Lihir Gold Limited (LGL)

This brings the total royalty payments since June 1997 to K755 million.

From the K17,737,552, the NIPG received its 50 percent share of K8,868,776, the NLLG received its 30 percent share of

K5,321,266 and the Lihir SML block owners received its 20 percent share of K3,547,510. These payments were distributed according to the Memorandum of Agreement (MOA) signed by the State with NIPG, NLLG and the Lihir Mining Area Landowners Association (LMALA).

“Keeping our people safe and healthy, and respecting our communities and environment is an integral part of Newcrest and LGL’s values. We remain fully committed to excellence in sustainable environmental performance,” said General Manager Chris Jordaan.

“Lihir has a comprehensive environmental monitoring and management plan approved by the PNG Conservation and Environment Protection Authority (CEPA), aimed at the early detection of any potential impacts to land, water, air quality and amenity. LGL can confirm that the ocean around Lihir remains safe to swim and fish in.”

Lihir’s environment department, through its Environment Management System (EMS) team and SAI Global, led the transition audit.

ISO14001:2015 is the international standard that specifies requirements for an effective Environment Management System. It provides a framework that focuses on the overall business performance of the operation and looks at enhancing environmental efficiencies (i.e waste minimisation) in all processes.

This was from 1997-September 2018, as part of its socio-economic commitment to the province and the country.

In the quarter July-September 2018, Newcrest paid K15,091,680 to the stakeholders.

NIPG received K7,545,840 (50 percent), NLLG received K4,527,504 (30 percent) and Lihir SML block owners received K3,018,336 (20 percent). These portions (percentage) have been agreed upon, through a signed Memorandum of Agreement (MOA) by the State, NIPG, NLLG and SML block owners.

Of the total royalty payments made between 1997 and December 2017 (K660m);

• New Ireland Provincial Government (+ districts) had received K330,057,253
• Nimamar Local Level Government had received K198,034,351
• Special Mining Lease Block Owners had received K132,022,902            

From January to December 2017, Lihir Gold Limited royalty payments to the people of New Ireland have added to a total of K75,065,077 as highlighted (in yellow) in the table below.

What are royalties?