Friday, November 22, 2024

Panama’s President blames previous gov’t for First Quantum mine crisis

Staff Writer | November 22, 2024 |

Panama’s President José Raúl Mulino. (Image: Mulino’s X account.)

Panama’s President José Raúl Mulino has strongly condemned the previous government for its mismanagement of the crisis surrounding First Quantum Minerals’ (TSX: FM) $6.5 billion Cobre Panama copper mine.

The operation, First Quantum’s flagship mine, was shut down a year ago following a Supreme Court ruling that declared its concession contract unconstitutional.

Mulino attributed the closure to widespread public dissatisfaction with former President Laurentino Cortizo’s administration.

“The mine paid the price for accumulated national discontent, under a government with only 25% popularity and overwhelming public rejection,” stated Mulino, who took office in July, according to BNamericas. “They couldn’t manage such a critical issue, let alone in the manner they attempted.”

The decision to invalidate the mine’s permit followed mounting protests. Critics accused the Cortizo government of failing to address long standing legal and environmental concerns tied to the project, which accounted for nearly 5% of Panama’s GDP.

Mulino, now tasked with resolving the fallout, has vowed to take a more transparent approach, promising a comprehensive audit of the mine involving international experts. “This is a government with credibility and national acceptance,” Mulino said, highlighting his administration’s intention to begin addressing the mine’s future in early 2025.

Mulino has said the Cobre Panama project will be addressed as needed, but stressed that issues such as social security have higher priority. A clear timeline for this process, however, has yet to emerge.

Financial shock

As operations at Cobre Panama remain suspended, the mine has transitioned into a preservation phase, incurring significant monthly costs. First Quantum reported spending between $11 million and $13 million per month on labour, maintenance, and environmental stability measures. By the end of October, nearly 121,000 tonnes of copper concentrate remained on-site, as First Quantum continued negotiating a permit to export the stockpiled metal.

“The copper cannot lie sitting there forever. It has to be taken out, and if you are going to take it out, you might as well export it,” Finance Minister Felipe Chapman told Bloomberg earlier this year.

Chapman added that not even Panama’s most radical environmentalists have argued against exporting the copper already mined.

First Quantum has initiated two arbitration proceedings, one under the Canada-Panama Free Trade Agreement and another under the International Chamber of Commerce, citing breaches of contract and treaty obligations. The first hearing is set for September 2025 in Miami.

Cobre Panama was the biggest foreign investment in the Central American nation, supporting over 40,000 jobs. (Image courtesy of Minera Panama.)

Despite these legal actions, First Quantum has emphasized that arbitration is not its preferred path, expressing a commitment to dialogue and finding a resolution beneficial to Panama and its citizens.

Cobre Panamá’s shutdown has had significant economic and social repercussions. First Quantum is said to have asked its employees in Cobre Panama to choose between taking the voluntary retirement offer that would come into effect from January 2025 or work with reduced hours.

The decision may put some strain on the Mulino’s administration, which has suggested the possibility of restarting the mine for an unspecified duration to cover the expense of a permanent shutdown.

Hydrogen Combustion Auxiliary Engine to be Tested in 2025 on UK Cargo Ship

An innovative project designed to validate hydrogen combustion engines for ocean-going vessels and lay the foundation to scale up the technology is set to proceed in March 2025 aboard a cargo ship operated by Carisbrooke Shipping. The partnership led by Carnot Engines and funded as part of the UK government’s initiatives in decarbonization has secured a source for hydrogen from biomass to power the 40-day sea trials.

Waste-to-hydrogen producer Compact Syngas Solutions has joined the effort and will supply 200 kg of hydrogen for the trials. Based in Wales, the company has developed an advanced gasification process that generates electricity, heat, and hydrogen gas from waste products. It employs materials including waste wood and other selected non-recyclable resources in its process. Compact Syngas Solutions was the recipient of a UK grant for £4 million to develop its biomass and waste-to-hydrogen plants including the addition of carbon capture to its hydrogen production.

“Sourcing hydrogen for our trial has proven harder than we expected, and we’re massively grateful to Compact Syngas Solutions for helping out,” said Jeremy Howard-Knight, head of business development at Carnot. “It’s incredible to think that these huge ocean-going vessels are being powered by waste wood that could have ended its days by rotting on a tip.”

