In a statement posted in social media on Saturday (June 20), Nueva Vizcaya Governor Carlos M. Padilla has renewed calls to end mining in Didipio.
One year has passed since the expiration of the Financial and/or Technical Assistance Agreement (FTAA) of OceanaGold Philippines Inc., a local subsidiary of Australian-Canadian miner OceanaGold Corporation operating the Didipio mine.
“Let us vigorously oppose the renewal of OceanaGold’s FTAA. Let us stand against mining,” Padilla said in a press statement.
FTAA, a mining contract governed by the Mining Act of 1995, has a life span of 25 years and renewable for another 25 years. The Didipio mine’s contract was set to end this year.
But the contrast between the country’s current situation and the governor’s plea is evident, as the national government is desperately rushing to look for possible revenues. The economy was left devastated by the COVID-19 pandemic, and many people lost their jobs.
By the end of April this year, 60% of the 714 employees of OceanaGold at the Didipio mine were laid off. Out of the 300 remaining workers, only a skeleton work force of about 100 will be left by July if there will be no FTAA renewal, an insider from OceanaGold’s Didipio operations revealed.
According to the Mining Act of 1995, Didipio would be under the government’s care and maintenance if OceanaGold gives up or fails to secure a renewed contract.
There is no doubt the national government is still considering the huge potential of the country’s mineral industry, since no categorical response from Office of the President has been made public as of late regarding OceanaGold’s application for FTAA renewal.
In his statement, Padilla lamented that the Mines and Geosciences Bureau (MGB) is highly supportive of the renewal of OceanaGold’s FTAA.
The MGB estimated that in 2019, the export of metallic and non-metallic minerals and products was valued at US$4.38 billion.
“In Cagayan Valley alone, where two other large-scale mining operations (FCF Minerals and Nickel Asia) are operating in addition to OceanaGold, an estimated P9.53 billion (US$ 190 million) worth of gold, copper and nickel were exported to Japan, India, Switzerland, and Australia in 2019,” MGB’s Region 02 website said.
Copper, gold and nickel are the country’s top mineral exports.
MGB also claimed there are 190,000 workers employed by the minerals industry in 2019. The bureau also assumed that for every job in the industry, about four indirect jobs may be generated in the upstream and downstream sectors. (To be continued.)