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PROVINCIAL )) PROVINCIALMINING MININGREGULATORY REGULATORYBOARD BOARD(PMRB (PMRB held at PMRB Office, GDOP Government Center, Prosperidad
held at PMRB Office, GDOP Government Center, Prosperidad

MINUTES MINUTESOF OFTHE THEMEETING: MEETING:

June June27, 27,2013 2013

PARTICIPANTS: Members present: 1. 2. 3. 4. ENGR. NOLI N. ARREZA ENGR. FERDINAND A. CORTES FOR. DANILO R. LASTIMOSA MR. ELPIDIO M. CAMORRO Members Absent: 1. MR. ARMANDO R. GOMEZ 2. MR. ROMEO D. DURAN Secretariat present: 1. MR. RICARDO A. CALDEO 2. FOR. ZENEVEV A. LONGAQUIT Other Present: 1. CARLO ESPERO, IV 2. 3. ENGR. RUDY LAURO MARIE ANNE BACOBA MAGAURUM Development Corporation, Project Manager MAGAURUM Development Corporation MAGAURUM Development Corporation SEMS, PENRO-LGU/Secretariat SuEMS, PENRO-LGU/Secretariat PGO Representative/ Vice-Chairperson Small Scale Mining Representative MGB 13/ PMRB Coordinator Large Scale Mining Representative DENR-PENRO Representative NGO Representative

HIGHLIGHTS OF THE DISCUSSION: At 2:30 in the afternoon, Engr. Noli N. Arreza, MGB 13/ PMRB Coordinator presided the meeting upon determining the members of the board in attendance were in quorum. Reading of minutes of the previous meeting followed. With few clerical corrections, the minutes of the previous meeting was unanimously adopted. Agenda adopted for discussion & deliberation: 1. Resolution No. 02, Series of 2013 of Agusan del Sur Environment and Sustainable Development Council (ASESDC) 2. Resolution No. 03, Series of 2013 of Agusan del Sur Environment and Sustainable Development Council (ASESDC) 3. Presentation of Magaurum Development Corporation re: Industrial Sand and Gravel Application (ISAG) Discussion & Deliberation: Agenda Considering the presence of representative of Magaurum Development Corporation, the body agreed to defer Agenda No. 1 & 2 and proceed to Agenda No. 3. Discussions Recommendations/ Resolutions

1. Presentation of Magaurum Development Corporation re: Industrial Sand and Gravel Application (ISAG)

1.1 Presentation by: Ms. Marie Anne Bacoba, Staff of Magaurum Corporation 1.2 Purpose of presentation: Generate support to in place application of ISAG at Wawa River, Barangay Mabuhay, City of Bayugan 1.3 MAGAURUM DEVELOPMENT CORPORATION a. Project Title: Industrial Sand and Gravel Extraction b. Location: Wawa River, Barangay Mabuhay, City of Bayugan c. Total Area Project.: 5.0 Hectares

1.4 PROJECT DESCRIPTION: a. The Project - Target Annual Production of Sand and Gravel: 50,000 cubic meters maximum using of mechanical equipment. b. The Operation - The extraction of aggregates shall be carried through the use of Mechanical equipments particularly wheel loader, Backhoe and Bulldozer whenever necessary. i. Extracted materials shall be loaded to (10) Ten wheeler dump truck and transported to designated stockpile area located at 1-kilometer approximate distance from the quarry area. Hauled/Transported river mixed materials to stockpile area shall undergo natural separation using mechanical separator assembly. River Mixed materials shall pass through a hopper where water being supplied to wash the materials and eliminate clayey and unwanted materials. From the hopper, the materials will pass through a series of vibrating screen for sizing purposes and using a belt conveyor system. Screened materials will be deposited at its own designated area ready for commercial purposes. The hopper is a waste collector device installed as depository of all the wastes accumulated during washing of the river mixed materials to avoid direct disposal just anywhere. For some valuables content, considering further separation process, water is a necessity and that turbid water will be generated. Corresponding series of settling ponds will be constructed, the design of which will depend on the

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sloping pattern of the depository area to confine the silt materials which shall then be collected and deposited in an areas. It suites to be able to accommodate more silt materials as the operation continued. c. The Commodity Produced i. The operation can produce aggregate materials with varied sizes being demand in the market for construction aspect. ii. Products are screened construction materials and produced the following volume by percentage, to wit: Washed Sand -30% Gravel - 50% Stone/ Boulder - 10% Waste accumulated 10%

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d. Estimated Daily/ Annual Production -Targeted annual production is approximately 50,000 cu.m. e. Projected Project Life Span i. Projected annual production of 50,000 cu.m and five (5) has. Project area ii. Projected project life span is five (5) years. d. Water Supply i. Water requirement estimated to run the operation is at 250 gallons or more per minutes. One of the potential sources will be at Wawa River which shall be pumped out using available facilities to drive water going to the stock file area. Another potential source is the NIA main diversion canal. ii. The operation process, clear water being accumulated from the settling pond shall be recycled as augmentation to lessen water requirement coming from the identified sources. e. Power Supply - Power supply shall be tapped from Agusan del Sur Electric cooperative (ASELCO). The corporation is contemplating to provide their own reserve generator set. f. Marketing - Produced aggregates shall be sold to local market at very reasonable price hope to be of free delivery within 20-km distance from the stockpile area and with additional cost for orders beyond 20-km. Reactions: a. Forester Lastimoza on what is the status of ECC their? Mr. Espero discussed

that as per information, status clearance is required prior for complying EMB requirement and process. b. Mr. Camorro inquired on any similar projects implemented? Mr. Espero said that as Magaurum Corporation, the company has no experience yet. However, personnel working with Magaurum handled many projects related to this. c. Mr. Camorro further inquired on the alleged extraction at Brgy. Mabuhay, Bayugan City. Mr. Espero explained that there was ASESDC Resolution regarding the extraction. So their company endorse to legal counsel and still waiting for any legal action. They will provide feedback time soon.

