Armed groups hamper mine operations in Mindanao

DAVAO City, Philippines—The presence of armed groups such as the New People’s Army  in mineral-rich areas of Southern Mindanao remains a stumbling block to the operations of mining companies, the head of the regional office of the Mines and Geo Sciences Bureau said Tuesday.

Edilberto Areza said mining companies about to start operations in the region were prevented from operating because of threats from these armed groups and not because of red tape in the bureaucracy.

“It’s easier when they were  still doing paperwork  for their application but when they start going to the area to start mining activities, they are hampered by threats,” Areza said.

He cited the case of Bunawan Mining Corp. (BMC), which has an estimated 2,500-hectare mining claim in Banaybanay, Davao Oriental. The mining firm was supposed to start operations four years ago but it slowed down when its geologist was abducted by armed men in the area.

Under the Implementing Rules and Regulations of the Philippine Mining Act of 1995, companies with approved mining claims are mandated to spend P150 per hectare on their approved mining claim in the first two years of operation. This amount is increased to P400 per hectare in the next two years and to P600 after another two years.

But Areza said BMC had petitioned the MGB to waive the requirement because of “force majeure,” referring to the presence of armed groups in the area and the threats to their lives, which are beyond their control.

“They filed this petition before the bureau for failure to work on their approved mining claims because of force majeure,” Areza said. “They requested exemption from the IRR requirement after their geologist was held hostage by the armed groups,” he said.

He said that although only one mining company filed the complaint, the abduction of geologists was “becoming a trend” in the mining areas in Mindanao where armed groups operate.

On May 12, one person was killed when suspected NPA rebels attacked security personnel of a mining company in Pantukan, Compostela Valley, while escorting a geologist.

“This is becoming a problem in the mining industry,” Areza said. “We cannot do anything about it because we are not the government’s peace and security agency, although we have already informed the army about it.”