Cadan Resources Corp (fka CXD)

[basserdan]

*** A message from Rennie ***

T2,
Though he didn't answer my question regarding whether SUR had the necessary permit, he did have the following to say.

Rennie asked me to post this email message if I cared to and since I don't do the zoo at Stockhouse, would you please post it over there at your earliest convenience?

Fwiw, the email is time stamped 1:35PM 2/6/06....


Hi Dan,

The NR of January 30, will set the stage for all future news releases.

Institutional fund managers asked us for more detail so we provided it.

I absolutely agree that the NR was too technical and perhaps confusing to the average investor but its purpose was to help us to communicate the drilling results as they are issued. Trust me on this issue.

WRT to the Bishops. The indigenous people in our community (who have a great deal of say in the matters of if mining will proceed in the Philippines) were very upset as the Bishops did not consult them and many other indigenous Philippine communities.

Accordingly the truth is the bishops are now under attack from all quarters and in all likelihood will be censured by the Catholic Church authorities.

Please post this message if you wish and also the article by the attached article by Philippine Govt regarding the issue of a mining moratorium in the Philippines. Please note that the ruling by the Supreme Court in Nov 2004 CANNOT BE REPEALED.

Sur holds all its properties and is no danger of losing any of them and fully expects that the transition from exploration to production associated with the relevant licences will occur smoothly simply because we have all the necessary local support and also support from high level politicians.

Dan, thanks for your commewnts as always

Cheers

Rennie
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"RP still open to mining, Palace tells investors"

First posted 04:06pm (Mla time) Feb 04, 2006
By Gil C. Cabacungan Jr.
Inquirer

"MALACAÑANG on Sunday sought to assure investors that the Philippines was still open to new mining ventures and that their investments were safe in the wake of Palace efforts to placate the Catholic bishops who have launched a campaign to stop mining.

It clarified that the government’s offer to the Catholic Bishops' Conference of the Philippines to suspend new mining permits covered only projects in Albay province, the site of the recent Rapu Rapu mine disaster.

“The President supports new investments from responsible mining companies because her administration is both pro-environment and pro-growth,” said Press Secretary Ignacio Bunye in a statement.

The CBCP, which represents the Church hierarchy, rattled big business last week when it issued a pastoral letter demanding that President Gloria Macapagal-Arroyo repeal the Mining Act of 1995 opening the mining sector to investments, cancel all approved mining concessions and suspend pending applications.

The Inquirer reported on Sunday that Malacañang had offered to suspend all new mining permits temporarily while the government and Church leaders agree on a more rigid screening process for mine applications.

Mine industry executives sharply criticized the offer, saying it would make the Philippines a pariah in the foreign investment community, and displace two million workers along with some eight million dependents.

Acting Chief of Staff Michael Defensor explained that the statement he had made in Bicol regarding the moratorium on mining permits only covered Albay province.
“The new management of Lafayette [the operators of the Rapu Rapu mine] has committed to fund an independent commission to be selected by the bishops to determine the extent of the problem,” Defensor said.

Defensor assured the CBCP that the government would adopt a “fool-proof” system in processing mining applications to ensure the protection of local communities, especially indigenous Filipinos.

This was the best the government could do to address the CBCP’s concerns, he said.
“The request for the repeal of the Mining Act has legal and economic implications that we have to study. The policy is the law and we cannot elude that. Any amendments to the law should be coursed through Congress,” he said.

In defense of mining

The Palace also stepped up its defense of the mining industry whose recent revival the President expects to bring jobs and made a dent on widespread poverty.
The government expects a turnover of about five billion dollars from the mining sector in 2006.

It is aiming for 1.5 billion dollars in new mining investments this year and 6.5 billion dollars over the next five years.

“We believe that the mining sector can be a force for good in many areas throughout our country. Responsible mining companies are a catalyst for economic development in some of the most remote parts of the country,” Bunye said.

“Their projects provide much-needed employment for tens of thousands of our rural countrymen, tax revenues that support education, health care and other social services, and modern infrastructure that benefits all sectors in our rural economies.”

Bunye said the Arroyo administration shared the bishops’ concern for a clean, healthy environment as well as their call to “reduce any negative impact from mining projects.”
“I want to assure the CBCP and the people of the Philippines that we will continue to closely monitor all mining projects and will only approve new projects with those companies who agree to work with government at all levels,” he said.

Bunye said the government has also encouraged the holding of “open, transparent public meetings to include stakeholders from local communities, including religious and civic leaders” that would discuss the entry of new mining ventures.

Sorsogon Bishop Arturo Bastes, who has been designated the CBCP spokesperson on the issue of mining, said they were holding the President to her promise not to approve any more mining permits, which she made during a dialogue in Malacañang recently.
“The President must make good her promise because we were sincere in our intentions when we met with her,” said the prelate.

In General Santos City, leaders of the B’laan tribal communities said the indigenous communities welcomed mining and told the bishops to leave them alone.
“We believe mining is not evil if it helps improve the living condition of tribal residents in the project area,” said a statement signed by five tribal chieftains.

The CBCP call for a mining ban would affect 24 priority mining projects, including that of the Sagittarius Mines Inc. (SMI) in the boundaries of Sultan Kudarat, Davao del Sur and South Cotabato where the communities live.

The bishops said the Mining Act posed a danger to the existence of indigenous communities.

The tribal leaders said the CBCP demand did not reflect the sentiments of the tribespeople living in the mining areas. They said the entry of SMI had done a lot to improve the lives of their people.

They told the CBCP to respect their right to decide for themselves and give them a chance to chart their own destiny.

“If we are going to follow what the bishops wanted, we stand to lose the rare chance of improving our lives. Stripping us of such rights is akin to robbing us, especially our children, of a brighter future. Giving in to what the bishops want for the Tampakan copper project would violate our rights to develop,” the tribal leaders said.

With a report from Aquiles Z. Zonio, Inquirer Mindanao Bureau, and Bobby Q. Labalan, Inquirer Southern Luzon Bureau