Carnot was awarded £2.3 million in February 2023 to deploy a 50kW hydrogen auxiliary engine demonstrator working with Carisbrooke Shipping, Brunel University, and the Manufacturing Technology Centre while involving Bureau Veritas and the UK’s Maritime and Coastguard Agency for regulatory compliance.

The project is based on the assertion that smaller vessels running shorter ranges would be able to consider electrification or fuel cells, but for long-distance ocean-going cargo vessels this would not be viable. They assert that the cost, weight, and practicalities become prohibitive but their concept for a hydrogen combustion engine would be a compelling solution.

Carnot reports by pioneering the use of technical ceramics in combustion engines, it has eliminated major limiting factors to engine efficiency. It reports its engines have a break thermal efficiency of 70 percent, nearly double what is achieved by modern state-of-the-art engines. Carnot said the engines will massively reduce fuel consumption and costs. It highlights that above a certain air-to-fuel ratio, hydrogen combustion emits zero emissions with negligible levels of CO2, NOx, and PM.

The demonstration calls for testing of the engine at Brunel University and then it will be placed aboard one of Carisbrooke Shipping’s K-class cargo ships. Built in 2010 in China, the vessels are 6,800 dwt and have a length of 106 meters (348 feet). They operate at speeds of up to 11 knots with a MAK main engine and a Sandfirden diesel auxiliary engine.

The trial will run for 40 days in the Irish Sea starting in March 2025. The vessel will be operating between Bristol and Belfast. Carnot says the 50kW engine will be a precursor to 200 to 400kW auxiliary engines. Eventually, they expect to produce a 1 to 10MW main engine based on this technology.

Australia Bans Cargo Ship for Six Months Citing Unsafe Cargo Operations

The Australia Maritime Safety Authority (AMSA) has issued its fourth ban this year on a cargo ship this time citing “unsafe cargo operations” as the reason for denying entry into Australia’s ports. AMSA said the authority has escalated its enforcement action to send a message to operators that risks to safety and the marine environment would not be tolerated in Australia.

The Dutch-flagged general cargo ship Marsgracht (12,284 dwt) operated by Spliethoff was issued a “refusal of access” banning the ship for 180 days from Australian ports. According to AMSA, the vessel was detained for “improper stowage of dangerous goods,” during a port state inspection on November 14 at Port Alma.

The vessel, which was built in 2011 is 466 feet (142 meters) in length. The spec sheet posted by Spliethoff notes the ships are “fitted for carriage of dangerous goods of all IMO classes.”

AMSA highlights that it was the second time this vessel had been detained in Australia. In February at the same port, AMSA also cited the vessel for the same issue of improper stowage of dangerous goods.

“This recurrence highlights systemic failures in the ship’s safety management system and a serious lack of effective remedial action,” contended AMSA announcing today’s action.

It however appears to also be part of a broader disagreement between the shipping company and the Australian regulators. AMSA reports this detention was the fourth since July 2022 for a Spliethoff-operated ship for failing to comply with the code for stowage of dangerous goods.

This reflects a broader pattern of non-compliance and poor performance, undermining the safety of seafarers and the Australian marine environment contends AMSA. Spliethoff they write is considered a poor performing operator, having been placed back on the list on February 8, 2024. As a result, all the company ships are eligible for inspection every three months in Australia as part of ongoing compliance activities with company ships. AMSA reports it will review the performance of Spliethoff's Bevrachtingskantoor after 12 months.

“AMSA takes its role as a maritime safety regulator very seriously and will not hesitate to take swift and appropriate action against unsafe ships, their owners and operators," said Executive Director Operations Michael Drake. "When it comes to loading dangerous cargo, there is no scope for non-compliance. International minimum standards exist to protect the lives of seafarers, and our precious marine and coastal environments.”

In the first half of 2024, AMSA banned three other vessels from Australia’s ports. The issues included maintenance and failure to properly report to the Australian authorities. The rate however is down from 2023 when nine bans were issued from Australian ports.

Plan Approved to Save Cal Maritime from Looming Financial Collapse

The Board of Trustees of California State University approved a plan today designed to preserve and strengthen the California State University Maritime Academy (Cal Maritime), which according to the board was in danger of financial collapse. It is the only U.S. maritime academy in the western United States and just one of six state programs, in addition to the federal U.S. Merchant Marine Academy in Kings Point, New York.

