By Meriba Tulo – EM TV News, Port Moresby
Close to K530 million in Royalties have been paid by Lihir Gold Limited (LGL) since June 1997. These royalties derived from the sale of Gold from the Lihir Gold Mine, New Ireland Province.
This has seen New Ireland Provincial Government (NIPG), Nimamar Local Level Government (NLLG), and Special Mining Lease (SML) Block Owners, receive significant royalty from the sale of gold from Lihir Gold Mine.
From figures provided by LGL, since June 1997, the New Ireland Provincial Government has been the largest beneficiary, receiving around K264 million. For the same period, NLLG received K158million, with SML Block Holders receiving K105million.
According to LGL General Manager, Craig Jetson, royalty distribution from the Lihir gold mine is different from other mining operations in PNG.
On agreement by the State, a series of MOAs between the National Government and each of the parties of NIPG, NLLG and Lihir Mining Area Landowners Association (LMALA), diverted all of the State’s entitlement to royalties to the New Ireland Province.
This is distributed as follows:
• NIPG and its Districts receive 50%
• NLLG receive 30%
• SML Block Owners receive 20%