Wednesday, February 28, 2007

Lafayette Financial Update

This was forwarded by one of our partners.
For the half year ended 31 December 2006, the Lafayette Group recorded a consolidated loss attributable to members of the parent entity of *$66,369,569 or 7.4 cents per share* based on the weighted average number of ordinary shares on issue during the half year.

However more interesting the closure and rehabilitation plan has not been done. Was this not one of the conditionalities for re-opening?

*Contingent Liabilities - *
*closure and rehabilitation obligation*
A subsidiary, Rapu-Rapu Processing Inc., is liable of the conditions stated in the *Environmental Compliance Certificate No.* *001l-644-301C* which includes closure and rehabilitation obligations.
Rapu-Rapu Processing Inc. is in the process of developing a *closure and rehabilitation plan* for submission to and approval of the
Philippine Mines and Geosciences Bureau, however, at this stage no reliable estimate could be determined.
Pertinent files here and here.
(xposted from alyansatigilmina.org)

Tuesday, February 13, 2007

Defend Patrimony! news release



Fight against Lafayette Mining far from over
International shame campaign, Save Rapu-Rapu Task Force formed

14 February 2007 -- Denouncing DENR Secretary Angelo Reyes, his heartless decision to reopen Lafayette’s Rapu-Rapu mine and his utter lack of love for the island and its residents, Defend Patrimony alliance today announced the start of an international petition addressed at Lafayette Mining’s corporate financiers and the formation of the Save Rapu-Rapu Task Force that would continue to monitor the situation in Albay and campaign for the permanent closure of Lafayette.

The fight against the Lafayette mine reopening is far from over. We are not least appeased by Sec. Reyes’ public reassurances that Lafayette Mining will no longer cause environmental damage. We’ll be closely monitoring the situation in Rapu-Rapu and will continue to work for Lafayette’s permanent pull-out in the island,” declared geologist and Defend Patrimony Spokesperson Trixie Concepcion.

There are still so many unanswered questions and unresolved issues about Lafayette Mining. Even the DENR has yet to scientifically disprove the environmental blight of acid mine drainage in Rapu-Rapu, which is fast progressing in the island according to studies by independent observers,” said Frances Quimpo, Executive Director of the Center for Environmental Concerns-Philippines (CEC-Phils).

Lafayette should be flaunting its changes for all the world to see if it has indeed resolved the problems. Yet none of the Rapu-Rapu folk and truly independent probes have been allowed to look into the mine facility, facing harassment from Lafayette's guards instead. We have yet to see for real if Lafayette has indeed resolved many of the structural integrity issues raised against it,” Quimpo continued.

Defend Patrimony along with national fisherfolks federation PAMALAKAYA today presented their “Valentines Day gifts” to the DENR, including a mock program of the world record-breaking ‘Lovapalooza’ kissing spree and announcements of more protest actions against Lafayette.

Concepcion said that environmental groups and local Rapu-Rapu folk would make international a massive “shame campaign” against Lafayette Mining’s continuing presence in Rapu-Rapu. This is to be initially done through an international petition addressed to major bank financiers of Lafayette such as ABN AMRO of the Netherlands, ANZ of Australia, Standard Chartered Bank of United Kingdom and KFSC of South Korea.

The international petition was initiated early this January by Sagip-Isla, Sagip Kapwa, a local alliance in Rapu-Rapu opposed to Lafayette’s mining operations.

The first wave of petition-signing this February has quickly gathered hundreds of signatories among the island’s residents alone.

As of now we have gathered 1,384 signatures from the local residents of Rapu-rapu in just one week. We are targeting to get around 80-90% of the island’s households in the island to support the petition. This is another way to demonstrate that the significant majority of the local people do not want large-scale mining in their lands and expose that Lafayette is operating without social consent,” said local Rapu-Rapu elder and Sagip-Isla leader Antonio Casetas.

