Flor G. Tarriela l June 6, 2023 l Manila Bulletin
Responsible mining? Mining is always a sensitive issue. It is important to extract and mine reasonably / sustainably guided by science and a sense of stewardship. For every resource taken, need to give back to the environment and the community.
My father Benjamin Gozon was the director of the Bureau of Mines for 14 years. I practically “grew up” in the Bureau of Mines in Herran street as I went to schools nearby. When my brother, GMA 7’s Felipe Gozon learned I was a Nickel Asia Corporation (NAC) director, he remarked “Good, NAC is a profitable company; the Zamora brothers, Manuel and Ronaldo were UP Bar topnotchers.”
Atty. Manuel “Manny” Zamora Jr. founded Nickel Asia and his philosophy was to focus on people, make sure that “operations are environmentally conscious, land disturbances minimized and championed mine rehabilitation for the benefit of the communities”. He stepped down in 2019 and remained Board Advisor, succeeded by his son Martin Antonio “Dennis” as President / CEO, with seasoned mining executive Gerard Brimo as Chairman and Patricia “Diday” Riingen as Vice Chairwoman. Other NAC board members are Harvey Ang, Shiro Imai, Yusuke Niwa, Angelo Valencia, Leonides Juan Virata, widely diverse in terms of skills, experience, nationality, gender etc.
The world’s nickel production was 3.2Million tons in 2022. Philippine share was at 11% with NAC as the Philippines top producer. NAC operates five mining companies with sites located in Palawan, Surigao Del Norte, Dinagat Islands, Eastern Samar and Isabela. NAC’s operating companies consistently win the highest awards at the National Mine Safety and Environment Conferences. In 2022, Hinatuan Mining Corporation and Taganito Mining Corporation received the Presidential Mineral Industry Award, the highest recognition by the President of the Philippines that excelled in safety and environment protection. Rio Tuba Nickel and Cagdianao Miing Corporation received the Platinum Achievement award.
NAC takes Sustainability at heart. To ensure that all three pillars of Sustainability – Environment, Social and Governance (ESG) are ingrained in NAC’s DNA and core values, global leader Sustainalytics was contracted as its third party ESG rating partner. NAC was the first company in the metals and mining industry to have a Board-level Sustainability Committee with J.B. Baylon as Chief Sustainability Officer. Seven million native trees such as Mangkono, Bagras, Antipolo etc were planted in the mining sites. Gender equality is evident with women executives SVP Gina Martinez as Corporate Governance Officer, CFO Angel Villamor, Corp Secretary Barbara Migallos, Engineer Cynthia Rosero, the first female Resident Mine Manager as NAC’s VP Mining Center of Excellence and Strategic Projects. In the recent ASEAN Corporate Governance Scorecard, NAC was recognized with two golden arrow award.
Nickel is an exciting commodity. Its versatility and unique properties have a wide range of application, almost omnipresent in our lives. It is a critical component in stainless steel production extensively used in construction, manufacturing, and infrastructure development. Its excellent corrosion resistance and durability make it an ideal choice for manufacturing products like pipelines, machinery and in construction of transportation systems.
Nickel holds immense value in the electric vehicle (EV) revolution. As the world transitions towards greener modes of transportation, the demand for nickel-rich lithium-ion batteries continue to grow. The global penetration rate for EVs in the market is expected to reach 50% by 2030; currently at 12%. Its contributions to various industries, including stainless steel production, electric vehicles, and renewable energy, demonstrate its growing importance in the world.
NAC’s financials are strong. Net income earned in 2022 was P7.9 billion, healthy financial condition and robust cash flow despite challenges in the global economy. When President Dennis came in 2019, NAC stock price was around P2 per share, now trading at the P6.00 level with regular hefty dividends.
Congratulations to NAC’s Gold Citation in Finance Asia’s Best Company Awards in 2023 and one of only four companies in the Basic Materials Company sector recognized this year. Atty. Manny must be well pleased with his successor and the company developments. Hurrah to One NAC!
*** Ms. Tarriela was former chairman of Philippine National Bank. former Undersecretary of Finance and the First Filipina Vice President of Citibank N.A. She is PNB Board Advisor, Nickel Asia’s Lead ID and a trustee of LTG, FINEX, TSPI, and TSPI MBAI. A gardener and an environmentalist, she founded Flor’s Garden in Antipolo.