Typhoon Haiyan: The relief after the storm

The mill at OceanaGold's Didipio gold mine in the Philippines, 250 km north of Manila. Credit: OceanaGold The mill at OceanaGold's Didipio gold mine in the Philippines, 250 km north of Manila. Credit: OceanaGold

Typhoon Haiyan swept across the Philippines on Nov. 8, killing nearly 4,000 people, with thousands more missing and feared dead.

The monstrous storm, locally known as Yolanda, packed sustained winds of more than 250 km per hour as it hit the coastal provinces of Eastern Samar and Leyte, before scything through several other provinces in the Visayas Islands. Most of the damage came from the storm’s tsunami-like waves — reaching as high as 5 metres — that crashed down on communities. Tacloban, the populous port city and provincial capital of Leyte, was one of the hardest hit areas.

The United Nations estimates that 13 million people have been affected, with 4 million displaced in the archipelago containing more than 98 million people and 7,100 islands. The storm is estimated to have caused up to US$14.5 billion in damages.

The UN plans to raise US$301 million to deliver goods and services to those affected. The World Bank has offered a US$500-million emergency loan to help build better buildings that withstand severe winds and flooding. The Philippines on average sees 20 typhoons annually. Haiyan was the second category-five storm to hit this year, following the less fierce Typhoon Usagi in September.

The Canadian government has recently bumped its $5-million donation to $20 million. It will also match private Canadian donations of up to $100,000 made until Dec. 9, noting those contributions are nearing $20 million.

Miners on the ground

Many mining and exploration firms have reported that their staff and operations were luckily unscathed by the super typhoon. But this has not stopped them from pouring millions of dollars in cash and goods to help out.

Vancouver-based gold producer B2Gold is donating US$1 million, mainly to the Canadian Red Cross’ relief efforts. “Our thoughts and our prayers go out to those people who were affected by this terrible tragedy,” the company’s CEO Clive Johnson said on a Nov. 14 conference call. He added that the company’s staff and Masbate gold mine on the island of Masbate escaped the wrath of Typhoon Haiyan.

“The latest typhoon is certainly a very sad event, and we are concerned for the people in the Philippines and sympathize with their loss,” OceanaGold’s CEO Mick Wilkes said. “We are doing everything we can on the ground to assist with the recovery effort, including sending our Didipio emergency response team, along with other mining companies, and by contributing aid in particular to the UNICEF Children’s Emergency Appeal.”

OceanaGold operates the Didipio gold-copper mine in northern Luzon, 250 km north of the capital of Manila, and notes the mine was not impacted.

St. Augustine Gold & Copper’s manager of investor relations Kristi Harvie said the company’s King-King copper-gold project in Mindanao and staff were not affected, but are doing what they can to pitch in.

“Just this afternoon, we’ve loaded a truck bound for Visayas with 2,500 packs of relief aid that contain rice, ready-to-eat meals and toiletries, plus 5,000 litres of bottled drinking water,” MJ Maranion, the firm’s public relations representative in Mindanao, wrote in a Nov. 19 email. “We’re thankful for the Philippine Mine Safety and Environment Association for being the means for these goods to reach the communities in Tacloban.” The Spokane-based firm has donated medicine and vitamins, Maranion added.

Vancouver junior Philippine Metals, which has three copper projects in the country, says it remains committed to advancing its business investment in the Philippines despite the operating and permitting challenges the recent typhoon has caused. “Most importantly, our primary focus is on taking whatever steps we can to assist in relief efforts,” the explorer’s president Marshall Farris wrote in an email. 

Some companies were less fortunate, but were eager to contribute. Glencore Xstrata reported that Pasar — the country’s sole copper smelter and refinery in Leyte province— suffered heavy structural damage because of the typhoon. It estimates it could take up to six weeks to repair its 78%-held operation. Meanwhile, the commodities giant has provided US$2 million in funds through the Pasar Foundation for the disaster relief. Pasar is 22% owned by local investors.

“We have not received any reports of injuries or fatalities, but some employees living in more remote areas are still unaccounted for,” Pasar added in a Nov. 15 release. “Rest assured we are making all efforts to reach them and ensure everyone’s safety and well being.”

Mindoro Resources’ executive vice-president and corporate secretary Penny Gould said the junior’s jointly held Agata nickel-laterite project in Mindanao suffered minor damage mostly to the roads, while the Pan de Azucar sulphur-copper-gold project in Iloilo province was “almost in the direct path” of the typhoon, which  caused modest damage to the camp facilities. “But the efforts right now are trying to help the local people, rather than looking at our own camp facilities, which weren’t really being used at the moment,” she said, adding that “thank goodness there was no loss of life of our staff.”

Mindoro’s joint-venture partner TVI Pacific stated its operations and projects were “relatively unaffected,” apart from damage to some roads. “The company wishes for the Philippines and its people to soon recover,” it said.

Typhoon Haiyan created more havoc after leaving the Philippines for Vietnam, where it made landfall on Nov. 10 as a tropical storm, killing 14 people and injuring more than 80, before rolling into southeast China, where it left 8 dead. 

Toronto-based Besra Gold said it temporarily halted operations at its Bong Mieu gold mine in central Vietnam on Nov. 16 due to the several landslides and road closures admist heavy rains triggered by Haiyan, and earlier by Typhoon Nari in October. Besra says it isn’t sure when the mine will reopen, but points out that Phuoc Son — its other gold mine in Vietnam — and its early stage Capcapo gold property in the Philippines, were not impacted.  

BHP Billiton, which has no operations in the Philippines, recently contributed A$500,000 (US$470,600) to the Red Cross Typhoon Haiyan Appeal from its BHP Billiton Sustainable Communities charity. It will also give two dollars for each dollar an employee donates through its Matched Giving program.

Canpotex has gifted $100,000 to Typhoon Haiyan relief. “Our employees all over the world and our shareholders — Agrium, Mosaic and PotashCorp — share a great concern for what has emerged by this natural disaster, and we hope that our donation makes an immediate impact in recovery efforts for the Philippines,” said the firm’s CEO Steve Dechka.

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