Direct revenue from MMG LXML Sepon to the Lao PDR has reached over one billion US dollars, following a royalty payment to the Ministry of Finance on 18 June.
“As one of the largest taxpayers in the Lao PDR, MMG LXML Sepon is extremely proud of its ongoing contribution to economic development and poverty alleviation, particularly in the communities close to the mine,” said Rick Watsford, General Manager MMG LXML Sepon.
The US$1 billion in direct revenue comes from profits tax, royalties, dividends, income tax and tenement rental. The Lao PDR also benefits from hundreds of millions of dollars each year in indirect revenue generated by the mine, through payments to Lao employees, local businesses and suppliers.
MMG LXML Sepon is committed to developing a highly skilled Lao workforce to benefit the Lao PDR and create sustainable livelihoods after the mine is closed, and contributes to community and infrastructure development.
A recent example is the MMG-funded US$1.4 million child nutrition program in Savannakhet, Salavan and Champassak provinces. The ‘1000 Day’ Project in the Lao PDR is a unique partnership between MMG, UNICEF, and the Lao Ministry of Health, and aims to prevent malnutrition.
This year, MMG LXML Sepon is celebrating the tenth anniversary of production, and the twentieth anniversary of its concession agreement. Sepon first produced gold in 2003 and copper in 2005. Since then, over 1.2 million ounces of gold and more than 500,000 tonnes of copper have been produced.
MMG LXML Sepon is actively exploring to expand gold and copper production to ensure further revenue can be generated for the Lao PDR.
Minister for Finance, H.E. Mr Phouphet Khamphounvong, receives a US$8.4 million royalty cheque from General Manager MMG LXML Sepon, Mr Rick Watsford. (Photo MMG / Chanmy Sisomphone)
To download this media release as a pdf click here.