The plan that was approved yesterday in committee and today, November 21, by the full board calls for Cal Maritime to be merged into the larger California Polytechnic State University, San Luis Obispo, which enjoys a strong reputation and is known for its agriculture and engineering programs. The two campuses, which are approximately 250 miles apart, will be administratively merged effective July 1, 2025, and starting with the 2026-2027 academic year the maritime students will be officially enrolled at Cal Poly with the land-based program becoming Cal Poly Solano Campus. The merchant marine licensing program and the training ship will become Cal Poly Maritime Academy.

“This historic action will increase opportunities for current and future students and reinforces support for our critically important educational mission,” said Cal Maritime Interim President Michael J. Dumont.

Presenting the options to the board, the Cal State chancellor’s office painted a bleak picture for the maritime program which is just shy of its 100th anniversary. They said the options were either the integration of what is the smallest university in the state system into a larger institution or initiating immediate steps for the closure of Cal Maritime.

The report highlighted that enrollment in the maritime program has declined dramatically. Since 2016-2017 they said the program has lost a third of its enrollment dropping from around 1,100 cadets to 761 last fall. The report said that all the state maritime academies around the United States had faced similar challenges in part reflecting the challenges of the U.S. merchant marine.

The institution was reported to be faced with rising operating costs and a loss of income from fewer enrollments. Earlier this year it instituted a hiring freeze and eliminated some positions while in June the idea of merging Cal Maritime and Cal Poly was first presented. Estimates are that they can realize $30 million a year in financial savings. Reports indicate that the board was told the alternative to save Cal Maritime would require as much as $30 million annually in financial aid representing a nearly 50 percent increase on its current $52 million annual budget.

“Cal Poly and Cal Maritime share an academic grounding in hands-on learning, and the integration of our universities will enhance student success on both of our campuses while helping to grow a diverse pipeline of talent to our nation’s maritime industries,” said Cal Poly President Jeffrey D. Armstrong.

Cadets aboard the current training ship Golden Bear -- Cal Maritime is the only maritime academy in the western United States (Cal Maritime)

The maritime program was founded in 1929 as the California Nautical School, originally located in Tiburon, California. It was renamed California Maritime Academy in 1939 and enhanced as part of the Merchant Marine Act of 1936 including relocated to San Francisco. The maritime academies took on a new significance during World War II with Cal Maritime’s education accelerated to a 17-month program. It was given a new permanent home in 1943 on a 67-acre site at Morrow Cove in Vallejo.

Cal Maritime will retain its maritime focus within Cal Poly, with the integration of operations, resources, and governance structure. The academy's specialized degree programs, three of which lead to a Merchant Marine license issued by the U.S. Coast Guard, will continue to be offered at the Solano location.

The Maritime Administration has also provided a significant commitment to Cal Maritime. The fifth and final training ship under construction at the Philly Shipyard has been allocated to Cal Maritime and is due for delivery in 2026. New York, Massachusetts, Maine, and Texas are receiving the other training ships from MARAD.

The hope is that the combination will provide a new basis to expand enrollment at Cal Maritime. The enhanced financial position will also permit it to undertake deferred maintenance programs as well as expand the dock to accommodate the new training ship.

The board of trustees agreed that Cal Maritime continues to be a critical program with the state’s Lt. Governor saying it was an opportunity to elevate both campuses of the state university. The Cal State chancellor’s office also expects to invest $5 million over the next seven years with most of it going to financial aid. They have also hired a specialist firm and are investing $2 million into the consolidation of the two universities.

USCG Instructs Owners of Chinese STS Cranes to Take More Security Steps

Chinese made STS cranes — Critics highlight that China ships the cranes fully assembled to ports around the world

The U.S. Coast Guard this week reported it has made available a further cyber risk management directive for all the owners of Chinese-made maritime ship-to-shore cranes. It is in addition to a previously released MARSEC Directive in February 2024 after President Joe Biden instructed that steps were required to protect U.S. port infrastructure from cyber dangers from the Chinese.

The notice of availability of the further directive said the owners and operators of the canes should immediately contact their local Coast Guard Captain of the Port or District Commander. Because the directive contains “security-sensitive information,” USCG says it cannot be made available to the general public.The new directive is dated November 13, 2024.

The alert highlights the well-known fact that STS cranes manufactured in China make up the largest share of the global ship-to-shore crane market. USCG said these cranes account for nearly 80 percent of the STS cranes at U.S. ports.

