Business World Online
28 Aug 2014 Written by Jonathan L. Mayuga
THE Mines and Geosciences Bureau (MGB) has lifted on August 27 the suspension order on Philex Mining Corp. in connection with the tailings-pond leak at the Padcal mine in Tuba, Benguet, that happened on August 1, 2012.
The decision in favor of Philex finally allows the company to resume normal operations at Padcal more than two years after the incident.
In a letter to Philex President Austin Eulalio Jr., MGB Director Leo L. Jasareno said, “The issues emanating from the tailings-spill incident have been substantially addressed to warrant the resumption of the normal operation of Philex under the existing mining contracts with the government.”
Philex Mining issued a statement welcoming the decision.
Manuel V. Pangilinan, chairman of Philex Mining Corp., said: “We are delighted that the government has taken careful notice of our efforts as its partner toward environmental protection and economic development through responsible mining. This has made us more resolute in our adherence to sustainable development.”
For his part, Philex Mining President and CEO Eulalio Austin Jr. said: “We are grateful to our employees, outlying communities, and all other stakeholders for their support and hard work to make us continue being a responsible miner,” Austin said.
Senior Vice President for Corporate Affairs Michael Toledo said the company is always more than happy to continue working with the government on environmental protection and nation-building through responsible mining, including “our forestation and reforestation projects,” which have harvested a number of awards.
Because of the 2012 incident, Philex was fined twice for violations under the Philippine Mining Act of 1995 and the Clean Water Act and was ordered to implement remediation measures.
It will be recalled that over 2 million tons of tailings were accidentally discharged from the Tailings Storage Facility (TSF) 3 of Padcal mine to the Balog Creek and Agno River, and for which Philex had to pay P1.034 billion in fines on February 18, 2013.
Philex also paid the government P188.6 million for environmental obligations arising from the tailings spill incident as ordered by the Pollution Adjudication Board (PAB). After settling its obligations, Philex was issued a formal lifting order on June 9 in connection with a cease-and-desist order issued by the PAB to the company on November 28, 2012.
Philex has completely sealed the breached portion, while excess water from TSF 3 is now being discharged from an open spillway that replaced the penstock system.
The Mining lndustry Coordinating Council, through its Technical Working Group on Environmental Protection and Legislation chaired by Presidential Adviser for Environmental Protection Juan Romeo Nereus O. Acosta, has submitted to the Department of Environment and Natural Resources on January 22 the “Philex Tailings Spill lncident Report,” in which it has found Philex to have undertaken the remedial measures accordingly.
Philex has also issued a letter-confirmation stating that it is the entity liable for the integrity of the open spillway and TSF 3 and submitted proofs on the safety and integrity of the facility. Philex also submitted a sworn accountability statement on July 1, taking responsibility for complying with the appropriate penalty to be imposed in accordance with and arising from the violation of the Philippine Mining Act of 1995 and the Clean Water Act.
Jasareno also noted that various formal requests were received by his office for the lifting of the cease-and-desist order. These include the Indigenous Peoples of Tuba and Itogon, Benguet and San Manuel and San Nicolas, Pangasinan; Trade Union Congress of the Philippines Party -list; Saint Paul’s Parish of Upper Poblacion, Tuba, Benguet; Sangguniang Bayan of Itogon and Tuba, Benguet; the barangay councils of Barangay Dalupirip and Ampucao, Itogon, Benguet.
In Photo: A Philex Mining employee at work in Padcal. source
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