Mining And Fisheries Resources

Mining in the Philippines and Its Effects on the People and Fisheries Resources I.

Introduction

This paper is prepared as a teaching material for the coastal communities and whose fisheries are affected by mining projects that are now being revived and expanded through foreign investment at previous 40-60% to 100% foreign ownership. Pollution from human and domestic wastes is partly discussed. II.

Potential Mining Resources

The estimated unexplored wealth from mining is $ 1 Trillion. The country’s potential mining resources are estimated at $840 billion (to $ 1 Trillion), or P47 trillion, 10 times the country’s annual gross domestic product (GDP). Globally, the country ranks third in gold production, fourth in copper, fifth in nickel and sixth in chromite deposits. A study by the National Economic and Development Authority (NEDA) showed that in 2003, mining contributed only P17.9 billion to the economy. But NEDA said mining has a multiplier effect of six times. At a potential value-added tax of P300 billion annually, mining can add an incremental economic activity of P1.8 trillion, or 36 percent, of the GDP. III.

Government Need for Mining Investment

The Supreme Court has decided in December 2004 to open the mining industry sector to foreign investors up to 100% ownership of stocks. The cash-strapped administration is pinning its hopes on the mining sector to bring in $4 billion to $6 billion in fresh investments in the next five years. Opening up the mining sector could modernize the industry and do away with obsolete technologies, the President said. On the other hand, she vowed to fight for legislation that would compel mining companies to pay directly to local government units in the mining areas part of a 2-percent tax on mineral extraction. She said her administration is prepared to propose legislation for the payment of the pro poor royalties to indigenous peoples. “Indigenous peoples need not fear that their lands will be taken away,” Mrs. Arroyo said. “Small miners need not fear that they will lose their livelihood, for we shall organize small-mining cooperatives and provide technical assistance to make their practices more economical and more environmentally acceptable.” She assigned Delia Albert, presidential adviser on minerals development, and Rigoberto Tiglao, Presidential Management Staff chief, to prepare the proposed legislation on safeguards in mining. The Philippine Government is working for the infusion of $6 B into 23 projects over the next 6 years through local and foreign funding. The updates on this are as follows: a) Pan Pacific (Japan Biggest Metal company) has already put in $ 15M to expand Philex Mining interest in Benguet Corp; b) Mitsubhishi Corp (largest trading company in Japan) would like to invest in nickel venture in the Philippines; c) Sojitz (partner of Coral Bay Nickel Corp) is looking at new Nickel project; d) Sumotomo Metals (also in coral Bay) to consider more investment; e) Marubeni Corp is also interested in copper; f) Toledo Corp had held roadshow in Paris to raise $ 171M; and g) Masbate Gold is also raising $ 63M. The Rapu Rapu Project is viewed as a test case - within both the country and the international mining industry - on whether minerals investment in the Philippines is an acceptable business proposition from a risk perspective. In the last three years the company has shown a solid commitment to the Philippines and proposes to continue this towards a successful project development that can be viewed as a show case for mining in the Philippines. Mining Products Market The demand for copper and nickel is going up and an advantage to the country since it is very close to Japan as compared to South America where they source some of their requirements. IV.

Investors in the Mining Industry

2 1. Mining investors During the Period 1995-2000 and the Mineral Exploration Projects Under the Ten-Point Legacy of President GMA (2004-2010) are presented below. Major Metallic Projects Operating In The Philippines CY 1995 - 2000 Commodity

Company

Project

Location

Gold-Silver

Benguet Corporation

Antamok Gold Project*

Antamoc, Benguet

Gold-Silver

Itogon-Suyoc Mines

Gold-Silver

United Paragon Mining Corporation

Gold-Silver

Itogon-Suyoc Mines* Itogon-Suyoc, Mankayan, Benguet Longos Gold Project*

Paracale, Camarines Norte

Manila Mining Corporation Placer Gold Project

Placer, Surigao del Norte

Gold-Silver

Philex Gold (philippines.), Inc.

Bulawan Gold Project

Sipalay, Negros Occidental

Gold-Silver

Philex Gold (philippines.), Inc.

Sibutad Gold Project*

Siputad, Zamboanga del Norte

Gold-Silver

Lepanto Consolidated Mining Victoria Gold Project Company

Mankayan, Benguet

Copper-Gold-Silver

Benguet Corporation

Dizon Cu-Au Operation*

San Marcelino, Zambales

Copper-Gold-Silver

Lepanto Consolidated Mining Company

Copper Project

Mankayan, Benguet

Copper-Gold-Silver

Marcopper Mining Corporation

Marinduque Copper Project*

Sta. Cruz, Marinduque

Copper-Gold-Silver

Maricalum Mining Corporation

Sipalay Copper Project

Sipalay, Negros Occidental

Copper-Gold-Silver

Philex Mining Corporation Padcal Copper Project

Tuba, Benguet

Placer Copper-Gold Copper-Gold-Silver Manila Mining Corporation Project

Placer, Surigao del Norte

Nickel

Cagdianao Mining Corporation

Cagdianao Nickel Project

Valencia, Cagdianao, Surigao del Norte

Nickel

Hinatuan Mining Corporation

Hinatuan Nickel Project

Hinatuan Island, Surigao del Norte

Nickel

Rio Tuba Mining Corporation

Rio Tuba Nickel Project

Bataraza, Palawan

Nickel

Taganito Mining Corporation

Taganito Nickel Project

Bo. Taganito, Claver, Surigao del Norte

Metallurgical Chromite

CRAU Mineral Resources Omasdang Chromite Omasdang, Panamaon, Loreto, Corporation Project Surigao del Norte

Metallurgical Chromite

Krominco, Incorporated

Dinagat Chromite Project*

Loreto, Dinagat Island Surigao del Norte

Metallurgical Chromite

Heritage Resources

Heritage Chromite Project*

Llorente, Eastern Samar

Metallurgical Chromite

Velore Mining Corporation

Velore Chromite Project*

Libjo, Dinagat Island Surigao del Norte

Metallurgical Chromite

Loyalty Mining and Dev't. Corporation

Loyalty Chromite Project*

Banale, La Union, Davao Oriental

Refractory Chromite

Benguet Corportion

ZMCR Project

Coto, Mansinloc, Zambales

DEPARTMENT OF ENVIRONMENT AND NATURAL RESOURCES

3 MINES AND GEOSCIENCES BUREU Mi ner al Exp lor ation Projec ts Under the Ten -P oin t Le ga cy of Pr esiden t GMA (2004 -2010) EXPLORATION PROJECT

LOCATION

REGION

PROPONENT (Investment Partner)

MINERAL COMMODITY

Panag Gold Project

New Bataan, Compostela Valley

XI

Philco Mining Co.(Sur American Gold Corp.) (see website)

Gold

Del Gallego Gold Project

Camarines Sur/Quezon

V

Kumakata Mining Co., Inc. (Phelps Dodge Explo. Corp)

Gold

Pamplona Sulfur Project

Negros Oriental

VII

Altai Phils., Mining Corp. (Crew Minerals Phils., Inc.)