“By design, these cranes may be controlled, serviced, and programmed from remote locations, and those features potentially leave STS cranes manufactured by PRC companies vulnerable to exploitation, threatening the maritime elements of the national transportation system,” wrote the USCG announcing the new directive.

The alert goes on to state that additional measures are necessary to prevent a “transportation security incident in the national transportation system” due to the prevalence of STS cranes manufactured in China. It points to “threat intelligence related to the PRC’s interest in disrupting U.S. critical infrastructure, and the built-in vulnerabilities for remote access and control of these STS cranes.”

President Biden placed additional authority with USCG to manage cybersecurity threats and required additional analysis of the situation at the ports. Specifically, he cited the crane threat and announced initiatives to reshore crane manufacturing capability in the United States. In addition, KRONE during the summer highlighted its efforts at manufacturing cranes as an alternative to China’s Shanghai Zhenhua Heavy Industries (ZMPC) which claims a 70 to 80 percent worldwide market share.

The American Ports Association initially dismissed the threat after reports in 2023 and continues to assert that there are no examples of cyber breaches or interference with operations. The initial reports associated the cranes with spying but it was highlighted that there was no data on the crane to the nature of the cargo or the operations.

USCG now points to the potential to interrupt operations. This comes after media reports surfaced in March 2024 that modems had been found installed on the cranes. The House Homeland Security Committee asserted it had discovered “a pattern of suspicious device installations” fueling the fears of potential cybersecurity risks.

The United States Trade Representative joined in the debate announcing in September that it would accept the Biden administration recommendation and impose a 25 percent tariff on Chinese-made STS cranes. The ports’ association complained of the added expense and said ports were being penalized with no clear alternative. The tariffs were amended so that orders placed prior to May 2024 and delivered by 2026 would not have the tariff imposed.

Congressional investigations recommended that ports disable the modems and communications capabilities immediately on the cranes. They also called for steps to bar Chinese cranes and the logistics software developed in China to protect U.S. ports.

Two Fishermen Missing and 11 Rescued After Collision with Indian Navy Sub

Indian Navy submarine — One of the Indian Navy's submarines and a fishing boat collided in the Arabian Sea (Indian Navy file photo)

A large search and rescue operation is underway off the west coast of India after one of the Indian Navy’s submarines and a local fishing boat collided. Few details have been released on the incident but the Navy and Coast Guard confirmed the search and rescue operation which they said is also being coordinated by the Maritime Rescue Coordination Centre Mumbai.

The Navy in a brief statement confirmed that 11 crewmembers from the fishing boat have been rescued but two others are reported missing. Six ships from the Navy and aircraft are involved in the search. Additional assets, including from the Coast Guard, have been diverted to the area to augment the search efforts.

The collision is reported to have taken place yesterday, November 21, in the afternoon or evening about 70 nautical miles northwest of Goa, a state south of Mumbai on India’s west coast facing the Arabian Sea. The Navy in its statement said the fishing vessel collided with its submarine while transiting along the west coast. The Indian submarine fleet is known to have a base near Mumbai.

Media reports are identifying the submarine as one of the six Indian Scorpene class vessels, among the newest and most equipped in the Indian Navy. They are diesel-electric submarines displacing about 1,600 tons and 221 feet in length (67.5 meters). The submarines are domestically built with the first commissioned in 2017 based on a design by France’s Navy Group. India recently announced plans to build three more submarines of this class.

The submarine involved in the incident has not been identified but according to the media, it suffered minor damage and continued its transit after the search and rescue operation was launched. The Indian Navy has ordered a “high-level investigation” into the circumstances of the incident.

MAIB Cites Lack of Safety Protocols, Poor Communications in Officer's Death

berth in Puerto Ventanas — Bulker was maneuvering into the middle position when the line became caught, parted, and the recoil killed the bulker's second officer (Puerto Ventanas, Chile)

The UK’s Marine Accident Investigation Branch (MAIB) released its report into a fatal accident while a bulker was berthing in Chile citing safety failures, not following the port’s established docking procedures, and communication issues. They are calling for better communication and planning as well as efforts to increase awareness of the dangers of mooring line entrapment which could result in sudden release.

The incident was being investigated on behalf of the Isle of Man and the bulker Mona Manx (63,878 dwt) which at the time of the accident in August 2021 was being managed from Singapore by Union Marine Management and registered with the Isle of Man. The dry bulk carrier was arriving in ballast on August 26, 2021, and maneuvering that morning to berth at the general cargo terminal.

