OceanaGold remits P466M in additional government revenue share

KASIBU, Nueva Vizcaya — OceanaGold Philippines (OGP) has announced its remittance of P466.86 million in additional government share (AGS) to the Philippine government covering the fiscal year 2024 under the terms of its Financial or Technical Assistance Agreement (FTAA).

Marjorie Idio, OGP investor relations manager, said this remittance brings OGP's total AGS payment over the last two years close to P1.6 billion, underscoring its commitment to supporting the Philippine economy and fulfilling its obligations.

Michael Cabalda, Department of Environment and Natural Resources assistant secretary, formally received the second AGS payment in a turnover ceremony held at the Mines and Geosciences Bureau Central Office recently.

Cabalda said OGP's significant contribution to the national treasury underscores that mining, when done responsibly, becomes a powerful engine for nation-building and ensures that the people benefit meaningfully from the country's mineral wealth while creating an environment where responsible investors can thrive.

"The consistent remittances from OceanaGold Philippines, even amid shifts in global markets and production cycles, reaffirm its role as a reliable partner of the Philippine government under the FTAA," said Cabalda.

Cabalda also extended his gratitude to OGP for its commitment to compliance and focus on safe and responsible mining operations.

"We are proud to continue contributing to the Philippine government and support nation-building with our mining operations," said Joan Adaci-Cattiling, OGP president and general manager for external affairs and social performance.

"This significant contribution of almost P1.6 billion in cumulative AGS payments exemplifies the substantial economic benefits that responsible mining can bring," she added.

The AGS payment is on top of P870 million in excise taxes and P512 million in local taxes and fees that were paid in 2024.

Idio said that under its FTAA, the Philippine government and OGP share the net revenue from the Didipio Gold-Copper Mine in Luzon on a 60-40 basis, where the government receives 60 percent of the net revenue and OGP takes 40 percent.

She said this arrangement is based on the principle that the government should receive a fair economic return for its mineral natural resources, while OGP is entitled to a reasonable return on its investments.

Idio added that by the terms of the FTAA, all taxes and fees paid to the government are deducted from the government's 60-percent share of net revenue to arrive at any additional government share payable.

"The company will continue its remittance of additional government shares, subject to metal prices, production and financial performance," she said.