Newmont's royalty payment totals $5.452 million in 4th quarter of 2000

PT Newmont Nusa Tenggara, a gold and copper mine operator in Sumbawa, West Nusa Tenggara province, paid royalties amounting to US$5.452 million or about Rp 51.794 billion to the government in the fourth quarter of last year, Astaga.Com new portal reported on Saturday.

The royalty payment for the October to December period had been transferred to the Ministry of Finance's account at the country's central bank, Bank Indonesia early in January, the company's media relations officer T Iradati Fuad said

Iradati said that Newmont, a subsidiary of the United States-based Newmont Corporation, had paid a total of $14.124 million or about Rp 134 billion in royalties to the government since the commencement of the commercial production late 1999.

According to the existing regulation, 80 percent of the royalties from mining operations go to the provincial administration and the other 20 percent to regional government. The royalties received by the West Nusa Tenggara province should be split to the province's six regencies.

Iradati said Sumbawa regency, which hosts the mining operation, will receive 32 percent of the royalties, while other five regencies will receive six percent, while the provincial administration to get 16 percent.

The first royalty was paid in the period of October to November, 1999 totaling $412.271, the second payment in January to March, 2000 totaling $2.518 (?), in the April to June totaling $2.606 million and in July to September, last amounting to $3.128 million (*)