Small Scale Mining in the Philippines: Towards Genuine National Development

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Small Scale Mining in the Philippines: Towards Genuine National Development

I. Introduction The Philippines is a mineral-rich country. With this, it is but logical for mining to become one of the economic sources of the country and for many Filipinos to be engaged in it. Our ancestors have been mining before the Spanish colonization. Historically, mining has been a major and a significant contributor to the country’s economy, despite of the decline of the industry’s mineral production in the late 1990’s.

Mining in the Philippines can be classified into large-scale and small-scale. Large-scale mining is highly mechanized and uses heavy equipment. It produces sufficient commercial quantities to satisfy the requirements of the export market and large industries on a regular basis and therefore requires mobilization of substantial capital (Padilla, 1997). At present, it dominates the mining industry in terms of production, revenues and legal privileges.

Yet, small-scale mining undeniably remains a significant sector in the mining industry, especially with the closure of many large-scale mining operations starting in the 1990s. Such significance owes mainly to its economic contribution that comes with the large number of people involved in the industry. Unfortunately, only few studies have been devoted to it, compared to the wealth of literature on large-scale mining. Because of this, its overall aspects have yet to be fully understood by many.

Thus, this paper generally attempts to study the current state of small-scale mining in the Philippines in the context of our overall national development. In particular, it aims to:

1. establish a suitable working definition of small-scale mining in the Philippine context for the purpose of this discussion;

2. know and understand the present state of the small-scale mining by looking at the following: a. existing technologies employed by small-scale miners; b. economic significance of small-scale mining to the country; c. socio-economic set-up of the small-scale mining industry; d. policies on small-scale mining and their various implications; and e. environmental and the health issues involved;

3. provide an analysis based on the framework of mining and national industrialization; and 4. provide recommendations on how small-scale mining should be developed.

The research was done, mainly, by reviewing existing literature on small-scale mining. However, as mentioned earlier, literature on the topic was scarce. To add, most of these were on the technical aspects of small-scale mining. Those tackling topics such as the socio-economic and cultural aspects, were even more limited.

Note: This paper was written and researched for AGHAM by Erika M. Rey and Ricarido M. Saturay Jr. on 2005. It is being republished due to requests of communities hosting small scale mining activities. For questions, comments and suggestions, please contact the Agham secretariat at [email protected].

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Such scarcity may be due to the difficulty in documenting the industry because many small-scale miners are not registered with the government, making it hard to obtain accurate statistical figures. It is also hard for some researchers to obtain the miners’ trusts in conducting their researches.

Sources are also mostly case studies of mining communities mainly from the Cordillera Region. It should also be noted that most of the encountered literature were on small scale gold mining. Such limitations posed some difficulty in coming up with generalizations for some aspects of the industry.

The discussion would proceed as follows: Part II – Section A examines the different bases of definition and the legal definitions of small-scale mining in the Philippines. At the same time, the section establishes the working definition for the paper. Section B looks at and provides data on the economic significance of small-scale mining in the Philippines, particularly on its contribution to the country’s economy and its significance as a livelihood source for Filipinos. In Section C, the mining technologies employed by small-scale miners are outlined in order for the readers to have an idea on technological level and productive capacity of the small-scale mining industry. The bulk of the discussion is focused on the socio-economic condition of the small- scale mining industry, found in Section D. Here, the social and cultural differences of traditional and gold-rush small-scale miners are elaborated. It also peeks into the social and economic organization of the industry, looking at the various stakeholders in it. The relationship between the small-scale miners and the large-scale mining corporations are also studied. Section E dwells on the policies mainly covering small-scale mining in the country and their implications. The last section of Part II, Section D, looks at the environmental and health impacts of small-scale mining. Part III concludes the paper with the analysis of small-scale mining in the context of the national development of the country. It also provides policy recommendations on how small- scale mining should be developed.

II. Small-scale Mining in the Philippines

A. What is small-scale mining?

There are actually many definitions of small-scale mining operations. According to Argall, these may be based on the following (qtd. in Berger 2-3):

number of people employed (e.g., more than 25 persons – Philippines);

size of concession or lease (e.g., less than 1000 hectares for metals –Peru);

size of reserves(e.g., less than 1M cubic yards for a particular grade of placers);

productive capacity(e.g., less than 100 tons per day);

productivity (e.g., up to 50 tons per person per day);

gross annual income (e.g., less than $900,000 – Mexico);

degree of capitalization or mechanization (e.g., less than $160,000 – Mexico);

continuity of operation (e.g., seasonal);

requirements of mine safety legislation (UNIDO); or

the UN 1972 definition (any single-unit mining operation having an annual production of unprocessed minerals of 50,000 metric tons or less, as measured at the entrance of the mine).

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The UN in 1972 has also pointed some general characteristics of small-scale mining (qtd. In Berger 4-5), many of which are actually reflected by the country’s small-scale mining:

involves “artisanal mining”- the direct application of human energy (digging, breaking, panning, sorting, carrying), which can even exceed the production on a national scale of modern mechanical operations

limited application of modern concepts and technology

generally require surface or near-surface deposits, relatively little waste or overburden relatively simple metallurgy

relatively easy access

individual or single family operation

has leasing or tributing arrangements for sharing production between workers and mine workers

involves joint ventures and cooperatives

Distribution and sales commonly involve middlemen to enter world markets local processing and ‘consumption’ of industrial minerals

absence of ‘economies of scale’ and transnational corporations

With these varied bases, the definition of small-scale mining, especially for legal purposes, may be different for each country. R.A. 7076 or the “People’s Small-scale Mining Act of 1991” defines small-scale mining as one that relies on labor using simple implements and methods and do not use explosives or heavy mining equipment. In the Philippines, a more detailed legal definition of small-scale mining can be found in Section 1 of P.D. 1899, which was created during the Marcos Administration:

“Small-scale mining refers to any single unit mining operation having an annual production of not more than 50,000 metric tons of ore and satisfying the following requisites:

1. The working is artisanal, either open cast or shallow underground mining, without the use of sophisticated mining equipment;

2. Minimal investment on infrastructures and processing plant; 3. Heavy reliance on manual labor; and 4. Owned, managed or controlled by an individual or entity qualified

under existing mining laws, rules and regulations.” The authors would have wanted to give a detailed and technical definition of small-scale mining but chose not to because of the various particularities that still need to be considered. For instance, the use of explosives in some gold-rush mining areas (i.e. Diwalwal, Davao del Sur) (Haygood 3), are not considered by Philippine legal definitions as small-scale mining, even if these still possess the characteristics of small-scale miners. Unregistered small-scale miners are also not considered by the law as small-scale miners even if majority of the miners are not registered with the government. Many definitions define small-scale production as not being more than 50 metric tons. On the other hand, much of the literature used did not state the production of their subjects which they consider as small-scale miners.

