By Jonathan L. Mayuga
Government regulators have extended OceanaGold Corp.’s exploration permit under its Financial or Technical Assistance Agreement (FTAA) for Didipio mines straddling the provinces of Nueva Vizcaya and Quirino.
“The extension of the FTAA exploration permit means they can now resume exploration activities within their 15,000-hectare mining tenement,” Mines and Geosciences Bureau (MGB) Director Leo Jasareno said.
Jasareno added that of the 15,000-hectare mining tenement in Didipio, OceanaGold has so far explored around 900 hectares.
“Now, they can explore other areas for possible copper-gold deposit,” Jasareno said. Jasareno said OceanaGold mine feasibility study approved in 2010 will be extended until 2021.
In a statement, Mick Wilkes, OceanaGold president and CEO, said the five-year extension granted by the MGB is a positive development. He said it will allow the company to expand its exploration program over the broader region around Didipio mines.
“We are now reviewing and prioritizing targets and expect to provide clarity around the planned exploration programs in the coming weeks,” Wilkes said. The mining firm said previous geochemical sampling has identified several gold and copper soil anomalies in close proximity to the Didipio operation.
“In the coming weeks, the company will reexamine its drill program for the FTAA-bounded area. Figure 1 outlines the area bounded by the company’s FTAA and targets defined from previous geochemical sampling,” Wilkes said.
Jasareno is confident that OceanaGold will immediately start exploration with the extended FTAA exploration permit.
“If they found enough copper or gold, the next step is for the company to submit a Declaration of Mine Feasibility Study [DMFS]. If everything is in order, they can start extracting minerals,” Jasareno said.
Last year, the country’s metallic production value from January to September dropped by 20 percent, attributed mainly to the depressed value of metals. Nevertheless, gold, during the period, grew with the so-called yellow metal, enjoying a 19-percent increase in volume from 12,996 kilograms (kg) to 15,485 kg, up by 2,489 kg compared to 2014 production level.
Jasareno said the Didipio Copper-Gold Project of OceanaGold Philippines Inc., the Masbate Gold Project of Filminera Resources Inc. and the Maco Gold Operation of Apex Mining Co. Inc. can be credited for the growth in output.