PNG’s Ok Tedi Mine posts K8.4 billion revenue in record year

 PNG-owned Ok Tedi Mining Limited has delivered one of its strongest financial performances, recording about K8.46 billion in revenue for the year, according to managing director and chief executive officer Kedi Ilimbit.

Speaking during PNG Investment Week in Sydney, Ilimbit said the result exceeded company expectations, with favourable commodity prices and steady production contributing to the outcome.

PNG’s Ok Tedi Mine posts K8.4 billion revenue in record year [Photo credit: OTML]

The company had initially projected revenue of around US$1.7 billion but closed the year at approximately US$2 billion, reflecting improved market conditions for copper, gold and silver.

Ok Tedi remains one of Papua New Guinea’s largest contributors to export earnings and government revenue, operating continuously for more than four decades in Western Province.

Ownership of the mine currently sits with the State holding a majority stake, while the remaining share is owned by the host province. From next year, landowners will hold a larger equity portion under a revised structure.

After meeting operational costs and capital commitments, the company paid out K600 million in dividends, with the possibility of additional returns should prices remain stable.

“Our target is to grow from US$5 billion to US$10 billion as part of a greater Ok Tedi vision,” Ilimbit said.

“Ok Tedi is a very good business, having operated for 41 years as a proud Papua New Guinean-owned company.”