Friday, November 6, 2009

Unrepentant Lafayette

We are no longer called ‘Lafayette.’ We are now ‘Korea Malaysia Philippines Resources Corporation.” Mrs. Cecille A. Calleja, Vice-President for Public Relations of Rapu-Rapu Minerals, Inc., insisted on November 3, 2009 during the hearing of the Committee on Environment of the Sangguniang Panlalawigan of Albay. The hearing was the second called by committee chair Kinatawan Julio Tingzon. It focused on environmental impacts of the mining operations. The first was on October 20 which tackled tax payments and the Social Development Management Program.

The change of name, however, is superficial. There is official paper trail on the continuity of the juridical personality of Lafayette. The change of name is not occasioned by any change of heart of the very same persons still working for the companies.

The second hearing

Present during the second hearing were Lafayette officials and staff: Engr. Rogelio E. Corpus, Mrs. Cecille A. Calleja, Engr. Carmelita Borbe Pacis. From the DENR attendees included Dr. Eva Ocfemia of EMB, Engr. Buenaventura S. Dayao and Engr. Guillermo Molina of MGB, and Engr. Rodolfo Matusalem of PENRO. Kinatawans Julio Tingzon, Osty Calleja and Neil Montallana were present. I represented Save Rapu-Rapu Alliance as its Spokesperson and Aquinas University of Legazpi as its Secretary-General. On query of Kinatawan Montallana, I said that I was also there as a taxpayer.

Engr. Corpus introduced Engr. Pacis who presented “what happened in the past which everybody knows and therefore needs no further elaboration,” Lafayette’s AMD management and dam design. The latter also insisted that what happened in 2005 were not fishkills “as in tons and tons of dead fish; only two kilos of small fish died.”

No admission of guilt; no repentance

Engr. Pacis vehemently denied the fishkills, official documents submitted to the national environment agency notwithstanding. Those documents subpoenaed by the Rapu-Rapu fact-Finding Commission state that Lafayette privately admitted guilt for the October 2005 spills. In public pronouncements, the same personnel deny Lafayette responsibility. They do not call it a fishkill on account of only “2 kilos” of dead fish recovered. Mrs. Nida Bendal attests that she herself collected two sacks of dead fish along the shores of Binosawan. That does not include the dead fish that could not be collected far out into the sea and those that have sunk to the sea floor. The fishkill of 2006 is also denied by Lafayette in spite of the narrative on Pages 15 and 16 of the TWG report on the test runs of 2006 titled “Evaluation of the Rapu-Rapu Polymetallic Project Under the Test Run Conditions.” They also deny the fishkills in October 2007 despite overwhelming documentation and testimonies of the residents of Rapu-Rapu.

This is the root of Lafayette’s failure to gain social acceptability. It cannot face its own ghosts. It would rather have a change of mask than a change of heart.

Impossibility of managing AMD in a small island

The first reason for objection to Lafayette mining in Rapu-Rapu is the presence of sulfide and pyrite rocks which are sources of acid mine drainage. Lafayette is adamant in refusing to admit that AMD cannot be managed in the small island of Rapu-Rapu. What Engr. Pacis admitted is that they cannot give 100% guarantee. “But there are other controls,” she quickly added. If those controls are effective the creeks would show.

On October 20, I showed them the photographs of the creeks from the ponds and gabions to the beach all tarnished with yellow, red and orange colors. They have no reply to that evidence. Lafayette failed to present their photographs of the creeks emanating from the mine site and flowing to the sea, some 400 to 500 meters from the tailings pond.

To oppositors, the short distance of the tailings pond from the sea is a consequence of second reason for objection to mining operations: the island’s small size. To Engr. Pacis, the 400 to 500-meter distance is safe enough. She forgets the third reason for objecting to the mining operations: the steep slopes. With short distance and flat terrain, there might be hope of retarding the flow of poisoned water to the sea. However, with short distance and steep slopes, the AMD easily reaches the fishing grounds of the poor fishermen.

All they showed were dam design drawings and photographs of canals around the ponds in the process of construction plus AMD management schematics. A slide was shown with a caption saying that a wild duck was swimming in the pond but the photo was so dark no duck could be seen and Engr. Pacis had to appeal to her audience to believe that there was indeed a duck in her photo. It can be granted for argument’s sake that there was a duck. I could even concede an elephant was there. What her claim proves is that there are species indeed like the wild duck which are at risk because of the mining operations. Kinatawan Osty Calleja commented that there could be no wild duck because Lafayette itself admits that the pond is poisoned.