Sulfur

Southern Negros Gold Project Alicia Gold Project

Negros Oriental

VII

PNOC-EDC

Gold

Zamboanga del Sur

IX

PNOC-EDC

Gold

Paco Copper-Gold Project

Surigao del Norte

XIII

Kalaya-an Gold Project

Surigao del Norte

XIII

Panaon Gold Project

Panaon Is., Southern Leyte

VIII

Buena Suerte MiningCorp. (Oxiana Res. NL)

Tongonan Gold Project

Leyte

VIII

PNOC-EDC

Surigao Gold Project

Surigao del Norte

Pao Gold Project

Nueva Viscaya

XIII

II

Coolabah Mining Corp. and Occidental Mining Corp. (Climax Mining NL) Manila Mining Corp.

Gold, silver

Copper, Gold Gold, silver Gold

Buena Suerte Gold, silver MiningCorp. (Oxiana Res. NL) Oxiana Philippines, Inc.

Gold, silver

(Oxiana Res. NL) Tabuk Copper Project

Tabuk, Kalinga

CAR

Road 5 M Gold Project

Davao Oriental

XI

Wolfland Resources, Inc. Boston Mineral Mining Corp.

Copper, Lead, Zinc Gold

Conner Copper-Gold Project Kalinga, Apayao

CAR

Cordillera Exploration Co., Inc. (Anglo American)

Copper, gold

Camp 3 Gold Project

Tuba, Benguet

CAR

Northern Luzon Exp. & Mining Co., Inc (Anglo America / Philex )

Gold

Gambang Gold Project

Bakun, Benguet

CAR

Oxiana Phils, Inc.

Pantuyan Gold Project

Panaon Is., Southern Leyte

VIII

Vulcan Industrial and Mining Corporation

VIII

UP Mines, Inc. (Indophil Res. Phils., Inc.)

Copper, Gold

XI

Philco Mining Co. (Sur American Gold Corp.) (see website)

Gold

Sogod Copper Gold Project Sogod,Southern Leyte Batoto Gold Project

New Bataan, Compostela Valley

Gold, copper Gold

4 Tagpura Copper Project

New Bataan, Compostela Valley

XI

Philco Mining Co. (Sur American Gold Corp.) (see website)

Acoje PGE/Nickel Project

Candelaria & Sta Cruz, Zambales

III

Crau Mineral Resources Corp. (Kinloch Resources Ltd.) (see website)

Mabuhay Gold Project Surigao del Norte Kematu Gold Project

Tboli, South Cotabato

Hixbar Copper-Gold Project Rapu Rapu Island, Albay

XIII XII V

Batangas

Hinonangan Gold Project

Eastern Leyte

Labo Gold Project

Camarines Norte

Samar Bauxite Project

Western Samar

Nalisbitan Gold Project

Camarines Norte

IV VIII

V VIII

Chromite, platinum, PGM

All-Acacia Resources, Inc Gold, silver (Pelican Res. Inc.) Tribal Mining Corp. Lafayette Mining Corp./ Rapurapu Minerals Inc.

Archangel Gold Project

Copper

Gold, silver Copper, gold, silver, zinc

Mindoro Resources , Ltd.

Gold, silver

Indophil Resources NL/ San Christo Min. Explo. Corp.

Gold, silver

Indophil Resources NL Alumina Mining Phils., Inc.

V

El Dore Mining Corp.

Bunawan Limestone Project Davao del Norte/Davao City

XI

Solid North Corporation

Sta Cruz Nickel Project

Sta Cruz, Zambales

III

Benguet Corporation

Cordon Gold Project

Cordon, Isabela

II

Vulcan Ind. Mining Corp./

Gold, silver Aluminum Gold Limestone Nickel Gold Copper

Marian Mineral Explo. Corp. Pantingan Gold Project

Balanga, Bataan

Agata Gold Project

Surigao del Norte

III

Bataan Mineral Exploration/ Benguet Corp

Gold

XIII

Mindoro Res. Ltd.

Gold

Manat Copper- Gold Project Nabunturan, Compostela Valley

XI

Alsons Cement Corp.

Copper, gold

Semirara Coal Corp.

VI

Semirara Coal Corp.

Limestone

VI

Colet Mining Corp. & Devt.

Caluya, Antique

Colet Mining Corp. & Devt. Manlucahoc, Negros Occidental

Gold & Copper

NOTE: Around 5 mining projects are located in Surigao del Norte which has the highest number of mining projects or locations 2.

Exploration and Development

The DENR has released a paper on the mining industry showing the exploration and development of mining areas in the country. a. Western Mining Corporation of Australia announced its discovery of a world class copper-gold deposit in its Tampakan Project in South Cotabato. The deposit is estimated to contain 8-13 million ounces of gold and up to 23 billion pounds of copper that may be worth at least US$ 10-20 billion. b. Base Metals Mineral Resources Corporation concluded its feasibility study of the former Masbate Gold Project for a 10,000 tons per day mining operation that is expected to produce 138,000 ounces of gold and 115,400 ounces of silver per year.

5 c. Climax-Arimco Mining Corporation also completed a feasibility study for at least 17 million tons of copper ore from its Dinkidi Project in Nueva Vizcaya. It is now raising funds to finance development and construction of the project. d. Philex Gold (Philippines), Incorporated suspended its gold mining and processing operations in Sibutad, Zamboanga del Norte due to the low price of gold. Before its temporary suspension, it has applied for an environmental clearance certificate to expand its gold operations from 2,000 to 10,000 tons per day to bring its production from 0.4 to 1.4 tons of gold per year. e. Manila Mining Corporation's gold operations in its Placer Project in Surigao del Norte was expanded to include copper concentrate production at 18,000 tons per year in addition to the existing gold production. f. Lepanto Consolidated Mining Corporation's newest project - the Victoria Gold Project in Benguet, sustained a production rate 4.2 tons of gold per year. g. The gold mining operations of United Paragon Mining Corporation was temporarily suspended due to the low price of gold and financial problems recently encounterd by the company. h. Mindex ASA, a Norwegian exploration company, is currently working full time on its EIA scooping and preparation of a full feasibility study on its Mindoro Nickel Project which was foud by exploration to contain total resources of 225 million DMT with 1% nickel and 0.1% cobalt. i. Lafayette Philippines, Inc., An Australian-based exploration company, which is currently conducting drilling activities in the Ungay Malabago deposit at Rapu-Rapu Island is expecting a mineral resources in excess of 6 million tonnes at 3 grams gold/ton, 37 grams silver/ton, 1.46% copper and 2.33% zinc. This resources is initially estimated to generate a gross revenue of 1.4 billion pesos annually. j. Mineral Mount Isa Philippines, Inc. recently pulled out its exploration in Capiz as part of its exploration cost reduction program. 3.

