OFFSHORE MINERS asked the Department of Environment and Natural Resources (DENR) to issue a no-objection certification of a pending memorandum of cooperation (MoC) between the Department of Trade and Industry and Japan’s Ministry of Economy, Trade, and Industry (METI) of Japan.
“Isang taon nang naka-pending diyan sa DENR, walang naaksyon (There has been no action after one year sitting with the DENR),” Offshore Mining Chamber of the Philippines, Inc. Chairman Michael Raymond A. Aragon told BusinessWorld via phone.
“If the MoC between DTI and METI is signed, Japan will allocate $1 billion in (loans) to Japanese offshore mining companies who would like to operate in the Philippines,” he added.
Mr. Aragon said that the memo covers the trade, industry, and financial aspects of the offshore mining industry in the Philippines. He said that the DENR had been asked to sign off on the memo in February last year.
“We seek only a certification of no objection from DENR — that DENR won’t object if DTI and METI sign a memo of cooperation in offshore mining,” Mr. Aragon said.
The DENR had not replied to a request for comment at the deadline.
Republic Act No. 7942 or the Philippine Mining Act of 1995 requires 60% Filipino ownership of mines.
Mr. Aragon said any foreign companies that plan to mine here will seek “maximum exposure” if ever they enter the market.
He noted that offshore mining operations are cleaner and greener compared to land-based mining.
OMCPI members focus on mining and processing so-called “green minerals” to support the Philippine transition to clean energy.
“The Philippines is very rich in minerals. Things that we can get from the land, we can also get from the waters. The only problem is (the operating costs are) ten times the normal cost” while margins are narrower, he said.
Mr. Aragon said that the investment needed by industry cannot be raised by domestic miners. “The Philippines cannot do it (alone); we need a foreign country to partner with us.” — Sheldeen Joy Talavera