For the above-stated reasons, the authors would be using a more general definition of small-scale mining for the purpose of this paper. Small-scale mining would be defined as one that mainly relies on manual labor and uses simple implements and methods. In order to differentiate small- scale miners from large-scale mining employees in some gold-rush areas like Diwalwal, wherein big time financiers contract out small-scale mining cooperatives, we shall define small-scale miners as those who receive shares of the produce (in the form of ores or their monetary equivalent), instead of regular wages.

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B. Economic significance of small-scale mining Small-scale mining has proven itself as a significant contributor to the country’s economy, in terms of the monetary values and in terms of the livelihood it creates.

From 1998-2002, especially with the decline of large-scale mineral production, both in metallic and non-metallic, the small-scale sector has somehow been the “saving grace” of the mining industry (Table 1). It has registered an average percent contribution of 28.7% in the total gross production value. This does not include the production made by informal small- scale miners, whose extracted ores are sold to the black market and unaccounted by the Central Bank. By 2001, it has surpassed the gross production value made by large-scale metallic mining and by 2002, has already surpassed both large-scale metallic and non-metallic gross production value. The 11.6% growth on the gold mining output in 2003 was even partially credited to the higher production from small-scale miners (“Mining and” 8).

Listed below are other relevant information on the small scale mining’s economic contribution:

contribution to annual national gold output (1993-1997): at least 45% (figure may still be understated by as much as 50%) (Tujan and Guzman 142)

share to the national gold output (1994): 12,372 KG or 45.72% (accounted for 10-

20% of the world mineral production) (Haygood 4-5)

total purchases of the Central Bank from small-scale sources (CY 2000): 21,040 KG (58% of total gold production) (Mines, “Industry Profile”)

average small-scale mining contribution in gold production (1991 to 2000) : 13,380

KG (Mines, “Industry Profile”)

purchased gold from Diwalwal by Central Bank

Table 1 Gross Production Value in Mining (modified from Mines, “Industry Statistics”)

Year

Gross Production Value in Mining (In Billion Pesos) %Share of Small- scale

Mining GPV to Total GPV Metallic Non-metallic Small-scale Total

1998 9.0 20.7 7.6 37.3 20.4%

1999 7.6 17.3 6.0 30.9 19.4%

2000 9.2 13.5 8.3 31.0 26.8%

2001 7.7 10.9 10.0 28.6 35.0%

2002+ 6.6 12.1 14.3 33.0 43.3%

Total 40.1 74.5 46.2 160.8 28.7%

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2000: P2.95 B, 35% of country’s gold from small-scale miners (Conde and Gonzales)

1985-1998: P36B (Conde and Gonzales, “Gov’t”)

1991-2001: P 23B (Tujan and Guzman 145)

Total government share from Diwalwal gold produce since the November 2002 government take-over (as of July 14, 2003): 38.899 KG with an est. value of P21.659 M (Mines, “Updates”).

Graph 1 shows a comparison of the gold production of small-scale miners who sold their gold to the Central Bank (Baguio) and to various gold-buying stations in Baguio and the production of two of the large-scale gold miners, Lepanto Consolidated Mining Company and Philex Mining Corporation. This shows that the produce of small-scale miners are not very far behind that of a large-scale corporation and could even surpass the latter’s production.

To many Filipinos, small-scale mining truly as a primary or an alternatives livelihood source. As of 1996, small-scale mining subsists around 200,000 to 500,000 mine workers (Haygood 4), who comprise 0.74% to 1.8% of the country’s workforce (if total employment figure for year 1996 is used). According to Bugnosen, based on this figure, it is estimated that the sector supports at least one million of the country’s population (3). Lanticse, et al., estimates that 100,000 individuals are directly or indirectly involved in small-scale gold mining operations (17). During the 80’s, the Philippine Mines and Geosciences Bureau (MGB) estimated the number of small- scale miners to have gone over 500,000 (“Highlights”). At the peak of mining activities in 1985, around 80,000 people were in Diwalwal, engaged in mining and trading operations. At present, an estimated number of 40,000 Diwalwal miners are left, Helica (Conde). It is also estimated that the small-scale mining sector generates at least 20,000 formal or informal small enterprises and businesses (Bugnosen 3).

Based on the Directory of Philippine Producing Mines and Quarries in 1996, there are 28 small- scale mining cooperatives for gold and silver, 17 for chromite and three for manganese. The number of small-scale non-metallic producers was not specified. (Tujan and Guzman, 42). These small-scale mining groups consist principally of gold and chromite producers, both from the formal and informal sectors (Mines, “Industry Profile”). According to Tujan and Guzman, these numbers show the role of small-scale mining as a traditional people’s alternative source of livelihood and not a ‘trickled-down” benefit of large-scale mining (146).

Graph 1 Gold production by source in 2002. (Kaninteng 54)

(A) Various small-scale miners, Source: Central Bank – Baguio (B) Small-scale miners, Source: 50 Buying stations based in Baguio (C) Lepanto Consolidated Mining Company, Source: MGB – CAR

(D) Philex Mining Corporation, Source: MGB - CAR

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The government, through the MGB estimates that there are at least 37 provinces in the country where small-scale mining is being conducted (“Highlights”). According to Lopez, some of these places are: Benguet; Labo, Camarines Norte; Llorente, Eastern Samar; Lakewood, Zamboanga del Sur; Diwalwal, Monkayo, Boringot, Pantukan and Compostela, Davao del Norte; and Kalapagan and Tagobo, Davao del Sur. About half of these miners are in the five gold-rush areas of Davao del Norte. ( qtd. in Tujan and Guzman 142). In Benguet, the approximate total area of small-scale mining is 900 hectares but due to the lack of information on the informal small-scale miners, a more precise estimate could not be given (Baluda 13).

At present, the possibility of getting the exact number of small-scale miners in the Philippines is quite nil because most of the miners are not registered with the government. Besides, mining is a clan activity for traditional mining communities wherein even children had their share of work. However, ore geology can be used as clues to where small-scale mining operations are taking place within a district (Maglambayan and Murao 4).

With all these data, the significance of the small-scale mining industry in the economy is undeniable. The large amount of production and the number of people involved affirm our country’s potential to develop our own mineral industry.