Current Efforts of the Mining Investors

In Feb 8 2005, the PDI published an article which showed that: a. Australian firms Indophil Resources NL and Climax Mining indicated they would invest nearly 800 million dollars in the Philippines’ newly-liberalized mining industry. The companies are among the first to make such a commitment in the Philippines after the Supreme Court recently upheld a law opening the mining sector to foreign companies. Indophil Resources managing director Tony Robbins said his company would invest as much as 650 million dollars in the Tampakan copper project in the province of South Cotabato, which it considers to be the largest undeveloped copper field in Southeast Asia. It expects to commence commercial operations in 2010 at a mine which will also produce 145,000 ounces (4.05 million grams) of gold annually. Initial estimates showe the Tampakan reserve has a gross potential value of about 14 billion dollars. Climax Mining said it will invest around 85 million dollars in a gold and copper exploration project in the Philippines' northern island of Luzon. Company chairman Jim Askew said it will start construction of the Dinkidi gold and copper project, located 200 kilometers (125 miles) north of Manila, later this year, with commercial operations to start by the end of 2006. b. Meanwhile Lafayette NL, another Australian firm, is undertaking a polymetallic project in the province of Albay, worth 42 million dollars. It is expected to begin commercial operations early this year. c. The Philippines' Chamber of Mines, in cooperation with several government agencies hosted the conference aimed at enticing more foreign participation in the sector. Leaders of the Chinese and Philippine mining chambers signed a memorandum of understanding to promote cooperation. Benjamin Romualdez, president of the Philippines' Chamber of Mines, has said a recent roadshow in Beijing generated as much as 1.3 billion dollars in committed investments from several Chinese mining firms. Romualdez said MCC China Metallurgical Constructurion Corp. is set to sign a letter of intent for a 100 million-dollar investment in a local mining project.

6 In June 13, 2005 the PDI published an article that showed the following: d. The foreign companies that are willing to invest in the Philippines on mining are: Pan Pacific Copper Co., Mitsubishi Corp., Sojitz Corp., Sumitomo Metal Mining Co., Marubeni Corp., Mitzuho Corporate Bank, Mitsui Bank, Japan Bank for International Cooperation. VI.

Mining Rights Granted under Mining Act of 1995

1.

Forms of Agreements, Contracts and Permits

Forms Of Agreements, Contracts And Permits Exploration Permit (PE) Mineral Production Sharing Agreement (MPSA) Co-Production Sharing Agreement (CPA) Joint Venture Agreement (JVA) Financial Or Technical Assistance (FTAA) Quarry Permit (QP) Sand And Gravel (SAG) Permits a) Commercial SAG Permit b) Industrial SAG Permit c) Exclusive SAG Permit d) Government Gratuitous Permit e) Private Gratuitous Permit Small Scale Mining Permit a) Guano Permit b) Gemstone Gathering Permit c) Pebble Gathering Permit Other Permits a) Mineral Processing Permit b) Ore Transport Permit

2.

Content a permit that grants the holder the right to conduct exploration work for all minerals within a specified ore an agreement where the Government grants the Contractor the exclusive roght to conduct mining operations within a specified contract area and shares in the gross output. an Agreement between the Government and the contractor, wherein the Government shall provide inputs to the mining operations other than the mineral resource. an agreement where a joint venture company is organized by the Government and the Contractor with both parties having equity share. Aside from the earnings in equity, the Government shall be entitled to a share in the gross output. a contract involving financial or technical assistance for large-scale exploration, development, and utilization of mineral resources. Quarry Permit (QP) a mining permit for the extraction of quarry resources on privately-owned lands and/or public lands for building and construction materials. a mining permit for the extraction and removal of sand and gravel or other loose or unconsolidated materials. For SAG materials in their natural state, without undergoing processing, form an area of not more than 5 has. and in such quantities as maybe specified in the permit. For SAG materials that necessitate the use of mechanic processing (i.e. mechanical classifiers and crushers). For the extraction of SAG materials from public lands exclusively for personal use, without commercial disposition. Limitations: Not more than one (1) hectare; for not more than sixty (60) days; maximum of fifty (50) cubic meters For SAG materials in the construction of building and.or infrastructure for public use or other purposes over an area of not more than two (2) hectares, and for the period co-terminus with said construction. For SAG materials extracted by the private owner from his own land, and for personal use only. a permit to explore, develop and utilize small-scale mineral deposits, in areas 20 hectares or less. Permit are issued by the Provincial Governor or City Mayor. Permission to extract and utilize loose unconsolidated guano and other organic fertilizer materials from specified caves. Such permits are subject to limitations under the NIPAS law, rules and regulations. For non-exclusive permit to gather looses stones useful as gemstone, in rivers and other locations. For permission on handsorting or manual gathering of pebbles from permitted areas along the beaches or shorelines, without the aid of any mechanized equipment. permit granted for the milling, beneficiation, leaching, smelting, cyanidation, calcination or upgrading of ores, minerals, rocks, mill tailings, mine waste and/ore other metallurgical byproducts or by similar means to convert the same into marketable products. The term of an MPP is for a period of 5 years and renewable for like period. a requirement necessary for the transport of ores and minerals, specifying their origin and qty .

Basic social requirements for operating a mining project

a. In June 8, 2005 , the government issued the statement that it will not allow any mining operation in areas occupied by indigenous peoples (IPs) without any comment from them according to the DENR. DENR Undersecretary from mining stressed that the government will stand by the Indigenous People Rights Act (IPRA) and will not issue any mining tenement in ancestral lands without the Free and Prior Informed Consent (FPIC) of the indigenous people in the area.

7 b. The USEC, Dimalibot,assured the National Commission on Indigenous People (NCIP) that the DENR will abide by the IPRA law, pointing out that “since the commission has been issuing titles to landowners in ancestral lands, therefore, it rests on the IP’s discretion whether to allow or to reject any mining operation in the area.” The DENR undersecretary also pointed out that the IPs are directly benefiting from the operations of the mining companies in the area. Among the benefits include the social, economic and health benefits brought about by the mining operation in any mining community and its neighboring areas. VI.

Actual Implementation and Practices in the Mining Industry

1.

Approvals and Incentives in the Mining Industry

a.

The Case of Rapu-Rapu Mining Project (see Map below)

1) Lafayette;s 180-ha. Mining area is located around Pagcolbon, Malubago and Binosawan. Lafayette (Philippines) Inc. (LPI)- subsidiary of Lafayette Mining Co. of Australia – 63.75% ownership With Joint venture with TVI Pacific Inc. (TPI), Canadian public company – 25% Rapu-Rapu Minerals Inc. (RMI) – Philippine private company – 11.25% 2) The Rapu Rapu mine, a one million tonnes per year mining project, will be the fist large scale metal mine to be developed and operated under the Mining Act of 1995. The project focuses on the development of polymetallic resources such as copper, gold, silver and zinc. The project wasFault approved on Nov 18, 1998. Civil works like clearing, road construction and port construction started that year. Last year (2004), the company paid P39.3 million in taxes to the national and local governments. 3) During its 7-10 years of economic life, it is estimated to yiueld annual productionsof 10,000 m..t. of cooper concentrates, 15,000 ounces of gold, 600,000 ounces of silver, and 14,000 M.t. of zonc. Gold production started in June with a planned initial cost of $42million for this year. 4) Lafayette is now building a plant in the island municipality and Defensor has assured the public that its operation will not endanger the environment and health residents. However, Serious concerns has been raised by environmentalist groups, including Tanggol-Kalikasan, the Social Action Center of Legazpi, and the Institute for Environmental Conservation and Research (Inecar) based in Ateneo de NagaMain University. deposit They cited studies indicating acid mine drainage (AMD) and contamination of the land, freshwater and marine ecosystems with heavy Western deposit metals, which hald already reached the sea. 5) 26 years ago, Hixbar Mining Corrp – a Japanese owned polymetallic mining venture was in the area and created “suspended impact” that need to be revealed other than the visible damages that people nowadays see in the Products mining site. Based on recent findings, Dr. Regis of Inecar director, that 2 years since the exploration period of LPI, communities within the area hald aready witnessed and experienced massive occurrence of AMD, which carries heavy metals, such as arsenic, lead and cadmium, leached from ore associate with gold. These metals had already destroyed some the Pit reefmethod fishes in the sea near the mining sites, some of the creeks, small rivers, and prominent plants The acid mine drainage prevention Plantand Processing trees within the coastal forest of Rapu-Rapu. design will consist of well-engineered tailings dam and structures,

