Sagittarius Mines, Inc
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SAGITTARIUS MINES, INC. 16 April 2013 Bobbie Santa Maria Researcher and Representative Business and Human Rights Resource Centre Christopher Avery Director Business and Human Rights Resource Centre Dear Ms Santa Maria and Mr Avery Thank you for the opportunity to respond to concerns regarding Sagittarius Mines Inc.’s (SMI) Tampakan Copper-Gold Project raised in the article ‘Anti-mining protest marks International Women’s Day’, published in the Business Mirror on 9 March 2013. It is important to note that our proposed Tampakan Project, located in southern Mindanao in the Philippines, is currently in the approvals phase and, as such, is not an operating mine. SMI is developing the project in line with the industry-leading sustainable development practices of our managing shareholder, Xstrata Copper, which are aligned with international standards including the United Nations (UN) Declaration of Human Rights, the International Labor Organization Conventions, the UN Global Compact, and the Voluntary Principles on Security and Human Rights (VPSHR). Through the Tampakan Project, we aim to establish a blueprint for modern, large-scale mineral development in the Philippines. Environmental management SMI understands that water quality, security of water supply, waste management, biodiversity, and land clearing are important concerns for many of our stakeholders and we have invested significant resources to understand the potential impact of our proposed mining activities. As part of our world-class Environmental Impact Assessment (EIA), we have undertaken extensive technical studies and an unprecedented level of consultation to develop rigorous environmental and social management plans to ensure that potential impacts are mitigated or avoided. During the EIA process, we consulted more than 17,000 stakeholders including our host communities, tribal leaders and councils, municipal and national government, farmers and water users, industry and business groups, and church and faith-based organizations, who had input into our project designs and environmental management plans. The recent granting of our conditional Environmental Compliance Certificate (ECC) by the Philippine Government acknowledges the extensive technical work and consultation undertaken since 2009 as part of our EIA process. We are now in the process of clarifying some of the conditions in the proposed ECC. It will become effective once these terms and conditions have been agreed by SMI and the Philippine Department of Environment and Natural Resources (DENR). Head office: Corner Guijo-Talisay Streets, Poblacion Tampakan, South Cotabato 9507 Philippines Tel +63 83 227 1118 Fax +63 83 227 1108 GSC office: JPM Building, Bula Lagao Road, General Santos City 9500 Philippines Tel +63 83 554 8414 Fax +63 83 552 8405 Manila office: 12/F LKG Tower, 6801 Ayala Avenue, Makati City 1227 Philippines Tel +63 2 856 3023 Fax +63 2 856 3032 Security in local communities The safety of our employees, contractors and host communities is our priority and we recognize that regional security is a significant, and ongoing, risk for our project. Mindanao has a long and complex history of conflict associated with traditional customs, clan rivalries, religious and political insurgencies, and internationally recognized terrorist groups. We have been working with local stakeholders for many years on a range of initiatives to reduce violent conflict and enhance security in the area, with the aim of achieving a durable solution to long-term law and order issues affecting communities in the region. We were deeply saddened by the tragic deaths of Mrs Juvy Capion and her two children as a result of the incident between the Armed Forces of the Philippines (AFP) and an armed group led by Mr Daguil Capion in October 2012. We are aware of claims made by some stakeholders that the Capion family is being pursued by the AFP due to their opposition to the Tampakan Project. We take allegations of this nature seriously, however in relation to these incidents they are unfounded. We have always respected, and continue to respect, the rights of our stakeholders to express their views about our project. It should be noted that Mr Capion is a fugitive wanted by the Philippine authorities on three counts of murder and a warrant for his arrest was issued in 2011. We have formally adopted the VPSHR at the Tampakan Project to guide our management of security risks, the use of private security service providers, and our interactions with public security agencies and local communities. We have been providing awareness training on the VPSHR to our private security personnel and external stakeholders, including the AFP, since 2009. Currently, our focus remains on continuing to engage openly and honestly with our stakeholders to obtain the other necessary environmental, community, government and shareholder approvals required for the project to proceed. We remain encouraged by the widespread support for the Tampakan Project from our many stakeholders, including formal statements of support from tribal councils and chieftains; directly and indirectly affected barangays (villages); officials of host and non-host municipalities (towns); regional government bodies; business and industry associations; and other interest groups. I hope the information detailed here provides you with sufficient background on our approach to managing human rights, security risks and potential environmental impacts at our Tampakan Project. For more information on the project, including our annual sustainability reports, I encourage you to visit our website, www.smi.com.ph. Yours sincerely Ian Callow Manager – Public Affairs 2/2 .