Mine stops operations; Vizcayans urge GMA: Cancel explore permit

BAYOMBONG, Nueva Vizcaya — Thousands of anti-mining advocates urged President Arroyo Thursday to revoke the exploration permit granted to a mining firm here.

This, as Australian owners of the national government-backed multibillion-peso Didipio mining project of OceanaGold Philippines in this province announced a self-imposed suspension of operations.

Didipio Project Manager Jake Foronda said suspension may last two to eight weeks for adjustments and place the pre-requisites in proper positions to prevent disruption of operations.


"Suspending the construction phase is one step backward for us to double check and do necessary reconditioning of our ‘vehicle’ to assure smooth sailing before we go back to the launching pad," Foronda told its employees. The anti-mining advocates, led by the Catholic Church, presented their stand to Gov. Luisa Cuaresma and members of the sangguniang panlalawigan during a rally Wednesday at the provincial capitol here.

"We firmly believe that the mining company had suspended its operation because it knew it has many lapses in its operation and is remiss in its obligation to the local government," a leader of the anti-mining group said. The impasse between the provincial government and the company came about when the latter refused to pay quarry fees.

It argued that its financial and technical assistance agreement (FTAA) with the national government exempted it from paying the fees. This prompted Gov. Luisa Lloren Cuaresma to issue a cease-and-desist order stopping the firm’s quarrying activities.

But this was countered by a return-to-work order issued by Environment and Natural Resources Secretary Joselito Atienza. The impasse was aggravated by the filing by the company of charges for graft and corruption, grave coercion and abuse of authority with the Ombudsman against Cuaresma. OceanaGold Philippines said the move was to enable it to evaluate its position on issues that have affected its operation, which is now in the construction stage.

The unilateral stoppage, which started last week, was done upon the orders of the firm’s Australian-based parent company Oceana Gold Ltd., said to be the world’s second largest mining company.

An executive of the mining firm said "this (suspension of operations), in a way, will also show to the provincial government that we in the company are willing to work for a return to harmonious relations which we had before this problem broke out. We are doing this out of respect for the provincial government."

However, the executive clarified that the stoppage did not mean the firm is giving up its Didipio project. Sources on both sides said reason should prevail in the efforts to resolve the standoff between the provincial government and the mining firm in connection with the issue over quarrying fees and provincial taxes.

Foronda said suspension of major construction works does not have anything to do with the demand of the anti-mining advocates to stop the large-scale mining projects in the province.

"We are just like any other businesses allowed by the (national) government to operate. While majority welcomes us, some may hate us too, but this does not mean that we should close shop for as long as we abide the mining law and our FTAA contract with the government," Foronda said.

Except the workers involved in the construction activities, the regular administrative and corporate social responsibility (CSR) division will be kept to deliver regular services.

OceanaGold community partnership manager Arnel Arrojo said while construction division is idle, his team will take the opportunity to strengthen partnership sustainability in the mining village.

"Jamilla will be responsible for the development and management of OceanaGold’s community partnership and sustainable development initiatives in the Philippines and New Zealand business units of the company," Foronda said. -- CP