lining materials, clay 6) The area is part of the marine conservation priority areas in the country. Impervious Specific conservation for reef encapsulation, rehabilitation and fishers, and whalesharsk, dolphins, manta rays and turtles. Health problems related skin and lungs among people revegetation; The reported acidic living around the mining site had been reported to DENR but denied it. waters are coming out of the old

Tailings an wastes Disposal

Water (2 meters deep from tailings surface)

Soil surface

Soil surface

Tailing surface

Insulated to prevent leaching?

Mine tailings Wastes dump

Leaching when not Insulated

Hixbar minesite that was mined by another company briefly before the war and the early 60s. The current mining project, which Lafayette has contracted to undertake, has nothing to do with the acid drainage issue. However, should the company be allowed to work in the Area, it is committed to seriously address and Mitigate any existing pollution problem, including the Rehabilitation of the area.

8

7)

Pre-Developmente Approvals Approvals – Pre Development Environmental Compliance Certificate (ECC) Environment and Protection Enhancement Program (EPEP) Declaration of Mining Project Feasibility

Authority DENR MGB

Status Approved Approved

MGB

Approved

9 Board of Investments Foreshore Lease Land Use Plan Health of Workers Study Program Coastal Management Plan Stormwater / Runoff Management Plan Solid Waste Management Plan Roadway Maintenance and Transport Management Plan Action Plan for Pier Development

BOI DENR Prov. Govt EMB EMB EMB EMB EMB EMB

Approved Approved Approved Approved Approved Approved Approved Approved Approved

Legend: DENR – Department of Environment and Natural Resources; MGB- Mines and Geosciences Bureau; Investment; EMB– Environmental Management Bureau

8)

BOI– Board

Government Incentives

a) A number of government incentives have been made available to the Company in order to assist in diminution of financial risk. These are granted by the Board of Investments (“BOI”) of the Philippines’ Department of Trade and Industry who have approved a range of taxation concessions for the project. The BOI has distinguished between the copper-gold-silver production of the Project and its zinc production. As there is no existing zinc production in the Philippines, “Pioneer Status” has been awarded to this activity and a longer tax concessionary period granted for this. b) The principal concessions granted to the Project are a complete relief from corporate income tax (presently 32%) on profits arising from copper, gold and silver production for four years, and for six years in the case of profits arising from zinc production. During the course of these Income Tax Holidays (“ITH”), application may be made to the BOI for an extension of the ITH for at least one more year for each form of production (generally to a maximum of two further years). 2.

The Case of Mining Project in the U.S.A.

This case is based on the paper by the CENTER FOR ENVIRONMENTAL EQUITY (CEE) 2000 Newsletter 610 SW Alder, Suite 1021 Portland, Oregon 97205 Phone: (503) 221-1683 Fax: (503) 221-0599 e-mail: [email protected] CEE protects public land, water, and wild places from mining degradation. a. CEE is investigating and publicizing the effects of abandoned and inactive mines (AIMs) on fish, water quality, community viability. Land-management and pollution-control agencies direct little attention, and even less financial support, to cleaning up AIMs. AIMs pollute water, fragment habitat, and frustrate restoration of watersheds. b. The 1998 Toxic Release Inventory (TRI) report proves metal mining is not only among the leaders in toxic releases, but is far and away the premier industrial polluter in the United States. Despite numerous spills and accidents over the years, the mining industry’s new technology and “state-of-the-art” facilities have not prevented environmental degradation. The TRI is a testimony to the fact that the mining industry has failed in its efforts to PIPELINE control pollution. Promises of better technology cannot be counted on when granting permits, approving plans of operations, or site designation. Perhaps the most important element of the TRI is supporting a community’s right-toknow what toxics areGold being released into the local environment. The 1998 TRI should be referred to anytime a Mine river mining company plansTAPIAN to impose one of their “clean” or “safe” mines on a community. PIT 3.

The Case of Marinduque Mining Project

Based on the paper from Bulatlat.com, Revisiting the Boac River: Clear Waters Now, More Dangers Lying Ahead, what happened in the project (see Map below) are as follows:

10

a. In 1996 thousands of farmers and fisherfolk in Marinduque woke up one day five years ago to find the river of their life gone. By what a mining firm said was an accident, toxic mine tailings began to defile the Boac and, later, Makulapnit Rivers for several kilometers and since then, the tragedy has changed their lives. The company promised some compensation and a rehabilitation plan. However, the issue is far from being solved as environmentalists, scientists and local folk are not satisfied with the way the river’s rehabilitation is managed – a concern even the United States Geological Survey has confirmed. Bulatlat.com revisited the rivers and villages affected last week and filed this report. b. Based on the report contained in Bulatlat.com, that on March 24, 1996 about three million cubic meters of mine tailings from an open pit of the MMC spilled over Boac - the biggest river in the island province of Marinduque. Mud and dirt virtually killed the river – once Marinduqueños’ source of irrigation, kangkong farming, fishing, laundry and bathing. c. The whole stretch of the 30-kilometer river was buried with slurry materials claimed by MMC as “a harmless mixture of sand and water.” Soon, however, the company’s efforts to dispel any environmental threat collapsed as the magnitude of the damage began to show. An environmental investigative mission conducted weeks later by a Quezon City-based NGO, the Center for Environmental Concerns (CEC)-Philippines, found toxic minerals, various chemical reagents and other effluents in the tailings. d. Bulatlat.com requested some scientists of the National Institute of Geological Sciences of the University of the Philippines (UP-NIGS) in Diliman, Quezon Ciry. UP NIGS Director Joselito P. Duyanen says oxidation is possible in the underwater tailings of the Boac River. Deputy Director Victor B. Maglambayan of UP NIGS validated the methods used in the MGB tailings inventory and said that tailings are a long-term source of acidity; when the waters of a river become acidic, fish, plants and also human beings could be toxicated. Many mining wastes like mineral deposits which contain sulfide minerals such as pyrite (an iron sulfide) lead to the formation of acid rock drainage (ARD) or sulfide-bearing mineral deposits. When the sulfide deposits are exposed to the atmosphere by mining (or naturally by erosion), the sulfides react with oxygen and water to form ground and surface waters having elevated concentrations of sulfuric acid (and correspondingly lower pH values). This is explained through a formula below.