During the docking procedure, one of the vessel’s lines broke with a loud bang. The line suddenly released and recoiled vertically upwards striking the second officer who was on the stern managing the procedure. It struck him under the chin, lifted him off his feet, and caused him to fall backward hitting his head on an accommodation ladder. Medical teams from Puerto Ventanas, Chile, where the vessel was docking, attended to him and he was pronounced deceased at the scene.

The vessel was being assisted by two tugs and had a local pilot aboard. The bulker was alongside and its first spring lines fastened while it was preparing to send the second spring line from the stern ashore. It was then that port control told the pilot that the vessel needed to move 30 meters astern to align with the cargo loading arm. MAIB notes it is unclear why the arm was not relocated instead of attempting to move the vessel astern.

The master instructed the mooring party to adjust the spring lines while the vessel moved astern. They were told to monitor the line in case they became caught on the protruding jetty fenders. MAIB believes the second officer repositioned into the danger zone to monitor the lines. The vessel was set to dead slow astern for the move and eventually reached a speed of 0.5 knots.

MAIB finds that the astern maneuver went against the port’s procedures that a vessel should not be using its engines alongside. They believe that the pilots were not advised of this and the pilot did not discuss the issue with the master. They also note that congested radio communication could have reduced the crew’s ability to safely conduct the berthing operation.

Union Marine Management took steps to improve crew awareness of the potential dangers and reviewed the requirements for the safety briefings before arrival at port. The Maritime and Coastguard Agency has also amended the safety code after finding it did not include guidance highlighting the potential vertical dangers of a recoiling mooring line and the risks of mooring line entrapment.

The report also made recommendations to Puerto Ventanas and Quintero Port Authority to provide clear instructions for masters and pilots on the use of engines alongside. They also recommended that the risks associated with mooring line entrapment are included in the master-pilot exchange.

MAIB highlights that between 2011 and 2023, the International Management Safety Code (IMSR) recorded 23 injuries and two fatalities, including this one, resulting from mooring deck accidents. It cites three specific examples including two instances of parted and recoiling lines and one where a mooring line sprang out of an open roller fairlead. Seafarers know the dangers and force involved in parted lines although MAIB advised that more should be done to advise of these specific dangers.

Australian Protesters Launch "People's Blockade" at World's Top Coal Port

Activists on the beach and the water at the "protestival" (Rising Tide)

A climate activist group has begun a large-scale "protestival" aimed at temporarily shutting down exports at the Port of Newcastle, Australia, the world's largest coal terminal.

Rising Tide, a kayak-focused climate protest group, has organized a 10-day activist gathering at Newcastle, complete with live music performances, activist trainings and an organized lobbying excursion to Canberra. The group expects 10,000 people to attend, and it has announced plans for a "people's blockade" to shut the port's coal export operations for 50 hours over Thursday, Friday and Saturday.

The government of New South Wales initially sought to impose a four-day exclusion zone to keep the port waterway open, with steep fines for noncompliance. Rising Tide challenged the measure in the NSW Supreme Court at the last minute, and the judge ruled that the state did not have statutory authority to issue a restriction. This gave Rising Tide an opening to operate without boundary restrictions on the water. "The plain wording of the [regulation] is not such that it can prohibit the special event that it purports to be regulating," ruled Justice Sarah McNaughton, noting that her ruling was not a blank check for activists to engage in unlawful behavior.

Rising Tide organizer Alexa Stuart, who brought the suit, told the court that it was "likely" that some protesters would still break the law for purposes of civil disobedience.

The state police force has warned protesters to stay off the water, and has promised to make arrests if any activists fail to comply with orders to ensure the safety of navigation. An early blockade attempt Thursday evening was not successful, and police kept about one dozen activist boats out of the way as the bulker Eternal Bliss entered the harbor.

Last year, more than 100 people were charged for staying on the water past a police deadline at the Newcastle protest. Rising Tide has been organizing events at the harbor since 2016.

WWIII---IMPERIALIST KAIJU

AUKUS pact enters agreement to collaborate on developing hypersonic weapons

President Joe Biden (C), then-British Prime Minister Rishi Sunak (L) and Australian Prime Minister Anthony Albanese discuss developments in their AUKUS military alliance at Naval Base Point Loma in San Diego, Calif., on March 13. 2023. On Monday, the three countries announced that they have entered an agreement under AUKUS to collaborate on the development of hypersonic weapons. File Photo by Jim Ruymen/UPI | License Photo

Nov. 19 (UPI) -- The United States, Australia and Britain have signed an agreement under their AUKUS defense pact to jointly work on the development of hypersonic technologies.

