Apollo Global Capital Inc. said Monday its offshore mining operations in Gonzaga, a coastal town in the northern tip of the Philippines, has been stalled by the damages caused by Super Typhoon Egay.
It said the incident report sent by the barge master of MB Siphon 1, which the company uses to extract magnetite iron reserves in the seabed near Gonzaga, noted that three of the five anchor wires gave way because of the gale 10 category wind and 5-meter high waves spawned by Egay. It added that the chartered tug boat ran aground due to the large waves and swells.
Fortunately, said Apollo Global president Bonner Dytoc in a letter to the Philippine Stock Exchange, the disaster preparation made by their Filipino crew averted injuries and life-threatening risks.
“We are currently undergoing an extensive assessment protocol as part of our safety operational procedure,” said Dytoc, adding: “Salvaging, anchor retrieval and related repairs are underway. Rest assured that we are working double time to return to the offshore mining site for operations. In light of this fortuitous event, there will be an adjustment of our export schedules this year.”
Apollo Global’s offshore mining, under via a joint venture between its unit JDVC Resources Corp. and businessman and restaurateur Frank Lao, is the first such project in the Philippines. The offshore mining project, which started in 2021, aims to extract a total mineral deposits of 512 million metric tons of magnetite iron over 47 years. The offshore mining output is shipped to China.
Magnetite is an iron ore use for making steel. It is also used as catalyst for making ammonia, as pigment for paints and ceramics, and as magnetic microparticles and nanoparticles.
