Full story at http://pcij.org/stories/village-folk-resist-illegal-deals-bribes-for-leaders/
Mining in Mount Pulag          
Village folk resist illegal deals, 
‘bribes’ for leaders
by Arthur L. Allad-iw and Harley Palangchao
Friday, March 27th, 2009 
Summer is upon us, and in a fortnight, it will be Lent. Very 
soon, hordes of Filipinos, mountaineers, nature-lovers, and entire 
families will take the traditional trek to Northern Luzon for cooler 
weather and better scenery. There they will marvel once more at the 
beauty of Mount Pulag, “the playground of the Gods” of the Ibaloi, that 
has been visited yet again by Filipino and foreign mining companies. 
Our latest report tells of the irregular exploration ventures in 
Mount Pulag, that layers of laws have firmly declared off-limits to 
mining and all other “economic activities.” 
In 1987, then President Corazon Aquino declared Mount Pulag as a 
national park. It is the habitat of 33 bird species and a number of rare
 flora and fauna in danger of facing extinction. 
In 1992, when the National Integrated Protected Areas System 
(NIPAS) was implemented, Mount Pulag, as well as the Ambuklao-Binga and 
Upper Agno areas, were covered. 
The water source and watershed of the dams in Ifugao, Benguet and
 Pangasinan, Mount Pulag — the roof of Luzon and the Philippines’s 
second highest peak — is also home to the indigenous Ibaloi, Kankanaey 
and Kalanguya communities. 
This report was written by Baguio City-based reporters Arthur L. 
Allad-iw and Harley Palangchao, who received a writing fellowship from 
the PCIJ after participating in our seminar-workshop on investigative 
reporting.
BOKOD, BENGUET — As Lakay Felipe Leano recalls it, 
newly planted rice seedlings in his village in Bobok-Bisal, Bokod had 
shriveled and died soon after a major Philippine mining firm began 
exploring for gold and other metals in the area.
  | 
  
YOUNG and old hikers enjoy great moments at the summit of 
Mount Pulag, the highest peak in Luzon at 2,922 meters above sea level. 
Many residents from the towns of Bokod and Kabayan, Benguet, which play 
host to the protected mountain, expressed opposed to any mining activity
 within the coverage of Mount Pulag National Park. [photo by Harley Palangchao] 
 | 
The company denied having caused the drying up of a local creek that 
had helped irrigate Bokod rice fields. But petitions from the likes of 
Leano, an Otbong village elder, eventually led the local government to 
stop the firm’s exploration activities.
That was way back in the mid-1970s. When then President Corazon 
Aquino declared Mount Pulag, which rises above Bokod, a national park in
 1987, Leano and company probably thought they had heard the last of 
mining companies.
They may have been pleased all the more in 1992, when the National 
Integrated Protected Areas System (NIPAS) Act was implemented. After 
all, the new law mandated that no type of “economic activities” was to 
be allowed in places covered by NIPAS; included in the system were not 
only Mount Pulag, but also the Ambuklao-Binga and the Upper Agno areas.
Recently though, residents of Bokod — a bruising three-hour car ride 
away from Baguio City — have realized that for the spirit of these laws 
to be respected, public vigilance, as well as keen community interest, 
are crucial.
Those in Sitio Bobok have already unconditionally rejected one 
proposal to have mining exploration done there, while residents of 
neighboring Bolo have made it known to a national government agency that
 they are against a deal struck between some barangay officials and a 
mining firm for a similar exploration.
  | 
 
Location map of Bokod, Benguet courtesy of Wikipedia 
 | 
Yet Bokod residents say they are still on the watch. In fact, those 
in Bobok and Bolo are urging nearby communities not to let down their 
guard if Mount Pulag and the rest of Bokod are to remain as free as 
possible from activities that may harm the area’s ecological balance.
Many Bokod folk apparently consider large-scale mining as one of 
those ventures. It’s a notion mining companies would obviously contest, 
but even environment experts tend to agree with Bokod residents.
Threats to ecology
University of the Philippines-Baguio associate professor Celia M. 
Austria, for one, sees both underground and open pit mining in Bokod as 
ecological threats. Austria, a biologist who has done research on Mount 
Pulag, says these could only lead to “the deterioration of the 
environment (and the) loss of the rich biodiversity in the area, 
including the medicinal plants utilized by the folk.”
Residents of other towns, meanwhile, say that they, too, would rather
 have Bokod mine-free. In fact, they want a say in the matter. Explains 
Norma Mooy, vice president of the Shantahnay People’s Organization of 
Dalupirip, which is said to be the only barangay in Itogon not adversely
 affected by mining: “Our (farms) are dependent on the water coming from
 Bokod and other upper areas.”
Indeed, Mount Pulag and Bokod are major water sources even for 
lowland areas — just like the rest of the Cordillera region, which 
serves as watershed cradle of 13 major rivers that flow down to Ilocos, 
Cagayan, and some parts of Central Luzon. This is largely why colonial 
and post-colonial governments alike issued policies declaring most of 
the forest areas in the region as watershed or forest reserve. 
(see table)
 
