TVI prepares for legal fight with Zamboanga LGU

MANILA, Philippines - Canadian mining firm TVI Pacific Inc., parent firm of TVI Resources Development (Philippines) Inc., is preparing for a legal fight to maintain its operations in Zamboanga del Norte.

TVI chairman Clifford James, in a very strongly worded speech at the luncheon meeting of the Philippine Mining Club yesterday at the Manila Shangrila, expressed outrage at the local government of Zamboanga del Norte for passing the open pit mining ban which he termed “unconstitutional” and “invalid.”

The open pit mining ban, James said, violates the Mining Act of 1995, the Local Government Code and the Environmental Protection Agency Act.

He said the Zamboanga open pit mining ban ordinance is “draconian” and gives full authority to the governor to control mining.

 He urged all mining firms operating in the Philippines to collectively fight the ordinance, warning of the impact should the open pit mining ban be implemented.

James accused the Zamboanga del Norte local government of passing the ordinance to be able to charge more fees for a variety of permits that the local government may choose to require.

James expressed frustration that there appears to be “no control at the top.”

According to James, “there needs to be decisive action by the National Government. The National Government needs to intervene. LGUs cannot overturn the Mining Act. The DENR needs to have power of supervision over LGUs.”

James warned that “if the ordinance is not stopped, all money pumped into the region will go away…our corporate social responsibility will go away, our environmental money will go away and even our security money will go away.

He said TVI has invested $60 million already and that despite the threat of an open pit mining ban, the company is still willing to invest in the Philippines.

In a previous interview, company president Eugene T. Mateo said TVIRD stands to lose around $448 million in potential revenues from its Canatuan mine should the provincial government of Zamboanga del Norte enforce its recently passedopen pit mining ban ordinance.