Wednesday, October 15, 2008 Mati poised to issue permit for Billiton By Ben O. Tesiorna
THE City Government of Mati is contemplating on issuing a business permit for BHP Billiton following a decision of the environment office stating that the Minerals Production Sharing Agreement (MPSA) could no longer be reverted to its original owners.
The MPSA has been transferred to the joint venture corporation of Billiton and its Filipino partner, Asiaticus Management Corporation.
In an interview, Mati city administrator Richard Villacorte said the Department of Environment and Natural Resources (DENR) decision qualifies Billiton for the issuance of a business permit. It was learned that the city did not issue a business permit to Billiton after Amcor rescinded its joint venture agreement (JVA) with Billiton last year.
"Wala kasing maipakitang MPSA ang Billiton sa amin. MPSA is needed for the issuance of a business permit. But now that the DENR ruled in favor of Billiton, then they are now qualified to apply for a business permit," Villacorte said.
There is a catch, however, before the city would issue a permit for Billiton, Villacorte said, adding that Billiton must show a board resolution authorizing them to process for a business permit.
It was learned that the City Government will be issuing a permit not to Billiton per se, but to the joint venture corporations Hallmark Mining and Australasia.
The joint venture corporations are 60 percent owned by Amcor, while only 40 percent is owned by Billiton. The majority shareholder Amcor is not keen on giving authority to Billiton to work out for a business permit, thus Villacorte said it would be impossible for them still to issue a permit to Billiton.
"Kasi without the board resolution, we will never give them permit," Villacorte said.
Billiton and Amcor are battling over the control of the nickel mining operation in the Pujada Properties located in Barangays Macambol and Cabuaya in the City of Mati. Though the property is owned by Amcor, Billiton is claiming right over the mining area as a result of the joint venture agreement entered into by the two warring companies.
The Philippine court had earlier issued a writ of preliminary injunction against Billiton and its officials from entering the more than 11,000-hectare Pujada Properties and from claiming that the JVA still subsists. The court decision was questioned by Billiton before an international court.