The DENR and Lafayette Mining are lying through their teeth when they say that Rapu-Rapu's residents are welcoming the mine with open arms. We have never agreed to the mine and definitely we do not want it to reopen, especially after the two chemical spills, fish kills, fish scares, acid mine drainage, pollution, poverty, earth movements, and harassment that we have experienced right after Lafayette came,” Casetas said.

The text of the petition reads that “contrary to what is routinely claimed by LPI and communicated to its financiers, the project utterly lacks local community support, therefore operating without having obtained the ‘social license to operate,’ as required in covenants as the ‘Equator Principles’ that are supposed to govern your (bank financiers) investment decisions.”

The petition also said that “the project has ever since faced strong resistance from the people of Rapu-Rapu, Bicol provinces and the country, who have consistently opposed mining operations in the island, asserted their rights to the land and resources, protected their source of livelihood, and defended the local island’s ecosystem which is classified as an environmentally-critical area. Such resistance has been expressed before Lafayette started its operations and more intensively after the tailings spills in October 2005.”

Defend Patrimony said that the petition is also gathering more supporters from the national level. Among the Bicolono personalities and who support the petition are Sorsogon Bishop Arturo Bastes, Congressman Satur Ocampo, and Dr. Regina Regis.

“WE THEREFORE URGE the consortium of financiers to the LPI mine in Rapu-Rapu to immediately withdraw their assistance to this financially-unstable, environmentally-destructive, and socially-insensitive project that deserves nothing but outright censure and closure,” said in the petition.

We want to show to the world that until now Lafayette does not enjoy public support and what is happening now in Rapu-rapu is pure plunder and devastation. Through the petition, we are requesting the bank financiers to withdraw their financial support to the polymetallic mining project of Lafayette in Rapu-rapu,” Ms. Concepcion adds.

The international campaign is currently targeted at pressuring international banks to withdraw financial support for the Rapu-Rapu polymetallic project due to Lafayette Mining's lack of social acceptability among the people.

"Banks as ABN AMRO, ANZ, JPMorgan Chase and Standard Chartered choose to take a huge ´RapuRaputational´ risk with their continued involvement in this mining operation" said Johan Frijns, coordinator of BankTrack

"International banks keeping Lafayette afloat are strongly advised not to derive any false reassurances from this decision", Frijns said, "the issues that make this a extremely risky investment for any bank pretending to be serious about sustainability will remain. With no social license to operate, leading to continued widespread opposition to the mine, and operating under adverse natural conditions the very same issues that led to the earlier suspension of operations will return on their plate."

Frijns has tallied at least 285 individuals representing at least 60 international organizations who signed the petition during its initial wave of dissemination.

Based in The Netherlands, Banktrack is network of civil society organizations and individuals tracking the operations of the private financial sector and its effect on people and the planet. Banktrack also spearheads the petition campaign at the international level.

Starting today, the petition will be made available to the public this week via the internet, where people may directly sign up to support at www.banktrack.org, Concepcion said.

*You can view the petition here at the Banktrack site.*

Environmental activists condemn DENR for reopening Lafayette mine

9 February 2007 -- Kalikasan-PNE stormed the DENR Main Office in Quezon City this morning to condemn DENR Secretary Angelo Reyes' decision to issue a Permanent Lifting Order (PLO) on the suspension of Lafayette Philippines Inc (LPI), paving the way for full commercial operations of its Polymetallic Mining Project in Rapu-rapu, Albay.

The protesters shaved their heads to dramatize the impending environmental destruction and massive resource depletion that will happen once Lafayette resumes full commercial operations in the island.

"We condemn Sec. Reyes for allowing Lafayette to resume large-scale mining operation in Rapu-rapu. The Arroyo administration and the DENR are courting more disasters with such decisions. Like what happened before in Rapu-rapu and other mining-affected communities in the country, Bicolanos should brace for more frequent and widespread soil erosions, toxic contamination, mine wastes, water depletion and marine degradation as a result of Lafayette Mining's open-pit operations," said Kalikasan-PNE National Coordinator Clemente Bautista Jr.

