4 top foreign firms vow to expand in RP

MANILA, Philippines - Malacañang reported over the weekend that two global mining firms, a telecommunications company and alternative energy developer have committed to expand their operations in the Philippines.

Executives of Metals Exploration PLC, the Rio Tinto Group, T-Mobile and the Bronzeoak Group met separately with President Arroyo in London, the United Kingdom after her speech at the Emerging Markets Summit hosted by The Economist magazine.

In an interview aired over Radyo ng Bayan, Press Secretary Cerge Remonde disclosed that mining giant Metals Exploration PLC led by its managing director Jonathan Beardsworth, asked the President for the signing of a financial and technical assistance agreement that would pave the way for the operation of its Runruno, Nueva Vizcaya gold and molybdenum exploration project.

Remonde noted that the company has posted a P175 million bond for the project already and would pour in an additional investment of around $200 million.

He said that the company expects to extract 183,000 ounces of gold and 1.7 million pounds of molybdenum annually.

Rio Tinto, on the other hand, expressed interest in returning to the Philippines after a decade of absence.

The company’s head of exploration Eric Finlayson informed the President that they are interested in starting a gold, copper and nickel mining operation in the Philippines.

In 1996, Rio Tinto was about to start its operations in Zamboanga del Sur, but was forced to withdraw a few years later because of strong opposition by the communities.

Remonde said that the investor-friendly atmosphere under the Arroyo administration, particularly in the mining industry, prompted Rio Tinto to consider its return to the Philippines.

In the case of T-Mobile UK, its managing director and CEO Richard Moat told the President that it intends to expand its business process outsourcing operations in the Philippines.

“They are happier in the Philippines than in India,” Remonde said.

Remonde said that T-Mobile is looking to tap the government’s Technical Education and Skills Development Authority (TESDA) for the training of its employees in the country.

He said that the company wants to explore non-voice operations, including accounting-related services.

Mrs. Arroyo also met with officials of bioethanol and renewable energy producer Bronzeoak Group, which also committed to expand its operations in the Philippines.

Bronzeoak managing director Graham Stowell and director for international development Barry Holmes told the President that they are pouring in an additional investment of P6 billion for its ethanol plant in Capas, Tarlac.

The officials said that the expansion will reinforce the company’s leadership in bioethanol and renewable energy production.

Bronzeoak Philippines currently operates a fuel ethanol distillery and co-generation facility in San Carlos City, Negros Occidental.

Apart from the Capas project, the company is also developing another ethanol production and cogeneration facility in Kibawe, South Bukidnon.