Aussie mining firm fires back, sues Vizcaya Governor

Bayombong, Nueva Vizcaya – Australian mining firm OceanaGold filed a “Grave Coercion” case against Gov. Luisa Lloren Cuaresma before the Office of the Ombudsman. This development came about as the provincial board is deliberating on a resolution withdrawing support to the Didipio Gold-Copper Project.

Didipio is a mineral-rich village in the upland town of Kasibu, about 60 kilometers east of this capital town.

A belated copy of OceanaGold’s complaint marked as “Received” by the Office of the Ombudsman at 3:35 p.m. of June 11, 2008, alleged that the Cuaresma was being sued in “violation of Sec. 3 (e) of RA 3019” and “Sec 107 of RA 7942 or the Mining Act of 1995”. A copy of the complaint was obtained by GMANews.TV from a company insider who asked not to be named.

Along with Cuaresma, included in the charges were Senior Board Member Edu Balgos, a certain Senior Inspector Iringan of the Philippine National Police, Environment and Natural Resources Officer Francisco Tolentino and his staff Danny Ramos. John and Jack Does who are identified to be members of the Philippine National Police and provincial security guards were also included in the charge sheet.

The criminal complaint was based on the affidavit executed on May 22, 2008 by Mr. Gil R. Maglaque, Assistant General Manager of OceanaGold’s Didipio Gold Copper project.

In Maglaque’s affidavit, OceanaGold assailed Cuaresma’s “Cease and Decease Order” issued last April 9, 2008 which was allegedly “implemented contrary to law”. In a chronology of events that commenced November 23, 2007, Maglaque made a long litany of events that culminated in heated confrontations. The most violent so far took place on May 12, 2008 wherein, allegedly, a convoy that Cuaresma leads “forcibly entered” into the OceanaGold project site.

In Maglaque’s account, “Board Member Edu Balgos, who was leading the convoy of Gov. Cuaresma, along with several men armed with M-16s… shouted at the unarmed security personnel to open the boom of a company checkpoint.” Maglague stated further that Balgos allegedly challenged OceanaGold’s security personnel with such words as “Bakbakan na kung Bakbakan! Kayo mga bastos kayo!” (Let’s get to a gunfight if that’s what you want! You, you are shameless!)

The conflict between OceanaGold and the Provincial Government of Nueva Vizcaya which Cuaresma heads as the elected Governor stems out from the issue whether the provincial government can collect quarry taxes from the company or not.

Secretary Lito Atienza of the DENR issued a memorandum clarifying that under the Philippine Mining Act of 1995, specifically the Financial and Technical Assistance Agreement issued to the predecessors of OceanaGold, the mining firm is “exempt from paying such kind of local taxes”. Atienza further clarified that the on-going activities to develop the mines should not be considered as “quarrying”.

A secretary at the Office of the Governor said they have not received a copy of the complaint from the Ombudsman. “Governor (Cuaresma) was in Dupax attending to a funeral. I think she can’t issue a statement now because we do not have a copy yet,” she said.