The Board of Ok Tedi Mining Limited (OTML) has approved in principle a further mine life extension from 2033 to 2050.
This marks a significant milestone for OTML, its shareholders and for Papua New Guinea in general and is a sign of the confidence the Board has in the company’s ability to deliver over the next two decades.
The approval is based on the latest Strategic Business Plan submitted by the Executive Leadership Team and discussed during the OTML Board meeting held in Tabubil on 13th September 2023.
This extension brings to life OTML’s Vision to operate with excellence, maximising the value of the mineral resource in an environmentally friendly way, to deliver sustainable economic and social benefits to the mine communities and the people of PNG. Several factors have enabled the extension including a strengthened long-term copper price outlook, additional mine waste management solutions such as Engineered Waste Rock Dumps and a Tailings Storage Facility to minimize impact on the environment, renewal of aged processing plant assets and implementation of other strategic projects that are currently in various stages of completion.
Managing Director & Chief Executive Officer, Kedi Ilimbit, said “The approval by the Board on the eve of PNG’s 48th Independence anniversary is a welcomed gift to the communities in which we operate and who provide us the social license to continue, as well as to the people of PNG.”
Mr Ilimbit further stated, “The revised mine life will see the Company generate in excess of PGK30 Billion in dividends, royalties, compensation payments, and taxes for the benefit of OTML’s shareholders, communities and Papua New Guinea as a whole over the next 27 years.”
Jeffrey Innes, Chairman of the OTML Board, shared his optimism about the company’s future, stating “The latest Strategic Business Plan gives the Board confidence in OTML’s continued operational success.
Mr Innes added, “OTML has tripled its value in the last six years and the outlook is a positive one.
The mine life extension reaffirms OTML’s commitment to sustainable growth, economic prosperity, and community well-being supported by environmental sustainability, community development and operational excellence.