1st of two parts

MACAMBOL, CITY OF MATI, Davao Oriental (MindaNews / 29 November) — On a cloudy afternoon Antonio Engaston, 35, prepares his boat to sail out to sea in hopes to bring fish back home to his family of four.

For years, Antonio, a resident of Barangay Lawigan in this city, has sustained his livelihood through deep-sea fishing using a traditional device locally known as “bobo,” a makeshift fish trap made of woven bamboo slats.

He would lower his 4×3-meter bobo fish traps into the seabed and retrieve them a week after. 

The catch is usually a mix of reef and off-shore species — including needle fish (balo), big-eye scad (matambaka), mud fish, cat fish, tilapia, and crustaceans. Antonio sells them at the nearby market for ₱150 – ₱200 per kilo.

Lawigan is one of the coastal barangays surrounding Pujada Bay, which was named one of the most beautiful bays in the world by the Paris-based Les Plus Belles Baies Du Monde in 2020. 

But with the presence of a nickel mining project sitting about eight kilometers upstream from Pujada Bay, fishermen like Antonio fear soil runoff from the mining operations will turn coastal waters brown — along with all sorts of pollutants that go with it — making their fishing grounds less productive.

“The mountain is already scarred. With the rains becoming frequent and the weather unpredictable, the water turns brown, which leaves us returning home with only a fraction of what we used to catch,” Antonio told MindaNews.

He fears that as the heavy machines continue their work in the mountains, the waters that provided abundance might turn barren.

Jewels of the province

Owing to its white sand beaches and calm waters with mountain ranges at the backdrop, Pujada Bay is a highly valued protected landscape and seascape in the City of Mati.

It covers a total land area of 20,873.43 hectares, with fertile coral (1,175.75 ha), seagrass (610.440 ha), and mangrove (262.719 ha) ecosystems.

On July 31, 1994, former President Fidel V. Ramos, through Presidential Proclamation No. 431, declared the coastal area and islands within Pujada Bay a protected landscape and seascape. It was left under the supervision of the Department of Environment and Natural Resources (DENR) pursuant to Republic Act No. 7586 (NIPAS Act of 1992).

This was reinforced by Republic Act 11038 or the Expanded National Integrated Protected Areas System Act of 2018 (E-NIPAS) approved by former President Rodrigo Duterte.

Under this law, areas protected are those with “national significance characterized by the harmonious interaction of man and land while providing opportunities for public enjoyment through the recreation and tourism within the normal lifestyle and economic activity of these areas.”

Home to a host of varieties of fishes, turtles, mangroves, and coral species as well as seagrasses, it is considered habitat for threatened species, including the whale shark (Rhincodon typus), dugong (Dugong dugon), and a few species of dolphins, with its coastline serving as ancient nesting grounds for the iconic green turtle (Chelonia mydas) and hawksbill turtle (Eretmochelys imbricata). 

Commercially valuable fishes — such as bigeye scad, flat needlefish, horseface, purple eyebrowed tuskfish, silver pomfret, African red snapper, skipjack tuna, and yellowfin tuna — depend on the bay’s ecological integrity and health. 

Meanwhile, upstream, is the Mount Hamiguitan Range Wildlife Sanctuary (MHRWS), the only World Heritage site in Mindanao and sixth nationwide. It was inscribed in the World Heritage List in 2014 by UNESCO, and is also an ASEAN Heritage Park.

The 16,923-hectare Mount Hamiguitan Range — declared a protected area in Republic Act 9303 passed in 2004 — is a sanctuary best known for its bonsai forest and home to nearly 1,400 species of flora and fauna, with about 350 endemic to the country, including the iconic Philippine eagle and Philippine cockatoo.

But in between the areas known for their rich biodiversity, from the ocean to the mountains, is the Pujada Nickel Project, which is sandwiched by the Mount Hamiguitan Range Wildlife Sanctuary and the Pujada Bay.

Portions of these protected areas are within a proximity radius of just a few kilometers from the mining site. Around five kilometers to the northeast is Pujada Bay, and over seven kilometers heading west is Mount Hamiguitan.

Inside the mining project

The Pujada Nickel Project is one of the 23 priority mining projects that are part of the Philippine government’s 2004 Minerals Action Plan.

The Hallmark Mining Corporation (HMC) and Austral-Asia Link Mining Corporation (AALMC), both under the management of Asiaticus Management Corporation (AMCOR), currently hold control of the Pujada Nickel Project, according to the DENR’s Mines and Geosciences Bureau (MGB). The three companies are controlled by mining investor Pedro O. Tan and his family, with almost identical leadership and executives, as outlined in the hallmarkminingdevelopment.com website.

The Pujada Nickel Project is located mainly at Barangay Macambol, and some parts of Barangay Cabuaya, in the northeastern section of the Pujada Peninsula, in the ancestral domain of the Mandaya indigenous people. 

The Hallmark Mining website claimed that the Mandaya people “have given the company their Free and Prior Informed Consent (FPIC) following the process embodied in the RA 8371 or the Indigenous Peoples Right Act.” 