11

FeS (mine waste) + 2O2 (expose to air or oxidation) = FeSO4 (iron sulfate) + H2O (aquatic or rain) = H2SO4 (sulfuric acid) + FeO e. The mineral content of mine tailings comprises a wide range of sulfide minerals that are not subjected to any recovery process because their primary concern is to recover the copper from the ore through the flotation process. Roughly 25 percent or more of these sulfide ores are left in the mine tailings. f. In May last year, the United States Geology Survey (USGS) team carried out a simple leach test, acidity and conductivity measurement as well as chemical analysis. Results revealed that the leach waters are acidic (pH3.72) and have very high levels of a variety of heavy metals such as copper, aluminum and manganese. g. The USGS also reported that extensive soluble salts observed in the tailings deposit can dissolve quite easily, and could therefore potentially cause an environmentally damaging flush of acid and metals from the tailings into the river during rain storms. Little or no fish and invertebrate aquatic life was visible in the Boac River in its middle stretches. This lack of aquatic life indicates that the repeated flush of acid, metals and sediments from the tailings during rainy periods has resulted to a detrimental impact on the river system. h. The water in the pit which is acidic is also migrating or leaching through fractures and other zones of permeability towards the arteries of springs and lowland, thus affecting ground water quality in springs or domestic wells.

VII.

National Movement against Mining Project

1. NEDA claims that the country’s mineral wealth amounts to $840 billion that will help economic growth, based on a study made by an environmental research group, the environmental impact of extracting our mineral wealth will cost more than $1.3 trillion. But the government and business sectors are not considering the fact that the environmental costs of mining is more than the economic gains since what they are after for is immediate profit and taxation. It is inevitable that the majority of the people represented by the civil society who suffer most will have to work against mining.

2.

There is the Executive Order 270 (2004) or the National Policy Agenda on Revitalizing Mining in the Philippines. The President signed Executive Order 270-A, which views the environment as “the paramount consideration in every stage of the mining operation” and urges mining companies to put in place “progressive rehabilitation measures.” The order also protects the rights of “indigenous communities.” At the Stakeholders’ Forum on Responsible Mining for Sustainable Development in Malacañang, the Pres. told mining executives and environmentalists about the need for cleaning up abandoned mines and seeing to it that local communities are benefited in a durable way and not hurt by mining. She stressed that the government has adopted “legal and administrative systems” to safeguard the environment and see to it that tribal communities are properly compensated if their areas fall under exploration. However, what is written is different from what is being done or practiced. 3. Popular opinion against mining turned hostile in 1996 when a tailings dam of the Marcopper Mining Corporation contaminated the Boac River in Marinduque through the mine spill that left the river virtually dead and caused diseases among local communities. What happened to Boac and the fact that even the advanced countries like U.S.A have not prevented the numerous spills and accidents over the years given the adoption of mining industry’s new technology and “state-of-the-art” facilities, several environmentalist groups fears an increase in mining disasters with the entry of foreign companies in the mining industry.

4. Clemente Bautista, national coordinator of the Kalikasan-People’s Network for the Environment, said the assurance of safety that the government and the Department of Environment and Natural Resources gave does not reflect in their mining policies. The government’s mineral action plan allows the submarine disposal method, which makes the seas a dumping ground for mine tailings, thus wreaking havoc of our seas.

12 5. Unregulated mining resulted to the gradual sinking of land as in the case of Sitio Tubo, Barangay Sapid, Mankayan, Benguet which is part of the mining activities of the Lepanto Consolidated Mining Corp. Moreover, large scale mining will also spawn flash floods and landslides because of forest destruction and cutting of trees the mining companies will do to give way to exploration and development. It must be noted that the TVI of Rapu-Rapu mining project, a Canadian firm, has been extracting gold and silver in Siocon, Zamboanga del Norte without the use of modern equipment to ensure safety to people. 6. A strong alliance within and outside the country can stop any attempt to operate mining projects. The Mindoro Nickel (Mindex, owned by Crew Resources of Canada and Norway and backed by Kvaerner AS as a consultant) on the island of Mindoro is vigorously opposed by an alliance of local Indigenous organisations, Philippine Indigenous Links (Britain) and Norwatch (Norway). A misinformation campaign by the operating company, aimed at getting endorsement for STD from local communities, abjectly failed during 1999 [Minewatch Asia-Pacific briefing documentation, Philippines and London 1999]. Tampakan copper-gold project, southern Mindanao [S Jones op. cit.], operated by Western Mining (WMC) of Australia; the company has since announced its withdrawal from the project. VIII.

The Need for an Information, Communication, and Education Campaign on Mining

1. There is the NEDA claims that the country’s mineral wealth amounts to $840 billion that will help economic growth in terms of monetary term. On the other hand, an environmental research group came out with a study that the environmental impact of extracting our mineral wealth will cost more than $1.3 trillion. The environmental impact are expressed in terms of the valuation of the different resources: a) loss of fish habitat, fish stocks, and income derived from the fishery, b) loss of cultivable lands and income from agriculture, loss of basic services like settlement and water, loss of people’s health and life, among others. 2. In terms of loss of fish habitat and fish stocks and income derived from the fishery resources, the following information are formulated based on several data (bathymetric map, BAS fisheries statistics, mining map, etc) a.

Rapu-Rapu Island Coastal and Fisheries Resources (see Map below)

1) 2)

Rapu-Rapu island and Prieto Diaz of Sorsogon serveas as the mouth of the elongated Albay Gulf Southern side of the elongated Rapu-Rapu island is adjacent to deep channel leading towards the mid portion of the Gulf Note: (Reason for high for high marine biodiversity) The depth of Albay Gulf is steep (joining continental and oceanic area, hence the presence of 1. mouth Rapu-Rapu Island and Prieto Diaz of shelf Sorsogon Marine Fish Catch in Albay servesray, as the mouth whales, of elongated Albay Gulf coastal-oceanic species (manta dolphins, turtles, etc.) municipal commercial 2. Southern side of elongated Rapu-Rapu Island is During “amihan” water current from the channel northeast direction flows the Albay Gulf, and since the 7,000 adjacent to deep leading towards thetowards mid portion of the Gulfmigratory fish of various species and sizes are trapped inside the Gulf appears as “bag” then the incoming 6,000 3. The depth of mouth of Albay Gulf is steep (joining Gulf. Thus, the resident species andshelf the and migratory compose continental oceanicspecies area, hence the the wealth of the Gulf, making it a 5,000 of oceanic species (manta ray,isdolphins, productive ecosystem. Inpresence fact, Bacon municipal water which near the Gulf mouth and with a big cove is whales, etc) 4,000 the richest fishing ground within the Gulf. Fishery production of Bacon contributes much to the marine fishery of the Province of Sorsogon. Of course, Sorsogon Bay is the other fishing3,000 ground with the highest AMIHAN marine fish production. 2,000 The Graph below shows that the marine fish catch of Sorsogon has been on the decline for the past several 1,000 years. There are several reasons for this: a) fish habitat degradation due to destructive fishing and the 0 possible effect of Rapu-Rapu mining project area which has been observed to drain acidic water to the sea; 1998 1999 2000 2001 2002 Areduction lbay Gu b) fish stock biomass due to high fishing pressure or overfishing and loss of sensitive fish eggs, lf Rapu-rapu fry, and juveniles that come in encounter with acidic water. Mining

3). 4)

Metric tons

ALBAY

5)

2003

project

Marine fish catch in Albay is increasing. It must be noted that Albay Gulf is just a portion of Albay inter-municipal waters. While the 2 provinces have almost the same area of fishing grounds, the Sorsogon marine fish catch is more than twice that of Albay.

