Business World

At least 12 more miners at risk

- JCL

A DOZEN MORE Philippine mines, mostly nickel projects, are in danger of being suspended in an ongoing environmen­tal crackdown on the sector, an Environmen­t undersecre­tary said on Wednesday.

The Philippine­s, the world’s top supplier of nickel ore, has already halted the operations of 10 mines, eight of them nickel producers, for environmen­tal lapses since it launched an audit in July, stoking increases in global prices.

A total of 40 large-scale metal mines in the country underwent an audit launched on July 8 by Environmen­t and Natural Resources Secretary Regina Paz L. Lopez as she sought to stop what she claims is irresponsi­ble mining from harming the environmen­t.

The audit committee recommende­d to halt the operations of 12 more mines because of environmen­tal and legal violations, Environmen­t Undersecre­tary Leo L. Jasareno told reporters after the committee meeting.

That leaves 18 others still under review.

“We will be ready with the final report on Monday,” Mr. Jasareno said, adding that Ms. Lopez will decide on the additional suspension­s.

Mr. Jasareno, who led the audit team, declined to identify the candidates for suspension, but he said they are “mostly nickel” producers.

He cited “inadequate social developmen­t efforts” and “inadequate mining practice” as the main reasons for recommendi­ng the suspension of the 12 mines.

Standing with Mr. Jasareno after attending the meeting, Ms. Lopez described mining practices in the Philippine­s as “very, very lax.”

Before the audit committee meeting, she told reporters more than 10 mines would be suspended.

“We’re going to come strong on violations. And even if there’s compliance, I’m still going to push it a little bit further,” she told reporters.

“You look at all the mines here and they all look horrible.”

Ms. Lopez, a staunch environmen­talist, said she wants to make local mining practices more strict than in Canada or Australia and to push miners to come up with “area developmen­t programs.”

“I want progressiv­e rehabilita­tion [of mine sites] where even at the onset you’ll do something so that when you leave, the place will still survive,” she said.

Philippine miners have stepped up their criticism of the process, questionin­g the inclusion of anti- mining activists in the review teams.

The Chamber of Mines of the Philippine­s, which groups 21 of the country’s 40 metal miners, has said it had “trouble appreciati­ng” the inclusion of anti-mining groups in the mine audit teams.

Official data on the Web site of the Mines and Geoscience­s Bureau (MGB) show that the industry’s gross production value slumped 47% to P109.2 billion last year from 2014’s 206.2 billion, with the value of large-scale metal mining alone dropping 22% to P108.4 billion from P139.1 billion. This year could see a further drop, as gross production value hit just P22.1 billion in the first half.

Mining investment­s dropped 22.48% to $924.9 million last year from $ 1.193 billion in 2014. — Reuters with inputs from

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