C. Small-scale mining technologies in the country (for traditional and gold-rush small-scale

miners) Gold is extracted by small scale miners mostly from veins and placer deposits. Veins form when hot fluids from beneath the earth’s surface carrying dissolved minerals crystallize along cracks in bodies of rocks. Gold may also be concentrated downstream of a highly mineralized area, as placer deposits in stream and floodplain sediments.

Rocks that are mined consist of ore and gangue. Ores contain the desired metals and are thus targeted for recovery. Gangue, on the other hand, is valueless and is therefore disposed as tailings. The principal ore mineral of gold is native (elemental) gold.

Small-scale mining involves the search for mineral-rich rock bodies, and the extraction, concentration and refining of the ores. Most of the knowledge of the above-mentioned processes are usually handed down from generation to generation through oral traditions and actual participation in the activity.

1. Mineral Exploration

Unlike large scale mining corporations, which employ various sophisticated methods such as magnetic, electrical, gravimetric and seismic methods in mineral exploration, small scale miners generally use their indigenous knowledge of mineral recognition. Prospecting for gold is done by looking for and following exposed portions of gold-bearing veins, examination of stream sediments and/or prospecting upstream from an area where gold is present. For practicality, mine sites are usually located within, near or downstream of the sites of large scale mining or areas of known mineralization. However, small-scale mining methods are not always precise. In Tuba, Benguet for example, a miscalculated extension of a gold vein resulted to three years of tunneling in a drift now 160m long in waste rock (Maglambayan and Murao 4-5). Sampling methods used to assess the concentration of ores are mainly visual.

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2. Extraction

2.1 Vein (Lode) Deposits

Vein or lode deposits are mined underground through pocket-sized adits or tunnels (hence, the term “pocket miners”) or through shallow surface excavations (Baluda 13). Mines are developed by tunnels that directly follow the veins. If it is not possible, crosscuts are constructed where veins could be intercepted at short distances. Tunnels are kept small for economic reasons and to avoid timbering (Bautista 13). Sometimes, a stream may be used to remove overlying rocks from a vein. A dam is constructed along a stream to form a reservoir. When the reservoir is full, water is released to tear away the overburden from the vein (Padilla, Indigenous 36). Miners rely on the natural ventilation but sometimes hand- or gas-operated blowers are used. Tools are usually small and manually operated which include picks, shovels, moils, chisels, pinch bars, sledge hammers, pulleys, ropes, carbide lamps, miner’s lamps, sample picks, sample pans, water pumps and siphons (Bautista 12). Ores are manually hauled using sacks, trackless mine cars and/or wheel barrows. In Acupan, Benguet, a rudimentary lift system moved by hand or motorized pulleys is being used (Cabria et al. 28). Although the government does not allow the use of explosives, some miners still use them in making the tunnels.

2.2 Placer Deposits

Placer deposits are extracted from sediments within or downstream of known gold deposits, gold mines and tailings ponds by panning (hence, the term gold panners) or sluicing. Caballero describes a particular method of the Kankanaeys of Batuang wherein rock-walled channels with flood gates are constructed along a stream. This area, where the streamflow can be easily controlled, is mined by separating and removing river sediments such as large rocks, gravel and sand. Shovels, crowbars and various improvised sieves of different sizes are used. This process of sediment removal goes on until a layer of fine sand containing the gold is left. Sluice boxes are installed at the end of the channels to catch the mixture of gold and other minerals (87-89)

3. Concentration and Refining

Materials extracted from the lode and placer deposits are not pure gold. As mentioned earlier, they are usually a combination of ore minerals and gangue. To extract the metal, these materials should undergo the process of concentration and refining.

Concentration may be classified into two types: physical and chemical. Physical concentration involves the physical separation of ores from the gangue whereas chemical concentration breaks down the metallic mineral to get rid of other elements combined with it (Mckinstry 566). Because gold ore is mainly native or elemental gold, meaning it is not combined with other elements as a compound, physical concentration is enough to obtain the gold. However, some chemical processes like mercury amalgamation and cyanide leaching are usually employed for large productions.

The products of concentration are not necessarily free from impurities, thus the need to undergo refining for marketability. This process may involve remelting or some wet chemical processes (McKinstry 567).

3.1 Handpicking

This is a process of manual sorting and resorting, where gangue is discarded and valuable minerals are collected. According to Mckinstry, handpicking is often the cheapest method of separating ore from waste at coarse sizes (569). This is done at

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the mine site before the ores are taken to the miner’s residences where ore processing is done (Lanticse et al 18). The women and children who do the sorting have very keen eyes for picking ores of good value (Padilla, Indigenous 47).

3.2 Milling

Mined ores from lode deposits are first crushed into smaller pieces using sledge hammers and sometimes, small jaw crushers (Bautista 14). In Acupan, the rate of crushing per person ranges from 35 kg of ore per day to about 35 kg of ore per week depending on the hardness of the mined vein (Cabria et al. 28). The ores are then crushed and ground to finer pieces using various stone tools. Manual, water-run, diesel or electric ball mills are used for high grade ores (Bautista 14). Although such machines are available, some problems related to the mill’s usage are encountered. In Ansagan, Tuba, Benguet, there are idle ball mills due to lack of water to drive the mills (Maglambayan and Murao 5).

3.3 Gravity method

This method of concentration includes the use of sluice boxes and pans. The principle of this method is that gold and other gold-bearing particles tend to sink in water while mud and other lighter sediments remain suspended in the liquid. Caballero outlines the Kankanaey’s methods of processing ores: After the ores are crushed and ground, they are collected in sluice boxes to trap the coarser gold fragments. The materials that are washed out from the sluice box comprise the sluice tailings. The ones that are retained are the sluice concentrates. These concentrates undergo panning to further separate the gold from the non-gold particles. The panning concentrate is again ground and panned to increase the gold concentration. The sluice tailings are collected to be processed again later or to be sold to large commercial mines. Panning tailings are not sold (124-131).

3.4 Magnetic method

Magnetite sand, an ore of iron, usually comprises the non-gold particles of the panning concentrate. Since gold is non-magnetic, the iron ore is separated by means of a magnet.

