Mindanao trade group backs SMI operations in Tampakan

Zamboanga City/General Santos City—Sagittarius Mines Inc. (SMI) has not even started actual mining operations, yet it now stands accused of contaminating the Pulabato River in Tampakan, South Cotabato with mercury.

John Arnaldo, SMI corporate communications manager, yesterday said claims that the company had contaminated the river—a major source of irrigation water for farmers—were baseless.

This announcement came after Mindanao businessmen agreed to pass a resolution backing the operation of Xstrata’s Sagittarius Mines Inc. when they meet next week in Pagadian City, a business chamber official said Wednesday.

According to Eileen Estrada, Tampakan environment officer, the mercury level at Pulabato River was “340 times higher than the maximum tolerable limit.”

“Based on the Department of Environment and Natural Resources Administrative Order 35, dated March 20, 1990, the maximum limit for mercury in inland waters is pegged at 0.005 milligrams per liter,” Estrada explained.

But she clarified that the study on mercury level at the Pulabato River was commissioned by SMI itself.

Arnaldo said SMI earlier found out that “banlas,” or sluice mining, an illegal mining activity, was widespread within the 10,000-hectare mineral claim of SMI.

Constancio Paye Jr., regional director of the Mines and Geosciences Bureau in Central Mindanao, said based on their information, small-scale miners have been carrying out sluice mining in Tampakan since 2007.

Arnaldo said sluice mining was behind the high level of mercury at Pulabato River.

“The local government unit should not be blamed because it is doing its part to curb the illegal mining operation,” Estrada said, adding that authorities are having a hard time because the illegal small-scale miners are good at playing “hide and seek.”

SMI is currently working with the local government of Tampakan to put a stop to sluice mining operations in its mining claim, Arnaldo said.

According to Mercedes Lourdes Quisumbing, president of the Pagadian, Zamboanga del Sur Chamber of Commerce and Industry Foundation Inc., SMI is a large investor and could greatly help Mindanao’s economy.

This was the reason why the business group had decided to submit a resolution of support to the government after the Mindanao Business Conference, Quisumbing said.

SMI has found large deposits of gold and copper in South Cotabato and portions of Davao del Sur. But the mining firm has to hurdle the South Cotabato provincial government’s ban on open-pit mining, the same system the company plans to use.

Quisumbing said the ban was saddening.

SMI said it would spend about $5.5 billion in developing the Tampakan gold and copper mine.

“[That’s a big] investment [for] Mindanao … and they are going to pay taxes in Tampakan,” she said.

Quisumbing said that although the business group has thrown its support behind SMI, Mindanao residents would also like to ensure that the company would abide by regulations.