Mining is often seen as a necessary evil — a source of economic gains shadowed by environmental damage and social disruption. But here in the gold-rich municipality of Aroroy, the Masbate Gold Project (MGP) is working to challenge that narrative, putting responsible practices, community development, and environmental stewardship at the center of its operations.
Operated by Filminera Resources Corporation for mining and Phil. Gold Processing and Refining Corporation (PGPRC) for ore processing, MGP has become one of the country’s largest gold producers since it began operations in 2009. As the project approaches its projected mining end in 2028, the company is under increasing scrutiny to show that its legacy will be one of more than just extraction.
“Mining can be done responsibly,” says Renel Jose Banzon, MGP’s mining manager. “And it’s our job to make sure we do it right, not just for today, but for future generations.”
Turning Rock Into Gold — And Opportunity
Gold at MGP is extracted through open-pit mining, a method that removes layers of rock to access the ore beneath. Though it leaves a visible scar on the landscape, Banzon notes it’s considered safer than underground mining. “It’s more manageable in terms of slope stability and safety,” he says. The site integrates radar monitoring, daily safety checks, and strict engineering protocols.
Once rock is hauled from the pit, the real transformation begins inside PGPRC’s gold processing plant, a high-security facility filled with heavy machinery, chemical treatment tanks, and tight environmental controls.
Johannah Daphne Sison, PGPRC’s plant metallurgist, walks through the process: crushing, grinding, leaching, adsorption, electrowinning, and finally, smelting to produce gold dore bars — an alloy of gold and silver.
“It’s not just about extracting gold. It’s about doing it efficiently, safely, and in compliance with the law,” Sison explains.
The waste material from processing — known as tailings — is treated to neutralize cyanide before being stored in a tailings storage facility (TSF). Managed by a separate team, the TSF is a vast engineered containment system surrounded by four dams. Concerns from residents about possible leakage or dam failure are addressed head-on, says TSF superintendent Aldwin Bencito.
“We operate with a 7.25-meter freeboard — more than double the minimum safety requirement,” Bencito says. “And the design can withstand earthquakes up to magnitude 8.3.”
Water is constantly tested, recycled, and treated before it is released into the environment, following both Philippine and Australian standards. Even naturally grown vegetation has started sprouting in the tailings beach area, a sign, Bencito says, of safe containment and proper discharge.
Investing in the Future — Not Just in Gold
But MGP’s ambitions go beyond technical compliance. One of its most visible investments in sustainability is a soon-to-be-operational solar power plant, featuring 16,000 solar panels spread across 8.7 hectares. Slated for completion by August 2025, the system will generate 8.2 megawatts, allowing the processing plant to reduce its dependence on electricity drawn from the local grid.
“This isn’t just a cost-saving measure,” Banzon says. “It’s a commitment to long-term sustainability. Even after mining ends, these investments will remain.”
The plant is expected to reduce electricity consumption significantly, potentially saving over Php 150 million annually in power costs. Return on investment is projected in just two to three years.
A Fragile Balance
Mining is, by nature, a high-impact industry. The risks — environmental degradation, social conflict, or industrial accidents — are real. But so are the opportunities, especially when operators make deliberate efforts to minimize harm and share benefits.
With the glaring challenges on hand, MGP ensures that safety remains the top priority. “Ma-ensure [na] yung mga operators namin is makauwi nang ligtas. Kasi ang mining is [a] high risk industry. Maraming hazards. So, kailangan ma-manage namin ‘yun properly para ma-ensure namin ‘yung safety ng buong personnel na nagtatrabaho,” Banzon added.
MGP’s approach remains under watch by government regulators, environmental groups, and the local community. But its leaders hope that by pulling back the curtain on how their systems work — from the crushing plant to the tailings dam — they can shift perceptions.
“We understand the community’s fears,” Bencito says. “That’s why we are transparent. And we build—and operate—with safety and sustainability in mind.”
As the Philippine mining sector continues to weigh economic contributions against environmental responsibilities, the Masbate Gold Project presents a case study in what responsible mining can look like when risk is matched with accountability — and when gold is valued not just by the ounce, but by its long-term impact.