3.5 Mercury (Hg) Amalgamation

Amalgamation is a cheap and simple process suited for the recovery of fairly coarse gold particles (McKinstry 574). Mercury holds, partly absorbs and physically separates gold from gangue and other sulfide minerals. Extracting the gold from the mercury is done by heating the amalgam in an earthenware crucible until mercury vaporizes. In Balatok, Benguet, mercury is added to the panning concentrate and is panned to separate the gold-mercury amalgam from the other minerals (Lanticse et al. 19). Mercury may also be introduced and mixed with coarse ore inside the ball mill, reducing the mercury into very fine droplets that readily float in water. This is a practice in Paracale-Gumaos (Lanticse et al. 20).

3.6 Cyanide leaching

Cyanide dissolves the gold in the ore, producing a “pregnant” (gold-rich) solution. The gold is precipitated by adding zinc or aluminum dust/shavings to the solution (McKinstry 575-576). The carbon-in-pulp (CIP) and carbon-in-leach (CIL) enhances the cyanide method by the use of activated carbon. Several mines in Acupan and Antamok, Itogon, Benguet use cyanide leaching in their operation (Cabria et al. 28-29). But because these methods are capital-intensive, only large-scale operators can afford to adopt these technologies (Lanticse et al 17).

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3.7 Refining Borax is added to the final panning concentrate and the mixture is put in an earthenware crucible. The mixture is covered with charcoal and is heated over an open furnace. The end product is a marketable gold bead (Caballero 131-132).

Gold Recovery Most of the gold in the ores are wasted with the mine tailings because of the inefficiency of the technology employed (Haygood 6). Cabria et al. reports that two grams of gold could be obtained from four sacks of ore weighing around 35 kilograms (29). Clemente and Lanticse reports that every 45-55 kilograms of ore (with concentration of 220g/t) will yield a button containing three to five grams of gold, representing recovery of around 27% (10).

Traditional Methods vs. Gold-rush Methods Traditional mining mainly employs physical methods of ore concentration (Caballero 117). Of the literatures used for this paper, none provided information on whether the traditional miners are now using significant amounts of chemicals for ore processing. Gold-rush mining, on the other hand is well known for its use of mercury and cyanide.

E. Socio-economic set-up of small-scale mining communities: the particularities of traditional

and gold-rush miners

Many literature often mention small-scale miners as either being traditional or gold-rush. While the technical classification of small-scale mining is based on the mining technologies used, it is quite important to understand the particularities of the two groups. The said particularities could mainly be attributed to how these groups developed. Although both may often use different mining technologies, the said classification is more of economic, social and cultural in nature. Therefore, to understand this grouping is to understand the socio-economic and cultural set-up

Table 2. Traditional vs. Gold-rush Small-scale Mining PracticesTraditional small-scale mining

TRADITIONAL GOLDRUSH

1. A starting ritual is necessary 1. Mining starts without any starting rituals.

2. Mining is led by the head of a family, and family

members, as well as people outside the family,

help in the mining. The head of the family provides

the other miners all the basics that will be needed,

including food.

2. Mining can be done by any person. This person

provides all the things needed by the group,

including the food.

3. Production sharing is based on four shares for the

head of the family and one share for his co-

workers.

3. Production sharing is based on four shares for the

operator or leadman while each of his co-workers

receive one share.

4. Communal system of ore production sharing. 4. There is no practice of communal sharing of ore

production.

5. When mining is done, small-scale miners observe

some rituals and practices inside the tunnels.

5. No prohibition in food to be eaten in the mining

areas. Festivities do not affect the working

schedules.

6. If the volume of ore is large, and manual crushing

becomes difficult, ball mills are used. The first

units were run by water. Now, electric motors are

used. Gold is concentrated solely by mechanical

methods.

6. Miners use ball mills to grind ore. Gold processing

includes the use of mercury, cyanide and

sulphuric acid.

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of mining communities that may fall to either one of the groups. These characteristics will be discussed in this part of the paper.

It is important to note however, that many of the characteristics that would be discussed, especially those of traditional communities, contain general and/or stereotypical characteristics. It should be remembered that like any other community, small-scale mining communities are ever-changing. The proceeding discussion also would not elaborate on the two group’s technological differences. The authors deem it impractical to focus on the topic since traditional small-scale miners do not use purely traditional technologies anymore. This is believed to be due to the introduction of new technologies and the changes in the value system of the community members. Thus, some overlapping on the characteristics of the two groups also happen, especially regarding the technologies they employ.

Liyo gives a simple definition of the two. For her, traditional small-scale miners carry out mining as part of their traditional culture, while gold-rush miners do not. She elaborates on their differences in Table 2 (56). It should be noted though that the descriptions made for the traditional small-scale miners are based on small-scale mining communities in Benguet.:

1. Traditional Small Scale Mining

Traditional mining is evident in mining communities of some of our indigenous peoples, like the Kankana-ey and Ibaloy communities of Benguet who have been mining for the past 400 years (Liyo 55). Their mining methods are unique and have been handed down for generations. Such long engagement has made mining a significant element in molding traditional mining communities’ systems of beliefs, superstitions, traditions, rituals, economic activities and social organization.

To understand traditional small-scale miners, it is important to understand their concept of property. Indigenous peoples view their ancestral lands as communal properties and so with the resources found in them. For the Kankana-eys miners in Benguet, their god, Kabunian, and the anitos (spirits and ancestors) ultimately own the resources (Caballero 59).

Padilla affirms that mining is very much a community affair and access to resources granted to community members are based on customary laws. In some communities, claims are granted to clans, such as in Mainit, Bontoc where only clan members could have access to the gold in the mountains or streams. Non-clan members could pan gold in water systems outside clan territory (Indigenous 35). Caballero tells that for the Kankanaeys of Benguet, a mining claim has corporate kin group features in that a group of elders own and manage a claim. These traditional management practices are kept even if some of the traditional claim owners have registered their claim legally since the American Period (59). Other individuals may acquire temporary use rights by affiliating themselves with the claim owners (60). Having a use right means that the miner has a right to use a mining claim and may own the gold or ore that he/she has dug. However, once he/she abandons a mine, the effectivity of the use right stops.

According to Padilla, some communities, on the other hand, regard a portion of rich ore-bearing gold vein as a totally communal property. They work alternately as a group and trusted each other. Each one receives an equal share of produce (Indigenous 44). Wiber, in her study of the Ibalois of Kabayan, Benguet, said that the group considers lode mines as individually-owned while placer mines as public property. She also points out that mining could also be a source of conflict, even in a traditional mining community. She notes that people could not keep tunnel locations hidden from fellow community members and many people considered the known mine locations to be communal mines (qtd. in Caballero 84).

