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For leaking mine waste, Philex slapped with P1-B fine


After leaking mine waste into streams and other water channels, Philex Mining Corp. is being fined by the Department of Environment and Natural Resources to the tune of P1 billion.   A waste pond at Philex Mining’s Padcal gold-copper operations in Itogon, Benguet started leaking mine tailings early last month.   “In a letter dated September 26, Philex was fined P1.034 billion for its failure to contain all tailings within a tailings pond,” Mines and Geoscience Bureau chief Leo Jasareno told GMA News Online in a phone interview on Wednesday. “Philex has seven calendar days to comment.".   The fine is only for violation of the Mining Act, and the penalty for violating other environmental laws – such as the Clean Water Act – will be separately imposed on Philex, Jasareno said.   In an emailed statement Wednesday, Philex said it will challenge all penalties the government will impose in relation to the damaged waste pond.   “PMC is prepared to refute whatever penalties the government might impose on it in connection with the Padcal accident,” said Michael Toledo, Philex senior vice-president for corporate affairs.   “We are well prepared to review any decision on penalties that the DENR will release this week, and we will indeed contest it in a proper forum,” Toledo noted.   “They can always do that,” Jasareno said during the interview. “That is their prerogative, but in the end it is the government that will make the decision.” The Philex chairman is Manuel V. Pangilinan, one of the nation's most influential businessmen, who recently cut his substantial ties with Ateneo de Manila University over disagreements about the environmental impact of mining.  FIne much larger than expected   Earlier, Environment Secretary Ramon Paje said Philex may pay fines amounting to P1 billion, noting P975 million will cover damages in violation of the Mining Act and an additional P8.4 million for water pollution.    Initially, the department estimated that Philex may be slapped only with P325 million in fines.   DENR suspended the mining operations in the Padcal mine in early August after its tailings pond leaked into nearby water channels on August 1. Since the first recorded leakage, about three incidents of mining waste leaking into the environment have been reported. As of September 9, losses from the suspension of the gold and copper mining operations reached P1.2 billion. Philex said it was struggling to contain the waste spillage from its tailings dam. — VS/HS, GMA News