 parts per million (ppm). –VVP, GMANews.TV