The Lafayette measure for controlling AMD at source is to drown the tailings under two (2) meters of water column (www.rapu-rapumining.com/?req=environment). For a while the dissolved oxygen, they say, would react with the sulfide and pyrite wastes and produce acid. When all dissolved oxygen is consumed in the reaction, production of acid will stop. So they say. This is open admission that there is indeed acid in the pond.

Moreover, this method overlooks a vital scientific fact related to the fourth reason for objection to mining operations in the island: heavy rainfall. When a drop of rain falls from some 30,000 feet, it grows larger and larger and catches oxygen in its path. Hence, when the raindrop reaches the tailings pond, there is a fresh supply of dissolved oxygen for the chemical reaction to continue. With continued deposition of tailings, the production of more and more acid is assured.

Lafayette tries to make us believe that even if acid production continues in the tailings pond, the dam will contain the pollution. It was designed and is being built by a third party – Marcelo Bolaño and Associates – to withstand “one in a thousand years of rain.” Who would not be brave enough to make this claim? Nobody lives for a thousand years and prove thereafter that Lafayette is wrong. Moreover, even if they are indeed proven wrong, they would be too dead to care about any prosecution.

No government agency assures the public that the dam will sustain heavy rains and earthquakes

According to Engr. Dayao, in reply to Kinatawan Montallana, no agency of the government can give any assurance that the dam can serve the function for which it was designed. Not DENR, not Lafayette but only Marcelo Bolaño and Associates will bear the responsibility for any failure of the dam. From this arises our first objection to the dam: Lafayette has cunningly freed itself from responsibility for dam failure.

The second objection to the dam is the mistake committed by Lafayette in supposing that certain materials were non-potentially acid forming (NAF). They were found during the test runs to be actually potentially acid forming (PAF). This is documented on Page 36 of the report of the Technical Working Group on the test run. This mistake, according to Dr. Carlito Barril, retired geochemistry professor of UP Los Baños, is enough reason to close the Lafayette mine.

The third objection to the dam is the very possible development of cracks and seepages. This is warned about by Engr. Macario Apin II during the test runs and documented in the TWG report (Page 9). Cracks and seepages can result from groundshaking due to blastings done at the open pit. Worse, they can result from earthquakes originating from two fault lines: San Miguel Fault running northwest-southeast some 10 kms north of the mine site; and the Legazpi Lineament also running northwest-southeast some 2 kms south. The dam and the mine site lie between these fault lines. Several earthquakes occurred in 2008 and 2009 with epicenters near Rapu-Rapu. The Earthquake Database of the US Geological Survey National Earthquake Information Center records seven (7) earthquakes from 1973 to 2007 with epicenters within 10 kms of the island.

AMD from settling and polishing ponds, exposed surfaces and waste rock dump

Sulfide and pyrite materials are not only in the tailings pond. They are also in the settling and polishing ponds which are allowed to flow to the wetland and then the sea. They are beneath the topsoil and when the latter is removed when mining is done, they are exposed to air and water to produce acid. The waste rock dump is also exposed to rainwater and air so acid will also come from it. Flowing with runoff water during heavy rains, this acid from exposed surfaces and waste rock dump reaches the sea.

Siltation

The other contaminant in the Lafayette mine is silt from exposed surfaces. Sprinkling with water, as allegedly Lafayette is doing everyday, will not remove the threat. As I have computed, they would need 4500 cubic meters of water every day for that purpose. There is no source in Rapu-Rapu that will give them that much water. Engr. Pacis said that they source it from the ponds. This compounds the problem of water scarcity. Even the exposed surfaces will have heavy metal contaminants! Silt and heavy metals then will flow to the sea during rainy days.

Silt alone clogs gills of fish and corrals and kill them. It also kills the plankton that produces 50 to 70% of the earth’s oxygen supply by consuming carbon dioxide.

Open Pit

Any open pit exacerbates global warming. Trees and other forms of vegetation (which produce a net supply of oxygen) are removed to dig the open pit. The silt of waste from the open pit is carried by rainwater to the sea and kills the plankton.

Moreover, the Lafayette open pit is a violation of the 7th commandment on climate change adaptation proclaimed by the Provincial Government of Albay in October 2007. The use of open pits is renounced by Al Gore in “An Inconvenient Truth”

Heavy metals, bioaccumulation and biomagnification

Heavy metals uncovered by mining kill mangroves and cause diseases among humans. Mercury naturally occurs in Rapu-Rapu as testified to by the MGB through its Factsheet dated February 2, 2006. Its effect on human health needs no elaboration.