Sorsogon Catholic Bishop Arturo Bastes, who headed the Rapu-rapu Fact Finding Commission (RFFC), also sent his solidarity message condemning DENR Sec. Reyes for his "disregard for the findings and recommendations issued by official investigatory bodies, particularly the RFFC, and for refusing to heed the warnings issued by various scientists and environmental experts that the Rapu-Rapu mine is an environmental time bomb."

"I vehemently object to Sec. Reyes' decision. I believe that everything about the Lafayette project is still defective and disadvantageous not only to the residents of Rapu-rapu but to the entire Filipino nation," the indignant Church leader said.

Rapu-Rapu residents are also circulating an international petition addressed at the consortium of Lafayette Mining's financiers, urging them to terminate financial support.

"To further expose and oppose Lafayette mining, we already started getting signatures and support for our international petition to the bank financiers of Lafayette such as ABN-Amro of Netherlands, Standard Chartered of United Kingdom and ANZ of Australia to stop their financial support to the polymetallic mining project of Lafayette. As of now, we have already got almost 400 signatures from Rapu-rapu and hundreds more here in National Capital Region. These are expected to reach thousands more as the petition-signing continues next week. By the hour, dozens of international organizations, particularly in Europe, are also signing up to support our petition," said Antonio Casetas, a leader of Sagip Isla, Sagip Kapwa, a local Rapu-Rapu alliance opposing the project.

Protest actions are also expected to escalate throughout the Bicol region as the local resistance to the Rapu-Rapu mine regathers its forces, he said.

"We will also stage a community action on February 11 and 12 here in Rapu-rapu and Legazpi City, Albay as immediate response to the pro-foreign and anti-environment decision of DENR," Mr Casetas adds.

Sunday, February 11, 2007

Coverage of opposition to Lafayette reopening


Rapu-Rapu reopening continues to get flak
The government’s permission to Lafayette Mining to resume operations on Rapu-Rapu Island in Albay province has continued to draw flak with a leftist fisherfolk group saying an international civil society network has launched an online campaign to convince backers of the Australian firm to withdraw support.

DENR chief assures compliance by Lafayette
Environment Secretary Angelo Reyes assured stakeholders and concerned non-government organizations Saturday that everything has been done to protect the environment as mining operations resumed at Rapu-Rapu island.

With Lafayette mine reopening: Gov’t Unleashed Environmental Time Bomb, Group Says
"I vehemently object to Secretary Reyes' decision. I believe that everything about the Lafayette project is still defective and disadvantageous not only to the residents of Rapu-rapu but to the entire Filipino nation,” Sorsogon Catholic Bishop Arturo Bastes said.

Bishop Bastes, who headed the Rapu-Rapu commission, said that the PAB’s decision is tantamount to throwing away all technical findings and recommendations issued by the RRFFC.


Greenpeace slams Lafayette reopening
...Beau Baconguis, Greenpeace Southeast Asia campaigner, said the decision of the Department of Environment and Natural Resources (DENR) was “hardly surprising since the government has always wanted to project Lafayette as a model mining operation.”

“From the start we knew that the process initiated by the DENR would eventually lead to this, given the government’s aggressive efforts to promote mining in the country,” Baconguis said.


Protesters regroup as mine due to reopen
Felino Bogaoisan, parish priest of Santa Florentina Parish, told The Manila Times that the people of Rapu-Rapu, including the Sagip Isla Movement and church leaders, will conduct a three-day rally today until Tuesday to condemn the resumption of Lafayette operations.
“We are condemning the reopening of Lafayette. The dictate of money still weighs heavier than destructions to human life as our government is unable to guarantee safety,” Bogaoisan said.


Australian company claims sabotage by Phillipines (sic) anti-mining lobby
Lafayette Managing Director, David Parker told Radio Australia's Karon Snowdon that the company was exonerated and does not use mercury in its operations.
"I think there is a very active anti-mining lobby in the Philippines and we have been targetted," he said.
"[We] became a focal point for those anti-mining groups through the course of 2006.
"The mercury hoax was one incident of an attempt to sabatage our operations."


