DMCI mulls nickel mines shutdown

Diversified conglomerate DMCI Holdings Inc. is considering the shutting down of its nickel mining operations as the industry is rocked by audit and suspension orders by the Department of Environment and Natural Resources.

DMCI chairman Isidro Consunji said “we could close it [mining operations] down in 60 days [from now]” after noting that it is no longer economically viable to work under a stop-and-go operation.

Through subsidiary DMCI Mining Corporation, the firm has stakes in Berong Nickel Corporation (BNC) and Zambales Diversified Metals Corporation (ZDMC).

Both operations, which employ the “open pit technique” in extracting nickel, chromite and iron laterite, were recently suspended by the DENR after an audit.

DENR alleged that BNC and ZMDC committed “various alleged environmental crimes, violations of the mining and environmental laws, and complaints of various groups against the alleged environmental impacts” of their mining activities.

“Should we decide to shut down, I believe, more and more mining companies would follow suit. It is no longer economically viable to operate under this condition, where mining firms are being audited instead of the environmental compliance monitoring group tasked by the government to monitor us,” Consunji said.

He noted that “the government should be auditing the group that monitors us, that’s the very reason why this monitoring team is there, they are tasked to monitor environmental compliance among mining firms. Thus, government should not conduct their own auditing.” (JAL)