DENR rejects Philex appeal on P1-B fine


Posted at Jan 16 2013 09:00 AM | Updated as of Jan 16 2013 11:41 PM

MANILA, Philippines - The Department of Environment and Natural Resources rejected Philex Mining Corp.'s appeal of the P1 billion it was fined for the waste spills that started in August.

The DENR said it is sticking by its investigating team's finding that Philex is liable and instructed the mining company to pay the amount by check by February 19.

The agency said the money would go to the government's Mine Wastes and Tailings Reserve Fund to be used to compensate residents for damages and to rehabilitate affected areas.

The DENR also instructed Philex to submit a rehabilitation plan and budget.

The government estimates Philex spilled 20 million tons of tailings, a by-product of the mining process, after its tailings reservoir spring a leak after and amid heavy rains from typhoons Ferdie and Gener.

The mine has been shut since then, causing Philex to lose money in the third quarter and bring down nine-month profit by 53%. -- ANC