First posted 00:59am (Mla time) Dec 03, 2005
By Blanche S. Rivera
Inquirer

LEGAZPI, ALBAY—Facing persistent opposition from environmentalists and local officials in Rapu-Rapu, Australian mining firm Lafayette Mining Ltd. said it deserves the loss of its showcase stature in the Philippine mining industry.

For the first time since the suspension of its gold processing operation last month, Lafayette admitted that no one, not even its shareholders and employees, wanted to be associated with the mine spills that caused fish kills and strengthened opposition to the project.

“The shareholders are not happy. We should be producing unhindered and generating revenue that starts to repay their (shareholders) faith and investment in the company,” McIlwain said in an interview at the mine site Wednesday.

“The employees are not happy because they are associated with a project that has lost its luster. We are the showcase project in the Philippines, and unfortunately, deservedly so, we don’t have that reputation right now. We have to recover that,” he said.

Lafayette, which is on top of the P1.4-billion Rapu-Rapu Polymetallic Project, has embarked on a rehabilitation program required by the government to regain its standing as the flagship project of the country’s revived mining industry.

He said the shareholders of Lafayette were very aware of the importance of the Rapu-Rapu project not only to the company but to the resource industry in the Philippines.

“No one wants to be associated with something that has not gone properly,” McIlwain said.
The Lafayette executive said the firm was working hard to prove to the Environmental Management Bureau and the Mines and Geosciences Bureau that it can operate in a responsible manner.

“That’s the first thing we got to do. We must regain our ground, we have to demonstrate that we can do this,” he said.

McIlwain said Lafayette was also willing to “reach out” to the Rapu-Rapu municipal government and explain the issues to its critics.

Lafayette’s effort, however, comes as the Rapu-Rapu municipal council announced its move to enact a 10-year mining moratorium in the 5,000-hectare gold-rich island.

Rapu-Rapu Mayor Dick Galicia said the council would start public hearings on the proposed moratorium in January, after the council is done with its budget deliberations.

“There will be no compromise,” Galicia, a former supporter of the Rapu-Rapu project until the mine spills, said in an interview Thursday night.

He said most of the 34 barangays in Rapu-Rapu are against the operations, making the mining moratorium almost a sure thing.

SOURCE: http://news.inq7.net/regions/index.php?index=1&story_id=58573