Oriental Peninsula subsidiary resumes mining operations in Palawan

palawan-rappler-oil-spill-20140524_7C3CC3C4E88C4313AA016925E261CA54A WHOLLY OWNED subsidiary of Oriental Peninsula Resources Group, Inc. whose mine site in Palawan was shut down for six months following a silt spill can now resume operations there, the listed parent said in a disclosure yesterday.

 The listed miner announced that “the Mines and Geosciences Bureau (MGB) has lifted its suspension order on the mining operations of the company’s wholly owned subsidiary Citinickel Mines and Development Corp. (CMDC) in Sofronio Española, Palawan.”

“CMDC has complied with all the pertinent conditions and requirements including the payment of [P3 million] to the Environmental Management Bureau,” the Oriental Peninsula’s disclosure read.

The suspension was issued by MGB on June 10 last year following a silt spill from the mine’s operations that polluted the rivers in the area.

The spill caused discoloration and build-up of sediments in Pasi and Pulot rivers, according to the bureau.

The listed miner filed with the stock exchange a letter by Mines bureau director Leo L. Jasareno informing Citinickel that the regulator has granted Citinickel’s bid to have the suspension order lifted.

In his letter dated Dec. 22, Mr. Jasareno said the MGB’s regional office and a monitoring team recommended as early as September last year the lifting of the suspension order after finding that all conditions were met by Citinickel.

The Pollution Adjudication Board (PAB) had asked the miner to pay P3 million as “environmental obligation for 14 days of pollution of a water body,” which violated provisions of the Philippine Clean Water Act of 2004.

The MGB said the adjudication board issued a formal lifting order on Sept. 30 last year.

“With the foregoing facts showing that CMDC has complied with all the pertinent conditions and requirements, the suspension order for the company’s mining operation in Sofronio Española, Palawan is hereby lifted,” Mr. Jasareno’s letter read.

Just last August, Citinickel was allowed by the MGB to resume ore exports from its stockpile at the same mine site.

The miner had said it has sufficient ore from its existing stockpile to sustain its export operations while it temporarily halted its mining operations.

The miner’s parent, Oriental Peninsula, saw its shares add 16 centavos or 7.62% to close at P2.26 apiece yesterday. — Claire-Ann Marie C. Feliciano

Read more: http://www.bworldonline.com/content.php?section=Corporate&title=oriental-peninsula-subsidiary-resumes-mining-operations-in-palawan&id=100321

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