Friday, December 22, 2017

PNG Landowners receive royalty payments from Lihir Gold Mine Limited

The people of New Ireland in Papua New Guinea  had received K640 million in royalty payments from the Lihir Gold Limited (LGL) since 1997, the National Newspaper reports.

A company statement said of the total royalty payments made between 1997 and September 2017, the New Ireland provincial government received K320 million, Nimamar Local Level Government K192 million and special mining lease block owners K128 million.
From January to September this year, LGL paid K54, 903, 661.
The memorandum of agreement stated that the 50 per cent portion for the provincial government be divided as follows:


  • 20 per cent to the Namatanai District for infrastructure projects and programmes;
  • 20 per cent to the Kavieng district for infrastructure projects and programmes;
  • 10 per cent for general administration and for the administration of the MOA obligations.

For the 20 per cent royalty portion for the SML blockowners, an arrangement was made between the block executives and Lihir Mining Area Landowners’ Association for LGL to deduct 20 per cent and pay it directly to the association to put in a financial savings scheme for the landowners.
As part of its contribution to the future of New Ireland and
Papua New Guinea, LGL continues to deliver sustainable and
socially responsible outcomes.
Also, as a corporate citizen, LGL honoured the MOA and other agreements and complied with all laws of PNG by paying royalty every month and reports this payment to the Mineral Resources Authority and to other relevant government agencies such as Internal Revenue Commission.
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