MANILA, Sept 11 (Reuters) - The Philippines' mining watchdog
has recommended lifting the suspension of a small-sized nickel
miner, one of several ore producers ordered in 2016 to halt
operations in an industry-wide crackdown, a senior government
official said on Wednesday.
The Mines and Geosciences Bureau (MGB) recommended that
Zambales Diversified Metals Corp - one of two nickel
subsidiaries of DMCI Mining Corp - be allowed to resume mining
operations, Environment Undersecretary Analiza Teh said.
The Department of Environment and Natural Resources (DENR)
lifted the suspension order on DMCI Mining's other nickel
subsidiary, Berong Nickel Corp, in November last year.
The Philippines was the world's second-largest producer of
nickel ore in 2018, selling most of its output to top buyer
China. In 2020, when last year's top producer Indonesia is due
to ban its ore exports, China is expected to rely mainly on
nickel ore from the Philippines, according to analysts.
DMCI Mining, a unit of DMCI Holdings Inc DMC.PS , had said
in March that it expected 2019 to be a tough year, with one of
its two mines still suspended and its inventory almost depleted.
The Berong and Zambales mines, two of more than 30 nickel
ore producers in the Philippines, in recent years accounted for
less than 5% of the nation's output of the material, which is
used in stainless steel and electric vehicle batteries.
Teh said the DENR has also lifted the suspension order
against Carrascal Nickel Corp, but five other suspended mines -
mostly nickel ore producers - have yet to comply fully with the
requirements that would allow them to operate.
Teh, speaking at a Philippine mining conference, said the
MGB has also recommended lifting a suspension order issued
against iron ore miner Strong Built Mining Development Corp.
Philippine nickel ore production rose 3% in the first half
of 2019, but output was capped as half of the country's nickel
mines were closed for maintenance or environmental reasons.
In 2016, the DENR, then headed by a staunch anti-mining
advocate, ordered several mines shut in a crackdown on miners as
part of a push to ramp up environmental protection.