Proclamations Protecting Mount Pulag and Surrounding Areas
Source: DENR-CAR (2008)
|  PROCLAMATIONS | 
 DATE OF ISSUANCE | 
 COVERAGE (HECTARES) | 
 AREAS COVERED | 
| Proclamation No. 217 (Central Cordillera Forests Reservation) by 
Gov. Gen. Henry Stimson of the U.S. colonial government (as amended by 
Proc. 1758) | 
February 16, 1929 | 
74,631 | 
Various areas of the region, including Mount Pulag and upstream Agno | 
| Proclamation 120 (Upper Agno Watershed Reservation) by Pres. Marcos | 
November 25, 1966 | 
9,700 | 
Atok and Bokod, Benguet | 
| Proclamation No. 548 (Ambuklao-Binga Watershed Forest Reserve) by Pres. Marcos | 
April 19, 1969 | 
6,365 | 
Atok and Bokod, Benguet | 
| Proclamation No. 75 (Mount Pulag National Park) by Pres. Aquino | 
February 20, 1987 | 
11,550 | 
Benguet, Nueva Vizcaya, and Ifugao | 
 
Mount Pulag is the water source and watershed as well of the dams in 
Magat in Ifugao, Ambuklao and Binga in Benguet, and San Roque in 
Pangasinan.
In 1987, the Mount Pulag National Park was created, covering about 
11,500 hectares of public domain that lies on the north and south spine 
of the Grand Cordillera Central Mountain Ranges. The park straddles 
parts of Benguet, Ifugao and Nueva Vizcaya provinces.
11 mountains in all
One of the oldest settlements in Benguet province, Bokod is inhabited
 by 11,705 indigenous Ibaloi, Kalanguya, Ikarao, and Ikadasan. With a 
land area of 396.40 square kilometers, it is the second largest 
municipality in Benguet. It has 11 mountains, including Mount Pulag, 
which the indigenous peoples of Bokod consider sacred. (Mount Pulag’s 
peak rises 2,922 meters above sea level. It is a five- to seven-hour 
hike from the rangers’ camp in Bokod.)
Mossy forests and old-growth pine trees characterize the area. Bokod 
folk, however, are particularly fond of kadasan, a native hardwood that 
grows locally and is used in the foundation of homes here. Wild boar, 
deer, and the cloud rat can still be found in Bokod forests, especially 
those in Mount Pulag, along with various other exotic fauna, such as the
 whiskered pitta (
Pitta koctri) and the Luzon water-redstrad (
Rhyacomis bicolor) bird species.
Bokod apparently has treasures underground as well. Before a popular 
outcry shut down its exploration of the area in the mid-1970s, Benguet 
Consolidated Inc. had drilled more than 100 holes that indicated some 
259 million tons of copper, gold, and molybdenum underground in Sitio 
Bobok alone. Subsequent geological surveys by the government affirmed 
the existence of valuable metals in Bokod.
 
Proponents of Proposed Mine Explorations in Bokod
Source: MGB-CAR and NCIP-CAR (2008)
|  COMPANY | 
 EXPLORATION PERMIT APPLICATION (EXPA) | 
 ORIGINAL APPLICATION FOR PRODUCTION SHARING AGREEMENT (APSA) CONVERTED TO EXPA/APPROVAL | 
 AREAS COVERED | 
 COVERAGE (HECTARES) | 
| Magellan Metals Inc. | 
EXPA 083 | 
APSA 081 to EXPA 083 approved by MGB-CAR on September 20,2006 | 
Sitios Cobabeng, Mangakew, and Bolo, of Barangay Poblacion, Bokod | 
973 | 
| Columbus Minerals Inc. | 
EXPA 084 | 
APSA 025 to EXPA 084 approved by MGB-CAR on September 20, 2006 | 
Bobok, Bokod | 
486 | 
| Al Magan Exploration Company | 
EXPA 081 | 
APSA 037 to EXPA 081 approved by MGB-CAR on September 20, 2006 | 
Bobok, Bokod | 
1,377 | 
 
