A top official of an Australian mining firm with multi-billion investments in several countries has commended the Arroyo government for providing a conducive business environment that may prompt foreign investors to put their capital in the Philippines.

Michael J. Carrick, president and chief executive of CGA Mining Ltd., made a courtesy call on President Gloria Macapagal Arroyo last Wednesday in Malacanang to personally convey his gratitude to her government for its “professionalism and transparency” in dealing with his business venture.

“CGA operates in six countries worldwide, but I consider the Philippines as most professional and transparent,” Carrick told the President, as he narrated to her how his company’s permits and requirements were processed by the various agencies of the government, including the Department of Environment and Natural Resources (DENR) and the Mines and Geo-sciences Bureau (MGB) “without delay and without resorting to corruption.”

Also present during the courtesy call were Presidential Consultant for Strategic Projects Gloria Tan Climaco, DENR Undersecretary Eleazar Quinto, representing DENR Secretary Lito Atienza who is currently in Bali, Indonesia attending the U.N. Climate Change Conference, and Filminera President Rolando Amores.

The entry of CGA Mining Ltd. in the Philippine mining industry commenced when it acquired last March 17 the interests of Thistle Mining Inc. over the Masbate Gold Project, one of priority minerals development projects of the government. Located in Aroroy, Masbate province, the project is co-owned by Filipino company Filminera Resources Corp. under a Mineral Production Sharing Agreement and Mineral Processing Permit. The project’s feasibility study was approved early this year by the MGB.

According to DENR Undersecretary Quinto, the President was “very happy” to hear of a foreign investor spoke highly of the government. “I think the genuine appreciation expressed by Mr. Carrick on the efforts of the government to induce foreign investment in the country belies the recent survey by Pulse Asia that says that President Arroyo is the “most corrupt” president of the Republic,” Quinto said.

Quinto also said President Arroyo was also delighted to know that CGA’s mining project would benefit Masbate, one of the three poorest provinces in the country.

The project, says Carrick, will be generating a thousand jobs during the construction phase and another 600 during the production phase. It is expected to start full commercial production by the end of next year, with projected production rate of 200,000 ounces of gold annually and remittance of US$4 million in excise taxes. Project capitalization is placed at US$200 million.

Pro-responsible mining

The CGA chief assured President Arroyo that his company will always adhere to responsible mining and will give priority to the needs of the local communities.

Compared with other mining projects that are experiencing strong opposition from the locals and the church, CGA enjoys positive response not only the local governments of Aroroy and Masbate province but also from the Archdiocese of Masbate.

Carrick also assured the President to work harmoniously with the small-scale miners in the area, committing not compete or displace them.

December 14, 2007