Lihir Gold Ltd (LGL) paid K719 million in royalties to New Ireland from 1997- Sept 2018 as part of its socio-economic commitment to the province and country.
The company said in a statement that this was done through the New Ireland government (NIPG), Nimamar local level government (NLLG) and traditional block owners of the special mining lease (SML) area.
The 2 per cent royalty payment summary from 1997 to Sep 2018:
- NIPG received K359,516,284 (50 per cent);
- NLLG received K215,709,770 (30 per cent ); and,
- Lihir SML received K143,806, 514 (20 per cent).
This adds up to a total of K719,032, 568.
In the quarter July to Sept 2018, Newcrest paid K15 million to stakeholders.
“New Ireland government (NIPG) received K7,545,840 (50 per cent), NLLG received K4,527,504 (30 per cent) and Lihir SML block owners received K3,018,336 (20 per cent),” LGL said.
“These portions have been agreed upon, through a signed memorandum-of-agreement by the State, NIPG, NLLG and SML block owners.
“LGL contributes to the social and economic progress of PNG, New Ireland and Lihir by delivering sustainable and socially responsible outcomes. This means listening to the people’s needs, enabling and empowering its employees and the local communities and protecting the environment through safe, operationally-disciplined and efficient practices, all consistent with the mining development contract (MDC).
“LGL and its parent company, Newcrest Mining Ltd, promote good governance, transparency and commerciality as part of the company’s social obligation to ensure mine-derived benefits reach all Lihirian people and New Irelanders in general, through various benefit streams including direct cash benefits, employment training, business spin-off activities, compensation payments, legacy projects and village development scheme projects.
“LGL and Newcrest is committed to open and honest communication in the way it does business.”