The government has cited four of the world’s largest business conglomerates for pouring in a total of P119.1 billion worth of investments into the country in 2009 despite the global financial crisis.

“This is an affirmation of investor confidence in our sound macroeconomic fundamentals and stable fiscal position,” said Trade and Industry Secretary Peter B. Favila. Favila identified some of these global conglomerates as Sumitomo Metal Mining Co., Charoen Pokphand Foods (CP Foods) and Al Kharafi Group.

“Investor confidence in the Philippines continues to be strong with recent entry of critical investments poured from several global conglomerates. The decision of these companies to invest is a clear indication that the Philippines remains to be one of Asia’s investment destinations of choice,” he pointed out.

Favila cited the critical investments in the Taganito HPAL Nickel Corporation (THNC) which is a joint-venture firm of Nickel Asia Corp. (NAC) and Sumitomo Metal Mining Co. (SMMC) an affiliate of one of Japan’s largest conglomerate, the Sumitomo Group.

This joint venture project is considered the biggest investment in the Philippine mineral sector with the capital infusion of P62.7 billion. The project is envisioned to increase the country’s market share to more than five percent of total world nickel production output in three years.

The project involves the production of nickel-cobalt mixed sulfides from low grade ore and limonite by adopting the High Pressure Acid Leach (HPAL) technology. This technology involves higher value added processing and clearly demonstrates the capability of the Philippine mining industry to break new ground by exporting nickel concentrates.

The plant will be located in a 670-hectare Special Economic Zone in Surigao del Norte. The output of the plant will be purchased by Sumitomo for final processing at its refinery in Japan.