If I read this correctly that's about A$100M per annum that has to be extracted from mining (company tax, personal tax, import duties, dividends etc) and elsewhere when they are granted full independence (for which financial independence is a chicken and egg condition laid down by the PNG national Government).
One would think that keeping BCL as the local entity for the reopening of the mine
would be a priority (more so after the national Govt ultimately hands over its 36% ownership, as expected). Dalliance with third party mining companies (RTG or anyone else) is fine as long it delivers the same benefits - but does that seem likely? Atwo year moratorium by the ABG on exploration at Panguna is all very well as long as the national Govt. is happy to fund them, seemingly in perpetuity but probably at a lower level than ownership (albeit in a diluted form depending on financing) of the re-established mine would deliver.
It is interesting to consider the statement in June 1990 (article in the Weekend Australian 9/10 June) by then BCL Chairman Don Carruthers that of the A$2.3Bn of cash flow in the 17 years of operation, major shareholder CRA and public shareholders (together holding 80% of the shares) had received 33% with the other 67% going to PNG Govt/Provincial Govt/landowners. It wouldn't be difficult to go through the annual reports and recalculate this for the current ownership split, forecast metal prices and operating costs; I imagine that BCL has done this many times in fact.
