MANILA - The Court of Appeals (CA) has affirmed its December 2020 ruling against a nickel mining firm in Central Luzon, turning down its plea for a court order to press its rights over a contested area covered by its agreement with the government. In a February 22 resolution released on Thursday, the CA's Sixth Division denied for lack of merit the motion filed by the Zambales Diversified Metals Corp. (ZDMC) in its suit against the Acoje Residents Association (ARA). The firm had been among the mining companies ordered closed by the late former Environment secretary Gina Lopez in 2017 for lapses in compliance with government mining regulations. "Considering that there are no substantial issues raised in the motion (for reconsideration filed by ZDMC), we find no cogent or compelling reason to alter, modify or reverse the said decision," the appellate court said. The mining firm took the case to the CA to appeal the 2017 decision of the Iba, Zambales Regional Trial Court Branch 70 which said while the mining firm has shown it has rights, it "failed to show proof of its entitlement to an injunctive writ" against the residents' association. In 2014, the ARA members claimed that the mining operations in the area known as the "airstrip" would affect their water source identified as the L-1650 portal. The area had been part of more than 3,700 hectares of land in the municipalities of Sta. Cruz and Candelaria, Zambales covered by a Mineral Production Sharing Agreement (MPSA) issued to CRAU Mineral Resources Corporation (CRAU) approved by the Department of Environment and Natural Resources (DENR) and which was later assigned by CRAU to ZDMC. Following the concerns raised by ARA, ZDMC commissioned experts from the University of the Philippines National Institute of Geological Sciences - Environment Monitoring Laboratory (UPNIGS-EML) to conduct a study to show that the water supply would not be affected by its mining operations. On May 4, 2016, the UPNIGS-EML submitted the Hydrogeological Baseline Study for ZDMC and showed its findings that "no impact on the L-1650 water source is perceived with any earthwork in the planned airstrip mining area." However, ARA said it is not recognizing the study, prompting the mining firm to go to court. The mining firm, in seeking the lower court's action against ARA, claimed the latter had put up barricades at access roads to block the movement of transport vehicles to and from the contested site. Prior to this, the DENR and ARA executed an agreement where DENR devolved to ARA the responsibility of managing 1,011.43 hectares of forest land located in the area including a 623.20-hectare portion falling within the ZDMC's contract area. In 2012, the ZDMC in an agreement said it "recognize[d] the expressed preference of the ARA members to continue to maintain peaceful possession and beneficial use as residential area the entire ARA Community Residential Area" and declared that "it shall not do any mining operations within the ARA community residential area that will disturb or in any way prejudice the possession and beneficial use thereof by the ARA community. In its December 2020 decision, the CA dismissed the mining firm's claims that actions by ARA prompted it to cease operations. "The cessation of ZDMC's operations was not due to the acts allegedly committed by the respondents-appellees from 16 to 23 May 2016, but due to the following circumstances: (1) the complaints of various groups against the alleged environmental impacts of its mining operations; (2) the Executive Order issued by the Provincial Government of Zambales suspending its mining operations; (3) the DENR's Joint Suspension Order dated 7 July 2016; and (4) the closure order issued by former DENR Secretary Gina Lopez on 8 February 2017," the CA said. (PNA) }