That precious metals such as gold abound beneath their feet is not 
exactly news to Bokod natives. Johny Fialen, who was born and raised in 
this town, estimates that Bokod has some 500 gold panners and 
small-scale miners. Gold panning has long been done along the Agno River
 in Benguet, where the year-round activity peaks right after typhoons. 
Gold panners fear, though, that large-scale mining would make the waters
 of Agno River sluggish from sedimentation and siltation, thereby 
threatening their livelihood.
Yet, having successfully stopped mighty Benguet Consolidated in its 
tracks, and with the protection provided to Bokod and Mount Pulag by a 
battery of laws and presidential proclamations, residents here were 
confident that the mining industry’s big boys would not only be kept 
out, they would also not even try to get a foot in.
And so residents say they were shocked when representatives of not 
one, but three, companies approached them in 2007, seeking their consent
 on the firms’ applications for mining explorations in Bokod. Says one 
resident here: “That was the first time we heard about the 
applications.”
Thick-faced firms
They were probably even more shocked to find out that two of the 
companies had apparently gone ahead and were already doing what one 
government official would later describe as “exploration-related” work 
without waiting for their response.
Told about this by the PCIJ, Mines and Geosciences Bureau‘s (MGB) 
Mining Tenements Management Division chief Leo Jasareno expressed 
surprise and blurted out, “We need to verify that 
kasi ang kapal naman ng mukha nila (because, boy, are they thick-faced).”
Jasareno said their office had not heard of such activities in Bokod,
 especially when MGB had yet to issue a permit. He added that if these 
had in fact been done, the two companies had committed “a crime — a 
violation of the Mining Act.”
By the time Jasareno was saying this, National Commission on 
Indigenous Peoples-Cordillera Administrative Region (NCIP-CAR) Director 
Amador Batay-an had already issued a cease-and-desist order to all the 
three firms keen on doing explorations in Bokod. Batay-an’s order was in
 response to a flurry of furious letters the Bokod folk sent to the 
regional offices of the NCIP and the Commission on Human Rights, as well
 as to the Sangguniang Panlalawigan.
In a recent interview with the PCIJ, Batay-an said the order was 
issued to all three companies to ensure that “all exploration 
activities” at Bokod would stop. According to NCIP-Benguet Legal Officer
 Severino Manuel Lumiqued, Bokod folk said those activities included 
surveying and “induced polarization,” which, one MGB regional official 
later explained, involves the use of specific equipment to determine 
whether or not there are minerals with pyrite (such as gold and copper) 
in the area.
‘Exploration permits’
Documents filed at the MGB-CAR office show that Columbus Resources 
Inc., Magellan Metals Inc., and Al Magan Mining and Exploration Company 
(AMMEC) had each first filed an Application for Production Sharing 
Agreement (APSA) for three different sites in Bokod. In 2006, however, 
these APSAs were converted into applications for exploration permits or 
EXPAs.
 
Conversion and Assignment of Mining Rights
Source: MGB-CAR (2008)
|  APSA APPLICATIONS | 
 CONVERTED TO EXPA | 
 DATE OF APPROVAL OF CONVERSION BY MGB-CAR | 
 EXPA ASSIGNMENT | 
 REGISTRATION (DEED OF ASSIGNMENT) AT MGB-CAR | 
| APSA 025 (Comedis assigned APSA to Geodata on Oct. 2, 1997) | 
EXPA 084 | 
September 20, 2006 | 
Geodata assigned to Columbus on October 20, 2006 | 
October 23, 2006 | 
| APSA 037 | 
EXPA 081 | 
September 20, 2006 | 
Maintained by AMMEC | 
  | 
| APSA 081 | 
EXPA 083 | 
September 20, 2006 | 
Bolo assigned to Magellan on October 11, 2006 with royalty agreement | 
October 19, 2006 | 
 
