Mining firm seeks gov’t intervention in row with settlers in NV operation

RUNRUNO, Nueva Vizcaya – More than 500 mine workers have asked the government to help settle the row between the resisting group of illegal settlers and miners and the FCF Minerals Corporation here.

The workers, who recently staged a peaceful march from barangay Runruno to the municipal local government compound, are urging local officials to intervene to speed up the slow pace of mining operations in Stage 3 of barangay Runruno, an area covered by the Financial and Technical Assistance Agreement (FTAA) of FCF Minerals Corporation.

“We want a peaceful resolution and settlement of the issues and concerns between the FCF Minerals Corporation, our group and the villagers who are residing in Stage 3,” said Joel Dulnuan, President of the workers’ union called Runruno Friends of Highland Group (RFHG).

He said a recent hacking attempt by a resisting villager in Stage 3 in barangay Runruno had sown fear among residents and workers here. Resistance among illegal settlers and small scale miners in Stage 3 started in previous months when mine workers started building access roads to FCF service are. The infrastructure is needed in the company’s exploration activities to ascertain the amount of minable deposits in the area.

The illegal settlers and small scale miners have continuously refused the ‘just’ compensation being offered by the mine firm and instead demanded huge payments way beyond the value of their illegally occupied land. This prompted both parties to seek legal remedies.

James Carmichael, FCF Minerals Country Manager said FCF’s entry to Stage 3 area was legally authorized by the DENR-Mines and GeoSciences Bureau, (MGB) Mines Adjudication Board (MAB), junking the illegal settlers and miners appeal for higher compensation, among others.

He said the gold and molybdenum project has been delayed for more than two years now due to the resistance of the illegal miners who brought the issue before the local courts.

Carmichael said with the slow pace of development in Stage 3, the company is bent on implementing a retrenchment of several workers soon.

Domestic plastics manufacturers said they were “appalled” by the decision of the Tariff Commission to grant safeguard duty on imported high density polyethylene (HDPE) pellets and granules for three years is unfair because it will only benefit one entity as against the small downstream plastic producers.

In a statement, the Philippine Plastics Industry Association (PPIA) stressed that the findings of the TC of “imminent occurrence of serious injury” only pertains to one single entity, which the group said posted healthy net income during the period of investigation and even embarking on expansion programs.

PPIA said the TC recommendation “is not fair to the downstream industry who are expected to suffer from any decision favoring the request.” The group was referring to the safeguard duty petitioner Gokongweiowned JG Summit Olefins Corp., the country’s sole producer of HDPE pellets and granules.

HDPE is raw materials for downstream plastic manufacturers used in film extrusion process, injection molding process, blow molding process, pipe extrusion process, and monofilament extrusion process and their respective applications and are like products to imported HDPE pellets and granules under AHTN 2917 subheading 3901.20.00 which are intended for the same processes and applications.

The TC decision issued on June 29, 2022 did not specify the exact amount of safeguard duty that could be imposed on imported HDPE pellets and granules from various countries. The TC findings, however, will be elevated to the Secretary of Trade and Industry for finality, that may include the amount of

“We implore the TC to consider their position and the DTI to not impose safeguard duties on HDPE resin,” PPIA said.

PPIA criticized the TC recommendation reiterating this will only benefit a sole producer, at the expense of the downstream manufacturing industry dominated by MSMEs and employing hundreds and thousands of Filipinos, increase the cost of packaging materials and plastic products and add to the increasing inflation amidst the current crisis faced by our country.

“Such a move will also result in tariff distortion where cheaper imported finished products will continue to proliferate the market,” the group added.

In addition, PPIA said the findings in the TCs investigation report are not consistent with the facts presented during the hearings and submitted in the form of position papers.

According to the PPIA, the increased imports during the period of investigation is attributed to the lack of domestic supply and operational shutdowns result in from the expansion of JGSOC, and the increased demand for products that they do not produce.

“It is wrong to ascertain that the locally produced HDP using its UNIMODAL technology will produce ‘like products’ compared to Bimodal production systems that make the material stronger,” the group said.