SORSOGON

Prieto Diaz

Marine Fish Catch in Sorsogon Province

Bacon

20,000

Sorsogon

18,000 16,000 14,000

Metric Tons

6)

12,000 10,000 8,000 6,000 4,000

municipal commercial

2004

13

Marine Fish Production in Western Samar

Philippine Map showing the Mining Project Areas and Graphs on Marine Fish Catch of Selected Provinces

Start WESAMAR program

F ish Catch (me tric tons)

Municipal Commercial

30000

20000 15000 10000 5000

2943 1980

18,285

14982

7385

16485 17364

17.915

8070

15,106

6850

6815 6,158

7,287

7,770

3017

1940

1985

25,202

10402

9994 8054

0

26,055

24179 23052 23335

Start of CERD Program Maqueda Bay (1989)

18317 15374

CERD Almagro program

CERD Calbayog program

Total

25000

1990

1995

2000

2001

2002

2003

2004

Year

Municipal Marine Fish Production in Catanduanes 9,000

Metric Tons

8,000 7,000 6,000 5,000 4,000 3,000 2,000 1,000 0

Marine Fish Production in Camarines Sur municipal commercial total

60,000

1998

1999

2000

2001

2002

2003

2004

Year

50,000

na Tu

Metric Tons

b. At the national level, there is a pattern that the marine fish catch are declining in areas or region where there is the presence of mining projects despite the implementation of Coastal Resource Management projects both 20,000 by the government, business, and civil society. These are as follows: a) The Iloilo-Negros-Cebu areas and b) 10,000 Surigao Norte-Surigao Sur areas. The extent of the effects of the acidic water coming from these mining projects is 0 determined by the magnitude and time-period of mining operation and therefore the volume of discharge of acidic 1998 1999 2000 2001 2002 2003 2004 water and direction of water current that carries acidic water across provincial and regional waters. Further analysis Year of data on the 2 regions indicate the following: 40,000 30,000

ng hi fis

nd ou gr

Marine Fish Catch in Iloilo municipal commercial total

1) 2) 3) 4)

1998

1999

2000

2001 2002

2003

Year

Marine Fish Catch in Negros Occidental municipal commercial total

Highest catch

Tuna fishing ground

1999

2000

2001

2002

2003

Year

2004

or 42%

12,028

5000

120,000 100,000 80,000 60,000 40,000 20,000 Marine Fish Production in South Cotabato

1,038

1,043

1990 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 Year

140,000

12,050

? 12,028

Municipal daily 10,976 Average Catch = 3-8kgs/day Average daily Average daily Commercial Average daily Catch = 2-3kgs/day Catch = 3-8kgs/day Catch = 2-3 kgs/dayin Hinatuan (2004) in Hinatuan (2001) In Hinatuan (2001)

10000

0

municipal commercial total

160,000

0

15000

Reduced by 10,000 m.t. or

Reduced by (P500M at P50/kg) 10,000 m.t.

Note: 1) Provincial catch erratic and declined from 2001 (14,500+m.t.to 2003 (12,028 m.t.) 2) Hinatuan increased fromcatch 10,500 m.t.from in2001 1998 (2-3kgs/day) to 2004 (3-8kgs/day) to 14,500m.t. in 2001 using fish corral, gill net, fish trap

1,002

Marine Fish Production in Palawan

180,000

Fish Catch (metric tons)

20000

Metric Tons

98

The decline in the municipal fish catch in the Iloilo-Negros-Cebu areas started in the year 2000. Mining projects in these areas have started much later than those in Surigao Norte areas. The decline in the municipal fish catch in the Surigao Norte-Surigao Sur areas started even before 1990s. The item a and item b above indicate that there is direct correlation between the decline in fish catch and the presence of mining projects and the start of decline is as early as the start of mining projects. There is also a decline in municipal marine catchDecreasing in the areas of Bohol-Siquijor-Misamis-Camiguin despite catchtherein. Since these 3rd areas are sandwiched the fact that CRM projects are also being implemented st nd 2004 between the 1 and 2 areas, there is a spill-over effect of the decline in fish catch. There is an assumption that water current during the “amihan” travels from Surigao Norte water area towards the west or the 1987 Bohol-Siquijor-Misamis-Camiguin areas and towards these areas, the water current carries fish population: Marine Fish Catch in Surigao del Sur fertilized fish eggs, fry, and juveniles of various species of fish. Therefore, reduction of said fish population in the Surigao areas will also result to the reduction of fish population that will travel to the 25000 Highest catch western portion during “amihan.” Increase by 4,500 m.t.

14

c. The evidence of acidic water coming from mining projects and contaminating the aquatic environment and resulting to poor fish health and fish kills have been documented throughout the world. Listed below are some of the potential damages to aquatic life from acid pollution emanating from mine tailings and to humans from the mining wastes (metals). Pollutants Mine tailings

Characteristics 1. Acid is a major pollutant from mine tailings. 2. When sulfurous ores associated with mining coal and heavy metals is oxidized to produce

15 (acid pollution)

ferrous sulfate and sulfuric acid resulting to lower values of water Some of potential damage to aquatic biota (particularly fish) from acid pollution are 1. pH range of 2-4.5 in receiving waters, levels toxic to many forms of aquatic life. pH ranges for fish = 6.5 to 8.7; But a pH lower than 6 is unfavorable for fish. 2. elimination of sensitive species and proliferation of tolerant species 3. reduction in density, biomass, and diversity of aquatic organisms 4. increase in abnormal behavior 5. reduction in reproductive capacity of adults and inviability of eggs 6. abnormal eggs and reduced production and survival were observed at pH 5.9 and lower. A pH of 6.6 was marginal for vital life functions, but safe for continuous exposure. 7. at pH 3.5 and below, no viable fishery 8. acid stress (pH 4.0-5.0) also has caused fish mortality, by interfering with the physiological mechanisms Regulating active ion exchange across gill membranes (Brungs et al. 1978). 9. Anthony (197l) considered pH 5.0 or below hazardous, because they reduce the ability of fish to detoxify other poisons. 10. fish are apparently able to eliminate heavy metals from their bodies t o a certain extent, but when the heavy metal concentration becomes too great or the pH too low, this ability is impaired. 11. healthy, unpolluted streams generally have moderate numbers and many species of organisms, but polluted areas have larger numbers of a single organism. With toxic wastes--such as pollution from mining--both number and diversity of organisms are reduced. In West Virginia, more species of insects and algae occurred in an unpolluted stream (pH 4.5 or higher) than in those areas polluted by acid (pH 2.8 to 3.8). (Warner 1971). Menendez (1978) found a reduction in benthic fauna in a West Virginia stream severely affected by acid mine water. 12.low pH values may also affect behavior and reproduction of aquatic organisms. In a study on fathead minnows (Pimephales promelas Rafinesque), Mount (1973) found that fish behavior was abnormal and fish were deformed at pH 4.5-5.2. Pollutants Mining plants (bauxite) releasing chemicals through the airways