d. Engr. Arreza clarified that EMB region 13 did not accept the application because of no status clearance yet. Mr. Espero explained that they prepared pre-plotted map but no status clearance issued. e. Mr. Camorro informed that there are instances that owner of land affected in the extraction will ask royalty and this needs to be addressed. f. Engr. Arreza required the applicant/proponent to secure consent from nearby land owner to avoid future complaints. Also, other requirements: - LGUs (Brgy./Municipality/Province) favourable endorsements as included in the checklist of requirements - Based on presentation, equipment to be used dump truck. - ISAG basically necessitates mechanical processing - This is Application for ISAG, he inquired why recovery is included

2. ASESDC Resolution No. 02, Series 2013

g. Mr. Caldeo informed that IEC report already included. So, Magaurum shall ensure to have - request for area evaluation, what will be the suggestion of the PMRB - Apprehension may perhaps utilize dredger - Intent to apply ISAG and its acceptance need to be decided by the board. - Recommend for compliance of request. h. Discussion link to resolution # 2 of ASESDC series of 2013 i. Mr. Camorro asked assurance from Magaurum regarding pull-out of dredging

The PMR Board unanimously

= ABACUS-denied application = For information j.

equipment. Engr. Lauro of Magaurum calrified on what way their company will do. Mr. Camorro reiterated that based on the ASESDC resolution stressed to pull out dredging equipment but as previously mentioned, you still need the response from legal counsel of Magaurum. Mr. Espero said that Magaurum Board still need for their action. Engr. Arreza said that the PMR Board wanted to generate commitment from the Magaurum Development Company regarding ASESDC Resolution. Mr. Espero motioned for reconsideration. On other hand, Mr. Camorro inquired if the above concern could be included is the IEE report. Mr. Caldeo explained that could be embodied on their plan.

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approved to hold in abeyance on the processing of ISAG application until such time MAGURUM complied with the ASESDC resolution no. 2 series of 2013 to dismantle installed dredging equipment in the area.

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m. For. Lastimosa querried on dredging application before is another area of this ISAG application? Is it a titled property? Mr. Espero explained that based on gathered documents parcel of applied area are with Tax Declaration & with Title covering 5.0 hectares. Also had barangay certification of owners. n. For. Lastimosa understood that there are 3 owners involved. He reminded that both sides of the river (15m both sides) should secure for riverbank protection with no structures. Technical description could become basis. o. Mr. Camorro found conflict based on documents claim of land owner/actual claimants which need to be addressed p. Engr. Cortes informed that Magaurum still required to submit IEE, wherein we will be discussing the environment management plan. Suggest to endorse the application with provision to comply required by ASESCD others environment concerns will be part of the IEE. Engr. Arreza reckoned the discussion on the commitment of MAGAURUM regarding dismantling. Engr. Lauro of Magaurum explained that dredging machine is our equipment considered as misquoted that it is not an environment friendly machine. For them, we will prove the negative apprehension of the real impact of using dredging machine. q. Engr. Arreza informed about the case in Misamis Oriental and in Cabadbaran City using same equipment which pose negative impact to environment. Engr. Lauro of Magaurum described the present structure of which discharge direct to riverbank. He emphasized that washing can do be done also at the

riverbank. When it comes to apprehension on magnetic separator, I knew that this need application for MPP. r. Engr. Arreza informed that MGB Central office is no to dredging machine to avoid conflict in the community. Engr. Lauro ensure that their company will execute affidavit duly notarized as to pull out installed dredging equipment. Mr. Camorro moved that endorsement of PMRB be deferred pending compliance of their commitment to ASESDC Resolution No. 2 series of 2013. Engr. Cortes seconded. Engr. Cortes recommended informed that all application shall be endorsed to MGB for Status clearance. In same way, MGB will inform the applicants.

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3. Other Matters

Engr. Arreza informed about BASCSSMARADS resolution denying SSM located within. Status: - resolution for approval to governor which need for followup - MGB for new issuance of status clearance - Original 761.51 hectares which found a bigger area applied - Technical evaluation cover applied area of about 90 hectares recommended by technical personnel of MGB. Engr. Arreza informed that 2013 target for Minahang Bayan is four (4) for segregation within Caraga. E.O 79, Series of 2012 Update - IRR of DAO 34 and RA7076 is still not finalized. PMRB notice of posting for publication shall include Tourism, Agriculture and DAR offices.

PMRB Resolution requiring in the notice of posting for publication to include offices of Tourism, Agriculture & DAR (refer EO 79, Series of 2012 regarding no go zones MGB to prepare joint resolution reconstituting PMR Board to be signed by Provincial Governor

Reconstitution of PMR Board

Next Meeting July 25, 2013

With no more concern to be discussed, the meeting adjourned at 5:00 oclock in the afternoon upon motion of Mr. Camorro and seconded by For. Lastimoza. Certified Correct: For. ZENEVEV A. LONGAQUIT SuEMS, PENRO-LGU/Secretariat Attested: Engr. NOLI N. ARREZA MGB-R13/ PMRB Chairperson