But Sister Remedios Mapinugos, 71, a retired nun who belongs to the Mandaya indigenous people who is now back residing in Macambol, told MindaNews that the FPIC was granted only when selected elders appointed a chief “privately” without the knowledge of the majority of the indigenous community.

According to MGB, both HMC and AALMC held seven Mineral Production Sharing Agreements (MPSA), but consolidated to just two in December 2015 — MPSA No. 196-2004-XI (Amended) and MPSA No. 197-2004-XI (Amended) for HMC and AALMC, respectively.

However, in December 2016, the late Environment Secretary Gina Lopez suspended operations of the Pujada Nickel Project for putting at risk Mount Hamiguitan, the Philippine Eagle, and trees in the area. A staunch advocate for the environment, Lopez suspended many other mining operations elsewhere in the country at that time. 

In the order, Lopez stressed the mining project is sandwiched between two protected areas — Mount Hamiguitan and Pujada Bay — and that the treatment of their stockpile was not indicated in the company’s environmental impact assessment.

But in October 2019, the ECC suspension was lifted by Lopez’s successor at the DENR, Secretary Roy A. Cimatu. (The appointment of Lopez was rejected by the Commission on Appointments, whose membership comes from both chambers of Congress.)

The MGB said the AALMC and HMC mining companies hold MPSAs covering approximately 10,000 hectares in Barangays Macambol and Cabuaya in Mati City.

An MPSA, as defined by the agency, is a contractual agreement where the Philippine government grants the contractor the “right to mine” a specific area. 

The agency said in the AALMC and HMC case, both MPSAs are valid until June 8, 2029, with nickel laterite designated as the principal commodity.

‘Environmentally sound responsible mining’

The MGB confirmed to MindaNews through email that the mining method currently employed by HMC/AALMC is known as strip/contour mining.

MGB retained its position in a statement posted May 30, 2022 that the Pujada Nickel Project is not an open-pit mine but is done through strip/contour mining method only. The agency issued the statement to counter critics claiming that the Pujada Nickel Project is an open-pit mine, and to assure that it is operating outside the protected areas of the province.

In a statement issued on May 26, 2022, the Davao-based environmental advocate Interfacing Development Interventions for Sustainability (IDIS) pushed to ban the reopening of the Pujada Nickel Project, which it claimed is an open-pit mine, as it has extensive environmental and social impacts.

“The issuance of the ECC by the Government attests that the Environmental Management Plan/Environmental Monitoring Plan of the Environmental Impact Statement was approved by the Environmental Management Bureau (EMB) to minimize any adverse impacts to the environment throughout the mining operations,” MGB XI Regional Director Beverly Brebante emphasized.

MGB said a Multipartite Monitoring Team (MMT) is also present to conduct regular quarterly monitoring activities to ensure the companies effectively implement the Environmental Protection and Enhancement Program and compliance to existing laws and policies.

The MMT is composed of the DENR, National Commission on Indigenous Peoples (NCIP), indigenous people (IPs), non-government organizations (NGOs) and local government units (LGUs).

Calls for closure

On October 6 this year, the provincial government of Davao Oriental held a dialogue with the community following a visual inspection of the mining site where it was revealed that 200 hectares of the forest were already scarred from the mining operations.

“The money will be gone, but we cannot replace our only Earth,” Davao Oriental Governor Nelson Dayanghirang said.

The provincial government said it eyes to issue orders to suspend the mining operations due to the destruction that has left the mountain deforested.

In an interview with MindaNews last October 30 at the Tourism Mansion in Mati, Dayanghirang explained the strong stance of the government to order the mining operations shut as these have destroyed the environment.

“The mining operations have damaged a huge area of the forest, and they did not follow responsible mining operations. They have a number of violations. As governor, I cannot allow them to abuse it,” Dayanghirang said.

“If deforestation continues, the source of water will be affected, and the communities nearby will be prone to landslides,” he added. 

A Task Force, he said, was created to investigate the mining operations. Through the Provincial Engineering Office, a drone surveillance was conducted.

Dayanghirang called for the October 6 dialogue with the stakeholders as the group had to force entry and bring armed military since the mining company denied them entry. Government officials and civil society organizations were present during the dialogue. 

Dayanghirang recognized that if the mining operation continues, there are risks to Mount Hamiguitan and Pujada Bay.

“I laud the city government of Mati, religious sector, and the business sector that they stand with my suggestion to close the mining operations, for the benefit of the people of Davao Oriental,” he said. 

All the barangays of Mati, including the city government, have passed a resolution to support the call of the provincial government to shut down the mining operations.

The provincial government has already filed a formal complaint addressed to the DENR, the Mindanao Development Authority (MINDA), and the Office of the President against the Macambol mining project.

The complaint outlined the community’s fears, environmental risks, and potential long-term damage to protected ecosystems surrounding Macambol. 

