Letter - July 2016
Dear Tiger Shareholder:
Recent political changes
in the Philippines have impacted the mining industry in that country,
and have affected our operations there,
but we don’t know to what extent or for how long.
Presidential terms are for a single 6 year term there, and the president
seems to not like mining. But his reported media statements are confusing
and conflicting and one should never make business decisions based
on media reports.
What we do know is that he had a critic in a strong environmentalist
who was critical of all forms of mining, but especially of large
open pit style mining, so the president appointed her to be the Secretary
of Mining. It has been common practice to strip copper and nickel
orebodies and truck the ore to the coast where ships would take it
to China for processing, leaving behind the stripped area with no
rehabilitation. This seems to be the practice that has offended the
new administration. Her immediate act was to order closure of three
nickel mines and then to suspend all permit processing and ordered
staff to audit all mines and mining companies, taking them away from
processing permit applications.
How does this impact our company? We received a letter from the Secretary
ordering us to cease operations, as did every company with any form
of permit or license there. We complied and chose to lay off staff,
continuing with a skeleton management crew. The renewal of EP006,
which we anticipated would have been reissued a few weeks ago, is
delayed by this order so we will await an outcome.
The government moves, while illogical since they effectively shut
down the mining industry temporarily, is stated to allow the government
to review every mine’s operations. We cannot see how this can
affect us long term because we plan to rehabilitate our project at
the end of its life, but we can’t predict what the new government
might do. It is responsible that we keep shareholders apprised and
will do so when we have some understanding and direction from the
Tiger International Resources Inc.
President, Tiger International Resources Inc.