Global Ferronickel’s Ipilan mine unlikely to secure mayor’s permit

LISTED GLOBAL Ferronickel Holdings, Inc. (GFNi) is unlikely to get a mayor’s permit for the operations of its Ipilan nickel mine in Brooke’s Point, Palawan.

In a phone interview with BusinessWorld last week, Brooke’s Point Mayor Mary Jean D. Feliciano said the municipality will not allow the Ipilan nickel mine to operate as it would disrupt the area’s agriculture and tourism prospects.

“Isa kami sa mga pinakamabilis umunlad sa Palawan. Walang pagmimina. Kaya hindi ko papalitan kung ano ang direksiyon ng bayan namin ( We are one of the fastest-growing municipalities in Palawan. Without mining. This is why I won’t change the direction of our municipality),” she said.

The Brooke’s Point mayor pointed out the proposed mine site of Ipilan Nickel Corp., a wholly owned subsidiary of GFNi, sits near an “approved” watershed — the Filantropia watershed.

Ms. Feliciano added the proposed mine area is adjacent to Mt. Mantalingahan, a protected landscape declared by virtue of Presidential Proclamation 1815.

She said there is an existing government- funded irrigation system that supplies water to almost 3,000 hectares of rice farms, and an existing P40-million water system project that supplies potable water to five barangays.

Ms. Feliciano said she asked GFNi President Dante R. Bravo to come clean and tell the company’s stockholders the truth.

“’ Wag niya itago sa kanilang stockholders na eto ang situation. Kahit anong gawin nila, haharang kami, hahadlang kami. Kasi pinagtatanggol nila dito, pera lang investment. Ako hindi, ang future ng Brooke’s Point at aming economy which is agriculture and tourism ( I told him don’t hide the real situation from the stockholders. Whatever move they will make, we will block it. What they are defending is just money, investment. For me, I am defending Brooke’s Point future and economy, which is agriculture and tourism),” she said.

For his part, Mr. Bravo debunked Ms. Feliciano’s claims that the proposed mine site is situated within the boundaries of a proclaimed watershed and a protected landscape.

“It is not true. It can be checked with the MGB ( Mines and Geosciences Bureau) map,” Mr. Bravo said in a text message over the weekend.

However, the MGB’s tenements map as posted on its Web site showed Ipilan’s MPSA and proposed exploration sites overlap the edges of the Mt. Mantalingahan protected landscape.

According to the Presidential Proclamation 1815 signed by then President Gloria Macapagal-Arroyo, “any valid contract, permit or license for the extraction or utilization of natural resources therein already existing prior to this Proclamation shall subject to national interest and existing laws, rules and regulations, be respected until its expiration.”

“Areas covered by such contracts, permits or licenses which are found not viable for development after assessment and/or exploration shall automatically form part of the MMPL. Likewise, all property and private rights within the MMPL already existing and/or vested prior to this Proclamation shall be respected in accordance with existing laws,” it added.

To note, the Ipilan mine’s MPSA was secured in 1993.

On the existing water irrigation and projects in the area, Mr. Bravo said these projects and facilities are situated outside the Ipilan mine area.

Mr. Bravo expressed confidence Ipilan will be able to start operations amid the Brooke’s Point mayor’s firm opposition.

“We will exercise our rights under the mineral agreement and under the law. Ours is a government contract. It cannot be defeated by a mayor’s unlawful act. Otherwise, we will be allowing her (or her local government) to be a sovereign within a sovereign. Can you imagine a mayor or a local government unit more powerful than the national government? I think the mayor has overestimated her powers under the law,” he said.

Mr. Bravo clarified that prior to operations, the company will apply for a mayor’s permit which should be given after they comply with other requirements under the law.

“The issuance of such mayor’s permit is ministerial if the applicant has complied with all the requirements. It cannot be denied arbitrarily as such arbitrary denial is also illegal,” Mr. Bravo said. “We are confident we can operate it soon.”

The company official said GFNi has invested some P3.5 billion in the said project which is expected to employ more than 10,000 employees, directly and indirectly.

Last week, a rally was staged at the Ipilan mine site after the company refused to allow the mayor and other community leaders to investigate the site. This after dump trucks and heavy equipment were allegedly brought into the area around three weeks ago, raising concern the mine site is already in operations.

The MGB Mimaropa Region has investigated the matter and found that the mine has started operations.

In a phone interview last week, MGB Mimaropa Director Roland A. De Jesus said they found no operations at the Ipilan mine site yet, since even the roads are still being built. He added that only dump trucks were found at the site, but no heavy equipment such as excavators and bulldozers.

Mr. De Jesus noted GFNi’s environmental compliance certificate has been invalidated for failing to be renewed before its expiry.

Sought for comment on the local government’s objection to allowing the Ipilan mine to operate, Mr. De Jesus said: “In cases where the local government does not allow the company to operate, parang in defiance to the national government kasi na- issuehan sila ng permit. It is through persuasion na lang ng company yun on how to go about yung ganoong problema.”

The MGB official also contrasted Ms. Feliciano’s statement that the Filantropia watershed is an approved watershed where mining is prohibited to take place.

“May portion dun na watershed pero it’s not a declared watershed. The watershed is a part of our country,” said Mr. De Jesus.

Under the Philippine Mining Act of 1995, proclaimed watershed forest reserves, among others, are areas closed to mining.