The facility, with a miling capacity of 10,000 metric tons per day, will be undertaken by the United Pacific Mining Development Corp. (UPMDC) in collaboration with Dahican International Corp. (DIC).
Implementation of the project was firmed up during a multi-sectoral consultation conference held on Nov. 19 at the Hotel Mega Star in Talisay town, Camarines Norte under the aegis of Camarines Norte Gov. Jess Pimentel and the Region 5 office of the Bureau of Mines.
Sectoral representatives to the business conference lauded UPMDC and DIC for restoring the mining operations in their province, citing the project’s social and economic impact, particularly the 7,000 job opportunities it will create, as well as the revenues it will generate out of tariffs and royalty taxes.
The project is also expected to earn $74 million annually in export proceeds.
Iron mining in Camarines Norte stopped with the closure of the Philippine Iron Mines Inc. in 1975.
During the meeting, UPMDC executive vice president Leo Fonacier revealed that Pohang Steel Co. of Korea, reputedly the world’s largest steel mill, has already pledged financial assistance of $20 million in exchange for a guarantee in the supply of iron concentrates.
Fonacier also announced that Lurgi/Ghmb based in Frankfurt, Germany has offered to design, produce and install all the machines and equipment needed by the "beneficiating" plant.
The project proponents noted that their move was timely in view of this year’s aggregate increase of 13 percent or 68.7 billion tons of crude steel production by the 67 member-countries of the International Iron and Steel Institute. World iron ore output is also expected to grow by 27 millions tons next year.
Regional Director Jocelyn Los Baños Blanco of the Department of Trade and Industry (DTI) was guest of honor and speaker at the conference. Other officials present were DTI provincial director Ernesto Pardo, Vice Gov. Jojo Unico, Bureau of Mines Region 5 acting director Reynulfo Juan and UPMDC executives Gerry Espinoza, president; Allan Espinoza, vice president for finance and treasurer; and Evaristo Fonacier, vice-president for administration.