February 12, 2025 – The National Coalition of Small-Scale Miners of the Philippines, Inc. (NCSSMPI) and Cebuana Lhuillier Foundation Inc., the social responsibility arm of PJ Lhuillier Group of Companies, signed a memorandum of understanding (MOU) today, formalizing a partnership to implement development programs that will benefit small-scale mining communities.
“We are sincerely grateful to Cebuana Lhuillier for this partnership, and we look forward to programs that will help uplift the lives of small-scale miners, their families, and their communities,” said NCSSMPI President Josephine Balonga.
The MOA outlines initiatives aimed at assisting small-scale miners in their efforts to become formalized through capacity-building programs focused on technical skills and compliance with government regulations. The partnership also seeks to develop sustainable livelihood programs for mining communities.
According to environmental NGO BAN Toxics, small-scale mining operations in the country are largely informal and illegal due to challenges in securing licenses, such as exorbitant application fees, the limited validity of mining permits, and bureaucratic red tape.
“The formalization of small-scale miners is an essential step toward government support and ensuring sustainable and responsible mining in the sector,” said NCSSMPI Secretary and BAN Toxics Community Development Officer Arleen Honrade.
BAN Toxics has been working with the small-scale gold mining sector for more than a decade and played a key role in the formation of NCSSMPI in 2016. The organization focuses on eliminating mercury use in small-scale mining. Mercury, a highly toxic chemical banned under the Minamata Convention, remains widely used in small-scale gold mining.
Honrade noted that an estimated 500,000 small-scale gold miners operate in 12 provinces, the majority of whom belong to the country’s poorest sectors.
“With the Philippines being the fifth-largest gold producer in Asia, supporting the formalization of small-scale miners will be beneficial to the Philippine economy,” Honrade added.
NCSSMPI is also advocating for amendments to Republic Act 7076, or the People’s Small-Scale Mining Act, to streamline the application process for mining licenses and provide adequate support for miners transitioning to mercury-free and environmentally sustainable technologies.
Cebuana Lhuillier has introduced programs supporting small-scale miners in recent years, including the establishment of gold-buying stations accredited by the Bangko Sentral ng Pilipinas and “Miner’s Protect,” the first and only insurance policy in the Philippines designed for miners.
In a statement, the Foundation said it aims to contribute to the development of the Small-Scale Mining Industry. “This partnership with the National Coalition of Small-Scale Miners of the Philippines, Inc. will enable us to collaborate and initiate programs that will directly benefit the small-scale miners, and to improve the lives of our fellow Filipinos and generations to come,” it further said.