MANILA, Philippines - The Philippine Chamber of Commerce and Industry (PCCI) called on the government and the private firms to finally resolve the open pit mining issue in Mindanao because the country is losing billions in investments.
The ban on open-pit mining in the provinces of Capiz, Bohol, Samar, Mindoro, South Cotabato, Romblon, and lately, Zamboanga del Norte, has seriously put mining investments at risk and held back development of affected communities, the PCCI said in a statement.
Open-pit mining is allowed under the Philippine Mining Act, which also has stringent environmental and social prescriptions to ensure sustainable development of mineral resources.
Mining, considered to be among the growth drivers of the Philippine economy, is estimated to have contributed P110 billion to the country’s economic output in 2010. Mining and quarrying combined, generated an estimated 200,000 jobs last year.
Francis Chua, PCCI President stressed the need for adequate information to have a better understanding of mining processes and technologies, and dialogue with stakeholders to build social acceptability of such projects.
“The mining industry will only be able to attain its growth target if the legal and regulatory framework is stable and there is understanding and social acceptance of mining projects,” Chua said.
To help facilitate the resolution of this issue, PCCI is calling on all stakeholders to engage in a rational, objective and intelligent discussion to exhaust all possible means at coming up with a solution that is acceptable to all parties concerned, without undermining the country’s economic competitiveness and attractiveness to investors and the benefits responsible mining will accrue to national and countryside development.
Citing data from Sagittarius Mines Inc., PCCI noted that the Tampakan Mining project alone, the target of the South Kotabato ordinance can provide employment generation for up to 8,000 to 9,000 people during construction and for around 2,000 more during actual operations, and GDP contribution at one percent with tax revenues of $5.1 billion over 20 years.
SMI data show the potential of the area to produce 13.5 million tons of copper and 15.8 million ounces of gold.