AMMEC is a Filipino-owned firm headed by Pastor Quinto Jr., who has 
other pending mining applications in the region. Both Columbus and 
Magellan, meanwhile, have 99.9-percent foreign equity. Both are also 
controlled by the Singapore-based Magellan Resources Pte. Ltd.; papers 
filed with the Securities and Exchange Commission (SEC) show them as 
having identical incorporators, directors, and officers as well. 
Interestingly, too, AMMEC and Columbus gave Magellan the authority to 
undertake their exploration for them once they secure the permits.
Residents and official documents point to Columbus and Magellan as 
the companies that had conducted the premature exploration activities. 
PCIJ tried to schedule interviews with representatives of both 
companies, as well as of AMMEC, but failed.
In an email response to PCIJ’s request for an interview, Peter Ronald
 Draper — an incorporator of both Columbus and Magellan and who has 
filed appeals on behalf of AMMEC with the MGB — said that “there really 
is nothing to talk about” because there are no mining operations yet in 
Bokod. He added, “The only field work that has taken place has been 
community-based.”
Cease-desist order
Still, on April 26, 2007, Magellan President Damien Blyth 
acknowledged receipt of Batay-an’s April 25 letter “advising us to CEASE
 and DESIST (sic) from any undertaking relative to our proposed 
exploration project” in Bokod.
“(We) shall abide with your Order,” added Blyth, “(and) we have suspended all our preliminary activities on the ground.”
Based on a Department of Environment and Natural Resources (DENR) 
map, the areas targeted for exploration by Magellan, Columbus, and AMMEC
 are next to each other and lie at the foot of Mount Pulag. Altogether, 
their EXPAs cover some 2,863 hectares, or about seven percent of the 
entire land area of Bokod.
 
Profile of Mining Proponents
|  COMPANY | 
 INCORPORATORS/ 
DIRECTORS/OFFICERS | 
 NATIONALITY | 
 CAPITAL 
(P11,475,000) | 
 SHARES 
(114,750 shares @ P100 per share) | 
| Magellan Metals Inc. | 
Damien Patrick Blyth 
Peter Ronal Draper 
Dennis Leslie Thomas 
Brian Allen Lueck 
Valeriano R. Del Rosario (treasurer) 
Daphne Ruby Grasparil 
Magellan Resources Pte. Ltd. | 
Australian 
Australian 
British 
Canadian 
Filipino
Filipino 
Singaporean | 
P11,474,000 | 
1 share 
1 share 
1 share 
1 share 
1 share
1 share 
114,744 shares | 
| Columbus Minerals Inc. | 
Damien Patrick Blyth 
Peter Ronal Draper 
Dennis Leslie Thomas 
Brian Allen Lueck 
Valeriano R. Del Rosario (treasurer) 
Daphne Ruby Grasparil 
Magellan Resources Pte. Ltd. | 
Australian 
Australian 
British 
Canadian 
Filipino
Filipino 
Singaporean | 
P11,474,000 | 
1 share 
1 share 
1 share 
1 share 
1 share
1 share 
114,744 shares | 
 