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Traditional communities also have their own intra- and inter-community sharing mechanisms ensuring the subsistence of all community members. This acts as a coping mechanism for the inherent uncertainties and risks of mining. It allows miners who found minimal gold or elders who are unable to work, to have a share of ore, concentrate or tailings, on the condition that they will do the same once luck turns to their side. Mostly, the elderly and other community members with high esteem are prioritized in this sharing. This practice is so ingrained in their culture, that they have already built spiritual justifications for it, which at the same time, fosters this practice. For instance, the Kankanaeys believe that since the anitos “shared their gold and natural resources with the living, and made the lives of these prosperous and healthy, so too must the living share it with the rest of the community”(Caballero 172). They also believe that they will perish in their search of gold if they do not follow their god, Kabunian’s order to practice their sharing practices (Domalsin 52).

Kankanaey traditional small-scale miners believe that gold will not run out as long as it is mined the right way. But as Caballero puts it, mining the right way, for traditional miners, is not just a matter of technological and mechanical methods, but includes their social and ritual subsystem (169). Therefore, rituals and practices are inherent parts of traditional small-scale miners’ mining activities.

However, through time, the reliance in superstitious beliefs have been gradually diminishing. Padilla states that for some Benguet traditional miners, majority of the rituals and superstitious beliefs have been taken for granted. With the availability of modern technologies which render mining easier, miners, especially of the new generation, have nothing in mind but to extract as much gold as they could (Indigenous 60). The elders believe that many changes in beliefs and attitudes of the new generation of miners were caused by the introduction of Christianity, making the miners view gold as a commodity.

Since mining is very much a community activity, each has their own share of work. Men are more involved in the heavy work such as creating tunnels and digging or excavating ores while the women and children are more involved in carrying ores and processing them because they are perceived to be weaker than men (Padilla, Indigenous 43). However, with the changing of the times, both women and children are already allowed to help out in the excavation if they wish. But in general, both are still assigned with the ore processing (60). Also, according to Caballero, the women have an equal position with men in terms of making decisions (59).

The Role of Financiers in a Traditional Setting A financier may also exist in traditional mining. This was exemplified by the Kankanaeys, who call the financier a supplier. The supplier finances the expenses, which include the supplies for mining and food and at the same time, owns one or more mining tunnels (Caballero 102). However, it should be noted that in contrast with the financier in a gold-rush mining setting, the financier in a traditional setting also participates in the mining activity and the person he/she takes to work with him are usually chosen based on kinship.

Caballero states that workers are paid on a mutually-agreed upon sharing scheme. The financier usually gets a bigger share compared to his/her co-workers to reimburse his/her expenses. In some cases, the financier may also first deduct his/her expenses before the remaining money is shared equally by the workers and the financier (102).

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2. Gold-rush small-scale mining The gold-rush type of mining is different from the traditional type in many ways. According to Bacani, gold panning became a major activity in the 1930’s presumably because of the introduction of modern mining and beneficiation techniques by the Americans (qtd. in Tujan and Guzman 146). In the early 1960s, gold panning evolved into small-scale mining when panners organized themselves into associations and cooperatives, the most probable reaction to the threat of large-scale mining (Tujan and Guzman 146). Small-scale mining became widespread in some Asian countries during the 1980s (Liyo 55). In the Philippines, gold panning made a dramatic comeback in the late 1970s and the 1980s in reaction to the comeback of mineral production in general (Tujan and Guzman 146). Again according to Bacani, the gold rush started simultaneously in the Mountain Province, Bicol, Masbate and Davao (qtd. in Tujan and Guzman 146).

The gold-rush type of mining is done by individuals who surged to a mineral-rich area to mine, after being attracted by the lucrative character of gold and stories of quick wealth (Bautista 11). Such individuals are usually without capital and common ethnicities or cultures. For Liyo, the “get-rich quick” mentality of miners and their cultural diversity, unbound by traditional thinking and superstitions may explain why this type of mining appears to be more disorganized and less environmentally sound than traditional small-scale methods (55). As exemplified in Mt. Diwalwal, mining is carried out in contiguous, commonly intersecting underground openings that are owned and operated independently of one another. In general, extraction is done crudely and unsystematically(Tujan and Guzman 144). This is in contrast to the tunneling system of traditional communities that is more systematic and planned-out.

And because of their unsystematic mining methods and cultural differences, maintaining peace and order in a gold-rush community has been painstaking. For instance, according to Dancel and Brazas, since the discovery of Diwalwal, violence of various forms such as murders, threats, etc., have erupted. An estimated number of 4000 miners have been killed in the area for the past 20 years (Riguera).

Indeed, mining in itself, is relatively a risky economic activity. Without the prior knowledge and experience in mining that traditional miners have, gold-rush miners often lack the necessary knowledge in geology and mining. Small-scale mining, given the simple technologies that the miners employ and the gold-rush miners’ lack in basic knowledge on mining makes it harder and and riskier for them to mine. For instance, some miners employed by financiers do not receive any income at all for their labor until some gold is produced, which may take for several months to a year (Maglambayan and Murao 6).

However, such use of crude techniques and equipment may endure for long as most of the small- scale miners are subsistence earners, only able to make very few improvements or additions (Maglambayan and Murao 6). This may be the reason behind Clemente’s and Lacticse’s observation that even though small-scale gold mining has been practiced in the country since the early 1900’s, technology has changed very little (9).

Because of this, Maglambayan and Murao think that the instability of the business generally favors single men, with no families to support, as prospective workers (6). On the other hand, this preference is different with traditional small-scale miners who work as a clan and had various sharing mechanisms.

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Nevertheless, their field survey still confirmed that small-scale miners can, on their own, patiently develop their mine tunnels with crude exploration and prospecting techniques (Maglambayan and Murao 6).

The Role of Financiers in a Gold-rush Setting According to Tujan and Guzman, small-scale miners often group themselves under corporations which are financed by wealthy businessmen (143). The number of laborers differs from one opening to another, depending on the scale of mining operations (145). The miners work without fixed salary, just the assurance that the financier would shoulder the expenses and exchange food or allowance for labor (143). The proceeds of the excavation are divided between the miners and the financier based on an arrangement between the two parties. In Diwalwal, the sharing scheme is based on the ore produced or the total income derived from the operations. According to Bacani, the usual sharing arrangement in the area was 30-70, 30% to the miners and 70% to the financier (qtd. in Tujan and Guzman). According to Conde, the usual sharing scheme in the area is 40%-60%, 40% for the miners and 60% for the mining companies. However, the miners’ share is divided into hundreds, if not thousands. Sharing may be based on gross production or gross income, but usually operational expenses were deducted beforehand (qtd. in Tujan and Guzman 145).

