Nickel industry says easing mining policies will spur investment in processing plants

Easing mining policies will encourage investments in mineral processing plants to support President Duterte's call for downstream processing of metallic mineral resources, the Philippine Nickel Industry Association (PNIA) said.

At a conference in Taguig City on Tuesday, PNIA president Dante Bravo said that private and public stakeholders should start discussion on how to pave the way for putting up "a viable processing plant."

At the same conference, House Speaker Gloria Macapagal-Arroyo encouraged miners to include processing facilities in their projects, "if not today, at least in the realistic near-future."

The nickel industry leader, however, said the government's policies seem to restrict mining activities, and that these "will be a concern for those who will be investing in a value added processing plant."

Among the mining policies being implemented by the government include a ban on open-pit mining and a limit on areas to be mined depending on the miner's production volume.

"If you put up a value-added processing plant, it's capital-intensive. You have to guarantee there is a sufficient reserve to support the plant and it requires exploration not just for one year but for a number of years and you can only do that through exploration. It has to be open," Bravo said.

Executive Order No. 79, issued by former President Benigno Aquino III, prohibits new mining agreements until a new legislation is approved on revenue sharing. — BM, GMA News