Chamber of Mines lambasts DENR's mining audit results

The Chamber of Mines of the Philippines decried on Thursday the final results of an environmental audit by the Department of Environment and Natural Resources (DENR), which called for the closure of seven of its members and suspension of two others.

Earlier Thursday, Environment Secretary Gina Lopez revealed she has ordered the closure of 21 mining companies and suspended six others in the wake of an industry-wide environmental audit, which started in July last year.

In an emailed statement, COMP Executive Vice President Nelia Halcon lambasted how the audit results were first made public during a press conference.

“If the audit found violations, the law provides for a procedure. She should have filed the appropriate cases or invoked the arbitration clause of the mining agreements. Our members have not received any formal decision but have already been subjected to trial by publicity," Halcon said.

Lopez told reporters the closure orders were issued two days prior to the announcement.

“Unfortunately, it seems that her decision to close these mines was based merely on a quick fly-by over Surigao del Sur last week in a chopper during the height of the rainy season. It may not have been based on the review conducted by the Mines and Geo-sciences Bureau. Reports reaching us even said MGB personnel were even banned from her press conference,” Halcon noted.

During the press conference, Lopez said she visited mining sites and looked at the recommendations of the MGB. "I used my judgment on what is the best thing to do."

Halcon claimed that "it has been reported that the review results will not be released by Secretary Lopez saying it was “too complicated.”

During the briefing, Lopez was asked if she could distribute to the media copies of MGB's recommendations after the audit.

"I'm gonna have to think about it because if I don't agree with it then I'm not gonna give it to you ... if it's not resonant with my principles," Lopez replied.

"For whatever the MGB has done, the MGB is under me, and the MGB is recommendatory to the secretary so at the end of the day I make the decision ... their only play here is to recommend. The mining audit was done in July and then their committee was in action, they took so long, they took six months, and I said I'm not gonna wait anymore," Lopez explained, noting she's not pleased with the MGB.

COMP also questioned the way the DENR mine audit was conducted, highlighting the inclusion of anti-mining activists that supposedly tainted the process.

“We are not against a strict implementation of the law. In fact, we have often called for stricter monitoring of all mining operations in the country. What we question is the bias and partiality of the audit from the very start with Secretary Lopez’s early statements that she does not like mining and would like to see mines closed,” Halcon said.

“With the inclusion of anti-mining groups in the audit teams, you can see that the audit was compromised. The participation of these anti-mining activists immediately raises the question of whether or not the results are impartial,” Halcon added.

Still, Halcon said mining firms remain committed to delivering on their obligations and are even working beyond the requirement of the laws, particularly in the development of human capital and the enhancement of the economic base of provinces hosting mining projects.

COMP is calling on the Mining Industry Coordinating Council (MICC), co-chaired by the Department of Finance, to convene and review the policies and arbitrary actions of Secretary Lopez, Halcon said.

"Her drastic action of publicly announcing the closure and suspension of 28 mining operations without due process will have detrimental and far-reaching impacts on the economy, the mining industry and the country," she noted.

Of the 21 miners the DENR ordered to shut down, seven are COMP members – Benguet Corp. Nickel, Eramen Minerals, LNL Archipelago, Platinum Group Metals, CTP Construction, Marcventures, and Hinatuan Mining. Two others, OceanaGold and Lepanto Consolidated Mining, are up for suspension. — Ted Cordero/GMA News