Statements from DENR and Lafayette trying to calm people through assurances that the level of heavy metal contamination is within “tolerable limits” is belied when bioaccumulation and biomagnification are established. Bioaccumulation is the increase in concentration of a pollutant from the environment to the first organism in a food chain. Biomagnification is the increase in concentration of a pollutant from one link in a food chain to another

The surroundings may be within the ‘tolerable limit” for heavy metal contamination but the persistent presence of the contaminants in the air, water, sediments or even organisms plus the successive consumption through the food chain will increase their concentration in higher-order consumers like humans.

Excretion of mercury may be faster among lactating females because the contaminant goes out with the milk only to be sucked by the baby!

Heavy metals may be excreted but only to return to the environment and from there they will again be consumed by plants and animals which will then be consumed by humans. So heavy metals will keep on circulating in the environment and human body whereas they used to be covered by topsoil until unearthed by mining operations.


To all these rebuttals, the Lafayette representatives could only nod their heads.

Given all these information about Lafayette AMD management and its dam, one can easily understand why acid, silt and heavy metals flow to the sea. The final proof of this is the severely diminished fish catch in Albay Gulf. Engr. Pacis herself admitted during the November 3 hearing that they could see corrals but not fish. She adds, “as to the reason, we do not know.” The fishermen report the decline to have started in 2005, the very year Lafayette began full operations. Also, the RRMI advertisement over Home Radio in Legazpi City admits severe fish catch decline but blames it on the cutting of mangroves by the residents themselves. As we have rebutted, the island residents have not cut the mangroves in the scale that Lafayette wants the world to believe; they have made sustainable use of them for decades but no decline in fish catch happened until 2005 when Lafayette mining went full blast. The death of mangroves is caused by heavy metal contamination as two scientific studies show*. In Rapu-Rapu the mining operations have unleashed heavy metals that used to be buried under the topsoil.

(* http://cat.inist.fr/?aModele=afficheN&cpsidt=1992824; http://marine-habitats.suite101.com/article.cfm/mangrove_deforestation_affects_coral_reefs)


In brief, three indicators show how ineffective Lafayette’s environmental management is: (1) the yellow, red, orange and brown coloration of the creeks as evidence of contamination that flows to the sea; (2) severe decline in fish catch in Albay Gulf since 2005; and (3) growing poverty and increasing incidents of disease in the island.

Up to this time, Lafayette executives do not accept the challenge which I gave on October 20, 2009 and repeated in front of them on November 3, 2009 for them to bathe in the mouth of the creeks or eat fish if any is caught in the area. This is further proof that they themselves are not convinced that their operations are clean.

The Lafayette representatives also cited their aesthetic standards for the mine site. In reply, we say that the mine site may look very beautiful but it does not take away the danger that lurks there. Something may be beautiful outside but deep inside it can be very dangerous.

Corporate structure

Mrs. Calleja asked to be given the floor while I prepared my laptop for the presentation. She claimed that while RRPI is 100% foreign-owned, RRMI is 60% Filipino-owned as mandated by law. Disputing the claim, I showed to the committee the corporate structure during the time of the Australians. In the diagram, RRMI’s Filipino shares are 60% of 60% and hence 36% only. She replied that it was the old structure. In reply, I showed the new diagram taken from the 2008 Annual Report of MSC. There, the percentages of ownership are the same. The only change was in the replacement of Lafayette Mining Ltd by the Kores-LGI-MSC group. F&N Holdings, Inc. is replaced by JV Calleja Group. Everything else, specially the percentages of shares held, is the same. Mrs. Calleja said that the report is for 2008 and, she implied, is therefore old. This is not a valid argument because the 2008 report of MSC is the latest. Even if corrections were made in 2009, still Lafayette has to account for those years when they did not comply with the 60% Filipino ownership requirement. It is already sad that our surroundings are messed up by Lafayette’s operations. It is more unfortunate that our own laws are being used to minimize the taxes they pay and gotten around with to our disadvantage.

Certification from ISO and recognition from PCAPI

Lafayette again brought up their ISO Certification 14001 and added the recognition from the Pollution Control Adjudicators of the Philippines, Inc. Our reply to these is simple:

These certification and recognition do not address the island’s small size, steep slopes, heavy rainfall, sulfide and pyrite rocks that produce acid, and use of cyanide which by experience has been shown to be prone to spills that killed fish and plankton. The certification and recognition do not absolve Lafayette from the confirmed fishkills on October 11 and 31, 2005; July 20, 2006; first week of October 2007; and October 26-29, 2007.

The certification and recognition do not address the use of the open pit technology which removes the topsoil and renders the land unarable for decades and reduces the population of plants that also consume carbon dioxide.

The certification and recognition do not address the PEZA exemption of Lafayette from taxes on income earned from production of precious and base metals.

