House suspends pozzolan mining

In a matter of four days, the House of Representatives introduced and passed a bill suspending any new pozzolan mining activity on Mt. Pagan for lack of a comprehensive study.

The suspension does not actually stop mining activity in the area by the existing permit holder, J.G. Sablan.

When asked by Rep. David Apatang on how the proposed measure would affect the current contractor, House legal counsel Joe Bermudez said, “It’s an existing contract so it won’t be affected.”

Yet Bermudez agreed with Apatang that if the contractor violated its contract terms, then the contract can be terminated.

J.G. Sablan, which has long been cited by authorities for breach of contract stemming from its inability to show proof of production over the years, remains the legal holder of a mining permit on Mt. Pagan.

In recommending the passage of the bill, the House Committee on Natural Resources, headed by acting chair Clyde Norita, said it finds that the lack of study or assessment by the Marianas Public Lands Authority or other government agencies as to the characteristics and actual value of the mineral, and potential risks to the environment, places the CNMI at a disadvantage.

“To ensure that the Commonwealth receives a fair share of the pozzolan extraction and marketing and that the potential risks to the environment posed by the mining be reduced, if not eliminated, the committee finds it necessary that a comprehensive assessment of pozzolan mineral extraction on Pagan be undertaken,” it said.

While citing the lack of study, the committee reported that the 1981 eruption on Pagan “deposited 200 million tons of natural pozzolan”—the same figure that an investor, Azmar International, has been citing under its $46 million proposed mining project.

The bill, titled Pozzolan Extraction Act of 2004, authored by House Speaker Benigno R. Fitial, mandates the conduct of a comprehensive assessment of pozzolan mining on Pagan before an extraction is made in the area.

The bill prohibits any individual, company or government agencies, including the Marianas Public Lands Authority, from extracting or mine pozzolan in the area. Violators shall be assessed a $1,000 fine.

The bill authorizes the governor to reprogram any unobligated funds to finance the conduct of the study.

The bill calls for the creation of a task force to oversee the assessment project. The task force shall be chaired by the MPLA commissioner. Other members would include representatives from the Office of the Mayor of the Northern Islands, Division of Environmental Quality, Department of Lands and Natural Resources, Department of Commerce, Department of Finance, Department of Public Works, Coastal Resources Management, and the Commonwealth Development Authority.