Reyes assures Lafayette mining operation is safe
Reyes said that in evaluating the test performance of Lafayette, the DENR was guided by the findings of the Rapu-Rapu Fact Finding Commission headed by Bishop Arturo Bastes. The DENR also consulted with scientists and experts from other government agencies, the academe and the science community.


Thursday, February 8, 2007

Lafayette to Resume Philippine Mining

The Philippines allowed an Australian-operated mine to resume operations Thursday following a 2005 cyanide-laced waste spill.
Lafayette Mining Ltd. had temporarily suspended commercial mining on Rapu Rapu island in the central Philippines after the incident.
A fact-finding body created by the president to investigate the spill has recommended that the gold, copper and zinc mine be closed, but the government appeared inclined to let it reopen on condition it take measures to prevent a repeat of the accident.
Lafayette's request to lift the order stopping its operations "is granted," Environment and Natural Resources Secretary Angelo Reyes told a news conference.
The mine spill has fueled opposition to mining operations from environmentalists in the Philippines, even as the government is trying to woo foreign investors to develop the industry as a major earner for the country. (full article)

Wednesday, February 7, 2007

Lafayette in the News 02.08.07

Lafayette Mining has branded as baseless and irresponsible the allegations by a militant anti-mining group that it said is desperate to stop the Rapu-Rapu project now that it is on the verge of resuming operations.
Barangay Mananao, where those who died come from according to the anti-mining group Kalikasan-PNE, is on the other end of the island and is 15 kilometers away from the project site, the company said.
"This is like saying that the death in Valenzuela was caused by a project located in Muntinlupa," Lafayette said in a statement.
Around $3.9 million worth of copper and zinc concentrates were generated during the six-month test run of the controversial Lafayette Philippines polymetallic mining project in this island. The Rapu-Rapu Processing Inc. (RRPI), a subsidiary of Lafayette, said this "incidental production" will be shipped to China and Korea in three tranches after the company obtained an ore transport permit from the Department of Environment and Natural Resources (DENR).
RRPI president Manuel Agcaoili said the first tranche of 800 tons of copper concentrates worth $1.8 million has already been shipped to China last week. He said the second tranche, around 705 tons and worth $1.1 million, will also go to China.
...
He said the third tranche of 1,600 tons of zinc concentrates worth some $1 million will be sent to Korea by the middle of this month.
All minerals are, of course, leaving the country for processing.

(crossposted from the ATM site)

Monday, February 5, 2007

Taskforce Save Rapu-rapu and Alyansa Tigil Mina

TF-SR2 is coordinating with the Alyansa Tigil Mina to share resources, both real and netside.

Site of Struggle: Rapu-rapu - resources at the ATM website.

Most importantly perhaps - the Final Report of the Bastes Commission.

Concept of Task Force Save Rapu-rapu

The polymetallic mining project of the Lafayette Mining Limited, an Australian mining company, is wreaking havoc in the island of Rapu-rapu. In just five months of commercial operation in 2005, Lafayette mining has already caused two destructive mine spills, toxic contamination and fish kill incidents, and economic dislocation of thousands of local fisher folks in the surrounding coastal municipalities.

Lafayette mining operation is facing rising and strong resistance from the local communities who have consistently oppose the mining operations and continue to assert their human rights, protect their livelihood, and defend the local island's ecosystem which is classified as an environmentally-critical area.

In this context, Defend Patrimony, national alliance campaigning against the mining liberalization policies of the Arroyo administration and consistently active in opposing the Lafayette mining project, took the initiative to form the "Task Force Save Rapu-rapu" to further advance the interest and welfare of the local communities affected by the Lafayette polymetallic mining project. "Task Force Save Rapu-rapu" will be composed of organizations and individuals who are united and will actively support the following points:

· Campaign for the stopping of Lafayette polymetallic mining project in Rapu-rapu Island, Albay

· Call for the implementation of mining moratorium in Rapu-rapu Island

· Gather technical, moral and financial support for the needs and welfare of the local communities and for the success of the campaign