Tuesday, August 23, 2016

Mining not a sunset industry - consultancy firm



By Louise Maureen Simeon (philstar.com) | Updated August 18, 2016 - 2:41pm

MANILA, Philippines — Contrary to what President Rodrigo Duterte stated, the local mining sector would never experience sunset as it is a major economic pillar, a management consultancy firm specializing in mining said.

AMDGY Consultancy countered Duterte's statement that the minerals development sector is already a sunset industry.

"Since the dawn of time, we have been mining. Mining is not just metallic, it also includes non-metallic and energy," AMDGY Consultancy president and chief executive officer Deogracias Contreras said.

He added that there is an increasing need for both metallic and non-metallic resources to keep the country’s economy moving forward.

Earlier, Duterte issued a stern warning to mining firms as he vowed to be tough on businesses that are destroying the environment and violating government standards.

Duterte has announced that the administration is willing to forego the P40-billion mining investments.

The Philippines is the fourth most mineralized country in the world with an estimated total worth of over P70 trillion if the government harnessed its full potential.

In defense of the large-scale mining operations, Contreras said the absence of a regulatory framework and the lack of capacity to enforce existing frameworks remained to be the biggest hurdle for the minerals development sector.

"The culture of corruption still exists [in the sector]. It’s sad to say, but where there is large-scale mining, there’s always small-scale mining activities," he added.

Unlike small mining activities, Contreras emphasized that large-scale mining is governed by a wide range of regulatory controls and permits, requiring them to meet various international standards for them to operate in their host communities.

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