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The audit is…

In Reference: “Audit of All Operating Mines and Moratorium on New Mining Projects” of Department of
Environment and Natural Resources Memorandum Order No. 2016-01.
“Mine Audit Team Pursuant to DENR Memorandum Order 01, series of 2016” of Memorandum
dated 29 July 2016 signed by the Senior Undersecretary for Field Operations Joselin Marcus E. Fragada
Conducted On: August 12-18, 2016
Conducted by Following: Memorandum Order dated August 8, 2016
Conducted by: MAT 2 and Third Party Experts. All members of the Audit Team was briefed at the DENR
Central Office on July 28 and 29, 2016. (viable?))

Ore Asia Mining And Development Corporation


Project Name: Iron Ore Mining Project
Location: Brgy. Camachin, Municipality of Don Remedios, Province of Bulacan
Mineral Commodity: Iron Ore with a potential resource of 5.6 million metric tons more or less – only
magnetite and hematite
Grade: High Grade, assay value of 51.16 to 68.89% Fe
Mining Method: Open Cut Method – “cut and fill method”
Mining Tenement Number: Mining Lease Contract MLC-MRD-509
Total Area: 442 hectares
Manila to Mine Site: 3 to 4hours
ECC Date Issued: March 28, 2011
Date Approved
a. FTAA /MPSA /MPP a. With MPSA Application (APSA No.000410-III)
b. Declaration of Mining Project in MGB-RO3 on November 16, 2012;
Feasibility (DMPF) b. –
c. Special Mines Permit No. 2013- c. April 18, 2016
01 (second renewal)
HISTORY:
ORO DEVELOPMENT CORPORATION- claimed a 442 hectare and was granted under Mining Lease
Contract MRD-509. On December 6, 1988 a mining permit was issued to exploit and develop mineral
resources in this area.
MATATAG MINING CORPORATION- was authorize to be the mining operator of Oro Development
Corporation on November 5, 2003. However, the Memorandum Of Agreement (MOA) was cancelled on
September 28, 2005 because of the breach of contract and violations of environmental and forestry laws.
DENR Secretary Angelo Reyes ordered ODECO/Matatag to pay forestry charges of P2,573,137.00 and to
rehabilitate the damaged mine site.
ROYAL PICANTO MINING CORPORATION- a small scale mining granted by ODECO to operate 20
hectares out of 442 hectares of the Mining Lease Contract Area. March 3, 2006
ORE ASIA MINING AND DEVELOPMENT CORPORATION- on September 05, 2006, they acquired the
right to extract and remove iron ores from 397 hectares out of the 442 hectares claim of ODECO. This
MOA was approved by MGB on November 20, 2007. Ore Asia paid the Forestry charges and seedling
replacement and rehabilitation on January 7-16, 2008. Small scale operation exclusively confined to iron
ores is taken place in a 20 hectare area within their mining claim after Environmental Clearance Certificate
was issued by EMB on January 14, 2008.
* Legal tussles on who has legitimate ownership of the ODECO and who was the rightful
operator followed until a resolution was rendered by DENR Secretary Atienza January 23, 2009
cancelling the OTP of ODECO and Royal Picanto, ordering the withdrawal of approval over the MOA
of Ore Asia and Royal Picanto and ordering the recognition of the MOA of Matatag.

On April 12, 2010, the Office of the President rendered a resolution in O.P. Case No. 09-
B-059 reversing and setting aside the DENR Resolution of January 23, 2009 and O.P. Resolution of
April 17, 2009 and granting the motion for reconsideration of Ore Asia, Royal Picanto and ODECO.

Motion for reconsideration was filed by Matatag and Atty. Mercader‟s version of the
ODECO board but on June 29, 2010, the Office of the President in O.P. Case No. 09-B-059 rendered
a resolution denying the motion for reconsideration filed by Matatag and Atty. Mercader and declaring
the April 12, 2010 resolution FINAL and EXECUTORY.
On March 28, 2011, ECC was issued to Ore Asia for the large-scale operation and from then on, the mining
operation begun and continues to date. On June 29, 2010 Deed of Assignment over an area of 442
hectares of MLC No. MRD-509 was executed by ODECO in favor of Ore Asia

TERMS
What Is ECC? “Environmental Compliance Certificate (ECC)” refers to the 5 document issued by the
Secretary or the Regional Executive Director certifying that based on the representations of the
proponent and the preparers (the proponent's technical staff or the competent professional group
commissioned by the proponent to prepare the EIS and other related documents), as reviewed and
validated by the Environmental Impact Assessment Review Committee (EIARC), the proposed project or
undertaking will not cause a significant negative environmental impact; that the proponent has
complied with all the requirements of the Environmental Impact Assessment System; and that the
proponent is committed to implement its approved Environmental Management Plan in the
Environmental Impact Statement or mitigation measures in the Initial Environmental Examination. From
A.O no. 2010-21
STATUS: ABIDED
PENALTY: Cancellation/Revocation/Termination of a Quarry/Sand and
Gravel/Gratuitous/Guano/ Gemstone Gathering Permit

What is SDMP? “Social Development and Management Program (SDMP)” refers to the comprehensive
five-year plan of the Contractor/Permit Holder/Lessee authorized to conduct actual mining and milling
operations towards the sustained improvement in the living standards of the host and neighboring
communities by creating responsible, self-reliant and resource-based communities capable of
developing, implementing and managing community development programs, projects, and activities in a
manner consistent with the principle of people empowerment.

STATUS: NOT IMPLEMENTED


PENALTY: under chapter 15 section 136-f --- on the first offense, be liable to a fine not exceeding
Five Thousand Pesos (PhP5,000.00). A succeeding offense shall be sufficient ground to suspend its
mining/milling operations in the mining areas, in addition to a fine not exceeding Five Thousand Pesos
(PhP5,000.00). Provided, That approved Programs shall be deemed revoked if the mining operation of
the Contractor/Permit Holder/Lessee is suspended or stopped for a period of at least two (2)
consecutive years.

What is ISO-14001 Certification? DAO 2015-07 institutionalizes anm environmental management


system that ensures the adherence of local mining operations to international standards. Particularly
ISO-14001 Certification, as ameasure of responsible mining in the country. Iy will ensure that
appropriate measures are put in place to achieve minimal impacts of mining on the environment. As
mandated By Executive Order No. 79, it will also guarantee the compliance of mining contractors with
applicable mining and environmental law, regulations, and requirements in mining operations gearing
towards growth.

STATUS: FAIL TO SECURE


PENALTY: cause the suspension of the pertinent ECC and non issuance of Ore Transport and or
Mineral Export Permit until such time that the said Certification is secured.

“Development” means the work undertaken to explore and prepare an ore body or a mineral deposit
for mining, including the construction of necessary infrastructure and related facilities.

Mineral Production Sharing Agreement (MPSA) - an agreement wherein the Government grants to the
Contractor the exclusive right to conduct mining operations within, but not title over, the contract area
and shares in the production whether in kind or in value as owner of the minerals therein. The
Contractor shall provide the necessary financing, technology, management and personnel.

What News had reported: SOURCE RAPPLER FEBUARY 02, 2017

‘We have decided to close any kind of mining operation in functional watersheds,' says
Environment Secretary Gina Lopez

The environment department released what was supposed to be final list of its mining
audit at 4:45 pm Thursday, which includes Ore Asia Mining and Development
Corporation in Bulacan, and Benguet Corporation, the country's oldest mining company.
Ore Asia Mining and Development Corporation was earlier listed under suspended
mining firms..

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