Toxicity 1. A recent study in Jamaica proved that exposure to airways in infants’ results in bronchial hyper- responsiveness. 2. It also affects their respiratory health. 3. Other adverse effects on humans are: Lung disease, asthma, bone disease, bronchitis, dental complications, cancer, alzheimer’s disease, degenerative disease, parkinson’s disease, hypertension, nervous problems, cluster migraine headache, pneumonia, loss of sight 1. During the preparation of a site for open-cast mining, the surface soil is removed to get access to the bauxite. In order to avoid soil erosion and to ensure that vegetation is returned to the land, many companies have water drainage practices during mining operations, separate removal of top soil (50 per cent reuse it directly after the mining operation) and over 60 per cent have their own nursery plant facilities. 2. The primary ecological concerns connected to this operation are related to the clearing of vegetation, affect on local flora and fauna, and soil erosion. 3. Rehabilitation plans are established prior to the start-up of operations and the investments required to implement these plans are built into mining costs. 4. Unlike the base metal ores, bauxite does not require complex processing because most of the bauxite mined is of an acceptable grade or can be improved by a relatively simple and inexpensive process of removing clay. In many bauxites, clay is removed by some combination of washing, wet screening and cycloning, even by hand picking or sorting. 5. Trace quantities of sulphuric and nitric acid released to environment from mining plants 6. There is evidence that two sources of their corrosive by-product is the cause of the damages to our health, and the environment. One source results from the method used in extracting the aluminia from the bauxite, is called Bayer Process, during this process notorious gases, caustic aerosols and other corrosive dust is released and dispensed into the atmosphere. 7. The second source of these corrosive by-products is the Bunker “C” oil used in running the

16 turbine engines, which provides electricity for the plant. Evidence proves that Bunker “C” is a crude oil and among the impurities it contains is sulphur. When burnt to power the turbines, it throws off among other by-products the acidic gases, sulphur dioxide and sulphur trioxide, on contact with moisture, these gases changes to sulpherous/sulpheric-acid, w/c is highly corrosive. Pollutants Cyanide Hydrogen cyanide (HCN) Sodium cyanide (NaCN) Potassium cyanide (KCN)

Pollutants Copper (Cu) Nickel (Ni) Gold (Au)

Characteristics 1. Cyanide is used in the extraction of gold (Au) and copper (Cu) 2. Cyanide can be produced by certain bacteria, fungi, and algae, and is found in a number of foods and plants; 3. In the body, cyanide combines with a chemical to form Vitamins B12; 4. Cyanide enters the environment from both the natural processes and industrial activities; 5. HCH is a colorless liquid with high volatility and an almond-like odor. In air, cyanide is mainly found in gaseous HCN 6. Solubility in water and volatility are characteristic for the high mobility of HCN in environmental structures and leads to a high toxicity in bio-systems. 7. HCN also occurs in the stones of various fruits, especially Prunus species (e.g. almond, apricot, cherry), thus excessive consumption of bitter-almond could result in lethal cyanide) Toxicity Effects on humans 1. Chronic exposure to lower levels of cyanide by humans for a long period may result in breathing difficulties, heart pains, vomiting, changes in the blood, headaches and enlargement of the thyroid gland; 2. Cyanides are able to enter the body very quickly through any entrance sites except intact skin 3. In large amounts, cyanide is very harmful to human health; 4. Cyanide inhibits the ingestion of oxygen by cells and causes the victim to effectively suffocate. 5. Short-term exposure to high levels of cyanide in the air damages the brain and heart and, in the extreme, may cause coma and sudden death (i.e. within hours). The lethal dose of cyan-hydrogen is 50-60mg for humans, while the body-weight specific dose is 1-2mg/kg (WHO 1984; KOCH 1989); 6. The lethal dose of NaCN for humans is 5mg/kg weight (KOCH 1989) and approximately 2.9 mg/kg for potassium cyanide (KCN); 7. People who ingest large amounts of cyanide may suffer the following symptoms: deep breathing and shortness of breath, convulsions and loss of consciousness; 8. High blood cyanide levels have also been associated with weakness of the fingers and toes, difficulty in walking, dimness of vision, deafness and decreased thyroid gland function; however, chemicals other than cyanide may contribute to these effects; 9. Chronic effects of exposure to cyanide include weight loss, thyroid trouble and nerve damage. 10. the World Health Organisation (WHO) guidelines specify the amount of daily allowable cyanide intake as 8.4mg; according to the same guidelines, cyanides in cyanidecontaminated food decompose during cooking or frying; therefore their toxic effects are negligible; the EPA has set a maximum contaminated level of cyanide in drinking water of 0.2mg/l. 11. Guideline 98/83/EEC specifies 0.05mg/l cyanide concentration as the maximum allowable value in drinking water. Characteristics 1. Operation of an Open Pit Copper/Nickel/Cobalt/ -- Processing the ore would involve crushing, grinding, flotation, and hydrometallurgical processing. Cathode copper (high purity metal) would be produced on-site by solvent extraction and electrowinning. The processing would produce other metals (nickel, cobalt, palladium, platinum, and gold) as precipitates rather than as finished metal. The precipitates would be shipped offsite for further refining. 2. Copper is found in the atmosphere, soil, groundwater, surface water and bottom sediments and

17 is present as an essential trace element in animals and plants; 3. Copper is an essential element in nourishment and health. 4. Exposure can occur through skin contact, inhaling, ingesting and consuming drinking water. 5. The greatest potential exposure is drinking water consumption. In typical drinking water, copper concentration is 20-75µg/l. The mean dissolved copper concentration of natural waters is 5-10µg/l. Concentrations in groundwater are slightly higher Toxicity 1. Acute and chronic stomach and intestinal distress, liver and kidney damage and anaemia. 2. Copper, often found in river sediment, is also toxic to fish and most aquatic plants. The lethal concentration for freshwater fish is around 0.1mg/l, particularly where zinc and cadmium are present, but is also dependent on the water hardness (HÜTTER 1984). 3. As copper easily dissolves in water, it is more available for uptake by living creatures along rivers. The EPA reports that the activation level for copper is 1.3mg/l. Pollutant

Characteristics

Zinc (Zn)

1. Zinc is one of the most common elements in the earth's crust. It is found in air, soil and water And is present in all foods 2. While most zinc in soil stays bound to soil particles, zinc compounds can also move into groundwater, lakes, streams and rivers; 3. Zinc is an essential element in human diet - but only in moderate doses; 4. The recommended dietary allowance is 15mg/day for men, 12mg/day for women, 10mg/day for older children and 5mg/day for infants. Toxicity 1. Exposure to higher levels, even briefly, can cause stomach cramps, nausea, and vomiting. 2. Long-term over-use of zinc produces conditions such as anaemia, pancreas damage and lower levels of high-density lipoprotein cholesterol.

