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DIDIPIO GOLD PROJECT STANDOFF CONTINUES

NV gov tells Atienza: ‘I’m in control of my senses’

By CHARLIE C. LAGASCA

BAYOMBONG, Nueva Vizcaya – “I am not senseless with what I am doing.”

This is what an obviously irate Gov. Luisa Lloren Cuaresma said yesterday (10 May) in answer to statements of Environment Secretary Lito Atienza telling her to “come to her senses” and not to persist in moves to stop a foreign mining firm from operating here.

Meanwhile, the talks between the provincial government and environment officials led by Mines and Geosciences Bureau national director Horacio Ramos have failed, as the provincial government refused to withdraw its cease and desist order until Australian firm Oceana Gold Philippines settles its quarrying fees due this province.

The national government contracted Oceana Gold for the multibillion Didipio Gold-Copper Project in Kasibu town here, which is Cagayan Valley’s first large-scale mining venture, and so far one of the two projects approved by the government since the enactment of the 1995 Mining Act.

The governor said she was emphasizing the right of the local government to collect local taxes, “this is why I don’t understand why the Secretary, who used to be a local government official himself, had reacted the way he did.”

“He (Atienza) should know how we in the provincial government feel about this matter. Anyway, that is his (Atienza) own opinion. We stand firm in our position that we have a right to charge the firm whatever fees necessary for them to legally operate here,” she said.

Capitol employees and residents continued to flock to the remote Didipio village to reinforce provincial officials led by Cuaresma in barricading the mining project site in the area. Likewise, anti-mining advocates here are also gearing to resume their anti-mining stance in support to the provincial government’s fight against the nationally-imposed project.

Provincial officials, who have been in Didipio village since Tuesday, vowed to remain there until the firm pays its financial obligations “due to the people of Nueva Vizcaya.”

Atienza earlier said that Cuaresma might be “treading on illegal grounds” for disrupting the firm’s operations by barricading its project area, which is covered under a Financial and Technical Assistance Agreement (FTAA) between the national government and the foreign contractor during the Ramos administration.

Cuaresma, however, stressed that the provincial government was not questioning the mining project as a whole, which she acknowledged as one of the Arroyo administration’s flagship programs.

“What we are questioning is the firm’s quarrying activities, which fall under the purview of the local government,” she said, adding that “we respect national laws as every law-abiding citizen should. But the national leadership should also consider the intent and spirit of the Local Government Code, which is reflective of the aspirations and sentiments of the local communities.”

The standoff started after the mining company disregarded twice the “cease and desist” order issued by Cuaresma last April 9 when it stood its ground not to pay the province of quarrying fees.

Around three hours from this capital, Didipio, nestled in the mountain boundary of this province and Quirino, is believed to be rich in gold, copper and other minerals of high commercial volume.

“What we are only asking is our rightful share of their quarry taxes. This is a pittance as compared to the billions of pesos they would generate from extracting our precious resources,” the governor said.

During Didipio project’s 15-year operation, the national government and the foreign firm hope to generate at least P30 billion each in profit, besides the millions of pesos in local taxes and thousands of jobs it could generate for the host local government units.

Jake Foronda, Didipio Gold-Copper Project manager, said that under their FTAA with the national government for the Didipio venture, their company is exempted to pay quarrying fees.

“We don’t know where to place our selves. This is actually a case of conflict between the national government and the local government unit,” said Foronda, whose company’s operations have been stopped as a result of the impasse.

Oceana Gold claimed they were already losing millions of pesos as result of the work stoppage, which national government fears would have an adverse affect on the investors’ confidence in the country’s mining sector.

Meanwhile, Cuaresma also slammed Ocean Gold for what she described as its “unfulfilled promises” for the development of the province, including the supposed construction of a mountain road linking the remote village to the rest of the province.

She said that the provincial board endorsed the project three years ago with the assurance that the firm would construct a road linking Didipio to the nearest all-weather road. CCL

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