We should also note that the certification and recognition do not solve the fishermen’s problem of diminished catch in fishing grounds near the island and their need to go far out into the Pacific Ocean facing gigantic waves using tiny boats just to pursue their livelihood.

We should also note that the certification and recognition do not cure the diseases related to heavy metal contamination suffered by residents of Rapu-Rapu and coastal towns of Sorsogon.

The ISO Certification is only for the needs of Lafayette. It is never for us.

Lafayette mining and Rapu-Rapu’s poverty

The situation in Rapu-Rapu Island is desperate, according to a group of environmentalists who conducted an ocular and immersion activity on May 11-13 in the island. Hunger, disease and ecological disasters are unabated and continue to worsen day by day. It demands the attention of local and national authorities.

Talking to residents of Carugcog, Tinopan, Buenavista, Viga and other villages, the ISM participants, according to Dr. Geneve Rivera of Health Alliance for Democracy, learned that children die of diarrhea and vomiting for lack of medical services. Respiratory problems are common. These cases, they confirm, never happened with the same frequency in the past as after the start of mining operations.

Fish is scarce in the waters offshore. Even “tagunason,” an edible marine organism that used to be abundant on the shorelines during low tide, is gone. They cannot bathe in the beaches because they experience skin itch and rashes. Mrs. Jeanny Balbin cries as she recounts how her three children almost died after eating shellfish.

The creeks are yellowish-red, an indication of acid mine drainage, and no longer host freshwater fish. The dap-dap trees along the banks are dead. Corrals still stand but are pale and likewise dead, according to Mr. Clemente Baustista of Kalikasan People’s Network for the Environment. No fish can be seen around them. The residents estimate that 50% of the corrals near Buenavista are dead. This explains the observation that fish catch is down from 20 kilograms per outing to almost zero. The blue marlin used to be abundant in April and May and 20 could be caught in years past. This year, only 6 have been caught. For the entire island, fish catch decline is estimated at 80-90% since the mine started to operate, according to PAMALAKAYA national chair Mr. Fernando Hicap.There is severe scarcity of drinking water.

On August 21-23, 2009, Pangataman-Bikol, an environmental NGO, sent a relief mission to Mananao, Linao and Tinopan. The team saw extreme poverty. The near-zero fish catch was confirmed. They saw an old woman who earns her living by making hard brooms from coconut midribs. She makes four a day and sells each for P15. Her fingers have suffered cuts from the effort. But even her humble livelihood is under threat because the mining companies cut coconut trees (without permit according to the PCA in Legazpi) and are bent on expanding the mining area.

With the information on Page 21 of the 2008 MSC Annual Report that 5,218 hec is the mine area, 93.36% of the island, up from the previously known 82.5%, is under threat of destruction.

As in colonial times, foreigners are unbridled in their exploitation of our natural resources, leaving Filipinos destitute and robbed of their chance to rise from poverty. In the past, we had the Blood Compact. Today we have the Mineral Production Sharing Agreement and Financial and Technical Assistance Agreement. In the past we had the Encomienda System. Today we have the Mining Industry Liberalization Policy.

ang lahi ni Legaspi ay ating binubuhay sa lubos na kasaganaan, ating pinagtatamasa at binubusog, kahit abutin natin ang kasalatan at kadayukdukan
- Andres Bonifacio
“Ang Dapat Mabatid ng mga Tagalog”


Based on the monitoring of anti-mining liberalization alliance Defend Patrimony, there are already eight Provincial Governments that have declared moratorium on large-scale mining: Capiz, Western Samar, Northern Samar, Samar, Marinduque, Mindoro Oriental, North Cotabato and Palawan (http://www.sunstar.com.ph/davao/lgus-urged-follow-palawans-ban-mining). In addition, Nueva Vizcaya, Puerto Princesa City (https://www.yehey.com/news/Article.aspx?id=177393), Sitio Taocanga (Brgy Calinawan, Manay, Davao Oriental) followed suit.

Albay can do the same.

In closing, I declared during the committee hearing:

For a very long time after Lafayette is done mining in Rapu-Rapu the tailings deposit and contamination will hang like the sword of Damocles over the residents of the island. Throughout that period of thirty or more years, the land will yield no fruit and the sea, no fish. Future generations will ask: What did we do in our time to prevent it?

On our part we will continue to call for mine closure and document everything. The day will come when the history of Albay is read by our grandchildren, the names of those accountable will be forever condemned.

The personnel of Lafayette (yes I insist on calling that entity Lafayette) are unrepentant for all the environmental destruction and economic injustice they have inflicted on Rapu-Rapu. In due time, we believe, justice will be served.

November 3, 2009