Ok Tedi Mining Limited is expected to generate K40 Billion in social benefits, taxes, royalties and dividends to its shareholders over the next 26 years.
Managing Director & Chief Executive Officer, Kedi Ilimbit, revealed this today during his presentation at the 2024 PNG Chamber of Resource & Energy Investment Week Conference in Sydney, Australia.
Mr Ilimbit said this is a significant amount and the onus is on the shareholders of OTML who receive these benefits use them for the benefit of everybody.
“K40 billion is a lot of money. The challenge to our shareholders is how do we make use of these social benefits to improve the lives of our people,” said Mr Ilimbit.
The Company celebrated 40 years of production this year. Over the four decades OTML has produced:
- 5.4 million tonnes of copper;
- 16.4 million ounces of gold;
- 38.1 million tonnes of silver;
These production figures have generated;
- K13.9 billion in Dividends;
- K872 million in Tax Credit Scheme Projects since 1997;
- K1.1 billion in Community Mine Continuation Agreement (CMCA) Payments;
- K1.7 billion in Compensation payments;
- K1,5 billion in Royalties; and
- K11.3 billion in Tax/Duties. These include;
- K6 billion in Income Tax
- K800 million in Dividend Withholding Tax;
- K2 billion Salary & Wages Tax;
- K354 million Mining Levy
In 2024 OTML was granted a 20 Year extension to its Special Mining Lease as well as the approval by the Board to extend mine life to 2050.
Mr Ilimbit revealed OTML’s 2050 Growth Strategy which includes several key undertakings to not only achieve life of mine (LOM) extension but remain profitable.
These key undertakings include:
- Environmental Stewardship and Sustainable Growth Projects
- Engineered Waste Rock Dump (EWRD) 1 & 2
- Electric drive Haul Truck Re-fleeting
- Processing Asset Renewal
- Pyrite Concentrate (PCon) Pit 4 Construction
- Tailings Storage Facility (TSF)
- Electrification and Energy Transition Strategy
- Diesel & Jet A1 Storage & Supply
- New FIFO Village
- Kwalimu House
- Community Mine Continuation Agreement (CMCA) Extension Review
- Copper Mark Certification
“These are exciting times ahead for OTML and we are confident that we will deliver on the life of mine extension and generate revenue for our shareholders.