OK TEDI Mining Limited (OTML) recently celebrated a significant milestone with the renewal of its Special Mining Lease (SML) 1 (0), marking a renewed commitment to Papua New Guinea’s mining sector. The extension grants an additional 20 years, ensuring continuity of operations from 2022 to 2042.
The occasion, graced by the Minister for Mining, Hon. Muguwa Dilu, served as a testament
to OTML’s enduring legacy and contributions to the nation’s economy. Minister Dilu praised OTML’s track record of delivering substantial dividends to the state, bolstering economic growth, and enhancing livelihoods across communities. With the previous SML 1 (0) lease term expiring in 2022, the renewal underscores the government’s confidence in OTML’s ability to navigate the evolving landscape of the mining industry. The process, initiated
in compliance with the Mining Act 1992 provisions, culminated in the grant of the extension,
ensuring the continuity of mining activities in the region.
In addition to the SML renewal, the associated leases for mining purposes, including 22 Lease for Mining Purposes (LMP) and two Mining Easement, were also renewed, further
solidifying OTML’s operational framework. Minister Dilu lauded the collaborative efforts
of all stakeholders, including regulatory bodies and government officials, in facilitating
the lease renewal process. He emphasized OTML’s pivotal role in advancing Papua New
Guinea’s economic agenda and empowering local communities through sustainable resource development.
The event also provided an opportunity to reflect on OTML’s transformative journey since
its inception in 1984. From its humble beginnings as a gold mine to becoming a leading
copper-gold operation, OTML has remained steadfast in its commitment to fostering economic growth and community development.
The company’s impressive production figures, including 5.17 million tonnes of copper,
15.9 million ounces of gold, and 36.4 million ounces of silver, underscore its operational
excellence and significant contributions to the nation’s economy.
Furthermore, OTML’s financial contributions, totaling PGK 13 billion in dividends to
PNG shareholders, PGK 10.2 billion in taxes and duties, and PGK 1.3 billion in royalties,
reflect its unwavering commitment to national development. Looking ahead, Minister
Dilu expressed optimism about OTML’s future prospects, highlighting strategic initiatives
outlined in its business plan to generate K30 billion in social benefits over the next 27
years. He underscored the importance of diversification and innovation, urging OTML
to explore opportunities for expansion, both domestically and internationally.
OTML Managing Director and Chief Executive Officer, Kedi Ilimbit, echoed Minister
Dilu’s sentiments, reaffirming the company’s commitment to sustainable resource development and community engagement. He emphasized OTML’s dedication to fulfilling
its environmental and social responsibilities while maintaining positive relationships with
impacted communities.
In conclusion, the renewal of SML 1 (0) marks a significant chapter in OTML’s storied history,
setting the stage for continued growth, innovation, and socio-economic impact in
Papua New Guinea. The recent renewal of Ok Tedi Mining Limited’s (OTML) Special Mining
Lease (SML) 1 (0) marks a pivotal moment in Papua New Guinea’s mining sector, signifying
a renewed commitment to sustainable resource development and economic growth. With an additional 20-year lease term secured, OTML is poised to continue its legacy of excellence and community empowerment well into the future.
Under the leadership of the Minister for Mining, Hon. Muguwa Dilu, the renewal of SML 1
(0) underscores the government’s confidence in OTML’s ability to navigate the complexities
of the mining industry while upholding environmental and social responsibilities. Minister Dilu’s praise for OTML’s contributions to the nation’s economy highlights the company’s integral role in driving economic prosperity and improving livelihoods across
Papua New Guinea.
The process leading to the lease renewal, initiated in compliance with the Mining Act 1992 provisions, exemplifies the collaborative efforts of all stakeholders involved. From regulatory bodies to government officials, the collective dedication to facilitating the extension
underscores the importance of responsible resource management and sustainable
development practices.
In addition to the SML renewal, the concurrent renewal of associated leases for mining
purposes further solidifies OTML’s operational framework, ensuring continuity of mining
activities in the region. This comprehensive approach reflects OTML’s commitment to
operational excellence and adherence to best practices in the mining sector.
Reflecting on OTML’s transformative journey since its inception in 1984, the renewal of SML 1 (0) serves as a testament to the company’s resilience and adaptability in the face of evolving industry dynamics. From its humble beginnings as a gold mine to becoming
a leading copper-gold operation, OTML has remained steadfast in its commitment to
fostering economic growth and community development.
The impressive production figures, including 5.17 million tonnes of copper, 15.9 million
ounces of gold, and 36.4 million ounces of silver, underscore OTML’s status as a key player
in Papua New Guinea’s mining landscape. Furthermore, the substantial financial contributions to the state, totaling PGK 13 billion in dividends to PNG shareholders, PGK 10.2 billion in taxes and duties, and PGK 1.3 billion in royalties, highlight the company’s significant economic impact.
Looking ahead, Minister Dilu expressed optimism about OTML’s future prospects, emphasizing the importance of diversification and innovation in driving sustained growth.
Strategic initiatives outlined in OTML’s business plan, aimed at generating K30 billion in
social benefits over the next 27 years, underscore the company’s commitment to longterm
sustainability and community empowerment.
OTML Managing Director and Chief Executive Officer, Kedi Ilimbit, echoed Minister
Dilu’s sentiments, reaffirming the company’s dedication to responsible resource development and stakeholder engagement. As OTML embarks on this new chapter, it remains committed to fulfilling its environmental and social responsibilities while fostering positive relationships with impacted communities.
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