The Role of the Middlemen in Small-scale Mining As what Berger has cited earlier as a general characteristic of small-scale mining, Philippine small-scale miners also do sell their gold to middlemen. The price of a gram of gold varies in different regions (Tujan and Guzman 143). For instance in Benguet, small-scale miners sell their gold to accredited gold-buyers in Baguio, whose prices are based on the London price(International price), the grade of gold and foreign exchange rate. No specific size or weight of gold is required by these gold buyers (Pay-an 10). Most of the gold recovered by the interviewees of Maglambayan and Murao from mining communities in Benguet are sold on Baguio City’s black market through middlemen working for a certain businessman (5). According to Cabria et al., the miners from their study site (other mining sites in Benguet) sell their gold to a cartel-like group based in Baguio City at a price normally lower than the prevailing international market price. It is uncertain if the referred group is accredited or belongs to the black market. As of December 1999, the selling price to this group was 280 pesos per gram of gold bead (29). According to Tujan and Guzman, agents or middlemen and “direct buyers” usually underprice the gold (143). However, this remains to be the preferred selling route because of the miners’ difficulty to comply with the requirements of the Central Bank, which stipulates the purchase of a minimum of 300g from individual sellers (as required by DENR Administrative Order No. 34, 1992) (Cabria et al. 29)

The raw gold bought by these local buyers may further be refined and directly sold in Manila to fetch a much higher price. According to Lopez, It may be smuggled and sold in Hongkong or Singapore where it commands an even higher price (qtd. Tujan and Guzman 143). According to Bacani, 70% of the gold extracted from Diwalwal was not reported and probably smuggled abroad by Chinese buyers and assorted middlemen (qtd. in Tujan and Guzman 145).

Some miners who cannot invest on their own mill, opt to sell their ores to the millers instead (Cabria et al. 28).

In Diwalwal, it was the financiers and middlemen who “made it big” or “got rich fast”, and later on, put up their real corporations. Otherwise, they have associated themselves with corporations like Blucor Minerals Corp., Bulbscor Minerals, and Helica Gold Mining Corp., and the like, who are now the main miners in Diwalwal.

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It seems that in the industry of small-scale mining, the financiers and middlemen are the ones who benefit, especially from the black market for gold. The toiling small-scale miners remain at subsistence levels (Maglambayan and Murao 7) due to the exploitative relations that they’re in and are trapped by the cyclical system of the trade.

Small-scale vs. Large-scale Mining Berger stated that small-scale operations often lead to the recognition of larger deposits and many large mine had its origins in smaller workings (5). This may in fact, be true but when such takes place in the Philippines, this more or less, equates to the displacement of traditional miners from their ancestral mining areas with all resources found in them, in favor of large-scale mining corporations. Many of the mining activities of traditional small-scale miners are deemed illegal because their ancestral lands have been declared part of large-scale mining corporations’ mining concessions.

Tujan and Guzman cites several data on this:

“In the Philippines, around 54,000 miners are now barred from mining in the Cordillera and Zamboanga del Norte where small-scale mining has been prohibited” (147).

“In the Cordillera, about 24,000 indigenous miners who previously co-existed with Benguet Corporation, are now barred from mining. Even before the advent of aggressive liberalization through the Philippine Mining Act, indigenous communities in the Cordillera were already displaced by big mining corporations such as Benguet Corporation” (147).

“In 1995, Canadian Toronto Ventures Inc. bulldozed more than 200 tunnels belonging to small-scale miners in Brgy. Canatuan in Siocon, Zamboanga del Norte, who were declared illegal upon the entry of the company” (148).

Such displacements are made with the use of state apparatus such as the military, police and other government agencies. For example, in 1989, to displace small-scale miners in Itogon, DENR representatives and the mining company’s security guards forced their way inside the community to blast the tunnels of small-scale miners (Tujan and Guzman 147). Such conditions worsen the conflicts that have existed between the large-scale corporations and the small-scale miners since time immemorial.

Because of this, traditional small-scale miners have had to work around limited or less productive areas. Some are also forced to look for other sources of livelihood. Some small-scale miners insist on mining in the concession areas of these corporations, resulting to more conflicts.

Large-scale mining corporations are also one of the buyers of gold or mine tailings from small- scale miners. According to Tujan and Guzman, Benguet Corporation actually relies on small- scale miners for about 30% of its gold production. Large-scale miners may also buy gold from small-scale miners. However, this is not widely practiced since gold bought from small-scale miners is more expensive than ore mined by the company(Tujan and Guzman 143).

From December 2001, experimental measures were implemented by Benguet Corporation in order to ensure a “peaceful co-existence” between the corporation and the small-scale miners, who mine in the former’s concession areas. This scheme, according to Cabria et al., allowed a group of small-scale miners to undertake contractual mining inside a temporarily abandoned tunnel previously operated by the corporation. The corporation was said to have constructed around 15 ball mills and the pocket miners were permitted to keep the coarse concentrates and

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any gold grains that are recovered in the sluice boxes. Benguet Corp., meanwhile collects the sluice box tailings that are to be treated in purpose-built CIP plant, under construction during the study. (Cabria et al. 30).

The said project was described in more detail by Engr. Angelito Gomez, Project Manager of Benguet Corporation. The project was referred to as the Tripartite Approach. The three parties involved in this arrangement are Benguet Corporation, the small-scale miners’ groups and the government, represented by the Department of Environment and Natural Resources through the Mines and Geosciences Bureau or the Environmental Management Bureau and the Local Government Unit. Shown in Table 3 are the outlined role of each party (22-23):

In the said mining scheme, the miners and the Corporation get their own share of crushed ores (The sharing percentage was not specified.). The miners’ share of ores are allowed to be grinded using the company’s mills. Free gold is then recovered through the gravity method of sluicing. It remains unclear to the authors if the miners have the option to keep the gold recovered or compulsorily have to sell their produce to the company. The resulting tailings, are processed in the Company’s CIP plant. The gold produced from the tailings is sold to the Bangko Sentral. The revenue is used by the company to process its ore in the same faciltiy (Gomez 23-24).

The project was launched in January 2002 and boasts of an initial production of 20 metric tons per day, which gradually reached up to 50 metric tons per day. It claims to have provided employment to about 1,000 local residents, 800 of which are small-scale miners from Acupan and the surrounding barangays (Gomez 24).

