MGB-7 chief who OK’d dolomite sale retires

CEBU, Philippines —  Loreto Alburo, the director of Mines and Geosciences in Central Visayas who approved the permit for Philippine Mining Service Corp. (PMSC) to transport and locally sell crushed dolomite from Alcoy Cebu, has retired.

Sources said his retirement came after he has reached the age of 65.

The change in post at MGB-7 came just three days before the Provincial Board began yesterday its inquiry into the arrangements regarding the extraction and sale of Alcoy’s dolomite, which was eventually used as sand alternative to “beautify” the Manila Bay.

The turnover was held at the MGB-7 on Friday, with Engr. Armando Malicse taking over the position vacated by Alburo.

The PB had initially summoned Alburo to shed light on the issues surrounding the sale of dolomite locally, among others, but he reportedly begged off owing to his impending retirement.

As a result, it was Malicse who graced the PB session yesterday.

Allowed?

According to Malicse, the selling of dolomite by the firms in Alcoy to the domestic market is allowable.

He said Dolomite Mining Corporation (DMC) can sell the extracted dolomite in Alcoy for as long it is within the Mineral Production Agreement (MPSA).

“The extraction of the Dolomite Mining Corporation, as long as it is within the MPSA area bounded by a map, it is legal. And if they sell it to somebody, the contract says it's legal, whether it is local or international (market),” Malicse said.

He further said that selling dolomite "is not exclusively for export" purposes.

Earlier, Governor Gwendolyn Garcia issued a cease and desist order against sister companies DMC and PMSC, enjoining from "further transporting and selling dolomite, associated mineral deposits, and other quarry resources in the domestic and local market used as substitutes for sand and gravel, soil conditioner, and other purposes."

Garcia had said in previous reports that the MPSA specifically covers the extraction of dolomite, which will be transported internationally as raw materials in making glass and steel among others.

When she called a meeting with the mining firms, Garcia said she learned that the PMSC has been selling dolomites “beyond what has been envisioned in the MPSA.”

Thus, she argued that the firms must secure proper permits from the Capitol.

‘Capitol say needed’

During yesterday's session, PB Member John Ismael Borgonia, chairman of the committee on environment conservation and natural resources, said that under the Revenue Code of the province, “there shall be collected corresponding fees at the rates prescribed for the filing of application and issuance of the governor's accreditation for operators, processors, traders.”

He said mining firms shall pay 10 percent of the fair market value of the extraction.

Malicse said he is not familiar with the ordinance o since he has just been installed as regional director of MGB-7.

He is "not practically" sure if the issuance of permit for the transportation of dolomite in Manila Bay's case has reached the provincial level since under Philippine Mining Act, the ore transport permit (OTP) can be granted to the firm if the latter obtains endorsements from at least two local government units – either from the town/city, barangay or province.

Since PMSC has been granted a permit by the former MGB-7 director, Malicse believes that the firm has been compliant with the requirements under the Philippine Mining Act and its Implementing Rules and Regulations.

Borgonia insisted, however, that the province’s endorsement should be sought as well with regard to these permits.

He said there the provincial ordinance should be amended to reflect the need to properly monitor the operations of similar firms.

“Murag man gud ang MGB, 'sa amoa okay ra ni bahala na mo dinha ang probinsya.' Mura'g di sila motabang nato ba. Sa atong nakita kinahanglan mopasar ta og ordinansa nga maghapnig ani,” Borgonia said.

“At least ang MGB, although national government, sila at least mo-honor pud sila sa atoang power to tax. Wala man gud nila gi-honor murag gipasagdan lang ta nila ba,” he added. — JMD (FREEMAN)