In a statement on Monday, the three governments said they signed an agreement to enhance testing of hypersonic vehicles and accelerate the implementation of related technologies.

The Hypersonic Flight Test and Experimentation Project Agreement, under Pillar II of their AUKUS pact, specifically states that they may use one another's testing facilities and share technical information concerning the development, testing and evaluating of hypersonic systems.

"We are increasing our collective ability to develop and deliver offensive and defensive hypersonic technologies through a robust series of trilateral tests and experiments that will accelerate the development of hypersonic concepts and critical enabling technologies," Heidi Shyu, under secretary of Defense for Research and Engineering, said in a statement.

The three allies entered into the trilateral AUKUS pact in September 2021 to enable the countries to support one another's security and defense interests, with Pillar I under the partnership being the commitment to aid Australia's acquisition of nuclear-powered submarines.

Pillar II pertains to advanced capability development, including that of hypersonic weapons, which fly at speeds of at least Mach 5, meaning five times the speed of sound, making them difficult to counter.

The United States has been seen as trailing Russia and China in the development of hypersonic weapons, but growing concern about the two countries has spurred both Congress and Pentagon to prioritize building a hypsonic arsenal for the U.S. military.

For example, the Pentagon budget request for hypersonic research in 2025 was $6.9 billion, a jump from $4.7 billion in 2023.

According to Pentagon spokesman Maj. Pete Nguyen, ongoing hypersonic development efforts by the United States, Australia and Britain will be "woven together" through Monday's agree, which includes up to six trilateral flight test campaigns to be conducted by 2028.

Britain's ministry of defense said in a separate statement that this "landmark arrangement" will accelerate their development of hypersonic capabilities, including long-range strike missiles.

"By combining our expertise and resources with those of our closest allies, we are accelerating the development of crucial hypersonic capabilities," Defense Secretary John Healey said.

"This work will keep us ahead of our adversaries on the battlefield, enhance our collective security and contribute to maintaining peace and stability in an increasingly complex and dangerous world."

Indo-Pacific Command's Chief Warns of Hard Limits of Unmanned Systems

Conventional sea power would be essential for a Pacific conflict, Adm. Paparo reminded his audience (USN file image)

In a wide-ranging conversation at the Brookings Institution on Tuesday, Indo-Pacific Command chief Adm. Sam Paparo cautioned against overreliance on unmanned systems in a Taiwan Strait or South China Sea conflict. Though he has spoken extensively on the value of drone systems, he emphasized that it's important not to lose sight of the "laws of physics" of sea power in the vastness of the Pacific Ocean - particularly for sustainment.

"You're going to have to sustain those forces in [Naval Facility Okinawa, Japan] over wide ranging space. You're going to need air and maritime superiority," he said, noting that the Pacific battle space measures about 8,000 miles by 8,000 miles. "I don't think a Victory Garden is going to do it for those folks [in Okinawa] over the course of a war."

The defense community is drawing new lessons from the war in Ukraine, but Paparo emphasized that those lessons only go so far. Ukraine has all of Europe behind it for secure logistics, while Russia has an endless expanse of more Russia. Both are well-defended, and the war is largely restricted to a narrow band of contested space at the front line. This is much different from a Taiwan Strait scenario, he said.

"There's a war of attriction in [Ukraine], and we're learning a lot about electronic warfare, and we're changing the game," said Paparo. "But if you think that's all of it and we can quit on everything else in the Pacific - how are we going to sustain everything else if we completely give up on air and maritime superiority in the Pacific? . . . The PRC has 2,100 fighters. They’ve got three aircraft carriers. They have a battle force of 200 destroyers. 'Oh, well, roger; we’ve got a couple of drones. No problem.'"

He refused to comment on the progress of Project Replicator, a plan to deploy thousands of attritable drones that could be used to defeat Chinese forces in the event of an invasion of Taiwan. But he did insist that such devices must have a "man in the loop" for lethal engagements, and suggested that the concept of an "attritable" device should come with a realistic price tag.

"Attritable systems should [cost] . . . hundreds or thousands of dollars, and reusable systems can end in a different number. We shouldn't confuse that when we're making these choices," he said.