“I don’t think the DENR will still favor [the mining companies] with all the evidence I have sent them. And of course the people of Davao Oriental, specifically the people of Mati City, will not allow them to renew,” the governor stressed.

City Councilor Tara Marie Rabat Gayta, chair of the committee on environment, said in her privilege speech during the city council’s session on October 7 that she recognized the role of mining in economic progress, but when conducted irresponsibly, it becomes an “agent of destruction.”

“Let us stand united in declaring no to mining that destroys, yes to development that sustains, yes to life, to nature and to a greener Davao Oriental and to the City of Mati,” she said.

Civil society organizations and the church in Mati echo the same call.

During MindaNews’ October 30 visit in Barangay Lawigan, the president of the Macambol Multi-Sectoral Association for Integral Development (a community-based environmental advocacy group that has been opposing the mine operations for 20 years), Primo Solis, said the fisherfolks will be the first to be delighted once the closure proceeds.

Lawigan fisherfolk like Antonio have lived most of their lives by the sea and sustained their living through fishing, and oftentimes as tour guides and boatmen to tourists wanting to visit the vastly popular White Sand Bar and the Pujada Island in Pujada Bay.

Solis explains that the mining firm prohibits local fishermen from catching fish near the docking site and adjacent area.

“The fisherfolk are not allowed to go near the area. The adjacent area is guarded, restricting them to enter,” Solis said.

MindaNews rented a motor-powered boat to check the area of Pujada Bay adjacent to the mining operations in Macambol. After about an hour, upon reaching the area, there were no fishermen in sight. Rather, three huge cargo ships and seven barges were docked.

Solis recalled that before the mining project started, deep sea fishers can bring home loads of off-shore fish within a week. He said it now takes them a month before they can secure a return of investment.

Solis said that aside from restricting the fisherfolk, soil runoff from the operations almost reached Pujada Island due to the consistent heavy rains in June and July.

“What will happen to Pujada Bay if the mining operation continues? When it rains, water and mud flow to the ocean. Who would want to visit one of the most beautiful bays in the world if the water turns chocolate in color?” Solis said.

Antonio, being a fisherman, said the contamination in the rivers of Barangay Pintatagan, Banaybanay municipality also in Davao Oriental (but facing Davao Gulf) could also happen in Pujada Bay.

In 2022, heavy rains caused siltation to the river as the siltation ponds of Riverbend Consolidated Mining Corporation, mining contractor of ARC Nickel Resources Inc., overflowed. It is located about 800 meters from the fishing communities of barangays Pintatagan and Puntalinao. 

To note, months prior, in January, MGB XI sanctioned both Riverbend and ARC with three violations following the discoloration on Maputi and Pintatagan rivers. ARC mainly extracts lateritic nickel and iron ore.

The study “Evaluation Of Sediment And Water Quality Of Silted River-Marine Systems Of Banaybanay, Davao Oriental: Initial Step Towards Regenerative Mining” by Melanie M. Garcia et al. published in October 2025 revealed substantial pollution levels, particularly for Chromium (Cr) and Nickel (Ni) with heavy metal concentrations reaching up to 9921 mg/kg and 8232.3 mg/kg, respectively.

The study provided a comprehensive assessment of heavy metal contamination in the Banaybanay riverine ecosystem in Davao Oriental due to the nickel mining spill with study sites in barangays Pintatagan, Mapagba and Maputi.

The study stressed that high Ni and Cr concentrations at Mapagba and Maputi sites indicated severe industrial pollution with risks to aquatic life and human health. 

IDIS said its stance in 2022 remains the same: the tidal pattern, hydrodynamics, and proximity to Pujada Bay make it a high probability that mine tailings such as laterite will damage and affect the coral reefs. 

“Laterite, and other probable metals from mine tailings caused by sediment mineralogy and geochemistry changes, will increase during the sedimentation (deposition) phase as a result of calm meteorological or hydrodynamic conditions,” the group said in a statement released in May 2022.

The sedimentation, it adds, increases the acidity (pH) and reduces the dissolved oxygen of seawater, causing low-quality seawater and eventually leads to high risks for coral bleaching and in turn a decrease in aquatic resources of Pujada Bay.

Wenceslao Mapa, head of the Parish Pastoral Council of Barangay Dawan, told MindaNews he can only wish the government would have the political will to push for the stoppage of the mining operations.

“We are overjoyed as the parish stands with the position of the Diocese of Mati banning mining operations in the city,” Mapa said, noting this has been the cry of the Church for many years.

Mapa recalled that in 2016, he personally handed to the late DENR Secretary Lopez the report about the destruction the mining operations had caused, which prompted their temporary closure in the same year.

But he said the campaign against mining should not just end in calls; rather, a strong action is needed against it.

Mapa said he would appreciate it if the province could come up with a “strong ordinance” that will ban mining or impose a 50-year moratorium. “We do not have any other Earth, we only have one Earth,” he added. (Nova Mae Francas / MindaNews)

This story is published with the support of Canal France International under the Media for One Health program.

Tomorrow: Jobs, billions of pesos at stake