RP to pursue mining without risking environment: Ramos

RP to pursue mining without risking environment: Ramos

MANILA (AFP): Philippine President Fidel Ramos said yesterday
his government would pursue mining as a "dependable option" for
economic development without risking the environment.

Noting an increase in mining applications from foreign firms,
Ramos said "high returns of investments" would be guaranteed by
the government's move towards sustainable mining.

"Its intent is clear -- pursue mineral resources development
as one option for economic growth, but without compromising the
environment," Ramos said at the launch of mineral industry
environmental awards.

Through sustainable mining, "only large, high-quality deposits
able to absorb the social and environmental cost of mining" would
be economical ventures and would attract capital investments.

Under the Philippine Mining Act of 1995, foreigners are
allowed 100 percent control of large-scale mining operations.

Ramos said there had been 120 applications for financial and
technical assistance agreements (FTAA), mostly from foreign
firms, and 60 mineral products sharing agreements (MPSA), since
the legislation was passed.

The FTAAs allow companies with more than 50 percent foreign
equity to explore, develop and utilize up to 81,000 hectares
(200,700 acres) of mineral-rich lands.

The MPSA allows firms with only up to 40 percent foreign
equity to explore up to 8,100 hectares (20,007 acres), the mines
bureau said.

Critics of the mining law have warned that only 65 of the FTAA
applications already covered 22 percent of the Philippines' total
land area.

Ramos urged mining firms to commit funds and expertise to
"protect the general welfare."

"Then probably we would see the last of the disasters," Ramos
added.

A subsidiary of Canada's Placer Dome Holdings has been ordered
to clean up the Boac river in the central Philippine island of
Marinduque, after millions of tons of mining waste spilled into
the waterway in March 1996.

The local government in Boac has also demanded billions of
pesos in compensation aside from the clean-up to cover for the
loss of livelihood of residents there.