However, looking closely at this government-supported scheme, Benguet Corporation remains the party gaining the most benefits out of the said arrangement. First, the scheme was thought of and implemented at a time when the corporation has suspended operations due to the

Table 3. Role Of Stakeholders in the Tripartite Mining Approach

Benguet Corp. Corporation Government

identifies areas in the Acupan Mines which are “appropriate” for small-scale mining;

conducts exploration and delineates ore reserves; undertakes mine production planning and monitors implementation; provides central crushing, grinding and CIP treatment plant and anti- pollution devices; and

sells the gold output to the Central Bank

organizes themselves into mining cooperatives or associations which serve as the contractors;

abandons the use of mercury and other old small-scale mill plants and uses the more efficient, environmentally safe and centralized ore treatment facility of the company; finances the mining operations;

conducts mining according to the plans and safety regulations of the Company and the government

1. DENR-MGB/EMB

Creates the mechanics, rules and regulations to accommodate within the law this new cooperative arrangement between the large and small mining operators;

Enforces safety standards in the mining and milling operations; Ensures that environment protection measures are implemented; and Provides technical assistance in the mining operation;

Assists in the proper information, education and communication of this scheme

2. LGU

Provides basic social, health and other services to the community; Assists in maintaining peace and order;

Facilitates local government-required permits;

Formulates and monitors a simplified tax collection scheme; and

Assists in information dissemination and proper education of the community

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dwindling down of gold prices. Such scheme would definitely allow the corporation of still make use of not so much profitable land(at least for large-scale operations) that requires low capital and operating costs and at the same time, generate income to support camp maintenance (24). The company would also save cost on labor from replacing wage earners with a contractual workforce. The company may have allowed the miners to use some of their machineries but this was only up to the milling process, after which, miners have had to use the age-old method of sluicing which extracts only a small-percentage of the gold. The more high-tech machineries are still limited to the company’s use. Despite all these, the project makes Benguet Corporation appear as a charitable entity and undermines the issue of ancestral domain. F. Policies Concerning Small-scale Mining and their Implications There are two main laws directly governing small-scale mining. The first one is Presidential Decree 1899, establishing small-scale mining as a new dimension in mineral development. This was created in 1984, during the Marcos regime, in recognition to the increasing economic impact of the small-scale mining sector (“Highlights”). The said decree aims to provide a legal basis for the issuance of necessary government licenses and permits (Kaniteng 50), alleviate the living conditions in the rural areas and contribute additional foreign exchange earnings.

Kaniteng elaborates on its two main features which are:

Box 1 On the Government Take-over of Diwalwal

On November 25, 2002, Presidential Proclamation No. 297 was signed, declaring Diwalwal as a Mineral Reservation (Mines, “Updates”).This was said to resolve the land claim conflicts between the Southeast Mindanao Gold Mining Corporation and the miners, and so with environmental issues in the area. Diwalwal, estimated by DENR to have the largest gold deposit in the world according to Manila Times, covers 8100 hectares, including the 729 hectares mined by small-scale miners. This gave the government power to directly utilize the reservation and issue service contracts to miners.

In an outlined plan of the government take-over made by former DENR Secretary Alvarez in

2002, troops were to be sent in, mining was to be stopped, a technical working group was to be created to implement a so-called mine management plan, service contracts were to be issued, mining was to resume, a common mine tailings pond was to be constructed, miners and their mineral processing plants were to be relocated, and the Central bank was to buy all their gold produce (Conde and Gonzales).

At present, 24 service contracts have already been granted for mining and three for mineral processing. The Mines and Geosciences Bureau boasts of an average initial production of run-of- mine ore (ROMO) at 102 wet metric tons a day. As mentioned in the initial parts of the paper, as of July 14, 2003, the total government share is 38.99 kilograms in gold buillion with an estimated value of P21.659 M. Actual payments received from the Central bank is P20.607 M (Mines, “Updates”).

As the government claims, the said take-over was to benefit and recognize the rights of small- scale miners. However, Horacio Ramos, director of the Mines and Geosciences Bureau announced in 2002 that 75% of the reservation was to be allotted to large mining companies, including foreign ones. The small-scale and subsistence miners were to be allotted 25% (Conde). Conde reiterates that it was not clear at that time whether the 729 hectares mined by small-scale miners were part of the 75% that was to be opened to large companies. As some sectors claim, the government take-over is anchored on the Mining Act of 1995, which opens government lands to foreign large-scale mining corporations, such as the Southeast Mindanao Gold Mining Corporation (Conde). The said corporation is the legal claim owner of 8100 hectares. In fact, Diwalwal is now one of the 23 mining areas offered by the government to foreign investors to develop.

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a. the development of small mineral deposits that may be worked profitably at small tonnages with minimal capital investments and utilizing manual labor; and

b. the reservation of additional hectare beyond the permit area for expansion in the future.

The second, and the more comprehensive legislation on small-scale mining is Republic Act 7076, entitled “People’s Small-scale Mining Act of 1991”. The said legislation aims to generate more employment opportunities and provide an equitable sharing of the nation’s wealth and natural resources through the implementation of the People’s Small-scale Mining Program.

The features of the said program are as follows:

a. identification, segregation and reservation of certain mineral lands as people’s small- scale mining areas;

b. the recognition of prior existing rights and productivity; c. the encouragement of the formation of cooperatives; d. extension of technical and financial assistance and other social services; e. extension of assistance in processing and marketing; f. generation of ancilliary livelihood activities; g. regulation of the small-scale industry with the view to encourage growth and productivity;

and h. efficient collection of government revenue.

Kaniteng outlines a comparison of the two mentioned laws’ features (55) on Table 4.

The passing of RA 7076 encouraged the forming of cooperatives among small-scale miners. However, the law did not do much to significantly uplift small-scale miners’ standard of living in general

For one, completing the requirements and processes of the law seem very tedious and difficult for small-scale miners. Baluda tells of an example (14):

“An application for a small-scale mining permit requires that the small-scale operator secure an ECC from the office of the Environmental Management and Protected Area Sector( EMPAS), part of the DENR. But to obtain the ECC, an initial environmental examination or IEE has to be submitted to the regional office of the DENR in the Cordillera Administrative Region. This document is too technical for the small-scale miner to complete. And while licensed environmentalists can be called on to prepare the IEE, the cost (5000-20000 pesos) is prohibitive.”

