THE Gold–copper processing plant in Benguet province has yet to be utilized to its full potential.
Norberto Cobaldez, Department of Science and Technology (DOST) assistant regional director in the Cordillera, said the supposed 24/7 operation of the processing plant remains underutilized because of the lack of availability of raw materials.
“It can process 100 tons per month or more but now, it only processes 40 to 50 tons a month because there is no raw materials to be processed,” Cobaldez added of the processing plant shying away from using chemicals such as mercury and cyanide.
He added most small scale miners are adamant in utilizing the processing plant for fear their ores might get confiscated due to lack of official transfer permit from Department of Environment and Natural Resources and the government press charges against them.
Cobaldez added only few small scale miners associations were granted permit before the implementation of the executive order implementing reforms in the Philippine mining sector. The law requires small scale mining operations must be undertaken only within the declared minahang bayan (MB).
Inaugurated on March 2017, the gold-copper mineral processing plant worth P25 million located in one of the proposed MB area in Sitio Basil, Barangay Gumatdang in Itogon is fully operational that can process five to 15 metric tons per day.
The technology, developed by the engineers of the University of the Philippines, was turned over to the Benguet Federation of Small Scale Miners Inc. (BFSSMI).
From January to May this year, a total of 174,000 kilograms of ore were processed.
Gold - copper project staff Noel Imbisan reported the plant has gold recovery of 751.40 grams with gold purity of 14 to 16 karats. The process starts from crushing to grinding, using the artisanal method (sluicing).
In the black market, 14 to 16 karats gold are sold for P1,350 per gram while 21 karats reach P1,850 to P1,900 per gram.
Banko Sentral ng Pilipinas (BSP) buys 21 karats of gold for P2,030.
Cobaldo said the pilot plant in Itogon is the first in the country as a support to the small scale mining operations and encouraged small-scale miners to sell their gold to the BSP instead to the black market.
Miners however are still thinking twice on selling their gold to the BSP due to the imposition of a two percent tax.
BSSMFI president Lomino Kaniteng said with the high price of gold, the industry remains the steadiest economic driver in the province as small scale mining employs 23,000 workers despite the risk of the work.
Kaniteng said Benguet still have P8 million tons of minerals from gold, silver and copper.
In his visit in Baguio City, Chamber of Mines executive director Attorney Ron Recidoro said only few minahang bayan areas nationwide are approved.
Cobaldez said they remain hopeful for the declaration of a minahang bayan in Benguet.