Metro Manila (CNN Philippines, April 30) — Philex Mining Corp. will have to put its Silangan project on hold with the government’s proposed ban on open-pit mining, chair Manny Pangilinan has confirmed.
The gold and copper mine involves a mix of both underground and open-pit mining, Pangilinan told reporters on Friday, so it will be covered by the Department of Environment and Natural Resources’ planned administrative order against open-pit mines.
“So in the meanwhile, hold na muna, diba? We have to follow government,” he said at the sidelines of the ASEAN Summit.
[Translation: So in the meanwhile, it will be on hold first, right? We have to follow government.]
The Silangan mine, located in Surigao del Norte, is expected to replace Philex’s Padcal mine in Benguet, whose gold and copper reserves will run out by 2020.
“We are at the stage of finalizing the definitive feasibility study which upon completion, we will submit to the government for approval and confirmation of the ECC (environmental compliance certificate),” Pangilinan said.
“If we are given the relevant approvals then we can proceed. But for now, that’s put on hold.”
Philex has sunk in about ₱17 billion in investments for the “initial development work” of the Silangan mine, according to Pangilinan. He called the amount, however, “nothing significant.”
When asked whether Philex would file a legal complaint against the DENR, Pangilinan said the company would be “reluctant” to do so.
Open-pit mining is recognized by the Philippine Mining Act of 1995, and it is an internationally-allowed method of extracting mineral ore.
This is not the first time there have been moves to ban open-pit mining, though. South Cotabato banned the method in 2010, compromising the $5.9-billion Tampakan gold-copper project.
Developer Sagittarius Mines, Inc. has called it the single largest foreign investment in the Philippines. But Environment Secretary Gina Lopez has repeatedly said she opposes the Tampakan mine.