At the same time, the two to four year duration of a small-scale mining contract is too short, especially given the tediousness of the application process. The areas allowed for mining is only limited to 20 hectares, regardless of the mineral concentration of the land.

To add, the Mineral Action Plan of the government which seeks to “revitalize” the mining industry plans to amend the two legislations to supposedly address the inappropriate and unresponsive small-scale laws, rules and regulations, giving emphasis on environmental protection. However, since the Mineral Action Plan is oriented towards the liberalization of the mining industry, small-scale miners ought to be wary of such planned amendments.

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Table 4. Comparison and Salient Features of PD 1899 and RA 7076 Mining Laws

Feature RA 7076

PD 1899

1. Legal Document Issue

License: Issued to small-scale miner and/or processor qualified to enter into SSM contract

SSM contract: Issued to registered small-scale miners organized into a cooperative to work in People’s SSM contract area or “Minahang Bayan” and declaration of the area as a People’s SSM Area

Permit: SSM Permit

2. Licensing Licensing is required to pursue his

occupation as small-scale miner or processor.

No license is required.

3. Registration All persons undertaking SSM activities

shall register as a miner with the Provincial Mining Regulatory Board (PMRB)

No registration is required

4. Identification, Registration of SSM Areas

Areas declared by PMRB subject to review by its Secretary

No provisions

5. SSM Contract Any of the following mode of agreement with

the government

SSM permit

6. Size/Area

Not more than 20 hectares For mineral commodities excluding gold panning or sluicing and guano: - Not to exceed 81 hectares

in areas covered by existing mining rights, permits license or exploration permit

For mineral commodities - Not to exceed 20 hectares

For gold panning and sluicing - not to exceed ½ hectares

For guano - Not to exceed 8 hectares

7. Duration Two years, renewable for the same period Two years, renewable for the

same period

8. Number of Contracts Allowed

Only one People’s SSM contract award at any time

For individuals, only one in any one province for partnership or corporation; two permits in any one province

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H. Issues on the environment and health Because mining is an extractive industry, impacts to the physical environment is unavoidable. Compared to traditional mining, gold-rush mining is less conscious of the environment, and would therefore have greater environmental impact than the former.

One of the impacts of the small-scale mining is the modification of the ground surface. Construction of tunnels may cause slope destabilization, landslides, erosion and siltation. Maglambayan and Murao cite an example wherein mining sites located in steep mountainsides dump rock wastes into streams, causing siltation(7).

The need for timber to support the adits or tunnels contributes to the denudation of forest areas. This study, however, has not been able to determine the scale of denudation caused by the small scale miners.

The use of hazardous substances poses a problem because construction of tailings dams or ponds and pollution control are not commonly practiced. Mercury, as a product of mining processes, easily gets dispersed in the aquatic environment and maybe ingested by bacteria. These bacteria convert mercury into the more lethal methyl mercury. The chemical is transferred when the bacteria are ingested by other organisms. In Mindanao, Broad and Cavanaugh estimated that 26 t of mercury is being disposed annually into the regions’s major river systems as a result of amalgamation operations (Lanticse, et al. 17). Although there are claims that small scale mining is more environment-friendly than large-scale mining, the inefficient technologies and the wider geographic distribution of small-scale mining communities may cause greater environmental impacts than what we expect (Baluda 14).

A major health concern in mining is the use of mercury and cyanide in ore processing. These chemicals, which are supposed to be restricted, are freely handled with little regard for basic safety equipment. Children, as participants in the processing of ores, are exposed to these health hazards. (Baluda 14). Even communities downstream of the mining sites are prone to the above mentioned risks due to the pollution of their immediate environments.

Since small-scale mining employs primitive technology, tunnels have poor ventilation. Body odors from the workers and sooty smoke from the pine torches not only create an unpleasant working atmosphere, but also exposes the workers to serious respiratory ailments and accidents (Padilla, “Indigenous” 47).

III. Conclusion and Recommendations The character of the small-scale mining in the Philippines is a clear reflection of the neocolonial and semi-feudal character of the country’s economy and society – an age-old livelihood source and tradition, forced to integrate into the cash economy and the export-orientation of the whole mining industry. This causes it to be backward and stunted with its practitioners remaining at subsistence levels. Such state is in contrast to the undeniable significance of the sector to the national economy based on its large amount of production and the number of people involved in it.

Indeed, despite of its long history of existence and practice in the country, small-scale mining failed to develop into a full-bloom national mining industry. It is very much part of the rural or peasant economy, mainly acting as a livelihood source in the countrysides. Just like the agricultural sector, the practice is still largely artisanal, practiced by a vast number of Filipinos. The mining technology and techniques employed by miners, especially compared to large-scale miners, remain simple and crude. Because of lack of capital, small-scale mining technologies

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remains undeveloped, and inefficient in terms of production and in lessening their environmental and health impacts.

And the most important among these characteristics, is the fact that the living conditions of the vast number of small-scale miners, who have long been contributing significantly to the country’s economy, have not improved. And just like the rest of the peasantry, small-scale miners also remain in exploitative social and economic relations with the financiers, middlemen and large-scale mining corporations.

Sadly, the national government has not exerted the necessary effort to develop the mining industry. The existing laws covering the development of small-scale mining and the protection of small-scale miners’ welfare, were insufficient in developing the industry. Instead of genuinely creating a national mining industry, its idea of developing the industry is through liberalizing the economy by creating the necessary policies to allow the entry of foreign large-scale mining Trans-National Corporations (TNCs). The entry of foreign TNCs more often than not affect small-scale miners, especially the traditional ones, whose ancestral lands are usually put under large-scale mining concessions. And with the country’s export-oriented economy, even the small-scale miners’ produce are sold to large-scale corporations or directly smuggled out of the country.

Judging from the richness of our mineral resources, the vast number of small-scale miners and the economic contribution of small-scale mining, the country definitely has a solid basis to develop a national mining industry. It is very much important for the state to adopt a policy orienting the mining industry, towards national industrialization with a centralized production and/or planning. Such policy should put the interests of the people above the quest for superprofits. This policy will determine the type of mining technologies to be used, adopted or developed, based on the people’s needs, in particular, the industry and agricultural sector’s needs. This can include the development of small-scale mining as a component of a national mining industry. Aside from improving the production, the development of small-scale mining technologies will answer the contentions and reservations of some sectors, including environmentalists against the environmental impacts of present small-scale mining operations. Ultimately, nationalizing the mining industry is the ultimate way to erase all the exploitative relations that bind small-scale miners to their present living standards and therefore, uplift their state of being.

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