The new National Mining Policy by President Aquino contained in Executive Order 79 was welcomed by Mindoro Nickel as a major step towards responsible utilization of the country’s mineral resources while ensuring protection of the environment for future generations. It also notes the fact that the new National Mining Policy emphasizes the need for more value-added mining and the development of downstream industries in the mineral sector.
Throughout the years, Mindoro Nickel has been advocating the very same principles the National Mining Policy stands for. Mindoro Nickel was designed to maximize the utilization of the mineral deposit; with an economic break-even grade of 0.4 percent Ni, below the geological cut-off, means that the entire deposit will be utilized as all ore above 0.4 percent can be extracted economically. Mindoro Nickel therefore avoids selective high-grade mining, which will potentially leave lower-grade ore behind, valueless. Mindoro Nickel also plans to process its ore in a local refinery, which produces final LME-grade nickel metal.
The heart of the refinery is an acid plant that converts native sulphur into sulphuric acid and thereby releases steam, which in turn generates carbon-free electrical power. In fact 110 MW electrical power produced this way will exceed the project’s needs and could provide over 30 MW carbon-free energy to the island’s grid. The refinery will produce 53,000 tpa of refined nickel; 16,000 tpa cobalt sulphate; 75,000 tpa metallurgical-grade chromite; and potentially about 200 tonnes Scandium and other rare earth elements (REE). In addition, and to the benefit of the local economy and agriculture, a substantial annual by-production of 150,000 tonnes of ammonium sulphate fertilizer (21-0-0) is planned. This will exceed the nation’s current imports of this fertilizer.
Mindoro Nickel should be considered a new national industrial undertaking, rather than a traditional mining project. The metals refinery will be constructed near the sea where a pacific-size port will accommodate ocean-going vessels. The project is proposed as the country’s first refined nickel plant and could become a catalyst to further development of downstream industries, supported by its many valuable by-products, excess energy and international infrastructure facilities.
Regarding the mining itself, as the ore is occurring at surface or less than a meter from this, and consist of a layer, about 6-10 meters thick, it can be extracted in terraces by a simple earth-moving activity and requires no blasting or deep excavations.
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