Pollutant

Charateristics 1. Lead is poisonous in all forms and can be found in all parts of the environment. 2. In recent years, health concerns have forced a dramatic reduction in the use of lead in gasoline and paints 3. Lead is one of the most hazardous of the toxic metals because the poison is cumulative and the effects are many and severe. Toxicity 1. Chronic exposure to lead has been linked to brain and kidney disease and cancer in humans. Lead causes a host of serious effects in mammals in general, including: blindness, haemorrhaging, depressed food intake and anorexia, reduced brain weight and cerebral pathology, convulsions, impaired motor skills, impaired visual discrimination and learning behaviour, abnormal social behaviour, increase in aggression, hyperactivity, disturbed sleep patterns and insomnia, reproductive impairment, increased faetal deaths and abortions and reduced survival / longevity. 2. The acute toxicity of lead for fish is 0.2-3 mg/l (HÜTTER 1984). 3. According to the EPA, the activation level by content of lead in drinking water is 0.015mg/l; 4. Lead oxide is more toxic than metallic lead or other less soluble compounds; Lead can affect almost every organ and system in an organism. 5. Relatively low levels of exposure can interfere with red blood cell chemistry. 6. In humans it causes a delay in normal physical and mental development, produces deficits in attention span, hearing and learning abilities of children and slight increases in blood pressure in some adults 7. Studies show that some of these effects, particularly changes in the levels of certain blood enzymes and in aspects of children’s neuro-behavioural development, may occur at blood lead levels so low as to be essentially without a threshold.

Lead (Pb)

18

Pollutant Human and domestic wastes

Effect to marine environment 1. Untreated sewage is slightly acid, and one of the acids which causes that is the uric acid (in urine). This means the pH will be lower than normal. 2. Untreated sewage contains bacteria, parasites and viruses. The greatest impact is on the fringing reef, which is used for catching small fish and shellfish. Shellfish concentrate bacteria and viruses from sewage. Consuming raw or partially raw shellfish can lead to transmission of viral diseases. Also since shellfish are at the bottom of the food chain it also has many effect on other fish species 3. Untreated sewage also contains high levels of nutrients, which stimulate massive algae growth. This leads ultimately to a decreased oxygen level. These anoxic conditions can lead to death of fish. Furthermore algae bloom can lead to death of coral which leads to death of reef, which in turn decreases fish stock 4. Nitrogen is a nutrient that is also poisonous to fish in the form of ammonia gases and may become poisonous in the form of nitrate. 5. Reef building corals can not survive unless the conditions are just right. Corals flourish in nutrient poor waters and suffer severe impacts if nutrients are high. 6. If the sewage gets primary treatment onwards the pH will be neutralised in the process and will not have an effect on the ocean.

3. There is a need to encourage the concerned government agencies and marine scientists to look into the validity of the analysis that mining projects which are located in ecologically strategic areas like Rapu-Rapu Island, Iloilo-Negros-Cebu water areas, and Surigao del Norte (with several islands) have negative impact on the fishery. In areas where there is proliferation of CRM projects but where there is the presence of pollutions coming from within and outside the management unit (municipal water, bay, gulf, etc), what the CRM projects can not be able to do is ensuring the good water quality since water is a universal medium for the pollutants (domestic and agro-industrial including mining) that go with the water current towards cross-boundaries and strategic ecological destinations which are declared or considered biodiversity areas. In this case, CRM projects should be translated into a more comprehensive framework which is the Integrated Coastal Zone Management (ICZM). 4. As early as 1990s, CRM (CBCRM, CRMP, CBRMP, FRMP, etc.) projects have been implemented through multi-disciplinary and multi-components approach. One is education by teaching community people about basic aquatic and marine ecology in order to raise their level of awareness. The aim is to make the participants become critical and participating in CRM activities. However, in order to make the participants become CRM managers and planners, there is a need for them to acquire knowledge on advanced ecology and applied fish ecology through popular education so as to understand and analyze and provide solutions to critical issues such as overfishing and pollution (domestic, agro-industrial including mining). 5. Since mining projects will be part of the country’s economy under any form of government, there is a need to establish community-based pollution monitoring system through adoption of practical methods (like bio-assay test for fish) as well as using scientific instruments if these can be made available to the community. The diagram below shows the importance of fish eggs abundance to the fishery productivity. It is the fish eggs and fish fry which are highly vulnerable to acidic aquatic environment. This means that fishery regulatory measures and fish habitat management in a water area affected by pollutions coming from mining, domestic wastes, fishponds, agricultural plantations are only half of the measures to attain the maximum sustainable yield so called MSY. This is the reason why in relatively well-managed marine protected areas (MPAs) where the fish stock biomass increase has already reached the level of its fish carrying capacity that still has the potential for further increase in the absence of pollutions, the organized fisherfolk have to resort to the engagement in environment-friendly mariculture projects. Fish Fry

Low fish egg Low adult population results biomass due also to recruitment overfishing to acidic-water or low fish eggs and fry causing mortality NOTE: 1) low fish eggs as food of zooplankton results to low zooplankton 2) low biomass of zooplankton as food fry results to less fry 3) low biomass of fish eggs to hatch result to low biomass of fish fry 4) low fish fry due to item no. 3) above and also to acid-water causing mortality result to few adult population

19

6. The degradation of the environment through pollution has resulted to low survival of the delicate fertilized eggs-fry-juveniles of various species of fish which in effect contributing to growth overfishing. This leads to the establishment of hatcheries of species of fish whose production in the wild is diminishing . Fish hatcheries ensures the water quality required for high survival of fish eggs and fry. In view of this the depletion of commercial value species in the in the wild or fishing grounds can not be solely attributed to overfishing as in the case of the collapse of the cod fishery in the Atlantic Canada. Despite the initial 2-year ban starting 1993 and even extended up to the present the cod fishery has not recovered. The causes of the near-extinction of cod have been much debated. Some blame environmental factors. The Canadian government, however, points to the increasing use of larger, more sophisticated boats and foreign intrusion. While the Canadian authorities have attributed this either to environmental factor or overfishing (since there is intrusion by commercial fishers from other countries), some marine scientists attributed this to the collapse of zooplankton population due to the decline of fish eggs which are source of high protein food for the zooplanktons required for reproduction growth. And zooplankton is the best food for fish fry, juveniles, and adults for high survival and growth. This means that despite the presence of adult cod population as a result of the fishing ban, the cod eggs which are reproduced or released by the millions by a single female cod to the water and to be fertilized by the sperms released also by the male cod are subjected to high mortality due to water pollution whose level which is not detrimental to adult population but can already kill the fish eggs before they are able to hatch. In the North Atlantic that ncludes Canada, there are several mining projects that exist and in fact Canada is the world leader in mining projects and products. 7. Practitioners of CBCRM in coastal communities affected by mining projects should be part of the present national movement “against mining” or that monitors the operation of mining projects to safeguard the health and economic conditions of affected coastal and interior communities. Prepared by Ed Enderez in August 2005