Paparo ended the conversation not on hardware, but on the value of American soft power. He said that he cherishes the strategic advantage that the U.S. military gets when it helps allies with disaster relief and medical assistance. "I value it every bit as much as I do the dynamic demonstration of combat power," he said. "Soft power becomes hard power in conflict."

U.S. Transfers Surveillance Drone Boats to Philippine Military

Lloyd Austin with a Mantas T-12 — Courtesy DOD

The U.S. has supplied the Philippine Navy with unmanned drone boats to help with surveillance tasks in the South China Sea, according to the Pentagon.

During outgoing defense secretary Lloyd Austin's fourth and final trip to the Philippines this week, he visited a base on Palawan to meet a forward-deployed U.S. training unit - dubbed Task Force Ayungin, after the Philippine name for a hotly-contested shoal in the Spratly Islands.

Philippine sailors walked Austin through their inventory of American-built Mantas T-12 drone boats. These small high speed surveillance craft measure about 12 feet in length and have a range of about 30-40 miles, making them suitable for short-distance, light-payload applications. Images released by the Department of Defense appear to show a Starlink terminal mounted on a deck hatch, along with a FLIR night vision camera system. The transfer also included at least one Mantas T-38, a larger and more capable speedboat-sized unit.

More USV transfers are expected under a $500 million defense assistance package for Manila. "These developments ensure that the Philippines has the capabilities it needs to defend its rights and its sovereignty throughout its exclusive economic zone," Austin said in a statement.

An enlisted officer with the Task Force told DefenseScoop that there are four T-12s and one T-38 on Palawan, the province nearest the disputed Spratly Archipelago and the home base for Philippine military operations in the region. The next assistance package will include a significant investment in cyber readiness for the Philippine military to ensure that it can maintain command and control of its new unmanned assets, Austin told the outlet.

“We want to make sure that we’re doing everything that we can to help [Philippines Secretary of National Defense Gilbert Teodoro] increase his domain awareness, his ability to protect his sovereign territory and his interests — and cyber plays a critical role in that respect," Austin said.

U.S. to invest $125M in water recycling projects to help drought-stricken California, Utah

Boaters head into a finger of Lake Shasta in Redding, California on June 19, 2021, when water levels reached historic lows in many of California's reservoirs. On Monday, the U.S. Department of Interior announced a $125 million investment to create new recycled sources of water in California and Utah to help both states mitigate ongoing droughts. File Photo by Terry Schmitt/UPI | License Photo

Nov. 18 (UPI) -- The Department of Interior announced Monday that it will invest $125 million to create new recycled sources of water in California and Utah to help both states mitigate ongoing droughts.

The funding -- which comes from President Joe Biden's Investing in America -- will support the Interior Department's new Large-Scale Water Recycling Program, which was launched in 2023. The program will help five communities recycle water supplies by turning unusable water sources into clean, reliable ones.

"The president's Investing in America agenda is making transformational investments in climate resilience in communities across America," said Interior Secretary Deb Harland. "Through the Large-Scale Water Recycling program, the department is ensuring that communities in the West have the resources they need to safeguard water supplies and ensure this precious resource is available for generations to come."

The five projects selected for funding include $60.4 million for the city of San Buenaventura's Ventura Water Program, which is estimated to produce 3,600 acre-feet of recycled water every year.

The Los Angeles Groundwater Replenishment Project will receive $30 million to produce 26,000 acre-feet of recycled water.

The Metropolitan Water District of Southern California Pure Water Southern California project is expected to produce 118,590 acre-feet annually with an investment of $26.2 million.

The Inland Empire Utilities Agency of California Advanced Treatment of Recycled Water to Enhance Chino Basin Resiliency Project will receive $10.8 million to produce 15,000 acre-feet of recycled water every year.

And Washington County Water Conservancy District for Utah's Regional Reuse System will receive $641,222 to produce more than 28,000 acre-feet of recycled water.

A total of $8.3 billion from the Bipartisan Infrastructure Law will be spent over the next five years on water infrastructure projects to include water storage, conservation, dam safety, water purification and reuse, and desalination.

"This effort to diversify our tools by taking previously unusable water sources and turning them into new supplies will be instrumental in managing through drought," said Bureau of Reclamation Commissioner Camille Calimlim Touton.

"These historic investments are allowing these communities to build and expand infrastructure to recycle large amounts of water to meet growing needs."

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