Early on, the DENR’s Environmental Management and Protected Areas 
Services (EMPAS) had reported that the proposed exploration sites of all
 three firms were entirely within the Ambuklao-Binga Watershed 
Reservations and the Central Cordillera Forest Reserve. EMPAS pointed 
out that these reservations are initial components of NIPAS, where 
mineral locating is not allowed.
Joint appeal
But AMMEC, Columbus, and Magellan filed a joint appeal regarding the 
status of their targeted sites. By early 2007, Columbus and Magellan 
were able to secure a go-signal from MGB National Director Horacio C. 
Ramos for them to continue processing their respective exploration 
permits.
Up to now, though, AMMEC’s appeal has yet to be acted upon because, 
says MGB-CAR, the company had not submitted all the documents required 
for its appeal to be processed.
MGB papers show that Ramos acknowledged that the sites Columbus and 
Magellan sought to explore were within protected areas. But, he said, 
both had previously been covered by patentable mining claims and were 
therefore subject to “prior rights” under the law. Legally, then, the 
sites could be mined — which meant the two companies could continue 
processing their exploration permits.
Ramos cited a previous case involving Philex Mining Corporation in 
which the MGB ruled that “that the applied areas covered by patentable 
mining claims are deemed excluded from the scope of Presidential 
Proclamation 2320 (establishing the Lower Agno Watershed Forest 
Reserve). Said two memorandums stated that the claims have transformed 
them as Mineral Land since the staking of such patentable mining claims 
under the Philippine Bill of 1902.”
Mineral land
MGB’s Jasareno explained in an interview with PCIJ that a patentable 
mining claim essentially turns an area into “mineral land.” He said that
 the Supreme Court had once proclaimed that “once a mineral land, always
 a mineral land.”
“Any subsequent proclamation,” said Jasareno, “will not alter the 
character of that mineral land.” These include laws and proclamations 
declaring areas as protected sites and which all contain the clause 
“subject to prior rights.”
Documents show that of the three companies, only AMMEC had an EXPA 
that could be traced to a pre-1980s mining claim — Benguet 
Consolidated’s. Bokod residents say Benguet also used to work in areas 
now covered by the EXPAs of Magellan and Columbus, but papers indicate 
that Magellan’s EXPA originated from mine applications by Bolo Mineral 
Resources Inc. dating back to only September 1987. That of Columbus is 
traceable to an application by Delfin Comedis in March 1992. Be that as 
it may, this means the NIPAS Act is the only relevant law regarding the 
character of the land that came after the claims covering the Magellan 
and Columbus sites.
Columbus and Magellan, however, have also had to contend with the 
Indigenous Peoples Rights Act of 1997 (IPRA) because of the presence of 
several indigenous tribes in Bokod. IPRA stipulates a field-based 
investigation for projects affecting indigenous communities to ensure 
that there is no overlap with any ancestral domain claim. If there is an
 overlap, project proponents would first have to secure the free, prior,
 and informed consent (FPIC) of the indigenous people before they can 
proceed with their venture.
Rejected by residents
According to the NCIP’s Benguet provincial office, the EXPAs of both 
Columbus and Magellan indeed overlapped with the ancestral domain of the
 indigenous people of Bokod. It was while their consent was being sought
 that the various indigenous folk of Bokod learned of the illegal 
explorations being conducted by Columbus and Magellan.
To date, NCIP-Benguet’s Lumiqued says that “mandatory activities” 
regarding Magellan’s EXPA have yet to be completed. But many Bolo 
residents say they have already written to authorities about their 
opposition to the proposed exploration.
Columbus, meanwhile, has already received the resolution in which 
Bobok residents unconditionally rejected its exploration project. In the
 referendum held on December 14, 2007, representatives of the affected 
Bobok families had voted 53 against the exploration, 24 for, while two 
left their ballots blank. NCIP – CAR Director Batay-an transmitted the 
rejection to Columbus president Damien Blyth on February 27, 2008.
Bokod residents, however, now know complacency is not an option. 
Although NCIP-Benguet’s Lumiqued says Columbus has yet to file an 
appeal, some observers say it could still well do so and end up like 
Philex, which was able to reverse an earlier community rejection of a 
similar mining project.
Acts of ‘bribery’
As for Magellan, Bolo folk are still stewing over the memorandum of 
agreement struck by the company with Barangay Poblacion officials. NCIP 
documents and interviews reveal that in exchange for their “support” of 
the company’s proposed two-year exploration, the barangay officials 
received P10,000 from Magellan supposedly for the repair of the 
barangay’s ambulance.
The officials also submitted to the company a list of projects 
ranging from educational assistance to a tramline to transport goods. 
Magellan was said to have approved funding for the projects, which have a
 total cost of nearly P950,000.
Municipal officials and the NCIP have since criticized the deal, 
which they say could influence the way the community would vote on 
Magellan’s EXPA. An NCIP insider also comments that the solicitations 
reek of “bribery” and are prohibited under IPRA and its implementing 
rules.
What seems to be less-than-exemplary behavior on the part of Magellan
 and Columbus, however, could have a negative effect on the prospects of
 their EXPAs. At the very least, their having begun “exploration-related
 activities” — as Batay-an put it — without permits is already a mark 
against them. According to MGB’s Jasareno, there is a possibility that 
this could cost both companies the very permits they are seeking because
 they could be seen as having “unsatisfactory” track records.
Then again, MGB-CAR says it has yet to receive copies of the NCIP 
cease-and-desist order to the firms; neither has it gotten copies of 
Bobok’s rejection of Columbus’s proposal.
Bokod folk, though, have also gained allies among mountaineers in 
their campaign to keep large-scale mining out of their municipality. 
Mimis Toquero, a member of the Nomadic Mountaineers group that often 
climbs Mount Pulag, says, “As a climber and nature lover, we are against
 mining in the area. Mining in Benguet had distorted the culture of the 
indigenous people, weakening it (culture) without appropriate economic 
benefit for them in return.” — 
with additional reporting by Karol Anne M. Ilagan