This document is an environmental impact statement for the proposed Tampakan Copper-Gold Mine Project in South Cotabato, Philippines. It was prepared by AECOM for Sagittarius Mines Inc., the project proponent. The 6-volume report assesses potential environmental, social, and health impacts of the open-pit mining project, which would extract over 1 billion tonnes of ore over 17 years. Key findings include that the project area contains diverse wildlife and vegetation, as well as communities that rely on agriculture, fishing, and natural resources for livelihood. The report models impacts to hydrology, air and water quality, and acoustic and seismic effects. It also provides mitigation plans to prevent environmental damage and protect

1. TAMPAKAN COPPER-GOLD MINE PROJECT EIS Environmental Impact Statement MAIN REPORT Document No. R10-033 April 2011 Volume 1 - Main Report Volume 2 - Annexes

2. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFTEnvironmental Impact StatementPrepared forSagittarius Mines, Inc.Prepared by23/F Fort Legend Towers, 3rd Avenue Corner 31st Street, Bonifacio Global City, Fort Bonifacio, Taguig City, Philippines 1634T +63 2 478 3266 F +63 2 478 3270 www.aecom.com01 April 201151052409.10@ AECOM Philippines, Inc. 2010The information contained in this document produced by AECOM Philippines, Inc. is solely for the use of the Client identified on the cover sheet forthe purpose for which it has been prepared and AECOM Philippines, Inc. undertakes no duty to or accepts any responsibility to any third party whomay rely upon this document.All rights reserved. No section or element of this document may be removed from this document, reproduced, electronically stored or transmittedin any form without the written permission of AECOM Philippines, Inc.

3. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFTQuality InformationDocument Environmental Impact StatementRef 51052409.10Date 01 April 2011Prepared by AECOM ManilaReviewed by AECOM Brisbane, Hansen BaileyRevision History AuthorisedRevision Revision Date Details Name/Position Signature0 17-Jul-2010 First Issue. To Hansen Bailey Jess Bayrante Previously signed (HB) Project Manager1 1-Sept-2010 Second Issue. To Integrate Jess Bayrante Previously signed HB’s comments Project Manager2 20-Sept-2010 Third Issue. To Sagittarius Jess Bayrante Previously signed Mines, Inc. (SMI) Project Manager3 1-Nov-2010 Fourth Issue. To Sagittarius Jess Bayrante Previously signed Mines, Inc. (SMI) Project Manager4 17-Dec-2010 Fifth Issue. For EMB’s Jess Bayrante Previously signed Procedural Review Project Manager5 01-Apr-2011 Sixth Issue. For Sagittarius Jess Bayrante Mines, Inc. (SMI) Project Manager

4. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFTTable of ContentsVolume 1 – Main ReportList of Technical NomenclaturesExecutive Summary1.0 Introduction 1-11.1 Background 1-11.2 Proponent 1-11.3 Process Documentation of the Conduct of EIA 1-41.4 EIA Study Team 1-41.5 EIS Structure 1-62.0 Project Description 2-12.1 Project Location and Area 2-1 2.1.1 Location 2-1 2.1.2 Accessibility 2-1 2.1.3 Financial and Technical Assistance Agreement (FTAA) 2-5 2.1.4 Potential Primary and Secondary Impact Areas 2-52.2 Project Rationale 2-62.3 Project Components 2-92.4 Project Alternatives 2-142.5 Resource Geology 2-162.6 Process 2-18 2.6.1 Mining Process 2-18 2.6.2 Mineral Processing 2-18 2.6.3 Waste Management 2-21 2.6.4 Water Management 2-282.7 Project Size 2-402.8 Development Plan, Description of Project Phases, and Corresponding Timeframes 2-40 2.8.1 Project Development Plan 2-40 2.8.2 Description of Project Phases 2-41 2.8.3 Proposed Project Schedule 2-492.9 Manpower 2-502.10 Indicative Project Investment Cost 2-503.0 Analysis of Key Environmental Impacts 3.1-43.1 The Land 3.1-4 3.1.1 Land Use and Classification 3.1-4 3.1.2 Geology, Geomorphology, and Geohazards 3.1-12 3.1.3 Waste Rock Geochemistry, Tailings Geochemistry, and Acid Rock Drainage 3.1-44 3.1.4 Pedology 3.1-49 3.1.5 Terrestrial Vegetation 3.1-65 3.1.6 Terrestrial Wildlife 3.1-933.2 The Water 3.2-1 3.2.1 Hydrology and Hydrogeology 3.2-1 3.2.2 Water Quality 3.2-46 3.2.3 Aquatic Ecology 3.2-903.3 The Air 3.3-1 3.3.1 Meteorology/Climatology 3.3-1 3.3.2 Air Quality 3.3-10 3.3.3 Greenhouse Gas Emissions 3.3-23 3.3.4 Noise 3.3-27 3.3.5 Vibration 3.3-393.4 The People 3.4-1 3.4.1 Methodology 3.4-1 Page | i

5. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFT 3.4.2 Baseline Socio-economic Profile 3.4-2 3.4.3 Public Health and Sanitation 3.4-22 3.4.4 Perception Survey 3.4-36 3.4.5 Principal Agreements 3.4-36 3.4.6 Stakeholder Analysis and Major Issues and Concerns 3.4-37 3.4.7 Transportation and Traffic Conditions 3.4-39 3.4.8 Potential Impacts and Options for Prevention or Mitigation or Enhancement 3.4-404.0 Environmental Risk Assessment 4-14.1 Acute Risks/Worst Case Scenario 4-1 4.1.1 Methodology 4-1 4.1.2 Hazard Identification 4-2 4.1.3 Risk Analysis 4-44.2 Geotechnical Engineering 4-8 4.2.1 Methodology 4-8 4.2.2 Risk Assessment 4-8 4.2.3 Worst-Case Risk Management and Selection of Applicable Engineering Design Criteria 4-125.0 Impacts Management Plan 5-15.1 Preconstruction 5-15.2 Construction 5-25.3 Operation 5-115.4 Closure 5-186.0 Social Development Framework and Information Education and Communication Framework 6-16.1 Social Development Framework (SDP)/Indigenous Peoples Development Plan (IPDP) 6-1 6.1.1 Cultural Sustainability/FPIC Framework and Strategic Plan 6-126.2 Indicative Information, Education and Communication Framework 6-137.0 Environmental Compliance Monitoring 7-17.1 Multi-sectoral Monitoring Framework 7-17.2 Environmental Guarantee and Monitoring Fund Commitment 7-1 7.2.1 Mine Rehabilitation Fund 7-2 7.2.2 Mine Waste and Tailings Fees 7-2 7.2.3 Final Mine Rehabilitation and Decommissioning Fund 7-27.3 Self-Monitoring Plan 7-28.0 Emergency Response Policy and Guidelines 8-19.0 Abandonment/Decommissioning/Rehabilitation Policies and Guidelines 9-19.1 Summary of Conceptual Mine Closure Plan 9-210.0 Institutional Plan for EMP Implementation 10-111.0 References 11-1List of TablesTable 1-1 Technical Studies and International Partners 1-4Table 1-2 Members of the Philippine EIA Team 1-6Table 2-1 Host Government Units 2-1Table 2-2 Project Impact Areas 2-5Table 2-3 Project Components 2-9Table 2-4 Project Alternatives 2-14Table 2-5 Project Ore Reserve 2-16Table 2-6 Reagents Used in the Concentrator 2-19Table 2-7 Non-Mine Wastes 2-25Table 2-8 Estimated Project Water Requirements 2-30Table 2-9 Modeled Existing and Mining Flows for Mal River at Matanao NIA 2-30 Page | ii

6. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFTTable 2-10 Modeled Taplan River Flows at the LMT CIS 2-30Table 2-11 Proposed Project Schedule 2-49Table 2-12 Manpower Requirement Based on Expertise/Skills 2-50Table 3.1-1 Key Findings and Conclusions - Land Use and Classification Assessment 3.1-4Table 3.1-2 Project Site Land Classification 3.1-5Table 3.1-3 Land Use Distribution 3.1-5Table 3.1-4 Ancestral Domains in the Project Site 3.1-9Table 3.1-5 Summary of ECA-Affected Areas within the Project Site 3.1-11Table 3.1-6 Potential Impacts and Options for Prevention or Mitigation or Enhancement – Land Classification and Land Use 3.1-11Table 3.1-7 Key Findings and Conclusions - Geology, Geomorphology and Geohazards 3.1-13Table 3.1-8 Summary of Episodes of Volcanism and Mineralization with Geochronological Ages for the Tampakan Andesite Sequence 3.1-15Table 3.1-9 Local Stratigraphy and Geology of the Project Site 3.1-23Table 3.1-10 Summary of Host Rocks, Alteration Types, and Mineralization of the Tampakan Andesite Sequence 3.1-24Table 3.1-11 Geohazard in Relation to Slopes and Percent Coverage of the Project Site 3.1-26Table 3.1-12 Geohazards, Corresponding Risks, and Mitigating Measures 3.1-27Table 3.1-13 Faults Considered for Attenuation Equations (summarized from KCBL, 2010) 3.1-33Table 3.1-14 Ground Motion Prediction Equations (GMPEs) used in PSHA and Weights 3.1-33Table 3.1-15 Summary Results from Deterministic Seismic Hazard Assessment 3.1-34Table 3.1-16 Calculated G-values for Defined Faults and Seismic Responses per Subsurface Material 3.1-37Table 3.1-17 Potential Impacts and Options for Prevention or Mitigation or Enhancement – Geology, Geomorphology and Geohazards 3.1-40Table 3.1-18 Key Findings and Conclusions - Waste Rock Geochemistry, Tailings Geochemistry, and Acid Rock Drainage 3.1-46Table 3.1-19 Summary of Acid Forming Potential for the Different Rock Alteration Types 3.1-46Table 3.1-20 ARD, Tailings and Waste Rock - Potential Impacts and Options for Prevention or Mitigation or Enhancement 3.1-48Table 3.1-21 Key Findings and Conclusions - Pedology 3.1-53Table 3.1-22 Soil Types 3.1-53Table 3.1-23 Soil Physico-Chemical Properties and Other Land Qualities 3.1-58Table 3.1-24 Suitability Rating of Crop by Soil Type 3.1-58Table 3.1-25 Land Capability Classification 3.1-59Table 3.1-26 Potential Impacts and Options for Prevention or Mitigation or Enhancement - Pedology 3.1-63Table 3.1-27 Key Findings and Conclusions - Terrestrial Vegetation 3.1-70Table 3.1-28 Extent of the Land Cover Types 3.1-72Table 3.1-29 Numbers of Families, Genera and Species 3.1-82Table 3.1-30 Top Ten Species by Importance Value 3.1-83Table 3.1-31 Top Most Frequently Occurring Understorey Species 3.1-84Table 3.1-32 New Mindanao Island Records 3.1-86Table 3.1-33 Threatened Species 3.1-87Table 3.1-34 Potential Impacts and Options for Prevention or Mitigation or Enhancement – Terrestrial Vegetation 3.1-88Table 3.1-35 Key Findings and Conclusion - Terrestrial Wildlife 3.1-96Table 3.1-36 Noteworthy Species (IUCN 2009 and PWA 2001) 3.1-106Table 3.1-37 Potential Impacts and Options for Prevention or Mitigation or Enhancement – Terrestrial Wildlife 3.1-107Table 3.2-1 Short Duration PMP Estimates 3.2-9Table 3.2-2 Long Duration PMP Estimates 3.2-10Table 3.2-3 Basic Catchment Attributes for Ungauged Sites 3.2-11Table 3.2-4 Key Findings and Conclusions – Hydrology and Hydrogeology 3.2-15Table 3.2-5 Estimated Catchment Areas 3.2-16Table 3.2-6 Modeled Existing Flows at Taplan and Mal River 3.2-18Table 3.2-7 Philippine Groundwater Classes 3.2-18Table 3.2-8 Water Use Surveys (December 2009 to April 2010) 3.2-21Table 3.2-9 Estimated Irrigation Water Requirements 3.2-22 Page | iii

7. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFTTable 3.2-10 Water Permits Issued in Host Municipalities 3.2-25Table 3.2-11 Selected Groundwater Water Permits (NWRB, 2006) 3.2-28Table 3.2-12 Fresh Water Supply Requirements 3.2-33Table 3.2-13 Potable Water Supply Requirements 3.2-34Table 3.2-14 Summary Water Supply Requirements 3.2-35Table 3.2-15 Estimated Area Occupied by the TSF, WRSF and Open Pit at the Mal and Taplan Catchments3.2-38Table 3.2-16 Modeled Taplan River Flows at the LMT CIS 3.2-38Table 3.2-17 Modeled Existing and Mining Flows for Mal River at Matanao NIA Dam 3.2-39Table 3.2-18 Design Flood Peaks at Existing Condition (m3/s) 3.2-39Table 3.2-19 Design Flood Peaks during Mine Operation (m3/s) 3.2-39Table 3.2-20 Design Flood Peaks at Post Mining Condition (m3/s) 3.2-40Table 3.2-21 Simulated Groundwater Outflow (Baseflow) 3.2-41Table 3.2-22 Reductions in Groundwater Derived Baseflow 3.2-42Table 3.2-23 Potential Impacts and Options for Prevention or Mitigation or Enhancement – Hydrology and Hydrogeology 3.2-43Table 3.2-24 Parameters Analyzed for Stream Water and Groundwater Quality 3.2-51Table 3.2-25 DAO 1990-34 Water Usage and Classification Guidelines for Fresh Surface Waters 3.2-52Table 3.2-26 Key Findings and Conclusions - Stream Water and Groundwater Quality 3.2-53Table 3.2-27 Stream Water Quality Parameters that Exceeded the DAO 1990-34 Water Quality Criteria 3.2-58Table 3.2-28 Summary of PNSDW 2007 Parameters Exceeded (Non-Drinking Groundwater Sites) 3.2-63Table 3.2-29 Primary Water Uses in the Project Site Catchments and Surrounding Lowland Areas 3.2-64Table 3.2-30 Potential Impacts and Options for Prevention or Mitigation or Enhancement – Water and Sediment Quality 3.2-68Table 3.2-31 Key Findings and Conclusions – Lake and Marine Water Quality 3.2-81Table 3.2-32 DAO 1997-23 Revised Coastal and Marine Waters Usage and Classification Guidelines 3.2-85Table 3.2-33 Key Findings and Conclusions – Aquatic Ecology (Study Area Freshwater Streams) 3.2-94Table 3.2-34 Fish Species Collected from the Western and Eastern Catchments 3.2-95Table 3.2-35 Macrocrustacean Species Collected from Each Catchment 3.2-95Table 3.2-36 Macroinvertebrate Community Data 3.2-97Table 3.2-37 Riparian Vegetations Cover Categories 3.2-99Table 3.2-38 Species of Conservation Significance by Catchment 3.2-100Table 3.2-39 Key Findings and Conclusions – Aquatic Ecology (Lake Buluan) 3.2-102Table 3.2-40 Freshwater Fish of Lake Buluan 3.2-103Table 3.2-41 Macrophytes of Lake Buluan 3.2-109Table 3.2-42 Freshwater Ecology Impacts and Mitigating Measures 3.2-110Table 3.2-43 Key Findings and Conclusions – Aquatic Ecology (Marine Ecology) 3.2-112Table 3.2-44 Invertebrate Taxa in the MBA 3.2-116Table 3.2-45 Mangrove Cover in the Municipalities of Davao del Sur 3.2-117Table 3.2-46 Fish Families in the Sarangani Bay Area 3.2-118Table 3.2-47 IUCN 2009 Listed Species in Sarangani Bay 3.2-122Table 3.2-48 Present Sources of Threat to Marine Ecology 3.2-122Table 3.3-1 Meteorological Weather Stations Description 3.3-3Table 3.3-2 Key Findings and Conclusions – Meteorology/Climatology 3.3-3Table 3.3-3 Potential Impacts/Options for Prevention or Mitigation or Enhancement – Climate 3.3-8Table 3.3-4 Air Pollutants Associated with the Mining Activities 3.3-10Table 3.3-5 Air Quality Indices 3.3-13Table 3.3-6 Ambient Air Modeling Generated 3.3-14Table 3.3-7 Key Findings and Conclusion – Air Quality 3.3-14Table 3.3-8 Baseline Ambient Air Quality Levels 3.3-15Table 3.3-9 Potential Exceedances of Air Quality Standards 3.3-16Table 3.3-10 Potential Impacts and Options for Prevention or Mitigation or Enhancement – Air Quality 3.3-22Table 3.3-11 Key Findings and Conclusion – GHG Emissions 3.3-24Table 3.3-12 Biomass Composition per Project Component 3.3-25Table 3.3-13 Estimated CO2-e from Progressive Land Clearing 3.3-25Table 3.3-14 Estimates of Scope 1 GHG Emissions 3.3-26Table 3.3-15 Total Fuel Consumption for the Project 3.3-26Table 3.3-16 Potential Impacts and Options for Prevention or Mitigation or Enhancement – GHG Emissions 3.3-27 Page | iv

8. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFTTable 3.3-17 Modeled Meteorological Conditions 3.3-31Table 3.3-18 Key Findings and Conclusions – Ambient Noise 3.3-31Table 3.3-19 Background Noise Levels from Unattended Noise Logging 3.3-31Table 3.3-20 Areas of Potential Exceedances of Noise Levels 3.3-32Table 3.3-21 Potential Impacts and Options for Prevention or Mitigation or Enhancement – Noise 3.3-38Table 3.3-22 Blasting Vibration Criteria 3.3-40Table 3.3-23 Construction and Operational Vibration Criteria 3.3-41Table 3.3-24 Potential Impacts and Options for Prevention or Mitigation or Enhancement 3.3-42Table 3.4-1 Methodologies for the Various Studies 3.4-1Table 3.4-2 Key Findings and Conclusions – The People 3.4-2Table 3.4-3 Potential Project Host Areas (Provinces, Municipalities, and Barangays) 3.4-4Table 3.4-4 Population and Land Area by Barangay, Tampakan Municipality 3.4-4Table 3.4-5 Basic Information: Host Barangays, Tampakan 3.4-5Table 3.4-6 Population and Land Area by Barangay, Malungon Municipality 3.4-6Table 3.4-7 Basic Information: Host Barangays in Malungon Municipality 3.4-9Table 3.4-8 Population and Land Area by Barangay, Kiblawan Municipality 3.4-10Table 3.4-9 Basic Information: Host Barangays, Kiblawan 3.4-10Table 3.4-10 Total Population and Land Area by Barangay, Columbio, Sultan Kudarat 3.4-12Table 3.4-11 Basic Information: Datal Blao, Columbio 3.4-12Table 3.4-12 Host IP Communities within the Project Site 3.4-13Table 3.4-13 Indirect Impact IP Communities outside the Project Site 3.4-14Table 3.4-14 List of Cultural Heritage Sites found within the Project Site 3.4-16Table 3.4-15 Protocol of Cultural Heritage/ Archaeological Finds 3.4-19Table 3.4-16 Land Ownership in Percent 3.4-20Table 3.4-17 Host Population within the Project Area 3.4-20Table 3.4-18 Health Facilities, Municipality of Tampakan 3.4-22Table 3.4-19 Health Personnel, Municipality of Tampakan 3.4-22Table 3.4-20 Ten Leading Causes of Morbidity, Tampakan 3.4-23Table 3.4-21 Ten Leading Causes of Mortality, Tampakan 3.4-23Table 3.4-22 Leading Causes of Morbidity, Host Barangays, Tampakan 3.4-24Table 3.4-23 Leading Causes of Mortality in Host Barangays, Tampakan 3.4-24Table 3.4-24 Sanitation Facilities among Household Population of Host Barangays, Tampakan 3.4-25Table 3.4-25 Waste Water Disposal Methods Used in Host Barangays, Tampakan 3.4-25Table 3.4-26 Animal Waste Disposal Methods Used in Host Barangays, Tampakan 3.4-26Table 3.4-27 Solid Waste Disposal Methods Used in Host Barangays, Tampakan 3.4-26Table 3.4-28 Health Personnel, Malungon 3.4-26Table 3.4-29 Leading Causes of Morbidity in Host Barangays, Malungon 3.4-27Table 3.4-30 Leading Causes of Mortality in Host Barangays, Malungon 3.4-28Table 3.4-31 Sanitation Facilities among the Household Population of Host Barangays, Malungon 3.4-29Table 3.4-32 Waste Water Disposal Methods Used in Host Barangays, Malungon 3.4-29Table 3.4-33 Animal Waste Disposal Methods Used in Host Barangays, Malungon 3.4-29Table 3.4-34 Solid Waste Disposal Methods Used in Host Barangays, Malungon 3.4-30Table 3.4-35 Leading Causes of Morbidity in Host Barangays, Kiblawan 3.4-30Table 3.4-36 Leading Causes of Mortality of Host Barangays, Kiblawan 3.4-32Table 3.4-37 Sanitation Facilities among Household Population of Host Barangays, Kiblawan 3.4-32Table 3.4-38 Waste Water Disposal Methods Used in Host Barangays, Kiblawan 3.4-32Table 3.4-39 Animal Waste Disposal Methods Used in Host Barangays, Kiblawan 3.4-33Table 3.4-40 Solid Waste (Garbage) Disposal Methods Used in Host Barangays, Kiblawan 3.4-33Table 3.4-41 Leading Causes of Mortality, Datal Blao 3.4-34Table 3.4-42 Leading Causes of Mortality, Datal Blao 3.4-34Table 3.4-43 Sanitation Facilities, Datal Blao 3.4-35Table 3.4-44 Waste Water Disposal Methods, Datal Blao 3.4-35Table 3.4-45 Animal Waste Disposal Methods, Datal Blao 3.4-35Table 3.4-46 Garbage Disposal Methods, Datal Blao 3.4-35Table 3.4-47 Principal Agreements Date of Execution and Updates 3.4-36Table 3.4-48 Major Issues and Concerns 3.4-38Table 3.4-49 Potential Impacts and Options for Prevention or Mitigation or Enhancement 3.4-40 Page | v

9. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFTTable 4-1 Inventory of Chemicals and Their Threshold Levels 4-1Table 4-2 Hazard Analysis Matrix 4-6Table 4-3 Classification of Dams in Terms of Consequences of Failure 4-13Table 4-4 Summary of Failure Classification of Proposed Facilities 4-13Table 4-5 CDA-Suggested Design Earthquake Levels, Inflow Design Flood and Failure Consequence Classes4-14Table 4-6 FOS Criteria for Limit Equilibrium Slope Stability Analysis 4-15Table 4-7 Seismic Design Accelerations TSF, FWD and WRSF 4-16Table 4-8 Deformation Criteria 4-16Table 4-9 Geotechnical Risk Analysis Matrix 4-18Table 6-1 Allocation of 1.5 % Levy on Operating Costs 6-2Table 6-2 Indicative SDP/IPDP for the Municipality of Tampakan, South Cotabato 6-5Table 6-3 Indicative SDP/IPDP for the Municipality of Kiblawan, Davao del Sur 6-6Table 6-4 Indicative SDP/IPDP for the Municipality of Malungon, Sarangani 6-8Table 6-5 Indicative SDP/ IPDP for the Municipality of Columbio, Sultan Kudarat 6-9Table 6-6 FPIC/Cultural Strategic Plan 6-13Table 6-7 Indicative Information, Education and Communication (IEC) Plan 6-14Table 7-1 Self-Monitoring Plan 7-3List of FiguresFigure 1-1 Project Location Plan 1-3Figure 1-2 The EIA Process and the Description of the Steps Undergone by the Project 1-5Figure 2-1 Project Location Map 2-2Figure 2-2 Host Municipalities and Barangays 2-3Figure 2-3 Mine Access 2-4Figure 2-4 FTAA Area Map 2-7Figure 2-5 Tampakan Mine Project Direct and Indirect Impact Areas 2-8Figure 2-6 The Site Development Plan (Facilities Represent Approximately Year 20 of Mine Life) 2-13Figure 2-7 Mine Process Flow Chart 2-20Figure 2-8 Processing Flowchart 2-22Figure 2-9 Waste Rock Placement at the WRSF 2-23Figure 2-10 Water Management Schematic 2-32Figure 2-11 Tailings Storage Facility Conceptual Seepage Controls 2-36Figure 2-12 Waste Rock Storage Facility Conceptual Seepage Controls 2-39Figure 2-13 Project Development at Year 1 2-44Figure 2-14 Project Development at Year 5 2-45Figure 2-15 Project Development at Year 10 2-46Figure 2-16 Project Development at Year 20 2-47Figure 2-17 Project Development at Closure 2-48Figure 3.1-1 Land Classifications of the Project Site 3.1-7Figure 3.1-2 Existing Land Uses of the Project Site 3.1-8Figure 3.1-3 CADC and CADT Boundaries 3.1-10Figure 3.1-4 Principal Tectonic Elements of the Philippines (SMI, 2009 Modified from Rohrlach, 2002) 3.1-17Figure 3.1-5 Regional Geology of Mindanao (Pubellier et al., 1994) 3.1-18Figure 3.1-6 Geology of the Tampakan District 3.1-19Figure 3.1-7 Geological Structures within the Tampakan District 3.1-20Figure 3.1-8 Geomorphology of the Tampakan District 3.1-22Figure 3.1-9 Generalised Stratigraphy, Alteration and Mineralogy 3.1-23Figure 3.1-10 Landslide Susceptibility of the Tampakan District 3.1-31Figure 3.1-11 Landslide Hazard Rating 3.1-32Figure 3.1-12 The 475-Year Return Period of Probabilistic Seismic Hazard Maps of the Philippines 3.1-38Figure 3.1-13 Idealized Preconstruction Flooding Risk Map of the Project Site 3.1-39Figure 3.1-14 Soil Test Pits 3.1-52Figure 3.1-15 Spatial Distribution of Defined Soil Types 3.1-56Figure 3.1-16 Spatial Distribution of Identified Land Capability Classes 3.1-61 Page | vi

10. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFTFigure 3.1-17 Erosion Potential of Southern Mindanao 3.1-62Figure 3.1-18 Terrestrial Vegetation Survey Quadrats 3.1-68Figure 3.1-19 Land Cover Classification of the Project Site (NAMRIA, 2003) 3.1-73Figure 3.1-20 Land Cover Classification of the Project Site (Cumberland Ecology, 2010) 3.1-74Figure 3.1-21 Major Vegetation Communities based on Floristic Composition (Cumberland Ecology, 2010) 3.1-75Figure 3.1-22 Potential and Confirmed Old Growth Forests in the Project Site (Cumberland Ecology, 2010) 3.1-81Figure 3.1-23 Progressive Mine Sequence Land Clearing 3.1-92Figure 3.1-24 Terrestrial Wildlife Transect Stations 3.1-94Figure 3.1-25 Range Distribution of Recorded Species of Amphibian and Reptiles 3.1-98Figure 3.1-26 General Population Status of Recorded Species of Amphibians and Reptiles 3.1-99Figure 3.1-27 Range Distribution of Recorded Species of Birds 3.1-100Figure 3.1-28 General Habitat Association of Recorded Species of Birds 3.1-101Figure 3.1-29 General Population Status of Recorded Species of Birds 3.1-101Figure 3.1-30 Range Distribution of Recorded Species of Volant Mammals 3.1-103Figure 3.1-31 General Habitat Association of Recorded Species of Volant Mammals 3.1-103Figure 3.1-32 General Population Status of Recorded Species of Volant Mammals 3.1-104Figure 3.1-33 Range Distribution of Recorded Species of Small Nonvolant Mammals 3.1-105Figure 3.1-34 General Habitat Association of Recorded Species of Small NonVolant Mammals 3.1-105Figure 3.2-1 Existing Irrigation Systems 3.2-4Figure 3.2-2 Location of Existing Wells and Springs 3.2-5Figure 3.2-3 Stream Gauging Stations 3.2-7Figure 3.2-4 Stream Flow Gauging Stations of DPWH-BRS 3.2-8Figure 3.2-5 Groundwater Model Area 3.2-13Figure 3.2-6 Location of Baseflow Sites 3.2-14Figure 3.2-7 Project Drainage Map 3.2-17Figure 3.2-8 Regional Groundwater Availability (Mindanao Island) 3.2-20Figure 3.2-9 Issued Surface Water Permits (NWRB, 2006) 3.2-27Figure 3.2-10 Issued Groundwater Permits by NWRB (2006) 3.2-30Figure 3.2-11 LWUA Data Bank Groundwater Supply Wells 3.2-31Figure 3.2-12 Stream Water Quality Sampling Sites 3.2-49Figure 3.2-13 Groundwater Quality Sampling Sites 3.2-50Figure 3.2-14 Lake Buluan Water Quality Sampling Sites 3.2-84Figure 3.2-15 Padada River Mouth Water Quality Sampling Sites 3.2-87Figure 3.2-16 Buayan River Mouth Water Quality Sampling Sites 3.2-88Figure 3.2-17 Freshwater Stream Ecological Sampling Sites 3.2-92Figure 3.2-18 Rivers Connecting the Project Site and Lake Buluan 3.2-105Figure 3.2-19 Municipalities Surrounding Marine Discharge Points 3.2-114Figure 3.2-20 Coastal Resources along the Municipality of Padada 3.2-115Figure 3.2-21 Coastal Resources at the Buayan River and its Surrounding Barangays 3.2-119Figure 3.2-22 Status of Coral Reef Ecosystems in Sarangani Bay 3.2-120Figure 3.3-1 Meteorological Weather Stations 3.3-2Figure 3.3-2 Climatological Map 3.3-6Figure 3.3-3 Typhoon Passage Frequency Map 3.3-9Figure 3.3-4 Ambient Air Monitoring Stations 3.3-12Figure 3.3-5 Dispersion Contour Plots for Nitrogen Oxides 3.3-17Figure 3.3-6 Dispersion Contour Plots for Sulfur Dioxide 3.3-18Figure 3.3-7 Dispersion Contour Plots for TSP 3.3-19Figure 3.3-8 Dispersion Contour Plots for PM10 3.3-20Figure 3.3-9 Dispersion Contour Plots for Arsenic 3.3-21Figure 3.3-10 Noise Monitoring Sampling Stations 3.3-29Figure 3.3-11 Predicted Noise Levels at Construction Scenario 3.3-33Figure 3.3-12 Predicted Noise Levels at Year 5 Scenario 3.3-34Figure 3.3-13 Predicted Noise Levels at Year 10 Scenario 3.3-35Figure 3.3-14 Predicted Noise Levels at Year 15 Scenario 3.3-36Figure 3.3-15 Predicted Noise Levels at Year 20 Scenario 3.3-37Figure 3.4-1 Demographics of Host Barangays 3.4-8 Page | vii

11. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFTFigure 3.4-2 Cultural Heritage Sites 3.4-18Figure 3.4-3 Potential Resettlement Sites 3.4-21Figure 4-1 Facilities Considered for the ERA 4-3Figure 6-1 SMI Cultural Sustainability Framework 6-12Figure 10-1 SMI Indicative Organizational Set-up 10-2List of PlatesPlate 3.2-1 Gauging Station in Silway River at Barrio Silway 7, Polomolok, South Cotabato 3.2-6Plate 3.2-2 LMT CIS (August 2008) 3.2-23Plate 3.2-3 LMT CIS (April 2007) 3.2-23Plate 3.2-4 Jet-matic Handpump Well 3.2-24Plate 3.2-5 Typical Hand Dug Well 3.2-24Plate 3.2-6 Electric Motor Driven Well 3.2-24Plate 3.2-7 Typical Spring Outcrop 3.2-24Plate 3.2-8 Mal River Upstream of the Diversion (December 2007) 3.2-26Plate 3.2-9 Mal River Downstream of the Diversion (December 2007) 3.2-26Plate 3.2-10 Manteo River at Barangay Malabod 3.2-41Plate 3.2-11 Manteo River at Barangay Malabod 3.2-41Plate 3.2-12 Illegal Mining Activity in the Upper Pula Bato River (July 2007) 3.2-66Plate 3.2-13 Erosion from Illegal Mining Activities (April 2008) 3.2-66Plate 3.2-14 Sluice Used in Illegal Mining Activities at the Confluence of S’bang Epoy Creek and Pula 3.2-66Plate 3.2-15 Confluence of the Pula Bato and S’bang Epoy Drainages (February 2008) 3.2-66Plate 3.2-16 Mine Tunnel Discharge (April 2008) 3.2-66Plate 3.2-17 ARD Precipitates (April 2008) 3.2-66Plate 3.2-18 Electrofishing Method 3.2-93Plate 3.2-19 Kick-net Method 3.2-93Plate 3.2-20 Photos of Fish Species in Lake Buluan. Photos courtesy of Hydrobiology (2009) 3.2-107Volume 2 – Annexes1.0 IntroductionAnnex 1-1 List of Stakeholder IEC/Consultation Meetings 1-1Annex 1-2 Summary of Issues and Concerns Raised During the Stakeholders’ Consultation and Scoping Meetings 1-5Annex 1-3 Signed Technical Scoping Checklist 1-15Annex 1-4 Sworn Statement of Accountability of the Proponent 1-26Annex 1-5 Sworn Statement of Accountability of Preparers 1-272.0 Project DescriptionAnnex 2-1 Columbio Financial and Technical Assistance Agreement (FTAA) 2-1Annex 2-2 List of Mine Fleet Sources 2-63.1 The LandAnnex 3.1-1 Tampakan Resource Estimates 3.1-1Annex 3.1-2 Stratigraphic Units 3.1-3Annex 3.1-3 Geohazards 3.1-10Annex 3.1-4 Seismicity Evaluation for the Mine Infrastructures 3.1-14Annex 3.1-5 Certificate of Active Faults Near the Project Site 3.1-16Annex 3.1-6 Seismicity-Related Hazards 3.1-18Annex 3.1-7 Tailings Mineralogy by X-Ray Diffraction Analysis 3.1-20Annex 3.1-8 List of Field and Laboratory Parameters 3.1-22Annex 3.1-9 Land Suitability Assessment Parameters 3.1-25Annex 3.1-10 Soil Naming Convention and Certificates of Laboratory Analaysis 3.1-27Annex 3.1-11 Statistical Analysis of Chemical Properties of the Soil Layers 3.1-28Annex 3.1-12 Soil Types Profile 3.1-33Annex 3.1-13 Description of Soil Properties 3.1-39Annex 3.1-14 Geo-Accumulation Indices of Tampakan Soil Samples 3.1-60Annex 3.1-15 Geographical Locations of the Surveyed Flora Quadrats 3.1-62 Page | viii

12. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFTAnnex 3.1-16 Suggested Plant Species for Revegetation 3.1-66Annex 3.1-17 Forest Use Assessment Questionnaire 3.1-70Annex 3.1-18 General Species List of Flora 3.1-74Annex 3.1-19 Importance Value of Canopy Species 3.1-115Annex 3.1-20 Frequency List of Understorey Species 3.1-130Annex 3.1-21 Flora Species Recorded from Open Areas 3.1-151Annex 3.1-22 Flora Species Recorded from Incidental Collection 3.1-154Annex 3.1-23 List of Philippine Flora Endemics 3.1-161Annex 3.1-24 List of Threatened Flora Species 3.1-169Annex 3.1-25 Flora Species Listed Under CITES 3.1-173Annex 3.1-26 Terrestrial Wildlife Survey Transect Sites 3.1-176Annex 3.1-27 List of Recorded Amphibians and Reptiles (by Family) 3.1-179Annex 3.1-28 List of Recorded Avians (by Family) 3.1-185Annex 3.1-29 List of Recorded Mammals (by Family) 3.1-1963.2 The WaterAnnex 3.2-1 Baseline Streamflow Gauging Stations 3.2-1Annex 3.2-2 Sediment Quality Report 3.2-3Annex 3.2-3 Location of Stream Water and Groundwater Quality Sampling Sites 3.2-19Annex 3.2-4 Photographs of Selected Stream Water Quality Sampling Sites 3.2-38Annex 3.2-5 Water Quality Laboratory Results and Data Tables 3.2-41Annex 3.2-6 Boxplots for Selected Stream Water Quality Sites 3.2-42Annex 3.2-7 Downstream Water Users Survey Water Quality Summary 3.2-68Annex 3.2-8 Locations of Regional Water Quality Sampling Sites 3.2-70Annex 3.2-9 Aquatic Biological Sampling Sites 3.2-74Annex 3.2-10 Fish and Macrocrustacean Abundance and Biomass 3.2-76Annex 3.2-11 Macroinvertebrate Abundance 3.2-79Annex 3.2-12 Threatened and Endemic Riparian Vegetation 3.2-81Annex 3.2-13 Heavy Metals in Fish Tissue 3.2-83Annex 3.2-14 Fish Catch Survey of Lake Buluan 3.2-86Annex 3.2-15 Phytoplankton Survey of Lake Buluan 3.2-88Annex 3.2-16 Benthic Invertebrates Survey of Lake Buluan 3.2-91Annex 3.2-17 Dominant Macrophyte Species of Lake Buluan 3.2-94Annex 3.2-18 Coral Genera and Families of Malalag Bay Area 3.2-973.3 The AirAnnex 3.3-1 Climatological Normals 3.3-1Annex 3.3-2 Climatogical Extremes 3.3-4Annex 3.3-3 Wind Rose Diagrams 3.3-7Annex 3.3-4 Mean Monthly Evaporation Data 3.3-10Annex 3.3-5 Location of Sensitive Receptors 3.3-12Annex 3.3-6 Location of Sampling Sites 3.3-14Annex 3.3-7 Emission Estimates 3.3-16Annex 3.3-8 Blasting Design 3.3-28Annex 3.3-9 Predicted Levels of Blast Emissions 3.3-303.4 The PeopleAnnex 3.4-1 Land Management Plan 3.4-1Annex 3.4-2 Resettlement Policy and Guidelines 3.4-4Annex 3.4-3 Social Weather Station (SWS) Special Survey in Davao del Sur, Sarangani, South Cotabato and Sultan Kudarat (December 2009) 3.4-7Annex 3.4-4 Visual Impact Assessment 3.4-167.0 Environmental Risk AssessmentAnnex 7-1 Project Environmental Monitoring and Audit Prioritization Scheme (PEMAPS) Questionnaire 7-1Annex 7-2 Draft Memorandum of Agreement on the Creation of an MMT 7-8 Page | ix

13. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFTList of Technical Nomenclature Abbreviation Definition AAS Atomic Absorption Spectrophotometry AASTHO American Association of State Highway and Transportation Officials ADSDPP Ancestral Domain Sustainable Development Protection Plan AEPEP Annual Environmental Protection and Enhancement Plan ANCOLD Australian National Committee on Large Dams ANZFA Australian and New Zealand Fisheries Authority ARD Acid Rock Drainage ARI Average Recurrence Interval ARMM Autonomous Region in Muslim Mindanao AS/NZS Australian Standards/New Zealand Standards ASCE American Society of Civil Engineers ASL Alkaline Sulfide Leach AURI Acute Upper Respiratory Infection AWC Available Water Capacity BFP Bureau of Fire Protection BHW Barangay Health Worker BOD Biological Oxygen Demand BOI Board of Investment BRS Bureau of Research and Standards BTEX Benzene, Toluene, Ethylbenzene and Xylene C14 Carbon-14 Ca Calcium CAA Clean Air Act CaCO3 Calcium Carbonate CADC Certificate of Ancestral Domain Claim CADT Certificate of Ancestral Domain Title CaO Calcium Oxide CARB California Air Resources Board CARP Comprehensive Agrarian Reform Program CBMS Community-Based Monitoring System CBR California Bearing Ratio Cd Cadmium CDA Canada Dam Association CDIC Community Development Information Council CENRO Community Environment and Natural Resources Office/Officer CFU/mL Colony Forming Units/mililiter CITES Convention of International Trade in Endangered Species Cl Chloride CLRF Contingent Liability and Rehabilitation Fund CLUP Comprehensive Land Use Plan Page | x

14. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFT Abbreviation Definition cm centimeter Co Cobalt COD Chemical Oxygen Demand CPUE Catch Per Unit Effort Cr Chromium Cr2O3 Chromium (III) Oxide CRMP Coastal Resources Management Project CWP Conditional Water Permit DA Department of Agriculture DA-BFAR Department of Agriculture - Bureau of Fisheries and Aquatic Resources DAO DENR Administrative Order dBA decibels dBL decibel linear DDT Dichlorodiphenyltrichloroethane DENR Department of Environment and Natural Resources DepEd Department of Education DGMC Davao Gulf Management Council DILG Department of Interior and Local Government DMF Declaration of Mining Feasibility DND Department of National Defense DO Dissolved Oxygen DOH Department of Health DOLE Department of Labor and Employment DOST Department of Science and Technology DPWH Department of Public Works and Highways DSHA Deterministic Seismic Hazard Assessment DSOD Division of Safety of Dams DTI Department of Trade and Industry EAD Equivalent Aerodynamic Diameter ECA Environmentally Critical Area ECC Environmental Compliance Certificate ECP Environmentally Critical Project EERI Earthquake Engineering Research Institute EIA Environmental Impact Assessment EII Earth Island Institute EIIP Emission Inventory Improvement Program EIS Environmental Impact Statement EMB Environmental Management Bureau EMP Environmental Management Plan EP Exploration Permit EPEP Environmental Protection and Enhancement Plan ERA Environmental Risk Assessment Page | xi

15. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFT Abbreviation Definition EU European Union FAO Food and Agriculture Organization Fe Iron Fe S2 Pyrite Fe2O3 Ferric Oxide FMB Forest Management Bureau FMRDP Final Mine Rehabilitation and Decommissioning Plan FPIC Free and Prior Informed Consent FRP Filterable Reactive Phosphorus FSANZ Food Standards of Australia and New Zealand FTAA Financial and Technical Assistance Agreement FWD Fresh Water Dam g/30s grams per 30 second of fishing effort 2 g/m /month grams per square meter per month g/t gram per tonne GAF General Ancillary Facilities GDP Gross Domestic Product GRDP Gross Regional Domestic Product GE Groundwater Exploration GHG Greenhouse Gas GIS Geographical Information System GMPE Ground Motion Prediction Equation GO Government Organization GPS Global Positioning System GSC General Santos City GSFPC General Santos Fish Port Complex GSHAP Global Seismic Hazard Assessment Program ha hectare HCVD Hypertensive Cardiovascular Disease Hg Mercury HgS Mercury Sulfide (cinnabar) ICP-AES Inductively Coupled Plasma Atomic Emission spectroscopy IEA International Energy Agency IEC Information, Education, and Communication IMF International Monetary Fund IMP Impacts Management Plan IP Indigenous Peoples IPAS Integrated Protected Areas System IPDP Indigenous Peoples Development Plan IPRA Indigenous Peoples Rights Act IRA Internal Revenue Allotment ITCZ Intertropical Convergence Zone Page | xii

16. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFT Abbreviation Definition IUCN International Union for Conservation of Nature IV Importance Value JORC Joint Ore Reserves Committee K Potassium K2O Potassium Oxide KALAHI Kapit-Bisig Laban sa Kahirapan (Organization Fighting Against Poverty) kg kilogram km kilometer 2 km square kilometer kOzs thousand ounces kph kilometer per hour kt kilo tonne kV kilovolts L liter L/s liter per second L/s/ha liters per second per hectare LCCS Land Capability Classification System LCS Land Capability system LGU Local Government Unit LLO Low Level Outlet LOD Limit of Detection LOEC Lowest Observed Effect Co-Occurrence LOM Life of Mine LOR Limit of Reporting LWUA Local Water Utilities Administration m meter m/s meter per second 2 m square meter 3 m cubic meter m³/s cubic meter per second 3 m /yr cubic meter per year Ma Million years ago MAF Mine Ancillary Facilities MAO Municipal Agriculture Office/Officer masl meter above sea level MBA Malalag Bay Area MBC Mindanao Business Council MDCC Municipal Development and Coordinating Council MEDCO Mindanao Economic Development Council MENRO Municipal Environment and Natural Resources Office/ Officer mg/kg milligram per kilogram mg/L milligrams per liter Page | xiii

17. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFT Abbreviation Definition MGB Mines and Geosciences Bureau MgO Magnesium Oxide MHO Municipal Health Office/Officer min minute ML Million liters mm millimeter mm/s millimeter per second Mm³ million cubic meter MMT Multi-partite Monitoring Team Mn Manganese MnO Manganese Oxide Mo S2 Molybdenite MOA Memorandum of Agreement MoU Memorandum of Understanding MPA Marine Protected Area MPDO Municipal Planning Development Office/ Officer MPN/100mL Most Probable Number per 100 milliliter MSU Mindanao State University MSWD Municipal Social and Welfare Department MTC Municipal Tribal Council Mtpa million tonnes per annum mV millivolt Mw Earthquake magnitude N Nitrogen NAAQGV National Ambient Air Quality Guideline Values NAAQS National Ambient Air Quality Standards NAF Non-acid forming NAG Net Acid Generation NAMRIA National Mapping and Resource Information Authority NAPC National Anti-Poverty Commission NAPP Net Acid Production Potential NCIP National Commission on Indigenous Peoples NEDA National Economic Development Authority NFPA National Fire Protection Association NGA New Generation Attenuation (geo) NGO Non-Government Organization NHA National Housing Authority Ni Nickel NIA National Irrigation Administration NIA-PIMO NIA-Provincial Irrigation Management Office NIPAS National Integrated Protected Areas System 3 Nm Normal cubic meter Page | xiv

18. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFT Abbreviation Definition NMI National Measurement Institute NO2 Nitrogen Dioxide NOx Nitrogen Oxide NPCC National Pollution Control Commission NSCB National Statistical Coordination Board NSCP National Structural Code of the Philippines NSO National Statistics Office NTU Nephelometric Turbidity Units NWRB National Water Resources Board OP Organophosphate OSHA Occupational Safety and Health Administration oz ounce P Phosphorus PAF Potential acid forming PAGASA Philippine Atmospheric, Geophysical, and Astronomical Services Administration PAH Poly Aromatic Hydrocarbons PAMB Protected Areas Management Board PAR Philippine Area of Responsibility PbS Lead Sulfide (galena) PCB Polychlorinated Biphenyls PCRA Participatory Coastal Resource Assessment PD Presidential Decree PEMAPS Project Environmental Monitoring and Audit Prioritization Scheme PEMO Provincial Environment Management Office/Officer PENRO Provincial Environment and Natural Office/Officer PET Plecopteran, Ephemeropteran and Trichopteran PFZ Philippine Fault Zone PGA Potential Ground Acceleration PGDB Philippine Groundwater Data Bank PHIVOLCS Philippine Institute of Volcanology and Seismology PHP Philippine Peso PM Particulate Matter PM2.5 Particulate Matter less than 2.5 microns diameter PM10 Particulate Matter less than 10 microns diameter PMEA Philippine Minerals Exploration Association PMF Probable Maximum Flood PMP Probable Maximum Precipitation PMSEA Philippine Mining Safety Environment Association PNP Philippine National Police PNSDW Philippine National Standards for Drinking Water PO Peoples Organization PP Presidential Proclamation Page | xv

19. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFT Abbreviation Definition Program to Promote Public Awareness and Education on Mining Technology PPAEMTG and Geosciences PPE Personal Protective Equipment ppm parts per million PSHA Probabilistic Seismic Hazard Analysis PSPT Provincial Agri-Industrial Center-Strategic Planning Team PVC Polyvinyl Chloride PWA Philippine Wildlife Act RA Republic Act RAP Resettlement/Relocation Action Plan RCF Rehabilitation Cash Fund RHU Rural Health Unit ROM Run-of-Mine S Sulfur SBPS Sarangani Bay Protected Seascape SCD Seepage Collection Dam SCS Soil Conservation Service SDMP Social Development Management Program SDP Social Development Plan SMI Sagittarius Mines, Incorporated SO2 Sulfur Dioxide SO3 Sulfur Trioxide -2 SO4 Sulfate SUML Siliman University Marine Laboratory SWM Solid Waste Management SWS Social Weather Station TAF Tailings Ancillary Facility TDS Total Dissolved Solids TESDA Technical Education and Skills Development Authority TIC Total Inorganic Carbon TLRC Technical Livelihood Resource Center TMRC Tampakan Mineral Resources Company TOR Terms of Reference tpa tonnes per annum TSC Technical Scoping Checklist TSF Tailings Storage Facility TSP Total Suspended Particulates TSS Total Suspended Solids UNFCCC United Nations Framework Convention on Climate Change UP NIGS University of the Philippines National Institute of Geological Sciences UPVFI University of the Philippines Visayas Fisheries Institute UQ University of Queensland Page | xvi

20. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFT Abbreviation Definition US United States USACE US Army Corps of Engineers USD US Dollars USDA United States Department of Agriculture USEP University of Southeastern Philippines USEPA United States Environmental Protection Agency USFDA United States Food and Drug Administration USGS United States Geological Survey US-SCS United States Soil Conservation Service V Vanadium VCU Visual Character Unit VEI Volcanic Explosivity Index VOCs Volatile Organic Compounds WHO World Health Organization WMC Western Mining Corporation WRRTD Water Resources Research and Training Department WRSF Waste Rock Storage Facility WTP Water Treatment Plant XRD X-ray Diffractometry XRF X-Ray Fluorescence Zn Zinc µg/L microgram per liter 3 µg/Nm microgram per normal cubic meter µm micrometer Page | xvii

21. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFTExecutive SummaryProject Fact Sheet Tampakan Copper-Gold Mine ProjectProject NameFTAA No FTAA-02-95-XI (granted on 22 March 1995)Proposed Project Area Approximately 9,605 haLocation Region Province Municipality Barangay(Figure ES-1) Region 11 Davao del Sur Kiblawan Kimlawis (Davao Region) Bololsalo Tacub Region 12 Sultan Kudarat Columbio Datal Blao (SOCCSKSARGEN)* Sarangani Malungon Malabod Blaan South Cotabato Tampakan Danlag Pula Bato Tablu *SOCCSKSARGEN is named after the provinces of South Cotabato, Cotabato, Sultan Kudarat, Sarangani and the City of General Santos.Nature of Project & Resource Extractive Industry (mining and processing)Scale of Production Mining of up to 160 million tonnes per annum (Mtpa) Milling capacity of up to 66 MtpaProject Rationale The development of the mineral deposits in Tampakan is expected to boost the economy, not only at the local level, but also at the regional and national levels. The project is expected to provide significant investment opportunities, generate taxes and other fees for all levels of government and provide employment, community development programs, and shared services to host communities and the surrounding regions. Page | ES-1

22. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFTProcessesMining Process – The ore body will be mined using open pit mining techniques and is expected to extractapproximately 1.1 Bt of ore and 1.65 Bt of waste rock. The pit will be developed over a projected mine life ofapproximately 20 years by drilling and blasting of waste rock and extraction of the ore using shovel excavatorsand a fleet of mine haulage trucks. At closure the pit will be approximately 500 ha in area and approximately800 m deep.Ore Processing - The project will use conventional crushing and flotation methods to treat the ore to producecopper concentrate with a copper grade of between 28% and 35%, a gold grade of approximately 10 g/t, anda maximum arsenic content of 0.5%. A limited quantity of concentrate with higher arsenic content may alsobe periodically produced. An average of 375,000 tonnes per annum of copper and 360,000 ounces perannum of gold will be produced.There is also an option for the inclusion of an Alkaline Sulfide Leach (ASL) Plant as an additional processingfacility. If implemented, this process will reduce the arsenic content in the concentrate. From the ASLprocess, a residue with high concentrations of arsenic will be produced. This residue will be stored in theproposed ASL Residue Storage Facility.Waste Management –The project will generate three waste streams: the waste rock mined from the open pit,tailings from the mineral processing and the non-mine wastes from the various support activities.The tailings generated from the mine processing activities will be managed and stored in the Tailings StorageFacility (TSF). The TSF will be located approximately 10 km east of the open pit within the valley of the MalRiver and will cover an impounding area of approximately 1,000 ha. A total of 1.35 Bt of material (1.1 Bt oftailings and approximately 250 Mt of high potential acid forming (PAF) waste rock) will be stored in the facility.Mined waste rocks will be disposed of at the Waste Rock Storage Facility (WRSF) which has a designcapacity to store approximately 1.35 Bt of waste material. The WRSF will occupy a footprint of approximately500 ha and will have a final crest height of 300 m. Some 50 Mt of high PAF waste rocks will also be disposedof in the open pit, called the in-pit WRSF.If the option to include an ASL process is adopted, an ASL Residue Storage Facility will be constructed tocontain the arsenic residue that will be generated from the process. There is a very limited knowledge on thephysical and chemical properties of the residue material at this stage, therefore the conceptual design of thestorage facility has been conservative and observed international standards for containing hazardous wastematerials and best practice standards for tailings dams.The non-mine wastes will be collected and transported to the project site waste management area.Segregation and recycling will be practiced. Residual wastes will be disposed of at the on-site landfill area.This on-site landfill area will be incorporated at the WRSF.Water Management – A mine water management system has been formulated to provide a suitable watersupply for the construction and operations of the project and to ensure that the project does not adverselyimpact the quality and availability of water for downstream water users.The key water management structures, TSF and the Fresh Water Dam (FWD) systems have beenstrategically designed to provide adequate and suitable water for the project and riparian release to thedownstream communities.The TSF will be the main source of water supply for the project and the FWD will be the main source offreshwater supply.Specific water management strategies have been developed for each of the key components (e.g., open pit,WRSF, TSF) that will potentially generate poor water quality. Water quality impacts of the different facilitieswill be managed via dedicated drainage systems, seepage control dams and water treatment plants designedto stringent release standards. Site discharge water quality standards have been developed for the project.This discharge water quality standard has considered local and international standards, baseline water qualitydata irrigation needs and ecotoxicological impacts.Ore Transport/ShippingThe processed ore concentrate will be transported as slurry from the mine site via an undergroundconcentrate pipe to a purpose-built port complex at Malalag, Davao del Sur. The linear infrastructure (i.e.,underground concentrate pipelines and power transmission lines) and the power station, port, and filter plantfacilities will be covered under separate EIA processes. Page | ES-2

23. Tampakan Copper-Gold Mine Project AECOMEnvironmental Impact StatementDRAFTLife of Mine Estimated at 20 YearsManpower The mine project is expected to employ up to 7,200 persons during construction (three years) and up to 1,800 during operation.Project Capital Cost USD 5 billionProject Proponent Sagittarius Mines, Inc. (SMI)Contact Person Mark Williams General ManagerContact Address and 12/F LKG TowerNumbers 6801 Ayala Avenue Makati City Telephone Number: (632) 856 3023 Fax Number: (632) 856 3032 Email Address: Mark.Williams@smi.com.phEIS Preparer AECOM Philippines, Inc.Contact Person Jess Bayrante Associate Director, Environment rd stContact Address and 23/F Fort Legend Tower, 3 Ave., corner 31 StreetNumbers Fort Bonifacio Global City, Fort Bonifacio, Taguig City, Philippines 1634 Telephone Number: (632) 478 3266 Fax Number: (632) 478 3270 Email Address: Jess.Bayrante@aecom.com Page | ES-3