PEZA to help redevelop mining areas into ore processing zones

THE Philippine Economic Zone Authority (PEZA) will be tying up with the Philippine Mining Development Corp. (PMDC) to redevelop more than 8,000 hectares of mining land, especially in Mindanao.

PEZA Director- General Charito B. Plaza told reporters last week that PMDC is reviewing the draft for the memorandum of agreement (MoA) which is expected to be signed by next month, in time for the launch of the Philippine Economic Zone Map.

Once the MoA is signed, all mining areas under PMDC will be declared as mineral processing industry zones and will be sold to investors for development.

“In Diwalwal ( Davao), what happened is there are no investors so there are illegal settlers who smuggle the minerals. Most of our gold is being smuggled to Hong Kong and other countries and are operated by illegal settlers so we will help the Philippine Mining Development Corp. put order in these mining areas that are owned by the government. And we will invite soon the different mining companies, encouraging them to put up mineral processing industries.”

Ms. Plaza added that the development of mining ecozones will add more value to the mineral extraction process, generate employment, and protect the environment through regulation.

“Most of our mining companies do not have mineral processing industries so they sell the minerals raw, including the soil. Ores are not just one mineral, it is composed of many other minerals so for example, if a nickel ore is sold, then the buyer only pays for the nickel, even though the ore may have other minerals which we cannot exploit because of the absence of mineral processing plants. The other minerals are theirs for free.”

Ms. Plaza added that PEZA will also be inviting other basic industries to invest in the Philippines such as the steel industry.

PEZA plans to release the Philippine Economic Zone Map in November, as a guide to potential locators.

“The Philippine economic zone map will list both existing and new economic zones and industries – which include public lands under the DENR (Department of the Environment and Natural Resources), and the mining zones under the PMDC,” Ms. Plaza said.

“All investors have to do is to look at the map if they want to put up a plant, for example; we can direct them to the possible locations.” —